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Posted: 8/10/2011 4:54:20 PM EDT
Considering how the current economy is going, is it too late to hop on the gold train? I notice that silver is staying relatively stable but gold is going gang busters. I assume this is because the big money pouring out of wall street is going into gold, and ignoring the poor man's pm's.

I've got a couple thou laying around in cash and was thinking of parking it somewhere. I still intend to keep a sizable emergency fund in $20 frn's in case it really gets that bad.

Thoughts?

Link Posted: 8/10/2011 5:11:33 PM EDT
I am not sure . 2 -3 of the guys like Bloomberg and wsj think it is headed to $2K , I was gonna sell some yesterday and i waited it keeps going up.
Link Posted: 8/10/2011 5:12:40 PM EDT
I'd keep the cash. Gold will go up a little more, but it is very important to keep at least a few K in cash.
Link Posted: 8/10/2011 5:13:25 PM EDT
A couple thosand is only gona get you a couple gold coins anyway, not to mention if your looking to invest you buy low not high.

If your looking for a small cache of comodity currency to us for barter incase of TEOTWAWKI scenario go with silver. Reason one is kinda hard making chhange in that enviroment from gold and reason 2 is though silver is up its alot cheaper then gold and you will get a larger sum to use as barter.

And as a final noet i suggest pre65 us coins ie Doller coins and quarters with some dimes. stay away from nickles as some has silver but a lessor amount and some dont.

Just my humble opinion, yours may varry. yada yada yada. Good Luck.
Link Posted: 8/10/2011 5:13:34 PM EDT
I'm gonna say you are late to the game. At nearly $1800/ounce today, I'd at least wait for the all the emotion on wall street to settle and let it fall 10% or so. Use metals for preservation, not gain.

IMO, with cash in hand, there are a ton of bargain stocks right now. I bought both F and GE in the last few days. But this is coming from someone already knee deep in metals..

Don't write off oil either, it is damn cheap right now.
Link Posted: 8/10/2011 5:23:59 PM EDT
[Last Edit: 8/10/2011 5:24:36 PM EDT by Fra_Tra]
I fear it's in a bubble like real estate was a few years ago. IF (and that's a big if) the economy turns around there will be a huge correction. But what do I know I'm poor.
Link Posted: 8/10/2011 5:24:20 PM EDT
I would buy silver before I bought gold at this price point as well . I think there is more upside in silver
Link Posted: 8/10/2011 5:48:48 PM EDT
you're on the titanic, do you wear the blue suit or the black suit.

gold and silver will help (if you have a lot) a few coins will buy you something, "some things", but unless you have a years salary in gold or silver what are you going to do with a few coins?

buy a "what"? generator? you should already have that.

a few meals? you should already have a years worth of food.

a medical expense? well that's one, what about the next one, or the next?

a car part? hows the price of fuel? is there fuel to buy?

what are you going to do with just a few coins?

you could use a few coins to leave the country, if you have work and someone to help you in the next country.

what are you going to do with a few coins? either have a lot or none at all, use your money for tangible goods if your this late to the party.

those that have gold should have listened to us back in 2004, now, don't bother.
Link Posted: 8/10/2011 5:53:29 PM EDT
It appears that several central banks of foreign governments are currently buying gold or have announced plans to do so. They obviously can't buy all that they want all at once or they spike the price up and make it more expensive for themselves. Ergo, they are going to be buying some for an extended period of time and the price they pay is largely irrelevant since they are buying gold for reserve purposes. Silver doesn't have that kind of deep-pocketed central bank kind of demand. There is, however, ridiculous demand from the various .gov mints around the world, including the US Mint. Sales of Silver Eagles at the US Mint this year are running far above last year's record pace. There is almost as much silver in dollar value being sold as gold at the mints, even with the huge disparity in price. That's saying something since industrial demand (the other big using community) isn't robust because the economy is sucking wind right now.

I found this video to be a pretty good summation of the recent PM situation.

In summary, "late" is relative. My belief is that one should be buying silver and gold on a regular basis as both a hedge against severe inflation and as a potential store of wealth (gold) or replacement currency (silver) in the case of SHTF. I'm not sure I'd look at it as an "investment" per se, even though both have done pretty well over the last 3 years. I'm still buying silver but with gold being (now) $1800+/oz, I'm finding it harder and harder to continue to buy, kinda like when gas clicked over $4/gal. You know you should (or have to), but it doesn't feel very good...
Link Posted: 8/10/2011 6:00:32 PM EDT
Buy ammo, canned foods, things that hold real value...in SHTF gold bricks will be used to break into store windows for food
Link Posted: 8/10/2011 6:02:11 PM EDT
Originally Posted By Recusance:
you're on the titanic, do you wear the blue suit or the black suit.

gold and silver will help (if you have a lot) a few coins will buy you something, "some things", but unless you have a years salary in gold or silver what are you going to do with a few coins?

buy a "what"? generator? you should already have that.

a few meals? you should already have a years worth of food.

a medical expense? well that's one, what about the next one, or the next?

a car part? hows the price of fuel? is there fuel to buy?

what are you going to do with just a few coins?

you could use a few coins to leave the country, if you have work and someone to help you in the next country.

what are you going to do with a few coins? either have a lot or none at all, use your money for tangible goods if your this late to the party.

those that have gold should have listened to us back in 2004, now, don't bother.


Correct, invest a few thousand in copper and lead. A few bullets is a fair trade for a can of beans.

Link Posted: 8/10/2011 6:10:03 PM EDT
Originally Posted By AeroScout23:
Originally Posted By Recusance:
you're on the titanic, do you wear the blue suit or the black suit.

gold and silver will help (if you have a lot) a few coins will buy you something, "some things", but unless you have a years salary in gold or silver what are you going to do with a few coins?

buy a "what"? generator? you should already have that.

a few meals? you should already have a years worth of food.

a medical expense? well that's one, what about the next one, or the next?

a car part? hows the price of fuel? is there fuel to buy?

what are you going to do with just a few coins?

you could use a few coins to leave the country, if you have work and someone to help you in the next country.

what are you going to do with a few coins? either have a lot or none at all, use your money for tangible goods if your this late to the party.

those that have gold should have listened to us back in 2004, now, don't bother.


Correct, invest a few thousand in copper and lead. A few bullets is a fair trade for a can of beans.



I'm not comfortable arming my competitors. my bullets are my bullets, get your own.

I will trade some whiskey or stale cigarettes for your beans or fuel. better they are useless drunk or weak lungs. that makes for weak competition.
Link Posted: 8/10/2011 6:18:20 PM EDT
Originally Posted By cobra-ak:
Buy ammo, canned foods, things that hold real value...in SHTF gold bricks will be used to break into store windows for food


My sentiments exactly. If you are looking to make money...sure buy some and sell for a profit. If you want it for bartering...I have never understood that concept. In a truly dire situation ...food..guns...bullets. gold has zero value. Trouble me
Link Posted: 8/10/2011 6:45:02 PM EDT

Peter Shiff remarks on gold ( jump in, it's not too late as the dollar will continue to substantially devalue ) - 10 Aug 2011

http://www.youtube.com/watch?v=pYs1rAZZtE8&feature=player_embedded
Link Posted: 8/10/2011 6:47:47 PM EDT
Well some of you may not like him, but Glenn Beck said it best that gold is the threshold of insanity. So it things get so bad that our dollar goes up in smoke. Your going to be able to use all kinds of things for currency. Food, fuel, bullets, booze, tools you name it. I can't afford gold, but I am stocked up on preps.
Link Posted: 8/10/2011 6:58:31 PM EDT
I'm pretty well off in copper, lead and brass, as well as the means to project said metals a considerable distance both quickly and quietly.
I am also pretty well stocked in medical supplies (based on my abilities in first aid)
I currently have a couple thou in silver eagles also. I have a few 1/10th oz pieces already. I don't really intend for the gold to be for barter or investment, but more if a safe haven to park a little cash into.
IF I do decide on plunging into gold, is it wiser to stick with the 1/10th oz coins in the case I do have to cash out, I stay under the $600 limit for tax reporting that will be imposed on us next year, even though the premium on those coins are roughly triple than the 1oz coins?
I just don't want to step on my dick here......
Thank you much for the replies.
Link Posted: 8/10/2011 7:07:42 PM EDT
Originally Posted By TheSentinel:
I'm pretty well off in copper, lead and brass, as well as the means to project said metals a considerable distance both quickly and quietly.
I am also pretty well stocked in medical supplies (based on my abilities in first aid)
I currently have a couple thou in silver eagles also. I have a few 1/10th oz pieces already. I don't really intend for the gold to be for barter or investment, but more if a safe haven to park a little cash into.
IF I do decide on plunging into gold, is it IS wiser to stick with the 1/10th oz coins in the case I do have to cash out, I stay under the $600 limit for tax reporting that will be imposed on us next year, even though the premium on those coins are roughly triple than the 1oz coins?
I just don't want to step on my dick here......
Thank you much for the replies.


Fixed and Yes...

OT; love Your avatar, Eddie's da man.

Link Posted: 8/10/2011 7:14:00 PM EDT
food, water, shelter

ammo , medical supplies

I would take sliver and gold over cash any day

goldman sacks thinks that gold will be $2300- $2500 oz by jan

I bought in at $1200 a oz folks at work said I was crazy.

Link Posted: 8/10/2011 7:31:44 PM EDT
My first vote- by other stuff you need more

If you're gonna buy gold, I would wait for a pullback.
Link Posted: 8/10/2011 7:33:37 PM EDT
piece of land you might want instead?
Link Posted: 8/10/2011 9:20:17 PM EDT
[Last Edit: 8/10/2011 9:24:33 PM EDT by troy808]
gold has always been a store of wealth.
many of the big bucks are doing this now -
these elements have wealth that need protecting.

I suspect a correction at some point - this is always normal.
saying that, I don't think that it will go below 1600 for very long,
but I am certain that gold will definitely continue on it's upward trend for quite some time.

or, you can trade gold for silver now while you can.
YMMV



we are all going to be eating a double-shit sammich.
might as well get some XL fries with that order and open wide



also, make sure that your preps are in order.
(eta) I am gonna Blitzkrieg Costco this week
Link Posted: 8/10/2011 10:27:03 PM EDT
i'd read some of the comments from today's Gold News from Kitco

http://www.kitco.com/reports/KitcoNews20110810ASDC_gold.html

Gold might still be a viable investment, but I think Silver has a better chance at increase - especially if it can maintain a day or two above the $40 level
for some odd reason - $40 seems to be a resistance level and every time that silver hits above $40, it always seems to drop right away.

Take my advice with a grain of salt - I was very lucky to have held gold and silver that I bought in the 90's and still have been wishing that I had bought more and had not sold off some of that back in early 2005
Link Posted: 8/11/2011 4:19:52 AM EDT
Nothing works with the Gestapo like gold.

Wait 2 weeks, then buy some.

Then wait untill October and buy more.

(Those were hints...)
Link Posted: 8/11/2011 4:37:34 AM EDT
Originally Posted By TheSentinel:
Considering how the current economy is going, is it too late to hop on the gold train? I notice that silver is staying relatively stable but gold is going gang busters. I assume this is because the big money pouring out of wall street is going into gold, and ignoring the poor man's pm's.

I've got a couple thou laying around in cash and was thinking of parking it somewhere. I still intend to keep a sizable emergency fund in $20 frn's in case it really gets that bad.

Thoughts?



I'd keep a month worth of expenses in cash. I dont think its too late to get into gold, it will keep going up .

FerFAL
Link Posted: 8/11/2011 5:44:45 AM EDT
no one can really answer this question with any authority. it's anyone's guess. But 99% of the people will certainly venture a guess as long as it's your money. LOL.
Link Posted: 8/11/2011 5:46:18 AM EDT
Originally Posted By whiskerz:
I would buy silver before I bought gold at this price point as well . I think there is more upside in silver


is there more upside in silver because of gold? or is there more downside in gold because of silver?

Link Posted: 8/11/2011 6:08:55 AM EDT
only people getting in gold now are the sheep who will be soon sheared.
Link Posted: 8/11/2011 6:15:45 AM EDT
Originally Posted By readyornot:
I'd keep the cash. Gold will go up a little more, but it is very important to keep at least a few K in cash.


BullShit!!!!

I use to keep enough cash for an emergency on hand. But I can sell by gold for spot or 5% over in 30 minutes from my home should I need cash...

If I had left say 3 grand in my checking account over the last year rather than say buying 2 ounces of Au I would have lost HOW MUCH MONEY....Quick think fast 600-800? I retained this buying power to pay for the increased cost of food gas, preps.

Don't be a STUPID FOOL Protect your assets!!!!!!!!!!!!!! Thats what prepping is about allso........

It's never to late to buy precious medals as long as the world is going to HELL IN A HAND BASKET!!!!!!!!

Link Posted: 8/11/2011 7:01:19 AM EDT
precious metal boom. when everyone talks about massive gains in any market, massive correction is soon to follow.

To me, gold was a place to securely sink money. It is a protection vehicle against inflation. Now it is being treated as an investment to make gains. Once the gains have been skimmed off the top, it will bust.

OR

Gold actually is protecting against inflation and the US dollar is correcting right now. Goods and services are soon to follow. If that is the case, our currency will have all but collapsed.
Link Posted: 8/11/2011 9:25:11 AM EDT
Considering that ammo prices are down by 25-50% depending on caliber-I'd go that route. I sold 1k of M855 after Obummer was elected for about $500. Just saw a deal on 1k of it for under $300 shipped.
Link Posted: 8/11/2011 12:07:54 PM EDT
[Last Edit: 8/11/2011 12:10:39 PM EDT by kaiserworks]
Originally Posted By cobra-ak:
Buy ammo, canned foods, things that hold real value...in SHTF gold bricks will be used to break into store windows for food


YAWN... On SF, I'm sure most are on board with your recommendation and should regularly be stocking away consumables, but let get real here! We are more likely to see a continued slow decline, intermingled with some steep dives. We are very UNLIKELY to see a complete zombie apocalypse. Under continued slow decline, YOU ARE WISE TO HAVE A STORE OF WEALTH that is easily exchangeable. Silver and gold are logical choices, having a few thousand cash on hand won't hurt either.

NOW is the time to start lining up like minded business owners in your area that are "awake". As an example, my mechanic will accept silver as will my local butcher when the dollar self destructs.

Tip: you are more likely to find people who are "awake" in your AO who have been burned before, ie immigrant communities. My AO is heavy in Chaldeans and South Vietnamese. Barter with PM's is second nature to them, even when times are good.

I base my opinion on Ferfals experiences in the economic collapse in Argentina as well as other historical examples from the past 200 years.
Link Posted: 8/11/2011 5:56:12 PM EDT
Just based on the totality of the circumstances we face today, I think diving into gold right now is a move I would avoid, unless you are way overstocked in the primary preps...bullets, beans, etc. and the supporting stuff.
Personally, ramping up the other preps makes more sense to me right now.
There may still be some upside in gold, but I think we are in for a roller coaster ride of ups and downs in the markets, including metals, until the election in 2012.
i like roller coasters, but not that kind.
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