Gold

[Daytr]

JBMurc, totally agree, hardly the look of a stable democracy in action. Imagine if the same happened in China, we would be talking about the brink of civil war no doubt. If I was a Federal worker on unpaid leave & my mortgage payment was due, I would be pretty pissed!

[Bobcat.]

Since the GFC, the US Government has grown bigger not smaller. Average wage for Government workers has increased, not decreased. This is the opposite to what's happened in the private sector. Reaping the consequences of excessive Government spending does not get my sympathy.

Last night, the country's monthly ADP nonfarm private employment increased by only 166k new jobs (against a forecasted rise of 180k). That's hardly enough to cover their natural population increase - not to drive anything of a recovery. To recover within 3 years, I've seen estimates of 200k as the minumum. A US recovery is not (in spite of the political rhetoric) just around the corner. It may actually never happen.

BC

[Logen Ninefingers]

Why label people who chose to see the inate value of the tangible scare metal gold as 'gold bugs' in some derisive scornful way. If I could walk out of my office and pick up handfuls of the stuff I could perhaps understand it. But at the end of 2009, it was estimated that all the gold ever mined totaled 165,000 tonnes.

So what are people that invest in houses to be called: "house bugs". People that invest in shares should be ridiculed as "share bugs".

Please, why are there troll comments that ridicule people who invest in gold. They don't belong anymore that if someone to start a thread called "shares" and the same thing were to happen.

The US ecnomony is f*cked. The fact that the US dollar has the standing it does is a miracle. QE won't be winding up - to keep this charade going they will need to increase it!!!! At that time, make sure you have plenty of tangible assests, not paper assets that exist on a computer screen.

[Skol]

Why label people who chose to see the inate value of the tangible scare metal gold as 'gold bugs' in some derisive scornful way. If I could walk out of my office and pick up handfuls of the stuff I could perhaps understand it. But at the end of 2009, it was estimated that all the gold ever mined totaled 165,000 tonnes.

So what are people that invest in houses to be called: "house bugs". People that invest in shares should be ridiculed as "share bugs".

Please, why are there troll comments that ridicule people who invest in gold. They don't belong anymore that if someone to start a thread called "shares" and the same thing were to happen.

The US ecnomony is f*cked. The fact that the US dollar has the standing it does is a miracle. QE won't be winding up - to keep this charade going they will need to increase it!!!! At that time, make sure you have plenty of tangible assests, not paper assets that exist on a computer screen.

Gold is a lousy long term investment, and to prove it here's a quote:
---------
In his book Basic Economics, Thomas Sowell[69] argued that, in the long-term, gold's high volatility when compared to stocks and bonds, means that gold does not hold its value compared to stocks and bonds:
To take an extreme example [of price volatility], while a dollar invested in bonds in 1801 would be worth nearly a thousand dollars by 1998, a dollar invested in stocks that same year would be worth more than half a million dollars. All this is in real terms, taking inflation into account. Meanwhile, a dollar invested in gold in 1801 would by 1998 be worth just 78 cents.

---------

Enjoy your yellow metal, if you live in North Korea or Iran it might come in handy.

[JBmurc]

JBMurc, totally agree, hardly the look of a stable democracy in action. Imagine if the same happened in China, we would be talking about the brink of civil war no doubt. If I was a Federal worker on unpaid leave & my mortgage payment was due, I would be pretty pissed!

Yes or even in are backyard image the talk going round if Key stated that ACC,IRD,all parks ,museums,much of the Government were to close right round a major issue that needed to be sorted months ago>>>would be a complete joke

I see the DOW is no longer looking so flash with negative futures heading into tonight >>

[Skol]

I see the DOW is no longer looking so flash with negative futures heading into tonight >>

Exactly, buying opportunity!!!!!!!!

Quote from today's Herald.
-------

'The US congressional standoff that shut down the govt. for the first time in 17 years is a buying opportunity for stock investors if history is any guide.'

[Logen Ninefingers]

Gold is a lousy long term investment, and to prove it here's a quote:
---------
In his book Basic Economics, Thomas Sowell[69] argued that, in the long-term, gold's high volatility when compared to stocks and bonds, means that gold does not hold its value compared to stocks and bonds:
To take an extreme example [of price volatility], while a dollar invested in bonds in 1801 would be worth nearly a thousand dollars by 1998, a dollar invested in stocks that same year would be worth more than half a million dollars. All this is in real terms, taking inflation into account. Meanwhile, a dollar invested in gold in 1801 would by 1998 be worth just 78 cents.

---------

Enjoy your yellow metal, if you live in North Korea or Iran it might come in handy.

All you do is provide untold quotes and bits and bobs of reports bagging gold. It amounts to nothing at all because anyone can find quotes and bits and bobs praising gold to the skies. It's a pointless argment. The fact is gold has always had value in every major human civilisation & that won't change because you sneer at it.
Talk to me about the 23% real unemployment in the US and tell me that that is a) the sign of a healthy economy b) the sign of a basket case ecomony.
Equities are the only game in town because interest rates have been smashed. Easy credit means plenty of debt, debt, debt - which just fuels the party. Bernacke is devaluing and destroying his own currency on a daily basis. He is like King Canute trying to hold back the ocean. It can't end well.
It's useless talking about "yellow metal". You couly equally start describing million dollar houses as "wooden shelters". Your equities are smoke: derivatives. Millions of tiny fragments of "ownership" all chopped up and scattered about. They can be rendered valueless overnight. Tangible "things" cannot.

[Skol]

JBMurc, totally agree, hardly the look of a stable democracy in action. Imagine if the same happened in China, we would be talking about the brink of civil war no doubt. If I was a Federal worker on unpaid leave & my mortgage payment was due, I would be pretty pissed!

Exaggeration there Daytr, the communist one-party tyrants would shoot anyone who stepped out of line, just as they did in the 1989 Tianenmen Square Massacre.

[Skol]

All you do is provide untold quotes and bits and bobs of reports bagging gold. It amounts to nothing at all because anyone can find quotes and bits and bobs praising gold to the skies. It's a pointless argment. The fact is gold has always had value in every major human civilisation & that won't change because you sneer at it.
Talk to me about the 23% real unemployment in the US and tell me that that is a) the sign of a healthy economy b) the sign of a basket case ecomony.
Equities are the only game in town because interest rates have been smashed. Easy credit means plenty of debt, debt, debt - which just fuels the party. Bernacke is devaluing and destroying his own currency on a daily basis. He is like King Canute trying to hold back the ocean. It can't end well.
It's useless talking about "yellow metal". You couly equally start describing million dollar houses as "wooden shelters". Your equities are smoke: derivatives. Millions of tiny fragments of "ownership" all chopped up and scattered about. They can be rendered valueless overnight. Tangible "things" cannot.

Equities keep going up and gold keeps going down.

I rest my case!

[Logen Ninefingers]

Equities keep going up and gold keeps going down.

I rest my case!

You don't have a case. You are pointing to the prevailing trend and attaching your whole viewpoint to it: that does not make you an oracle. Your fundamental arguments are redundant and will expose you to ridicule as soon as the trend reverses.