huskerbob

Will Big Money Interest Propel Gold over Its Final Hurdle?

I guess I have trouble understanding why people buy equities. When was the last time you used share certificates to buy groceries. Boy, if the apocalypse comes they will be worthless because you can't eat eat them.
If you don't understand the value of gold, you may be wondering why central banks hold so much of it. You may be suprised to find that phrases like "gold standard" are not in the least bit arbitrary. You may want to do some research and discover why gold has more intrinsic value than, say, tin. Maybe do some further research into what money is and why the dollar has declined by 95% since we ended the "gold standard".
Aren't you in any way curious about what's happen to the global economy right now? Gold is an intrinsic part of the story of how we have reached this point. Do yourself a favor and spend the effort it would take to learn a little bit about those gold and dollars you use every day.
"It will be interesting to see what happens" if you educate yourself a little bit.

How the U.S. Financial Crisis Resembles Japan’s 'Lost Decade' - And How to Play It, Part II

Puddle Jumping- Gold is not money? Maybe you should read the constitution. The U.S. of A. still mints gold and silver coins. If you haven't noticed, these are much more effective as a store of value (one of the traditional definitions of money) than our federal reserve notes. You can fill your gas tank with the same number of silver coins as you could 10 years ago. Try doing that with federal reserve notes!
The author's recommendations seem to make sense: gold as an inflation hedge and investment, and try to find investments which will grow along with the economies in other parts of the world, as the U.S. economy could be stagnant for some time.
Is that fear mongering or prudent advice? As we have finished with the biggest economic boom and longest bull run in our history, is it fear mongering to believe that we may have a lengthy cooling-off period?
Hasn't consumer spending been the engine of our economy? What are consumers going to spend now that credit is contracting, and with our savings rate less than zero?
As for gold, about 1.5% of investment dollars are in gold right now. At the height of the ugliness in the late 70's, gold had captured closer to 25% of investment dollars. This could happen again because people recognize gold as a store of value, the definition of money.