otbricki

Yellow Gold vs. Crude Black Gold: Who's Ready to Rally?

The gold / oil price ratio is at historically high levels. It is much less risky to buy oil right now.

Pengrowth Energy, Gold Miners ETF: Value in Commodities

Gold is too high now IMHO. So as it drops the miners will have to come down even more.

Other commodities though are on my short list, although the historical pattern has been that stocks lead a recovery while commodities track economic recovery.

So we might see equities go up first.

Gold Poised to Move Higher

I don't know when the concept of gold as money will totally die out. But it WILL happen. It is totally archaic and not based on anything but habit and tradition.

On Dec 28 04:04 PM Roger Knights wrote:

> "Sooner or later people are going to realize that value of gold is psychological only"...

Gold Poised to Move Higher

Sorry to disappoint you but my mortgage is paid off. My youngest son just finished college too. Without any student loans.

Regardless of who I voted for, if we have hyperinflation it will be due to the massive debt accumulated due to the Republican concept of 'supply side economics' i.e. cut taxes but spend all you want on foreign military adventures that do nothing to shore up the US economy.

As far as central banks selling gold didn't we just see a lot of that last year? I thought so. Central banks buy and sell gold for political reasons. They don't have investment goals.

On Dec 28 02:12 PM Dollar Bull Sh** wrote:

> gold is a horrible investment....thats why central banks arent selling
> it....its idiots like otbricki that i guarantee a. bought his house
> at the peak and is now in foreclosure b. will be in line receiving
> soup from the government and c. probably voted for mr. hyperinflation
> obama ...good luck guy

Gold Poised to Move Higher

Paper money can also be composted and used to grow food or burned to provide energy.

On Dec 28 02:09 PM ejhickey wrote:

> You could say the same thing about paper money. well maybe our paper
> money does have some other uses- wallpaper, insulation and toilet
> paper substitute

Chart of the Week: Gold

Gold is at record high levels vs other commodities. Nobody cares about mideast tensions while we have an oil glut. Gold is trading in a downward trending channel. The world is in deflation.

And we have gold bugs writing articles how gold is going make a big run to the upside.

Makes sense I guess.

Gold Poised to Move Higher

Let us get this straight. Gold is not an investment. It does not return any income after purchase. It has no intrinsic value since it has no utilitarian value. It costs money to store. One can talk about fundamentals in that it is costing more to produce over time, but since owning it produces no income it truly has the same fundamental value as any other non-productive asset, i.e. zero.

Gold is a hedge against currency value fluctuations. The only reason people buy and sell it because of its historical use as money. There is no other reason that it has any value.

There is a reason that the value of gold drops in a famine. You can't eat it and you can't use it to produce food.

Sooner or later people are going to realize that value of gold is psychological only, and our past obsession with this metal will be regarded as a historical curiosity.

Is It Time to Buy? What History Shows

One thing that peeps forget is that stocks prices are based on anticipation of future earnings. Not current earnings - that is like ancient history. Usually two quarters out future earnings. And we have already been in a recession for a year.

It is time to start accumulating. Dollar cost average.

Is It Time to Buy Gold?

Along with ammo and food, real estate is a damn good idea, for the following reasons:

1. You can grow food on it.
2. Unlike gold they aren't making any more of it.
3. If we are smart we will go back to the idea that only landowners can vote.
4. Lack of portability makes it harder to steal.

These are better attributes than gold.

Is It Time to Buy Gold?

If you think there are going to be riots and food shortages gold is going to be worthless. Look it up, in times of famine gold value plunges because you cannot eat it and nobody is going to sell food.

If you really believe this buy ammo (so you can shoot people holding gold and melt their bullion down for more ammo) and long storage food.

Roger Wiegand: 'Severe Bull Market' Ahead for Gold

There is no reason to buy gold. Other materials with intrinsic utility (platinum, iridium, rare earths) make more sense. IF you think western civilization will collapse to the point where these assets will become useless, then buy ammo and long lived food products. In famines and chaos nobody is going to have any use for gold.

Bob Moriarty: Gold is Safe Haven for Looming Crash

You can't eat gold. If you want a hedge against economic collapse the survivalists have it right.

BUT all this talk is nonsense. We are already seeing higher energy costs bring massive reserves like Canada's oil sands into production. People talk about the inelasticity of oil demand but COMPLETELY ignore the elastic nature of fossil fuel reserves.

There is enough petrocarbon in the ground in North America to supply US energy consumption at current rates for at least 3000 years. You just won't get it for $1 gal equivalent.