Optimism and Gold in my lifetime

Poker_Star
Poker_Star

Is it even possible for gold to see significant gains without some kind of apocalypse situation? Or some threat of the world ending.

Maybe $2,000 or $2,500 /oz

Other urls found in this thread:

inflationdata.com/Inflation/Inflation_Rate/Gold_Inflation.asp
redorbit.com/news/space/1112523850/asteroid-mining-venture-could-change-supplydemand-ratio-on-earth/

RavySnake
RavySnake

The rest of the world would have to get its shit together.

LuckyDusty
LuckyDusty

gold can increase in value tenfold if it becomes reserve currency again.

probably won't happen for this very reason.

BinaryMan
BinaryMan

Gold will see big increases over the next few years when the next global recession hits - this time debt levels far exceed anything we've seen before, there will be currency crises worldwide (arguably there already are) and thus a rush to actual physical, tangible assets.

Gold has been seen as money for over 5000 years, so it's only natural that people will rush to this (as well as Silver) first as fiat currencies start to really lose value quickly.

Also if the rumours of the Chinese buying up vast quantities of Gold to eventually back their currency with it are true (it's not such a far-fetched idea), then Gold will go through the roof.

PurpleCharger
PurpleCharger

Gold has been good for trading recently due to fucking crazy volatility(almost monthly games of rate hike chicken). Some suspect that were at the beginning of a rally due to market uncertainty because of Trump, but that's all speculation. Here's the deal with Gold. Long term, I'm talking YEARS not MONTHS, gold will only increase in value. How much will it increase and at what rate? Nobody fucking knows. Precious metals shouldn't really be looked at as investments in the traditional sense. Look at them as more of a way to hedge against inflation and preserve your wealth. Then again, we don't live in traditional times. I would personally recommend EVERYONE have some gold, but if you want to "invest" in gold that's up to you. Just don't expect any crazy ROI for a while....... unless some crazy shit happens. Which seems all the more likely with each passing day.

t. gold trader

Stupidasole
Stupidasole

Also if the rumours of the Chinese buying up vast quantities of Gold to eventually back their currency with it are true (it's not such a far-fetched idea), then Gold will go through the roof.
they are not necessarily buying it up to keep it. they are buying it up to weaken the yuan. same as us bonds. except they can fuck the usa in a multitude of ways with this new scheme.

sell oil for yuan
buy gold for yuan on shanghai exchange
china buys gold on western markets for less then it sells
this weakens the yuan which is good for exports but fucks the usd profoundly.

or something like this my understanding is still fuzzy on the details.

New_Cliche
New_Cliche

no, not really. The price would probably go down.

You would need sustained inflationary pressures, massive increase in demand of most goods and services, specifically energy and a decline in mining.

iluvmen
iluvmen

what about asteroid mining? is it a meme?

hairygrape
hairygrape

One could argue that the chinese buying up all the gold they can get will lower the price of gold. Since 1 party controls it all you lose faith in it.

StrangeWizard
StrangeWizard

you don't need all that a loud fart can scare investors to drop everything and start hoarding gold.

Flameblow
Flameblow

An inflationary cycle is in progress so $3,500 is a reasonable 15 year high estimate.

Illusionz
Illusionz

Theres actually a company working towards asteroid mining. It will probably happen, but being able to do it efficiently is so far off you don't even need to worry about it. Consider:

1. You would need that turd to be damn close.

2. You'd need to have advance warning of it, enough to plan your mission. Even on decent size rocks, we're often catching them mere days or weeks ahead of proximity.

3. You need a rocket to launch your craft, or have one with a crew you keep in ready earth orbit. EXPENSIVE either way.

4. You need a system and process to land on, survey, and extract from the asteroid. Then, you need to get that back to Earth, whether you opt to land bulk ore or figure out refining in place for a smaller return package.

5. You either need to use more rockets to stop that fucker and bring it to orbit, or figure out a way to land it on Earth for processing if it's small enough, which opens its own can of worms.

So it will happen, but not any time soon.

Back on topic: I own a couple grand, roughly, worth of silver. Will soon buy more and plan to accumulate gold probably in 1/4 and 1/2 ounce units. If I recall, JM Bullion had the best margins and shipping, but I may be off. Avoid pawn shops they will rip your ass off most of the time.

It's such a benign investment most of the time that it's harmless at worst, and a good hedge at best. There's not many arguments against putting a few bucks in to it. Just don't expect a moon mission next month or the month after that. Your gains will come from:

1. Economic crises
2. Slow price growth
3. Big impact events, like future iterations of US Gov't hammering miners with environmental restrictions.

#3 is a large motivator for me to buy both bullion and OIL ETNs; due to demographics this WILL happen sooner or later, and when it does I want the event itself to catalyze my escape from having to live in this madhouse. Away I go on my sailboat, rent our house, and hopefully we have a plot in Panama by then.

Fuzzy_Logic
Fuzzy_Logic

2. You'd need to have advance warning of it, enough to plan your mission. Even on decent size rocks, we're often catching them mere days or weeks ahead of proximity.

They don't plan to catch random rocks coming close to earth. They plan to actually go out there and bring them closer themselves. That way they only grab rocks actually containing precious ores.

Booteefool
Booteefool

Mr. gold trader.

Can you explain what the purpose of buying minted gold coins vs buying a blob of pure gold is?

TY sir.

haveahappyday
haveahappyday

Pros.
It's more easily recognizable and tradable,due to it having standard sizes and weights easy to compare,and has a reputation of its own being backed by some centra bank,also counterfeiting gold and counterfeiting legal tender it's a different kind of punishment.
you also pay (and when selling get) some premium

Blob of gold. ..you pay by the weight so cheaper ,usually they are bigger so more difficult to sell,also needs careful testing not just surface scratching.

Probably other reasons as well but those are the main ones I can think of

kizzmybutt
kizzmybutt

Not that user, but the reason people buy coins is because of credibility. Say you buy a random blob of gold. How much of it is actually gold? If so, what %(karat)? Is it actually even gold at all? Where did this gold come from? When you buy coins you immediately know when they were made, who minted them, and how much gold they are in weight and what karat of gold they are. Also, what do you think is easier to handle and store. A bunch of heavy as shit gold bars, or a bunch of 40 millimeter coins?

Techpill
Techpill

most gold coins are too small and also intricate to make good forgeries of. easier to drill out and hide tungsten in bigger bars.

basically what a coin is is a certain quantity of metal with a stamp authenticating it. this made scales redundant commerce and accounting faster and easier.

modern coins are very hard to forge the chink copies are usually way off a practiced eye can tell at a glance.

MPmaster
MPmaster

physical gold as an investment is a long term hold

this means you hold it for years to shield some of your assets from the global shit show

you are not likely to make much profit as it does not gain, its a lump of metal. but you also wont lose anything the longer you hold

Playboyize
Playboyize

inflationdata.com/Inflation/Inflation_Rate/Gold_Inflation.asp
too bad it doesn't keep up with inflation short medium term. too bad it's twice overpriced inflation adjusted historically should be around $500. i'm not even sure if buying gold at these prices does not constitute insanity.

TalkBomber
TalkBomber

on the other hand gold was priced in as $500 when the population was 7th of the current...
so maybe $3500 would be more realistic price today. i just can't make up my mind every chart tells a different tale.

VisualMaster
VisualMaster

and on the other hand a linearly growing production rate of gold means the supplies grow at a parabolic rate same as population did kinda in the 20th century.

so what the fuck is the comparable price of gold today to say 1900? i just can't...

Flameblow
Flameblow

If asteroid mining actually becomes widespread gold and all precious metals will crash

Aluminum used to be worth more than gold and now we use it for cans, that's fucking technology man

RumChicken
RumChicken

What value does some metal tucked away under the mattress create? Leave gold those who go "Ooooh, shiny!".

VisualMaster
VisualMaster

to*

whereismyname
whereismyname

Well even in an apocalypse/disaster scenario gold will be useless. Can you eat it? Nope. Can you shoot it? Nope. Nobody is going to trade their precious resources for useless shiny metal.

SomethingNew
SomethingNew

Aluminum was more abundant than gold it was a matter of extraction methods,gold won't crash,at most it would float on the margin of benefit of actually going to pick asteroids rich enough (and mind you it ain't common in space either)and extracting it so even if we had the tech, the cost of asteroid mining would give it a good cushion to land on

iluvmen
iluvmen

it ain't common in space
wrong
gold won't crash
redorbit.com/news/space/1112523850/asteroid-mining-venture-could-change-supplydemand-ratio-on-earth/

BlogWobbles
BlogWobbles

Gold is extremely rare even in space. It's only formed in conditions volatile enough to make black holes. weird stuff man

kizzmybutt
kizzmybutt

But having currency backed by gold is excellent for any country that has industrial production. It would be a bit exploitative by the Chinese, but it would give them some very nice benefits

Playboyize
Playboyize

there isn't enough gold mined in the whole world to back the currency of even a tiny country. We don't even have enough gold to cover the economy of one US state last time I checked.

BlogWobbles
BlogWobbles

gold
2k17
eeh

Harmless_Venom
Harmless_Venom

gold will go below 1000 because of the strong dollar.

Sharpcharm
Sharpcharm

Is it possible that a potential Q4 targets GOLD & other PMs instead of bonds\stockmarkets?

What if CBs start using fresh new money to hoard gold?

Why nobody sees this nightmare as a possibility?

Evilember
Evilember

it only has value if civilization is making a comeback or it's never lost. if there is no commerce then gold has no value. however barter is awfully inconvenient that is why we moved away from it long long ago. and what would you use in a post apoc world with no issuing authority?

massdebater
massdebater

foolish comment. Theres always enough, the price just goes higher. Stay poor with this remedial level understanding of economics.

Snarelure
Snarelure

you mean to cover the debt bubble driven stock market and real estate prices or to cover the real economy?

Skullbone
Skullbone

the gold is still $500 as far as gold reserves are concerned. the market is fickle but the total gold on exchanges is less than 1% of total gold above ground if i remember correctly. so you push 3% onto the exchanges and see what happens to the price!

BinaryMan
BinaryMan

of course it's possible.
i have a couple of hundred silver coins, as a safety measure.

let me tell you a story.

my grandmother comes from a big farm, so when she got married, her father gave her quite a lot of money. there was a war on at the time (wwii) and at the end of the war, the italian lira lost all value (we're not italians, but were ocuppied by the fuckers). in 1942 she could have bought an entire farm with that money, but when the war ended and lira went tumbling down, she bought a pair of shoes with the same amount (otoh, she said those were some pretty shoes, so it wasn't all bad).
if she bought some gold or silver (or a fucking farm), she wouldn't have lost it all.

what does my little story tell you?
1. farmers are not good with money
2. you can get a nice pair of shoes even in a war torn country
3. buy gold

Spazyfool
Spazyfool

But having currency backed by gold is excellent for any country that has industrial production. It would be a bit exploitative by the Chinese, but it would give them some very nice benefits
They won't do that by themselves, Shanghai would receive a surplus killing export boycott.

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