frdm45

Porter Stansberry: Gold 'Nowhere Near the Top'

On Dec 20 08:17 PM ManAboutDallas wrote:

> Watch for China to undertake an experiment in a gold-backed currency
> by using their gold, newly returned to Hong Kong from the United
> Kingdom, as backing for the Hong Kong Dollar. It'll be an experiment,
> a "stalking horse" if you will, in preparation for backing the Yuan
> itself with gold.
>
> Hasn't anyone asked themselves WHY China has kept the Hong Kong Dollar
> alive all these years after they got Hong Kong, itself, back?

I agree that China will play a significant role in what direction gold and silver take in the next decade. But from what I read the amount of gold returned to Hong Kong from the UK was only small in terms of central bank holdings, like 3 or 5 tons? Is this enough to back the currency of HK? But again, I do agree, by getting all its citizens to buy gold and silver, over the long term (20 to 50 years, which is the timeline on which the chinese think), will facilitate the hard asset backing of their currency and help turn it eventually into the next world reserve currency. Sad but true.

Porter Stansberry: Gold 'Nowhere Near the Top'

On Dec 20 05:19 PM wakeup_call wrote:

> The questions should be asked "what gives gold value?". As far as
> I am concerned, they are only good for making jewelry at this point.
> The gold standard is a thing of the past and paper money is taking
> place as the medium of exchange. Why would gold be worth anything
> now if not for that it looks pretty. Ant what about the comment that
> all other countries are buying gold like crazy, is that really happening?
> I would be careful if some investment advisor tells me to buy something
> because everyone is expecting to buy it and that is why the price
> will increase. Also, finally, I think all interviews with investment
> institutions should disclose the institutions' position in the particular
> securities or commodities they are commenting on. Otherwise, who
> would know the institution is not engaged in a pump and dump scheme.

This post has so many holes in it, I'm sure other posters can help take it apart, where to start...............

So, fiat, paper money has intrinsic value? Gold has been accepted as a medium of exchange for 6000 yrs, and the US dollar? Anyway, no one is saying we are going to get rid of paper, it is just that in the future the paper we have will be tied to a fixed amount of gold and/or silver. That is the definition of a gold standard or bimetallic standard.

The author goes out of his way to say he "DOESN'T" recommend gold stocks, and there is full disclosure at the bottom of the article, the author only recommends bullion, so HTF can you pump and dump a commodity unless you have a few billion? Did you even read this article?

The poster "wake-up call" is really Jon Nadler who came up with this anonymous handle just to make this post?

Charts and Dollar Explain Silver's Pullback

Some say that if we have a sharp sell-off in the market, or if we enter deflation, the leveraged paper gold and silver products, especially the gold and silver etf's and futures (and mining shares but not as much), will sell off sharply (due to the need to reduce leverage), while holders of bullion, most of whom own it outright, will hold on to it. I'm wondering if it's possible with this scenario to see a big divergence in the prices of the physical bullion and the paper bullion substitutes.

Does anyone think this is possible?

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Are Silver ETFs a Better Investment than Gold?

Is SLV unaudited like GLD?

I personally feel more comfortable actually holding large quantities of silver at home as opposed to gold, where I know unequivocally its location, how much is there, and who owns it.

For larger exposure in amounts that may preclude home storage I would feel more comfortable in shares of micro cap or junior silver mining companies; as I've mentioned before, RVM, tsx, still less than half of book value.

Silver Topping Out?

Everybody take physical delivery of their Ag!

Smart Money Is in Precious Metals, But a Local Top Is Close

Why does this author talk about gold and silver tops in almost every single article? And he seems to take the same "on the fence stance" in each one as well, with each title sounding very ominous. I'm not trying to be disrespectful, just calling them as I see them. TAKE A STAND!

Gold Bears Stop Sector from Overheating

On Nov 24 02:48 PM LR European wrote:

> Well presented and thorough. Thank you. Perhaps my only quibble comes
> towards the end of your article when you ask the question:
>
> "How long will it take the 1.3 billion gold-starved consumers of
> China to buy their fill? Perhaps the better way to phrase the question
> is: how many thousands of tons of gold will it take to satisfy this
> bloc representing more than 20% of our entire population?"
>
> As I am sure you are aware, the vast majority of that 1.3 billion
> struggle to afford basic sustenance and have little hope of feeding
> their gold hunger.
>
> Nevertheless, within that massive group is a tiny percentage of many
> tens of millions of Chinese who can and do afford to invest and are
> certainly helping on the demand side of the equation. So your argument
> was right, but the quantum was just a wee bit over-exuberant. ;-)


Of the roughly 300 million chinese middle class, maybe 50 million could afford an ounce a year, but all the middle class and a portion of the poorer chinese masses will be able to afford and will want to own silver ounces. Silver has been a medium of exchange in china for thousands of years and as I heard someone else put it: THE CHINESE WORD FOR SILVER ALSO MEANS "BANK". Nice association, and what ideas have those wise asians ingrained into thier culture that we haven't?


.

Gold Bears Stop Sector from Overheating

On Nov 24 10:35 AM Johnny Oxygen wrote:

> OK. Admittedly I have a lizard brain but I don't understand this.
>
>
> "Nadler has worked for Kitco (a precious metals web-site) during
> a decade in which gold has quadrupled in price – and yet Nadler never
> states that “now” is a good time to buy gold."
>
> If Nadler is in the precious metals business why would he want to
> play-down the value of PM's? Wouldn't he be saying "Buy! Buy!"<br/>
>
> I don't get it.

I never understood what Nadler's deal was either, the guy isn't stupid, its just obvious he has some agenda, but what? Then I read the following on an SA post and understood a little better:

"One way that Kitco sells gold is through their "Pool Accounts." You give them cash for gold that they claim to keep in storage for you. As gold continues to climb there will come a point in time that many Kitco clients will demand to have their stored gold delivered to them. But will Kitco actually have it? Is there a good reason why Kitco's only gold annalist has been a gold bear all these years? Think about it folks. Does MacDonalds advertise that hamburgers are a bad product to consume? Does Ford warn their prospectve customers that cars are unsafe? Of course not! They are in the business to sell their products, not discourage people from buying. So why do you suppose Kitco pays Nadler to write a daily article on how gold is such a bad investment and highlights his writings in bold each and every day?
Perhaps there is good reason why GATTA awarded Nadler the moron of the year award the past two years in a row. But the truth is that Nadler is not a fool. He just has an agenda. If you can't see that by now then it is not he that is the fool. "

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High Gold Prices: It's the Oil, Stupid

> Another point is that any responsible Iranian Government will certainly
> develop nuclear weapons.

Q: Where is the oxymoron in this sentence?

Pan American Silver vs. the Silver ETF: Which Is the Better Investment?

Great overview of Pan Am's properties, potential, costs, etc. However, they do have some country risk. If you are looking for value, according to 24hgold, Revett Minerals has a similar in-situ value to Pan Am, twice the cash costs of extracting the silver, but 1/100th the share price, with no country risk. According to 24hgold Pan Am is at $4.57 market cap/ounce, and Revett is at $0.09/ounce, though Pan Am does have a good oz/share number - 5.44.

Junior Miners: Poised for Impressive Gains

Hi Jeff from a fellow Canuck,

Great article! I agree, it seems absurd to say these miners could crash when most of them are not far off their lows.

Do you think there may be some pick-up in demand for these shares in the new year when funds are reevaluating what they are holding and looking for the new "it" sector? What other major catalysts do you see spurring this sector, or do we just have to be patient for another two or three years and see gold hold above $1200, $1500?

thanks, keep up the good work!

Traders Betting on 60%+ Rise in Silver

On Nov 19 12:24 PM AtTheMurph wrote:

> $100 of gold costs just as much as $100 of silver.


Please explain the above comment..................

Silver: Use Leverage on the Laggard Metal

A great little silver producer with enormous ounces in the ground currently trading at less than half of book value:

Revett Minerals TSX-V: RVM

Yes, of course I own it. They had some issues but seemed to have overcome the worst of them.

Silver Prices Are About to Fall

Good bull and bear comments for the most part, IMHO. One quote comes to mind:

"It's not pulling back very much. And it's not giving people who haven't yet invested a chance to get in at a lower price.That tends to happen in a bull market; people wait around for a correction, but it never goes down far enough to give people an opportunity to get in at a more favorable price."


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Scary Comex Silver Withdrawals: Will They Continue?

kohalakid - thank you