Put your money in gold

nEighter · 09-24-2008, 11:10 AM

Our economy is about to tank. Seriously. If they bail those companies out our SM will crash.. as in terminal. I can't believe we are seeing this happen. I say we just wipe the slate clean and start over fresh.. the US owes no one, and all that fucking foreign aide we have given for so many years... it is okay, you don't owe us a thing.. cause we don't owe anything to anyone either.

Quote:

Gold extends biggest bounce in 26 years

Gold climbed for a second day, extending its biggest jump in 26 years, as investors sought a haven from the credit crisis that's sent equity markets tumbling. Silver also rose.

About $US3.6 trillion of market value has been erased from global stocks this week, triggered by the bankruptcy by Lehman Brothers.

In March, gold reached a record as the US steered JPMorgan Chase to buy Bear Stearns. Investors often consider gold a store of value during times of financial uncertainty.

"It's pretty clearly a flight to safety,'' said Toby Hassall, an analyst at Commodity Warrants Australia. Gold may reach $US900 an ounce by week's end, he said. "As long as sentiment continues to worsen, it's likely we'll see upward pressure on gold prices.''

Gold for immediate delivery rose 0.6% to $US868.65 an ounce in Sydney. The metal jumped 11% yesterday, its biggest gain since September 3, 1982. Silver rose 1.7% to $US12.16 an ounce.

Central banks in the Philippines and Venezuela yesterday said they may buy gold.

Gold for immediate delivery has added $US103.15 an ounce this week, while futures are up $US106.

"When you see financial contagion creeping through the system people are not confident and are going to gold,'' said Jonathan Barratt, managing director of Commodity Broking Services in Sydney. "It's perceived to be safer.''

Gold futures for December delivery rose 2.3% to $US870.30 an ounce today in after-hours trading on the Comex Division of the New York Mercantile Exchange. Bullion futures gained 9% yesterday, the biggest gain in 9 years.

Financial 'catastrophe'

''When you're perhaps facing a catastrophe in the US financial market, investors are thinking: 'Screw it. I'm jumping back into the old faithful,''' said Joel Crane, a metals strategist at Deutsche Bank. ''Gold's relative value is cheap compared with the dollar.''

About $US2.8 trillion of market value was erased from global stocks this week as Lehman Brothers filed for bankruptcy, Bank of America purchased Merrill Lynch for $US50 billion, and the US government took control of American International Group in an $US85 billion takeover to prevent the biggest financial collapse ever.

Russia halted stock trading for a second day and poured $US44 billion into its three biggest banks in a bid to halt the worst financial crisis in a decade.

''You're sorting out, by process of elimination, that gold is the asset you'd rather own,'' said Greg Orrell, who manages the OCM Mutual Fund at Orrell Capital Management. ''It's the currency you'd prefer.''

Rates plunge

US Treasury three-month bill rates dropped to the lowest since at least 1954. Investors pushed the rate as low as 0.0304%.

''It's not even worth it to keep money in the bank,'' said John Licata, the chief investment strategist at Blue Phoenix. ''Gold is going to be the beneficiary of a global move toward a safe haven.''

Reserve Primary Fund, the oldest US money-market fund, yesterday became the first in 14 years to expose investors to losses after writing off $US785 million of debt issued by Lehman.

''That's systemically scary,'' said Frank McGhee, the head dealer of Integrated Brokerage Services. ''Unless you put gold in your backyard, you have to trust your money to an institution.''

Gold's gains accelerated after prices topped $US800, analysts said.

''There are going to be more banks that will fail,'' said Matt Zeman, a metals trader at LaSalle Futures. ''This is the time when people want to buy gold.''

London-based researcher GFMS said gold may rise to $US950 by the end of the year as central banks and mining companies hold back sales and investors buy the metal as a haven against falling equities.

Mortgage meltdown

Since the second quarter of 2007, banks worldwide have posted $US517.7 billion in losses and writedowns related to investments in subprime mortgages. The Fed has also engineered $US200 billion in takeovers for Fannie Mae and Freddie Mac, the biggest providers of financing for US homes.

The world's central banks, already the biggest holders of gold, may look to the metal as an alternative reserve asset to the dollar, said Dennis Gartman, an economist and the editor of the Gartman Letter in Suffolk, Virginia. Until today, Gartman had been bearish in his outlook for gold.

Venezuela said it may buy 15 metric tons of gold a year to develop investment products, including coins. At a conference in London, Maria Ramona Gertrudes Santiago, the managing director of the treasury at the Phillipines Central Bank, called gold a ''perfect hedge.''

Sales of gold by European central banks may total 365 metric tons in the year through September 26, below the cap of 500 tons, the World Gold Council said yesterday. That would mark the lowest amount since the banks agreed to sell the metal in 1999. Bloomberg

I remember when gold was roughly 350.00/oz five years ago... now just yesterday it has climbed to $891.20.

That is over an extended period of time but... it has more than doubled. A newssource I read from time to time was saying "invest in gold, the dollar is gunna tank!" that was around the time we were going to invade Iraq. Wish I would have done that shit

**madmatt** · 09-25-2008, 07:23 AM

Now is a TERRIBLE time to invest in gold
unless you think the entire economy is going to crash and we'll have to barter with gold bars, and thats about as likely as politicians telling the truth...

Not to mention, gold is terribly hard to sell/claim your profits, if you want to invest, find a Gold tracking index and buy some shares of that...

900 bucks is a bit high to buy gold to make any good money, IMO, but around 750, Id probably buy some

Dont worry too much nate, itll be a rough ride, but no need to load up the shotguns just yet

She'll recover.

Stinky · 09-25-2008, 07:32 AM

Dumb questions, how would I invest in gold?

**madmatt** · 09-25-2008, 07:36 AM

Id buy into an Index fund in which the fund actually owns the bullion, not you, one example, GLD.

heres an article
The new golden rule: Invest in gold - MSN Money

B00STED4V · 09-25-2008, 08:04 AM

I need a shotgun

krly79 · 09-25-2008, 06:47 PM

hmmm...Too bad the Federal Reserve has stolen all of our gold and shipped it to their secret layer in some mountain on some island and only the myth of an oz of gold is $800ish.

Jackie Chan · 09-27-2008, 11:09 AM

Quote:

Originally Posted by madmatt

Id buy into an Index fund in which the fund actually owns the bullion, not you, one example, GLD.

heres an article
The new golden rule: Invest in gold - MSN Money

Buying a paper promise of gold is foolish. Buy physical gold. It is EASY to sell and PM's have a value disconnect between paper and physical atm. check silver and gold spot and then check out ebay.

09-25-2008, 07:23 AM	#2 (permalink)
madmatt suffers from cracking due to shrinkage Join Date: Jun 2004 Location: Riding shotgun with Stig Posts: 24,788	Now is a TERRIBLE time to invest in gold unless you think the entire economy is going to crash and we'll have to barter with gold bars, and thats about as likely as politicians telling the truth... Not to mention, gold is terribly hard to sell/claim your profits, if you want to invest, find a Gold tracking index and buy some shares of that... 900 bucks is a bit high to buy gold to make any good money, IMO, but around 750, Id probably buy some Dont worry too much nate, itll be a rough ride, but no need to load up the shotguns just yet She'll recover. __________________ Matt

09-25-2008, 07:36 AM	#4 (permalink)
madmatt suffers from cracking due to shrinkage Join Date: Jun 2004 Location: Riding shotgun with Stig Posts: 24,788	Id buy into an Index fund in which the fund actually owns the bullion, not you, one example, GLD. heres an article The new golden rule: Invest in gold - MSN Money __________________ Matt

09-25-2008, 06:47 PM	#6 (permalink)
krly79 Legendary Veteran Join Date: Jun 2004 Location: Southern Illinois Posts: 1,730	hmmm...Too bad the Federal Reserve has stolen all of our gold and shipped it to their secret layer in some mountain on some island and only the myth of an oz of gold is $800ish. __________________ -Chris- 03 Sonic Blue GT 5spd If you run 16's, I'll own you 85 Camaro Berlinetta SC

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09-25-2008, 07:32 AM	#3 (permalink)
Stinky searching for teh OxMox like mine Join Date: Aug 2005 Location: Loo-kenk for des Oxy. Posts: 13,995	Dumb questions, how would I invest in gold?

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