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The Race To The Bottom

Featured Replies

Euro down

GBP down

Gold down

Asian currencies down

Yuan up or down

This cannot work - The Chinese may have to consider adjusting their currency down not up

The US seems to be the only economy with some potential but a rising $ will not help /

If the Euro area goes into recession S/E Asia will surely be hit and currencies down >

Thailand without tourists , investors looks pretty bleak

Any safe havens out there ?

I reckon that gold is down because of profit taking after its recent runup. I'd stay long on gold as fiat currencies, especially the Euro, become worth less and less. Also, governments can't print more gold.

Silver is perhaps a better buy now than gold, with more potential upside. Also consider shares of mining companies, even though the Oz government is slapping a high tax on the miners.

I think that precious metals are a long term play, but don't allocate more than 5% of ones portfolio to pm's. They're incredibly volatile, but if you can hold on and don't need the money in the next 3 -5 years, then you'll do well.

Any safe havens out there

Nope.

The banks will screw us, the politicians will tax us, the speculators will confuse us and inflation will destroy the rest.

The only escape is death :D :D so invest soundly in :D :D

:):D :D

Oh I would say out of the list.....

Euro down

GBP down

Gold down

Asian currencies down

Yuan up or down

& you can add USD to it....:)

Only one in that list owes nothing to anyone.... I will stick with that one :D

Think it very likely that the worldwide debt problem will ultimately end in high inflation (monetization of the debt, depreciation of all paper assets), and consequently that gold (and other precious metals) should be a major component of every portfolio.

Elected governments are likely incapable of taking the much more painful road of default, high unemployment and/or depression.

Began moving 20% of my net worth into gold in 2003 on Marc Faber's recommendation, and have gradually increased that allocation to 30% over the past year.

There may very well be a drop below $1100/oz. coming, as world stock markets continue to correct, but in a longterm bull market I am prepared to continue to ride such dips out.

What continues to confuse and worry investors is how high inflation can result from a deflationary environment, Faber has tried to explain this before, here's another attempt:

http://www.businessinsider.com/deflationis...scenario-2010-5

The end game of the great gold bull will probably be very messy, with government intervention likely as investors lose faith in currencies and paper assets en masse, and that must be considered and planned for now (i.e. a mix of physical gold, mining shares and ETFs, the latter most easily interfered with).

But by then I hope to have at least protected the bulk of my net worth from (potentially catastrophic) inflation, which is one of the few risks that has the potential to completely ruin me. If the government ends up taking away part of those gains so be it.

There will be different winners and losers at different times and timing remains the most difficult aspect.

The point at which US is the clear and big winner is the time to bail the Greenback.

Expect the unexpected - this is definitely the year of Bob & Jack!

Gold has been making new highs in all currencies but it will not go up in a strait line.

The Singapore dollar has been doing good and it got revalued up recently.I can't remember the thread but I recommended it a few months ago.

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