SeekingTruth

Predicting Oil Prices Through Gold

Apparently, gold at $1000/oz appears cheap to a great many people.
It doesn't to me.
I am not concerned when gold itself has a run up, often times it is just making up for years of torpidity and lanquidity.
I greatly appreciate the industrial uses for gold, and the ornamental uses as well and yes , it does have an appeal for hedges against the risk of default of fiat currencies. But , thus far these factors have affected me directly only nominally, and thus, I do hold nominal amounts of gold thru the Permanent Portfolio fund, and other sources. I will make adjustments when I think they are appropriate.
Such is not the case with OIL, however, a most special commodity. Iit warms my body on cold days and nights, and takes me where I want to go, sheds light on my books, and powers my machinery and computer with great efficiency, and helps fill my stomach with food as every farmer will tell you.
Hence, I place a higher value on OIL, than I do Gold, although gold is certainly appreciated.
Seems to me , it's not a case of either/or, , but a carefully gauged weighting of the two, and there, each individual must devise his own criteria as best he can.