Gold still climbing $1,331.10 per oz

[ParisDakarBmw]

Gold posted today at $1,331.10, and Silver $22.32 an oz.

I haven't seen a correction in a while.

I'd be selling off whether it was in a portfolio, or junk metal in scrap form.

That's getting really expensive, really quick.

We talked about a bubble a few weeks ago when gold hit $1,300.

I think it's about to slide back down (personal opinion)

[Numismatist]

Shocking isn't it? I remember in 2003 silver was at $5, now it's $22! When silver hit $8, people were bringing in buckets of silver coins - literally buckets. We didn't count, we weighed...

[skypilot]

I'm sure not ready to sell any gold yet. Won't be surprised to see $1500 considering all the uncertainty in the world and all the money being printed. Just personal opinion.

[ParisDakarBmw]

Depending on when you purchased, it's a sure profit taking time right now.

I also remember buying 100oz blocks for $420, and buckets of junk silver. People would bring in giant Panda coins, 90% silver ingot sets, 1982 Christmas coins, and whatever else they could find.

It wasn't even worth the time to sort through the silver jewelry because it was like $.21 cents a gram. It just got melted. Entire buckets melted for little of nothing.

Now a 100oz silver bar is $2,232 without a premium................

I'm thinking it's time to dump it while it's a sure winner.

Remember, when speculating on a commodity, don't get greedy. Take you profit, and run before it corrects.

[sea-dweller]

I say B-U-B-B-L-E. I would sell if I had a nice profit on it. And, I would not buy now...

[gimpex]

Agreed that it has a chance of pulling back a bit ( 10-15% would not be unexpected ) , but I doubt it will go below 1100 USD.

This "rally" is also to do with USD weakness. In Euro its not that high.... apaprently in Aussie $ its at a few week / month low ( due to the strengthening of their $ )

In the longer term I think its still got legs

[2careless]

The Aussie dropped to like 1AUD = 0.957 USD yesterday afternoon because our Reserve Bank decided not to raise interest rates.
Now it's back up to 1AUD = 0.971 USD. Big big swings!

I'd continue to hold gold/silver for the time being. I'd be starting to sell at $1400.

[ParisDakarBmw]

gold $1,341.70

Silver $22.85

It's still climbing like a rocket!

[Bassplayer]

This week should be interesting for gold and silver - elections, g20 stalemate, QE2 rumors, etc...

where does it go from here in the short and long term?
economy getting fixed soon?

[skypilot]

No economy is going to get fixed when people want their government to be their nanny. To keep getting elected, the politicians will print the money necessary to be the nanny until it all collapses. Then gold will be a good thing to have. One man's opinion.

[PHDX2]

Wow!

[Numismatist]

Rolexes will be the new currency!

[prc117f]

Originally Posted by gimpex

Agreed that it has a chance of pulling back a bit ( 10-15% would not be unexpected ) , but I doubt it will go below 1100 USD.

This "rally" is also to do with USD weakness. In Euro its not that high.... apaprently in Aussie $ its at a few week / month low ( due to the strengthening of their $ )

In the longer term I think its still got legs

Ask the folks who never thought gold would go below the 800's back in 1982. Those who went long equity in 1982 did much better even till today taking into consideration the market collapse compared to the folks who went long gold in 1982.

Gold has a negative carrying cost over the life of the investment and of course the wide bid/ask spread and other frictional costs involved.

[HL65]

Gold has it's place in an investment portfolio. Should it be 50% of a portfolio--no. I personally had a 10% allocation to gold and have trimmed it back to about 6%. At the same time I think the real bubble is in the bond market. I have seriously trimmed my fixed income exposure and have added to emerging markets. Not that I see rates going much higher anytime soon--just can't see them going too much lower. Anyway--to each his own. I would not recommend going out at this level and adding to gold but if we get a nice pullback like we did when it hit $1,000 months ago on last pullback--will be a good time to add. Look at the charts--they tell the story. Be careful out there!!!

[Shade]

What about GOLD STOCKS guys? What're the best to get?

[etownrolex222]

im sticking with silver

[HL65]

Originally Posted by Shade

What about GOLD STOCKS guys? What're the best to get?

Norm--Take a look at GDXJ--it is small cap mining ETF.

[Shade]

Originally Posted by SteelerFan1965

Norm--Take a look at GDXJ--it is small cap mining ETF.

Will check on that Ken, I'm just starting to learn about stocks here...

[walds11]

I own Wells Fargo Precious Metals Fund. Had it since late 2003. It's been doing very well. Duh :) Quote from the fund's Principal Strategies...

We invest principally in investments related to precious metals across all market capitalizations. We define precious metals companies as those that are engaged in, or which receive at least 50% of their revenues from the exploration, development, mining, processing, or dealing in gold or other precious metals and minerals, including, but not limited to, silver, platinum, and diamonds..."

[smoken]

Originally Posted by skypilot

No economy is going to get fixed when people want their government to be their nanny. To keep getting elected, the politicians will print the money necessary to be the nanny until it all collapses. Then gold will be a good thing to have. One man's opinion.

agreed, i will always dollar cost average my purchases of gold and silver every month until I am unable to any longer. Remember Gold and silver is money, your dollar bill is a currency.

[Timber Loftis]

Originally Posted by skypilot

No economy is going to get fixed when people want their government to be their nanny. To keep getting elected, the politicians will print the money necessary to be the nanny until it all collapses. Then gold will be a good thing to have. One man's opinion.

Gold has no intrinsic value other than people's belief in it. It's intrinsically worth no more than paper money. If economies really collapse in a real sense, useful commodities will be the most valuable things to have.

If the zombie apocalypse were tomorrow I'd take weapons or good shoes over gold.

[BarkMaster]

Originally Posted by Timber Loftis

Gold has no intrinsic value other than people's belief in it. It's intrinsically worth no more than paper money. If economies really collapse in a real sense, useful commodities will be the most valuable things to have.

If the zombie apocalypse were tomorrow I'd take weapons or good shoes over gold.

Perhaps lead is a better investment then gold.

[theloxmyth]

Originally Posted by Timber Loftis

Gold has no intrinsic value other than people's belief in it. It's intrinsically worth no more than paper money. If economies really collapse in a real sense, useful commodities will be the most valuable things to have.

If the zombie apocalypse were tomorrow I'd take weapons or good shoes over gold.

Barkie said it, as well...lead AND a place with well water!

[DWdrummer]

I find it interesting that gold is so high and climbing. What disturbs me is that the dollar is so weak. Im not an expert in regards to anything having to do with financial markets and I don't pretend to be.

However I find it odd that we pour untold billions, perhaps trillions into China with all of its factories. Everything we use, from televisions, to our kids toys, to clothing, to can openers is made in China it seems. We import almost everything and I couldn't really say what we export.

We gave away and outsourced our manufacturing and it just seems so wrong to me. It cant be good that China is now called the "world's factory" whilst our economy waste away. It just seems so wrong to me. As I said we import everything and export nothing, how can that be good for us as a nation and on a financial basis?

[2careless]

Originally Posted by DWdrummer

We import almost everything and I couldn't really say what we export.

Lots of US companies are big exporters, e.g. GE (in Energy and Healthcare), Boeing planes, Pfizer drugs. US companies are big in the urbanisation processes, and emerging countries are buyers.

[fusionstorm]

Originally Posted by DWdrummer

We import almost everything and I couldn't really say what we export.

Hi-tech. Global economy as it is, companies like Apple, Oracle, Microsoft, Cisco, HP & IBM are all HQ'ed in the US. The list of tech companies based elsewhere that compete against our tech giants is pretty meager by comparison. No one in the server space. SAP is finding it tougher and tougher to compete against Oracle and Microsoft. Cisco is almost a monopoly in the networking arena. Apple is Apple.

And let's not forget about Google, Yahoo, Facebook and their ilk.

[BarkMaster]

Exports $1.057 trillion f.o.b (2009 est.)

Export goods agricultural products (soybeans, fruit, corn) 9.2%, industrial supplies (organic chemicals) 26.8%, capital goods (transistors, aircraft, motor vehicle parts, computers, telecommunications equipment) 49.0%, consumer goods (automobiles, medicines) 15.0% (2009)

Main export partners Canada, 13.2%; Mexico, 8.3%; China, 4.3%; Japan, 3.3%. (2009)

[2careless]

Originally Posted by fusionstorm

Hi-tech. Global economy as it is, companies like Apple, Oracle, Microsoft, Cisco, HP & IBM are all HQ'ed in the US. The list of tech companies based elsewhere that compete against our tech giants is pretty meager by comparison. No one in the server space. SAP is finding it tougher and tougher to compete against Oracle and Microsoft. Cisco is almost a monopoly in the networking arena. Apple is Apple.

And let's not forget about Google, Yahoo, Facebook and their ilk.

Well, if you count corporations making money, then yes these companies are making buckets loads of money. However, if you're talking about jobs, nope, these companies do not create enough manufacturing jobs to offset those that have been shipped to the emerging countries, and it is employment that keeps a country ticking, and that's why every developed country is now doing money printing exercise in the hope of devaluating their currency to increase their competitiveness, they are trying to rob the jobs from their neighbours, period.

[fusionstorm]

Originally Posted by 2careless

Well, if you count corporations making money, then yes these companies are making buckets loads of money. However, if you're talking about jobs, nope, these companies do not create enough manufacturing jobs to offset those that have been shipped to the emerging countries, and it is employment that keeps a country ticking, and that's why every developed country is now doing money printing exercise in the hope of devaluating their currency to increase their competitiveness, they are trying to rob the jobs from their neighbours, period.

These companies create plenty of jobs domestically, just not in the manufacturing realm. The US will never be able to compete against the cheap labor available overseas. What you highlight is not a tragedy in my mind. None of the Fortune Global 500 companies are vertically integrated entirely within their home countries borders. If any of us here had to choose, I'd daresay most of us would rather keep the skilled, higher paying jobs here and ship the lower paying jobs elsewhere.

Oracle employs more than 70,000 people worldwide, with a significant percentage of that here in the US in high-paying, skilled labor positions and little in the way of manufacturing jobs anywhere in the world. The same could be said of Google or Facebook.

Show me a company overseas that has 100% of its labor force employed within its home country's borders, and you'll have chosen a company that is unable to compete against its US competition unless they're heavily skewed towards manufacturing. There's a reason why the best and brightest engineers, scientists and skilled labor typically flow towards the US. If our population were more heavily invested in learning the sciences and engineering, the employment situation here would be markedly improved and our economy would be much healthier.

You lament the loss of manufacturing jobs. I lament the mentality too prevalent in our society that attaining a good-paying manufacturing job is the road one should take to a comfortable lifestyle.

[2careless]

This is a very elitest view. If everyone is an engineer, scientist etc etc, then who are the people doing menial work? Also, how can one re-tool a guy who has been a fitter and turner all his working life? These are the people that makes up the 10% unemployment rate. How will you deal with them?