Where Is Gold Going In This Market

[cloudhopper]

Looks like the cost of fiat insurance just hit another high.

[churchill]

Gold looks like it wants to go to $1500 and silver $30 - what then - Will higher prices increase investor demand -There must be many who still feel they need PM'S in their portfolio and So prices keep going up ....

http://www.kitco.com/charts/popup/au24hr3day.html

Edited November 9, 2010 by churchill

[ExpatJ]

Headline news on cnbc right now- world bank wants to star a debate on moving back to gold backed currency regime- what are the implications for Gold price?

lukewarm brain farts which can't be implemented do not impress the price of gold.

Look warm brain farts are behind most of the bull/bear runs in stocks and commodities in the last 50 years !

Had to laugh this afternoon when i read that the price of gold jumped over night partially because of the world bank discussion:)

[flying]

Silver/Gold Ratio just dropped below 50

Now sitting at 49/1

[flying]

Silver has cleared $29/oz by 8am here this morning.....

[flying]

Oh that was fun

Edited November 9, 2010 by flying

[Naam]

Oh that was fun

suits me! will increase my miners when Hong Kong opens in a few hours.

[Naam]

Headline news on cnbc right now- world bank wants to star a debate on moving back to gold backed currency regime- what are the implications for Gold price?

lukewarm brain farts which can't be implemented do not impress the price of gold.

Look warm brain farts are behind most of the bull/bear runs in stocks and commodities in the last 50 years !

Had to laugh this afternoon when i read that the price of gold jumped over night partially because of the world bank discussion:)

not to forget "gold is also on the up on the back of silver"

[flying]

Oh that was fun

suits me! will increase my miners when Hong Kong opens in a few hours.

Good idea.... I think...

[churchill]

Oh that was fun

suits me! will increase my miners when Hong Kong opens in a few hours.

With PM prices down ? Shoulds like a very hopeful ' Brain Fart '

Jim Rickards On Silver Margin Changes, Peter Schiff On A New World Gold Standard

http://www.zerohedge.com/article/jim-rickards-silver-margin-changes-peter-schiff-new-world-gold-standard

[Naam]

Oh that was fun

suits me! will increase my miners when Hong Kong opens in a few hours.

With PM prices down ? Shoulds like a very hopeful ' Brain Fart '

on your side? of course one buys when prices are down!

[badge]

Oh that was fun

http://www.shakermaker.com/mono-boom-video.php#1

As Ive mentioned before, commods always end with a parabolic bang, especially metals, and with AU and AG infamously vertical of late, it comes as no surprise. Naturally an increase in volatility is another trait.

All very exciting though.

[flying]

Naturally an increase in volatility is another trait.

All very exciting though.

Exciting for sure.....

I said long ago I expected volatility to the tune of $50 a day swings in gold approaching

Silver who knows as it seems to be becoming its true self now. Perhaps due to the unmasking of corruption?

Or perhaps just a realization of its potential?

I dont know.

I will admit I like the idea that even now I can buy gold for $500/oz if I pay in silver bought in 2008.

I also believe I may have the chance to buy it at $300+/oz the same way soon enough. ....Well we will see.

[churchill]

Oh that was fun

suits me! will increase my miners when Hong Kong opens in a few hours.

With PM prices down ? Shoulds like a very hopeful ' Brain Fart '

on your side? of course one buys when prices are down!

Glad to hear you buying at these levels Naam

A good recommendation to all those that respect your views ! I hope along with you that prices continue up / SIL and GDXJ both up about 20% in the last 2 months with many ' Chartists ' saying the HUI has just recently broken levels when gold was around $1000 and so PM Stock could have a lot further to go .

[crusader79]

Recent Lira interview:

http://www.youtube.com/watch?v=Mp3M5GpOunE&feature=related

[churchill]

W.Bank chief says no gold standard, but its role key

"the elephant in the room"

" World Bank President Robert Zoellick said on Wednesday he was not advocating a return to a gold standard for exchange rates, but described the metal as "the elephant in the room" that policymakers needed to acknowledge.

Zoellick, who was attending an infrastructure conference organised by the World Bank and the Singapore government, said it was important for nations to look beyond exchange rates and focus on economic fundamentals.

"I don't believe you can return to a fixed exchange rate system and that is the gold standard," he later told the Foreign Correspondents Association."

"Markets are already using gold as an alternative monetary asset because confidence is low...it is saying we have a problem that needs to be fixed."

Gold prices have soared to record levels in recent weeks and are currently around $1,400 per ounce.

"There is an elephant in the room and that is what I want people to recognise," Zoellick said.

Zoellick earlier this week surprised financial markets by suggesting the world's largest nations consider gold as an indicator to help set foreign exchange rates, amid concerns governments and central banks may try to kickstart their economies by devaluing their currencies.

He said on Wednesday: "I'm not advocating a return to the 19th century when money supply was linked to gold."

continued ...

http://uk.finance.yahoo.com/news/w-bank-chief-says-no-gold-standard-but-its-role-key-reuters_molt-957dfa7932d7.html?x=0&utm_source=twitterfeed&utm_medium=twitter

Edited November 10, 2010 by churchill

[crusader79]

I like Peter Schiff's simple characterization of Zoellick's elephant, that gold is money:

As the Fed seeks to blow up the global monetary system, I take comfort in the fact that gold cannot fight a currency war because it is not a currency. Gold is money. Currencies used to be backed by money until the global fiat system was introduced under President Nixon. Fiat currency can be printed at will until the economy collapses, as has happened many times in history. Money is impossible to devalue at the whim of politicians because it is naturally scarce. Even in the ruins of Europe after the Second World War, when there was no central authority and chaos reigned, an ounce of gold was worth what it always had been.

Edited November 10, 2010 by crusader79

[churchill]

Gold and Silver didn't stay down for long - It is a clever person who buys the dips !

and many Mining stocks were down 3-4%

The Gold Mining Stocks are Still Cheap

http://www.fgmr.com/gold-mining-stocks-are-still-cheap.html

[churchill]

With Gold now on the world stage -

Zoellick: World moving towards new monetary system

'The global economy is moving towards a new monetary system with gold emerging as a preferred alternative to existing assets, World Bank president Robert Zoellick said on Wednesday.' .. continued http://www.mg.co.za/article/2010-11-10-world-moving-towards-new-monetary-system-zoellick

are Gold and Silver being slowly allowed to reach their true values , which are ?? Gold over $2000 and silver ?

The Case for Pricing Gold in Gold

'Gold is at a record only if you fail to adjust for inflation. And you should almost always adjust for inflation. Otherwise, you end up with a series of meaningless records — Gold reaches record high! Oil reaches record high! Lettuce reaches record high! — that depend on the fact that a dollar in 2010 does not have the same value as a dollar did in, say, 1980.

More than a month ago, Ryan Chittum of Columbia Journalism Review noticed the epidemic of alleged gold records and urged those of us in the media to stop. The actual record was set 30 years ago, when the price of gold, in today’s dollars, hit $2,318 — or 65 percent higher than it closed on Monday.

This isn’t simply a question of math. Anyone who says gold is at a record high (or who said oil was several years ago) is getting the story wrong. Why? Because $10 today is not more valuable than $9 a few decades ago. Claiming otherwise is tantamount to saying that 10 rupees is more valuable than $9 because 10 is a bigger number than 9.'

http://paul.kedrosky.com/archives/2010/11/the_case_for_pr.html

[Naam]

I like Peter Schiff's simple characterization of Zoellick's elephant, that gold is money:

As the Fed seeks to blow up the global monetary system, I take comfort in the fact that gold cannot fight a currency war because it is not a currency. Gold is money. Currencies used to be backed by money until the global fiat system was introduced under President Nixon. Fiat currency can be printed at will until the economy collapses, as has happened many times in history. Money is impossible to devalue at the whim of politicians because it is naturally scarce. Even in the ruins of Europe after the Second World War, when there was no central authority and chaos reigned, an ounce of gold was worth what it always had been.

then how come the price, respectively the value of this "gold money" has been fluctuating wildly during the last four decades?

[flying]

Money is impossible to devalue at the whim of politicians because it is naturally scarce.

an ounce of gold was worth what it always had been.

then how come the price, respectively the value of this "gold money" has been fluctuating wildly during the last four decades?

Hey I will take a guess....

The price in Fiat fluctuated because the fiats fluctuating quantity/dilution worth versus other fiats etc.

Yet when they say the worth/purchasing power of gold is what it always has been they are going back to the amount of goods one can purchase with the 1oz of gold. Yes I know its tired & old but the "1 ounce of gold always bought a fine suit of clothes" analogy

Edited November 10, 2010 by flying

[Naam]

"Yes I know its tired & old"

and indeed boring to death

billions of people can live without suits but not without rice or bread. those who are fixated on the suit fairy tale should check how many bags of rice or loaves of bread an ounce of gold bought in 1970, 1980 and 2000 instead on irrelevant suits which even today can be bought in a price range from 100 dollars in Nakhon Nowhere till several thousand dollars in Savile Row.

[crusader79]

I like Peter Schiff's simple characterization of Zoellick's elephant, that gold is money:

As the Fed seeks to blow up the global monetary system, I take comfort in the fact that gold cannot fight a currency war because it is not a currency. Gold is money. Currencies used to be backed by money until the global fiat system was introduced under President Nixon. Fiat currency can be printed at will until the economy collapses, as has happened many times in history. Money is impossible to devalue at the whim of politicians because it is naturally scarce. Even in the ruins of Europe after the Second World War, when there was no central authority and chaos reigned, an ounce of gold was worth what it always had been.

then how come the price, respectively the value of this "gold money" has been fluctuating wildly during the last four decades?

Supply and demand. The latter increases when doubts grow about the ability of governments to protect the purchasing power of intangible instruments of exchange like fiat currencies. Such doubts have been growing and spreading for the past decade, for reasons which are now increasingly obvious.

[flying]

"Yes I know its tired & old"

and indeed boring to death

billions of people can live without suits but not without rice or bread. those who are fixated on the suit fairy tale should check how many bags of rice or loaves of bread an ounce of gold bought in 1970, 1980 and 2000 instead on irrelevant suits which even today can be bought in a price range from 100 dollars in Nakhon Nowhere till several thousand dollars in Savile Row.

Yes of course there is a range of quality in a suit...ok

But I have seen examples using a gallon of gas & a loaf of bread etc & the results were quite good.

[Naam]

But I have seen examples using a gallon of gas & a loaf of bread etc & the results were quite good.

hmmm... there was no inflation for one hundred years starting in 1833?

[Naam]

I like Peter Schiff's simple characterization of Zoellick's elephant, that gold is money:

As the Fed seeks to blow up the global monetary system, I take comfort in the fact that gold cannot fight a currency war because it is not a currency. Gold is money. Currencies used to be backed by money until the global fiat system was introduced under President Nixon. Fiat currency can be printed at will until the economy collapses, as has happened many times in history. Money is impossible to devalue at the whim of politicians because it is naturally scarce. Even in the ruins of Europe after the Second World War, when there was no central authority and chaos reigned, an ounce of gold was worth what it always had been.

then how come the price, respectively the value of this "gold money" has been fluctuating wildly during the last four decades?

Supply and demand. The latter increases when doubts grow about the ability of governments to protect the purchasing power of intangible instruments of exchange like fiat currencies. Such doubts have been growing and spreading for the past decade, for reasons which are now increasingly obvious.

that's besides the point which is the baseless claim that "an ounce of gold was worth what it always had been".

[crusader79]

I like Peter Schiff's simple characterization of Zoellick's elephant, that gold is money:

As the Fed seeks to blow up the global monetary system, I take comfort in the fact that gold cannot fight a currency war because it is not a currency. Gold is money. Currencies used to be backed by money until the global fiat system was introduced under President Nixon. Fiat currency can be printed at will until the economy collapses, as has happened many times in history. Money is impossible to devalue at the whim of politicians because it is naturally scarce. Even in the ruins of Europe after the Second World War, when there was no central authority and chaos reigned, an ounce of gold was worth what it always had been.

then how come the price, respectively the value of this "gold money" has been fluctuating wildly during the last four decades?

Supply and demand. The latter increases when doubts grow about the ability of governments to protect the purchasing power of intangible instruments of exchange like fiat currencies. Such doubts have been growing and spreading for the past decade, for reasons which are now increasingly obvious.

that's besides the point which is the baseless claim that "an ounce of gold was worth what it always had been".

You're being pedantic. Now I'm bored

[Naam]

You're being pedantic. Now I'm bored

perhaps reading glasses will help?

[Naam]

bought back Zhaojin Mining for a second time more expensive than i sold

http://www.bloomberg.com/apps/quote?ticker=1818:HK

[churchill]

bought back Zhaojin Mining for a second time more expensive than i sold

http://www.bloomberg.com/apps/quote?ticker=1818:HK

World's most wanted gold stocks: not just the usual suspects

http://www.mineweb.com/mineweb/view/mineweb/en/page33?oid=114697&sn=Detail&pid=102055