• We’re currently investigating an issue related to the forum theme and styling that is impacting page layout and visual formatting. The problem has been identified, and we are actively working on a resolution. There is no impact to user data or functionality, this is strictly a front-end display issue. We’ll post an update once the fix has been deployed. Thanks for your patience while we get this sorted.

Gold tops $1,400/ounce per my prediction.

Page 2 - Seeking answers? Join the AnandTech community: where nearly half-a-million members share solutions and discuss the latest tech.
JMapleton said:
My personal, non professional opinion stated gold would top $1,400 before the end of the year in this thread:

http://forums.anandtech.com/showthread.php?t=2047561&page=2

Gold tops $1,400 an ounce.
http://finance.yahoo.com/q?s=GCX10.CMX

Reasons:

-US Dollar is being ruined by the Fed's irresponsible printing.
-Uncertainty of US economy, the world's biggest debtor nation.
-International displeasure at the US's dollar policies causing other country's to protect against further declines in the dollar.
Click to expand...
+ printing money almost as fast as they can spend it!

So how much did you make?
and did they pay you out in USD?
If so I see a bad side to that...just MAYBE.
 
JMapleton said:
It's worth is as a currency. Did you just ignore my post?

It's valuable because it's universally accepted as a currency because it's been embedded into the minds of civilization for thousands of years as wealth.

You're thinking of worth scientifically. No you cannot find worth scientifically, like you would say for gasoline or iron.

Gold's value is because it's already distributed throughout the world and treated as wealth. The minds of people in every corner of the Earth believe it's a store of wealth.

If it "hit the fan," the first people scrambling, would be scrambling for gold. This would cause a chain effect (monkey see, monkey do) which would cause the rest of the world to hunt, horde, and pay premium prices for gold. The world needs a currency.

If you say gold is worthless, give me an alternative that would replace gold if all countries collapsed and we went into economic ruin. What currency would be use?

Remember, it has to be internationally accepted. It cannot be manipulated (printed). It has to be portable and clean (oil cannot serve as currency).

And most importantly people have to ACCEPT it as their currency. They've already accepted gold. Why would they trade a 3000 year old tradition for your idea?
Click to expand...

It's only worth what someone is willing to pay for it........................................
When the shit hits the fan people scramble for eggs, milk and bread. let alone trying to hide or secure qualities of gold. Tell me when you bought gold......did they give it to you personally or is it in a safety deposit box you have never seen before- except on a photo on a website..............fool!
Hell, I scramble some eggs every sunday! never mind the shit hitting the fan!
You want a solid currency, try homebrew beer or lamb legs or something you can eat and trade easy for some ammo, flour, sugar n shit!
 
Last edited:
Well the rumor is... Gold is kinda like the housing market was a few years ago. Everyone was told their 50,000 house was worth 250000. People sold their house and made a bundle. Banks gave people loans for these 250000 homes that should not have qualified. But Anyway... people that know this stuff are saying gold value will crash next, because now the value is unjustly inflated just as homes were. Then the housing market crashed when home values dropped. Many expect gold to follow the same pattern. Thats the rumor...
 
http://www.youtube.com/watch?v=qs9_dZK_fnw

Money is a storage of wealth and savings. When government money doesn't offer this, the people will go back to gold and silver. It's the people's money. It has been for thousands of years. Those who don't understand this don't know history. Is it logical, or rational? It doesn't matter. It's reality.
 
Cattle has long been accepted as a form of currency. For thousands of years in fact. I'm going to buy and hoard cows before everyone else catches on. Get in early on the cow bubble!!!
 
JMapleton said:
As I've explained in my threads, gold serves are incredibly useful purpose, even in times of major disaster - as a currency.

When it "hits the fan," we won't be using US Dollars to buy goods that's for sure. What do you think we'll use? Take a guess. Come on.

No we cannot barter. A economy cannot function well on bartering.

We'll be using gold and silver. The only store of economic wealth. Never has become worthless in the last 3000 years. Not once.

"Gold has no purpose." It's purpose is currency. Politicians cannot print it. Everyone accepts it.
Click to expand...

Ah yes, hope you know how to tell gold coins from Pyrite when you decide to sell your house.
 
JMapleton said:
1. Your grand parents paid for it with silver. Open a history book.



Your comment makes no sense.

Gold over the long run, has a fixed value and rarely changes much in value, so the wages would remain around the same. If gold was the world's currency, the value would not fluctuate much at all because demand would be maxed out and there would be no competition from paper currency or anything else.

As far as paying an employee, it's market rate. Name a price and see if anyone applies for your job. Over time the wages will balance out to be fair on a world market. Supply and demand. If a worker demands a 1/10th of an ounce per hour, and the employer is willing to pay, based on their research into what average wages are in that industry, they will pay it. It's a chain reaction - the market will price workers.
Click to expand...

You really have a limited grasp of what you're talking about.

Here's a fun chart of gold commodity purchasing power (ie how much stuff you can trade a unit of gold for, no currency involved).

42557125354577397517adr.png
 
Last edited:
Gold only functions as a currency and had functioned as a currency in human history when there was society to back it. If shit hits the fan, aka society breaks down, gold will be worthless because people will only care about food, water, and guns & bullets.

The time to "buy" gold is when society has collapsed, and you have enough goods to barter for gold. You accumulate all your gold so that when society is back, your shiny metal will now be worth something.

To buy metals for SHTF scenario is quite stupid IMO.

Now a true investor case for gold is if the US heads down the path of money creation without being able to unwind it, and the world demands that the US revalue its currency with a partial gold backed dollar, then gold can shoot up to $30,000+. However, considering that this hasn't ever occurred in recent history with other bankrupt countries, I think it's a "bad bet."

Even in a high inflation scenario, which is the likely result, there are better investments out there.
 
JS80 said:
Gold only functions as a currency and had functioned as a currency in human history when there was society to back it. If shit hits the fan, aka society breaks down, gold will be worthless because people will only care about food, water, and guns & bullets.

The time to "buy" gold is when society has collapsed, and you have enough goods to barter for gold. You accumulate all your gold so that when society is back, your shiny metal will now be worth something.

To buy metals for SHTF scenario is quite stupid IMO.

Now a true investor case for gold is if the US heads down the path of money creation without being able to unwind it, and the world demands that the US revalue its currency with a partial gold backed dollar, then gold can shoot up to $30,000+. However, considering that this hasn't ever occurred in recent history with other bankrupt countries, I think it's a "bad bet."

Even in a high inflation scenario, which is the likely result, there are better investments out there.
Click to expand...

This. Gold and silver are not going to help you much if theres an apocalypse. But if we went through something like the great depression (or even worse) if you had your wealth in metals when you come out you will be better off.

Will guns and food help more if disaster strikes? Yes.

Guns + food + gold is my choice.
 
Last edited:
matt0611 said:
This. Gold and silver are not going to help you much if theres an apocalypse. But if we went through something like the great depression (or even worse) if you had your wealth in metals when you come out you will be better off.

Will guns and food help more if disaster strikes? Yes.

Guns + food + gold is my choice.
Click to expand...

Diamonds worked a lot better for jews escaping nazi germany. Gold bricks aren't exactly portable relative to precious stones.

Guns and twinkies for the win.
 
JS80 said:
Even in a high inflation scenario, which is the likely result, there are better investments out there.
Click to expand...

Agreed. PM's aren't really an investment anyway. It's for people who aren't looking to invest, but looking for a storage of value until the storm clears. SHTF scenario not needed.

BTW, silver has been outperforming gold, and IMHO, is still undervalued compared to gold.
 
What will be even funnier, is all these people buying paper saying they own some gold that they don't physically have. What will happen when everything comes crashing down, do you think someone is going to bring this gold to you?
 
IBMer said:
What will be even funnier, is all these people buying paper saying they own some gold that they don't physically have. What will happen when everything comes crashing down, do you think someone is going to bring this gold to you?
Click to expand...

Like a lill' crinkly piece of arse paper!
 
matt0611 said:
This. Gold and silver are not going to help you much if theres an apocalypse. But if we went through something like the great depression (or even worse) if you had your wealth in metals when you come out you will be better off.

Will guns and food help more if disaster strikes? Yes.

Guns + food + gold is my choice.
Click to expand...

If you make bullets out of the silver- you can repel the lycans at night time and use garlic for the vampires, unless they are hot bitch vampires!
 
If the world doesn't collapse gold really isn't that good of an investment. Gold is a collectible so you pay extra when you sell gold even if it is GLD the gold ETF. And if the world does collapse then "Learning to shoot and grow your own food" > gold.

You can feel the bubble approaching. We got gold ATMs coming out, constant gold talk on the radio and TV. But with all bubbles they are impossible to predict so it wouldn't surprise me to see 2-3 years more before it pops. In the meantime I have far better investments than gold in trusty dividend stocks that have outperformed gold by huge amounts over the past 20 years.

I can shoot pretty well and own a rifle just in case the SHTF scenario comes through 🙂 However, I'm not a farmer so...
 
halik said:
Diamonds worked a lot better for jews escaping nazi germany. Gold bricks aren't exactly portable relative to precious stones.

Guns and twinkies for the win.
Click to expand...

Damn, twinkies and beef jerky. Just need a nuclear war and a bomb shelter and some naked chics.
 
Op is this all just talk or did you buy gold back when you made your prediction? Did you sell it today or do you think it's going to keep going up until the world economy collapses?
 
Just a reminder that countries that got out of the great depression the fastest were the ones who went off the gold standard the quickest. Libertarians literally want to bring the US to financial ruin:

Ben Bernanke and Harold James, in a paper called "The Gold Standard, Deflation, and Financial Crisis in the Great Depression: An International Comparison" published in 1991 (NBER working paper version here), noted that 13 other countries besides the U.K. had decided to abandon their currencies' gold parity in 1931. Bernanke and James' data for the average growth rate of industrial production for these countries (plotted in the top panel above) was positive in every year from 1932 on. Countries that stayed on gold, by contrast, experienced an average output decline of 15% in 1932. The U.S. abandoned gold in 1933, after which its dramatic recovery immediately began. The same happened after Italy dropped the gold standard in 1934, and for Belgium when it went off in 1935. On the other hand, the three countries that stuck with gold through 1936 (France, Netherlands, and Poland) saw a 6% drop in industrial production in 1935, while the rest of the world was experiencing solid growth.

A gold standard only works when everybody believes in the overall fiscal and monetary responsibility of the major world governments and the relative price of gold is fairly stable. And yet a lack of such faith was the precise reason the world returned to gold in the late 1920's and the reason many argue for a return to gold today. Saying you're on a gold standard does not suddenly make you credible. But it does set you up for some ferocious problems if people still doubt whether you've set your house in order.
Click to expand...

http://www.econbrowser.com/archives/2005/12/the_gold_standa.html

Whatever negative feelings you have to paper money, GOLD IS MUCH MUCH WORSE.
 
You must log in or register to reply here.

TRENDING THREADS

Back
Top