Gold did it! Hit $1,000.00 an ounce today.

[Nick Gromicko]

Go baby go.

[rbrady]

When do we sell our short term, trading positions?

[Nick Gromicko]

I've been preaching "buy gold" on this message board ever since Obama publicly admitted that he would tax everyone (even people who don't pay tax) with a slick scheme: He would print trillions of paper dollars so as to make all of our money (even the quarters a little 8 year old girl has in her pocket to buy bubble gum) worth less.

[Patrick Bolliger]

Just another nail in the U.S. Economic engine "coffin"...

Check out the link below.. Nick..... You better be stocking Gold bars since your U.S. Dollars are more and more worthless paper!!

http://news.yahoo.com/s/mcclatchy/20...latchy/3307834

[Nick Gromicko]

China recently went from prohibiting gold ownership by its citizens to advising them to stock up on gold.

Sounds to me like China is going to allow the dollar to crash.

[Michael Larson]

Originally Posted by gromicko

China recently went from prohibiting gold ownership by its citizens to advising them to stock up on gold.

Sounds to me like China is going to allow the dollar to crash.

Gold is $990 at the moment. Be careful.

[rbrady]

Mike, go ahead and keep your T-Bills and Federal Reserve notes stuffed in your matress (or get your 1% interest in the bank and hope the FDIC doesn't go broke).

I took a little profit on my gold holdings yesterday

[klott]

No problem, the Feds said today that the recession is over!

[Joseph A. Ferry]

I'm waiting for some rating agency to downgrade US Debt instruments. The Chinese are already moving over to Euros for foreign exchange.

Gold will likely stabilize shortly because the supply will increase due to folks selling the family jewels. But the long-term outlook for this soon-to-be banana republic that we inhabit is not good.

[gbeaumont]

Gold is only worth a grand an ounce because the Dollar is worth nothing, so this is a good thing?

Or to put it another way, you buy gold at $900 and it goes to $1,000 did you make money?

Of course you didn't, the dollar that you spent to buy at $900 has devalued by 12% how much didn't you make on that transaction

Gerry

[Michael Larson]

Originally Posted by gbeaumont

Gold is only worth a grand an ounce because the Dollar is worth nothing, so this is a good thing?

Or to put it another way, you buy gold at $900 and it goes to $1,000 did you make money?

Of course you didn't, the dollar that you spent to buy at $900 has devalued by 12% how much didn't you make on that transaction

Gerry

Exactly

[rbrady]

Originally Posted by gbeaumont

Gold is only worth a grand an ounce because the Dollar is worth nothing, so this is a good thing?

Or to put it another way, you buy gold at $900 and it goes to $1,000 did you make money?

Of course you didn't, the dollar that you spent to buy at $900 has devalued by 12% how much didn't you make on that transaction

Gerry

Exactly.

So if you hold on to your dollars, they get devalued by 12% while you have lost nothing by buying gold. Why would you prefer the devaluing currency over gold????

[gbeaumont]

Originally Posted by rbrady

Exactly.

So if you hold on to your dollars, they get devalued by 12% while you have lost nothing by buying gold. Why would you prefer the devaluing currency over gold????

You're missing the point, they're both being devalued by each other. Buy gold now at $1,000 try and sell it above that when the economy improves.

Regards

Gerry

[Michael Larson]

Gerry gets it.

[rbrady]

The dollar has historically lost value pretty consitantly. It has lost about 95% of it's value since the early 1900's.
Gold (and silver) are hedges against the devluation of the currency. You can buy the same amount of gas with an ounce of silver as you could 50 years ago.
You are not supposed to make money on precious metals - you just preserve what you have.

Despite the fact that you are not supposed to 'make' money on it, I have certainly made plenty (I've been a gold bull since 1999). I guess I just don't GET it.