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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Seeker of Truth who wrote (59672)	1/3/2010 5:39:41 PM
From: KyrosL	Read Replies (4) \| Respond to of 217764

Actually inflation in the eighties was much higher than it is now. It started in the double digits at the beginning of the eighties and ended around 4% in 1990, more than double what it is now. During the eighties gold cratered. Again, worldwide capacity and productivity increases argue against inflation. So, the fundamental case for gold is pretty thin. One credible argument for gold is diversification away from paper assets. But this can arguably be done more profitably via yielding real assets such as real estate, farm or wood land, energy partnerships, etc. Another argument is that, it's becoming a fashionable asset to own, so it has a lot of appreciation potential because it is still under owned. I don't like over owning assets whose main attraction is fashion, so I will not be adding to my gold allocation which has stayed at roughly mid single digit percent of my portfolio since the early 2000s.

To: Seeker of Truth who wrote (59672)	1/3/2010 5:55:47 PM
From: TobagoJack	1 Recommendation Respond to of 217764

hello seeker, i am guessing that gold does o.k. during inflation, better than o.k. during hyper inflation, o.k. enough during deflation, and best of all during times of asymptotic progression towards disaster (demise of carthage, collapse of rome, the usual biblical events), and i am figuring we are in such aa biblical progression that may be done over the next 7-15 years period. gold does terrible during times of peace, tranquility, and when nominal interest rate collapses thus boosting all assets that can be leveraged. gold is history, drama, thriller, comedy, tragedy, and mystery, all rolled into one, and as we watch gold, we watch history. history does not end, and neither does gold, and as history sort of repeats, so may gold. :0)

To: Seeker of Truth who wrote (59672)	1/3/2010 10:22:52 PM
From: average joe	Read Replies (2) \| Respond to of 217764

The problem with gold is where are you going to keep it. If you go to the store to buy something with it you are just asking for trouble. Someone will soon find you have a stash somewhere and come looking for it. If you own a lot of it you better have some firepower to back it up with and some loyal body guards. I have a friend who has a small claim that pays about 3.5 grams of gold for about five hours labour. He catches the fine gold in a sluice made in the U.S. and uses mercury and other noxious chemicals to process it. He has no other means of support outside of some blacksmith and welding work. He sells what he collects to a local goldsmith. bearbottommining.com He wisely bought some land that he grows spinach, corn, cabbage, onion, garlic, pumpkin, carrot, peas, and broccoli on. He blesses God for the work that made him free and his free will which gives him dignity. He and Lupita are very happy and they have a burro named Che.