Now might be the time to get into gold

[midas]

RBI lifts ban on import of gold coins, medallions by banks

In a move that could increase gold supply, nominated banks have been allowed to
import gold on "consignment basis" and lend it to local jewellers. Under this
system, banks source or borrow gold from international bullion banks and lend
the yellow metal to domestic jewellers. The borrowing and the lending rates are
fixed simultaneously. It not only enables banks to earn good margin, but also
ensures supply to the domestic market.

http://economictimes.indiatimes.com/news/economy/policy/rbi-lifts-ban-on-import-of-gold-coins-medallions-by-banks/articleshow/46290295.cms

[paddyjenkins]

Is Russia Planning a Gold-Based Currency?

http://mises.org/library/russia-planning-gold-based-currency

Yes, a favorite of the Gold bugs is to tout the imminence of a Gold standard by countries such as Russia and China and the collapse of the USD. But lets suppose Russia did that. I wonder how long before they found their economy still floundering would they devalue? Do people imagine devaluations become impossible once a central bank has announced some kind of peg or Gold convertibility? In fact, it may make such devaluations and chaos inevitable. Would Putin be trusted? i doubt it. Imagine buying Rubles because you think you're kind of buying Gold....and then they devalue by changing the convertibility level. And if the Gold standard was such a wonderful thing, why was it ended? The history of Gold standards shows it was unsustainable. The Swiss know that, thats why they voted against becoming forced buyers of Gold in their recent referendum. Gold standards of any kind will deprive central bankers of any ability to fight recessions or inflation. And far from creating independence it created pegs and dependencies. France decided to convert its USD to Gold and the result was Nixon removed the USD convertibility. So what is written on paper is never really a guarantee. Let Russia adopt a Gold standard, my guess is it would simply hasten their inevitable decline, a path they are clearly on. Edited February 19, 2015 by paddyjenkins

[Naam]

RBI lifts ban on import of gold coins, medallions by banks:thumbsup:

In a move that could increase gold supply, nominated banks have been allowed to

import gold on "consignment basis" and lend it to local jewellers. Under this

system, banks source or borrow gold from international bullion banks and lend

the yellow metal to domestic jewellers. The borrowing and the lending rates are

fixed simultaneously. It not only enables banks to earn good margin, but also

ensures supply to the domestic market.

http://economictimes.indiatimes.com/news/economy/policy/rbi-lifts-ban-on-import-of-gold-coins-medallions-by-banks/articleshow/46290295.cms

The Reserve Bank of India on Wednesday said banks are now permitted to import gold on consignment basis. This notification, Sanjeev Bhatia, chief financial officer, PC Jeweller says won't have any significant impact on either cost of funds or hedging or lease costs. Watch video for more.

Read more at: http://www.moneycontrol.com/news/business/rbi-note-merely-clarifies-gold-import-norms-pc-jeweller_1307778.html?utm_source=ref_article

[midas]

Is Russia Planning a Gold-Based Currency?

http://mises.org/library/russia-planning-gold-based-currency

Yes, a favorite of the Gold bugs is to tout the imminence of a Gold standard by countries such as Russia and China and the collapse of the USD. But lets suppose Russia did that. I wonder how long before they found their economy still floundering would they devalue? Do people imagine devaluations become impossible once a central bank has announced some kind of peg or Gold convertibility? In fact, it may make such devaluations and chaos inevitable. Would Putin be trusted? i doubt it. Imagine buying Rubles because you think you're kind of buying Gold....and then they devalue by changing the convertibility level. And if the Gold standard was such a wonderful thing, why was it ended? The history of Gold standards shows it was unsustainable. The Swiss know that, thats why they voted against becoming forced buyers of Gold in their recent referendum. Gold standards of any kind will deprive central bankers of any ability to fight recessions or inflation. And far from creating independence it created pegs and dependencies. France decided to convert its USD to Gold and the result was Nixon removed the USD convertibility. So what is written on paper is never really a guarantee. Let Russia adopt a Gold standard, my guess is it would simply hasten their inevitable decline, a path they are clearly on.

LOL and are you suggesting the status quo is either acceptable or sustainable? Just look back at history and you will see what eventually happened to currencies where there was no fiscal discipline and they carried on printing money like confetti

No one has talked about the collapse of the dollar but there can be an alternative. BRICS allied countries are keen to introduce a new currency as an alternative to the dollar which will be linked to their gold assets. It would be more attractive than a currency based primarily on debt in the form of Treasury Bonds and a vast mountain of newly printed fiat Federal Reserve Notes that has been propping up the markets.

http://goldstockbull.com/articles/brics-countries-going-gold/

[AyG]

http://goldstockbull.com/articles/brics-countries-going-gold/

Thank you for the link.

A website calling itself "Gold Stock Bull" is obviously going to be a highly authoritative site.

The fact that the article is attributed to "Guest Contributor" must mean that the person who wrote it is such a famous pundit in the gold arena that they don't want their name revealed.

Clearly an impartial, well-informed source. I've therefore instructed my broker to close out all my positions in Matabele Gumbo Bean futures and to put the proceeds into bars of the shiny yellow metal which I'll store under the bed. I'm just so happy that my financial future is now 100% secure thanks to this wonderful article. God (or should that be "gold") bless you for sharing, Midas.

[paddyjenkins]

Is Russia Planning a Gold-Based Currency?

http://mises.org/library/russia-planning-gold-based-currency

Yes, a favorite of the Gold bugs is to tout the imminence of a Gold standard by countries such as Russia and China and the collapse of the USD. But lets suppose Russia did that. I wonder how long before they found their economy still floundering would they devalue? Do people imagine devaluations become impossible once a central bank has announced some kind of peg or Gold convertibility? In fact, it may make such devaluations and chaos inevitable. Would Putin be trusted? i doubt it. Imagine buying Rubles because you think you're kind of buying Gold....and then they devalue by changing the convertibility level. And if the Gold standard was such a wonderful thing, why was it ended? The history of Gold standards shows it was unsustainable. The Swiss know that, thats why they voted against becoming forced buyers of Gold in their recent referendum. Gold standards of any kind will deprive central bankers of any ability to fight recessions or inflation. And far from creating independence it created pegs and dependencies. France decided to convert its USD to Gold and the result was Nixon removed the USD convertibility. So what is written on paper is never really a guarantee. Let Russia adopt a Gold standard, my guess is it would simply hasten their inevitable decline, a path they are clearly on.

LOL and are you suggesting the status quo is either acceptable or sustainable? Just look back at history and you will see what eventually happened to currencies where there was no fiscal discipline and they carried on printing money like confetti

No one has talked about the collapse of the dollar but there can be an alternative. BRICS allied countries are keen to introduce a new currency as an alternative to the dollar which will be linked to their gold assets. It would be more attractive than a currency based primarily on debt in the form of Treasury Bonds and a vast mountain of newly printed fiat Federal Reserve Notes that has been propping up the markets.

http://goldstockbull.com/articles/brics-countries-going-gold/

Ummmm.....did I say anything about the status quo....did I mention debt...nope...I spoke about Gold standards....but I suppose in the mind of a Gold bug, brainwashed by staring at too many Gold porn sites, you think its a choice of love of all things Gold or love of infinite debt and reckless printing of fiat money....i guess the middle zone requires too much thought.

This is why it can never be more than a source of mild amusement to even attempt meaningful debate with you Gold big types...your responses normally amount to tangential madness....

Edited February 19, 2015 by paddyjenkins

[paddyjenkins]

RBI lifts ban on import of gold coins, medallions by banks

In a move that could increase gold supply, nominated banks have been allowed to

import gold on "consignment basis" and lend it to local jewellers. Under this

system, banks source or borrow gold from international bullion banks and lend

the yellow metal to domestic jewellers. The borrowing and the lending rates are

fixed simultaneously. It not only enables banks to earn good margin, but also

ensures supply to the domestic market.

http://economictimes.indiatimes.com/news/economy/policy/rbi-lifts-ban-on-import-of-gold-coins-medallions-by-banks/articleshow/46290295.cms

The RBI also acknowledged that their ban had just resulted in illegal importing of Gold instead, so if Gold finally bounces sustainably it probably won't be due to the RBI actions, just like it wasn't their actions that caused it to fall in the first place. Edited February 19, 2015 by paddyjenkins

[midas]

Is Russia Planning a Gold-Based Currency?

http://mises.org/library/russia-planning-gold-based-currency

Yes, a favorite of the Gold bugs is to tout the imminence of a Gold standard by countries such as Russia and China and the collapse of the USD. But lets suppose Russia did that. I wonder how long before they found their economy still floundering would they devalue? Do people imagine devaluations become impossible once a central bank has announced some kind of peg or Gold convertibility? In fact, it may make such devaluations and chaos inevitable. Would Putin be trusted? i doubt it. Imagine buying Rubles because you think you're kind of buying Gold....and then they devalue by changing the convertibility level. And if the Gold standard was such a wonderful thing, why was it ended? The history of Gold standards shows it was unsustainable. The Swiss know that, thats why they voted against becoming forced buyers of Gold in their recent referendum. Gold standards of any kind will deprive central bankers of any ability to fight recessions or inflation. And far from creating independence it created pegs and dependencies. France decided to convert its USD to Gold and the result was Nixon removed the USD convertibility. So what is written on paper is never really a guarantee. Let Russia adopt a Gold standard, my guess is it would simply hasten their inevitable decline, a path they are clearly on.

LOL and are you suggesting the status quo is either acceptable or sustainable? Just look back at history and you will see what eventually happened to currencies where there was no fiscal discipline and they carried on printing money like confetti

No one has talked about the collapse of the dollar but there can be an alternative. BRICS allied countries are keen to introduce a new currency as an alternative to the dollar which will be linked to their gold assets. It would be more attractive than a currency based primarily on debt in the form of Treasury Bonds and a vast mountain of newly printed fiat Federal Reserve Notes that has been propping up the markets.

http://goldstockbull.com/articles/brics-countries-going-gold/

Ummmm.....did I say anything about the status quo....did I mention debt...nope...I spoke about Gold standards....but I suppose in the mind of a Gold bug, brainwashed by staring at too many Gold porn sites, you think its a choice of love of all things Gold or love of infinite debt and reckless printing of fiat money....i guess the middle zone requires too much thought.

This is why it can never be more than a source of mild amusement to even attempt meaningful debate with you Gold big types...your responses normally amount to tangential madness....

Ermm I think you must have me confused with someone else if you think I am a gold bug or a “ big gold type “ just because I have a percentage of my assets in bullion. But I disagree that the size of the global debt is not relevant to the future importance of gold as you seem to imply. I also happen to believe in something which has a 6000 year history and don’t believe " it’s different this time ".

Yes I am a firm believer that the financial system is going to implode in some way or another sooner or later because if money printing was the answer to everything nobody need go out to work ever again.

I’m sure you know that some insurance policies can be paid for with one lump sum upfront. I consider I have done nothing different to that. Paid for gold bullion as an insurance policy for whatever risks lie ahead.

[paddyjenkins]

Is Russia Planning a Gold-Based Currency?

http://mises.org/library/russia-planning-gold-based-currency

Yes, a favorite of the Gold bugs is to tout the imminence of a Gold standard by countries such as Russia and China and the collapse of the USD. But lets suppose Russia did that. I wonder how long before they found their economy still floundering would they devalue? Do people imagine devaluations become impossible once a central bank has announced some kind of peg or Gold convertibility? In fact, it may make such devaluations and chaos inevitable. Would Putin be trusted? i doubt it. Imagine buying Rubles because you think you're kind of buying Gold....and then they devalue by changing the convertibility level. And if the Gold standard was such a wonderful thing, why was it ended? The history of Gold standards shows it was unsustainable. The Swiss know that, thats why they voted against becoming forced buyers of Gold in their recent referendum. Gold standards of any kind will deprive central bankers of any ability to fight recessions or inflation. And far from creating independence it created pegs and dependencies. France decided to convert its USD to Gold and the result was Nixon removed the USD convertibility. So what is written on paper is never really a guarantee. Let Russia adopt a Gold standard, my guess is it would simply hasten their inevitable decline, a path they are clearly on.

LOL and are you suggesting the status quo is either acceptable or sustainable? Just look back at history and you will see what eventually happened to currencies where there was no fiscal discipline and they carried on printing money like confetti

No one has talked about the collapse of the dollar but there can be an alternative. BRICS allied countries are keen to introduce a new currency as an alternative to the dollar which will be linked to their gold assets. It would be more attractive than a currency based primarily on debt in the form of Treasury Bonds and a vast mountain of newly printed fiat Federal Reserve Notes that has been propping up the markets.

http://goldstockbull.com/articles/brics-countries-going-gold/

Ummmm.....did I say anything about the status quo....did I mention debt...nope...I spoke about Gold standards....but I suppose in the mind of a Gold bug, brainwashed by staring at too many Gold porn sites, you think its a choice of love of all things Gold or love of infinite debt and reckless printing of fiat money....i guess the middle zone requires too much thought.

This is why it can never be more than a source of mild amusement to even attempt meaningful debate with you Gold big types...your responses normally amount to tangential madness....

Ermm I think you must have me confused with someone else if you think I am a gold bug or a “ big gold type “ just because I have a percentage of my assets in bullion. But I disagree that the size of the global debt is not relevant to the future importance of gold as you seem to imply. I also happen to believe in something which has a 6000 year history and don’t believe " it’s different this time ".

Yes I am a firm believer that the financial system is going to implode in some way or another sooner or later because if money printing was the answer to everything nobody need go out to work ever again.

I’m sure you know that some insurance policies can be paid for with one lump sum upfront. I consider I have done nothing different to that. Paid for gold bullion as an insurance policy for whatever risks lie ahead.

Are you ok....have you forgotten to take your meds?

What is a "big gold type"? Why did you say that?

And you disagree the size of the global debt is not relevant? Disagree with who? Me, i didn't talk about debt, i didn't mention debt. What on earth are you taking about? Who are you talking to? Are you hearing voices?

In any kind of debate you need to connect to what people have said, otherwise you may as well just talk to yourself.

As for holding your Gold as an insurance policy for whatever risks lie ahead....<deleted>....like a fire....an accident....a criminal break in where a thief steals your gold....dental treatment....or just that total financial implosion thing? You might be waiting a long time, and when it happens and the whole system fails and anarchy breaks out and you're walking around with your little bag of gold...well, you'll be like one of those kids at school who gets his lunch money stolen...

Edited February 19, 2015 by paddyjenkins

[canuckoverseas]

Gold almost back to its 52 week low, but hey you never know.

[suzannegoh]

Gold almost back to its 52 week low, but hey you never know.

That's just manipulation, the current price doesn't matter if buying gold as insurance against the imminent collapse of fiat currencies.

[SheungWan]

Gold almost back to its 52 week low, but hey you never know.

That's just manipulation, the current price doesn't matter if buying gold as insurance against the imminent collapse of fiat currencies.

And there you have it, when the price goes up, its inevitable, when it goes down its manipulated and it doesn't matter what price to buy as it is going to the moon.

And imminent is any day now.

[Naam]

Gold almost back to its 52 week low, but hey you never know.

That's just manipulation, the current price doesn't matter if buying gold as insurance against the imminent collapse of fiat currencies.

based on what i've read from gloom&doom gurus since a few decades the expression "imminent collapse of fiat currencies" will happen after my next rebirth or around that time".

[paddyjenkins]

Whether a currency is backed by Gold or not doesn't matter, it makes no difference. Anyone imagine the madness of Russia will change if they announce the Ruble to be backed by Gold? No, they might do that and still devalue five minutes later. Their words are clearly worth nothing, just look at the various Ukraine ceasefires. How about North Korea? They could announce Gold backing for their currency, but they would still be a pariah state at war with the South. They could back their currency with the droppings of their chubby little leader, it would still make no difference. Same story for Robert Mugabe and his rogue state. Would make no difference. Would not be sustainable if they did, but if for some reason it was sustainable then it would be superfluous.

What makes a difference is whether the currency is represented by a strong economy and responsible government. Its only when a currency is backed by those things that it is strong.

You people who clamor for a return to Gold standards are wasting your energy. You should focus your attention on demanding governments act responsibly and that ordinary people choose to be law abiding and productive economic agents, not half feral self entitled parasites.

Edited February 22, 2015 by paddyjenkins

[midas]

Whether a currency is backed by Gold or not doesn't matter, it makes no difference. Anyone imagine the madness of Russia will change if they announce the Ruble to be backed by Gold? No, they might do that and still devalue five minutes later. Their words are clearly worth nothing, just look at the various Ukraine ceasefires. How about North Korea? They could announce Gold backing for their currency, but they would still be a pariah state at war with the South. They could back their currency with the droppings of their chubby little leader, it would still make no difference. Same story for Robert Mugabe and his rogue state. Would make no difference. Would not be sustainable if they did, but if for some reason it was sustainable then it would be superfluous.

What makes a difference is whether the currency is represented by a strong economy and responsible government. Its only when a currency is backed by those things that it is strong.

You people who clamor for a return to Gold standards are wasting your energy. You should focus your attention on demanding governments act responsibly and that ordinary people choose to be law abiding and productive economic agents, not half feral self entitled parasites.

"Whether a currency is backed by Gold or not doesn't matter, it makes no difference. "

A New Way to Hold Gold (2015 Update)

Right alongside the bills in your wallet

The big difference, of course, is that instead of being a claim on something else, it simply is what it is: a fractional gram of gold. It can be stored, traded, or melted down – just like a coin or bar.

http://www.peakprosperity.com/podcast/91771/new-way-hold-gold-2015-update

Edited February 22, 2015 by midas

[suzannegoh]

A New Way to Hold Gold (2015 Update)

Right alongside the bills in your wallet

The big difference, of course, is that instead of being a claim on something else, it simply is what it is: a fractional gram of gold. It can be stored, traded, or melted down – just like a coin or bar.

http://www.peakprosperity.com/podcast/91771/new-way-hold-gold-2015-update

Last nail in the greenback's coffin.

[Naam]

A New Way to Hold Gold (2015 Update)

Right alongside the bills in your wallet

The big difference, of course, is that instead of being a claim on something else, it simply is what it is: a fractional gram of gold. It can be stored, traded, or melted down – just like a coin or bar.

http://www.peakprosperity.com/podcast/91771/new-way-hold-gold-2015-update

Last nail in the greenback's coffin.

yawn...! decade old yakety-yak rehashed over and over again.

[suzannegoh]

A New Way to Hold Gold (2015 Update)

Right alongside the bills in your wallet

The big difference, of course, is that instead of being a claim on something else, it simply is what it is: a fractional gram of gold. It can be stored, traded, or melted down – just like a coin or bar.

http://www.peakprosperity.com/podcast/91771/new-way-hold-gold-2015-update

Last nail in the greenback's coffin.

yawn...! decade old yakety-yak rehashed over and over again.

Please do your research. Jim Sinclair, Alex Jones, Zero Hedge, and the X22 report and everyone else who isn't part of the NWO are all saying the same thing, it’s unanimous an incontrovertible. The economy has collapsed and it’s only going to get worse, but luckily you still have a chance to buy physical gold at bargain prices.

[SheungWan]

yawn...! decade old yakety-yak rehashed over and over again.

Please do your research. Jim Sinclair, Alex Jones, Zero Hedge, and the X22 report and everyone else who isn't part of the NWO are all saying the same thing, it’s unanimous an incontrovertible. The economy has collapsed and it’s only going to get worse, but luckily you still have a chance to buy physical gold at bargain prices.

When 'all' are saying something, but it is a subset, it isn't unanimous is it? And even if it was, unanimous does not mean incontrovertible. I think you really want to mean '= true', but next time do a course on scientific logic or something. Until then stick with 'I strongly believe and I'm all in' or some other gold bug mantra. Now, back in the real world I guess that advice from you to buy at 'bargain prices' has been a consistent broken record all the way down from 1900+, right?

[paddyjenkins]

A New Way to Hold Gold (2015 Update)

Right alongside the bills in your wallet

The big difference, of course, is that instead of being a claim on something else, it simply is what it is: a fractional gram of gold. It can be stored, traded, or melted down – just like a coin or bar.

http://www.peakprosperity.com/podcast/91771/new-way-hold-gold-2015-update

Last nail in the greenback's coffin.

Suzanne, obviously most of us, such as myself, lack your high level of sophistication and understanding when it comes to money and economics.

So could you explain something about this new Gold money that contains actual Gold.

I checked out the cost on the website. The cost to buy these special notes is between 100% and 250% the price of actual Gold, depending on how much is bought. In other words, if you buy a note containing one gram of Gold, you have to pay the equivalent of at least two grams.

Then, to melt down and recover the Gold will cost even more. So if i am guaranteed to lose at least half my money when i buy these, why should i buy them, and how will they act as the final nail in the coffin of the USD.

This is quite apart from the fact they cant be used anywhere and i would need vast numbers to convert my fiat currency and have to store it somewhere? Also, it cant be transferred etc, cant be wired.

[midas]

Federal Reserve Insider Alan Greenspan Warns: There Will Be a “Significant Market Event… Something Big Is Going To Happen”

If there’s any single person out there who understands U.S. monetary policy and its long-term effects on domestic and global affairs it’s former Federal Reserve chairman Alan Greenspan.

he said that the era of quantitative easing and zero-interest rate policies by the Fed… we really cannot exit this without some significant market event… By that I interpret it being either a stock market crash or a prolonged recession, which would then engender another round of monetary reflation by the Fed.

He thinks something big is going to happen that we can’t get out of this era of money printing without some repercussions – and pretty severe ones – that gold will benefit from.

http://www.shtfplan.com/headline-news/federal-reserve-insider-alan-greenspan-warns-there-will-be-a-significant-market-event-something-big-is-going-to-happen_02222015

Edited February 23, 2015 by midas

[paddyjenkins]

Federal Reserve Insider Alan Greenspan Warns: There Will Be a “Significant Market Event… Something Big Is Going To Happen”

If there’s any single person out there who understands U.S. monetary policy and its long-term effects on domestic and global affairs it’s former Federal Reserve chairman Alan Greenspan.

he said that the era of quantitative easing and zero-interest rate policies by the Fed… we really cannot exit this without some significant market event… By that I interpret it being either a stock market crash or a prolonged recession, which would then engender another round of monetary reflation by the Fed.

He thinks something big is going to happen that we can’t get out of this era of money printing without some repercussions – and pretty severe ones – that gold will benefit from.

http://www.shtfplan.com/headline-news/federal-reserve-insider-alan-greenspan-warns-there-will-be-a-significant-market-event-something-big-is-going-to-happen_02222015

Greenspan is absolutely right that removing QE will cause major disruptions to certain asset classes. The first of these will probably be Gold, which may fall a lot further, possibly to $800 ish from its current level of about $1200. The reasons are simple. Gold rose because QE made Gold bugs fear the inflationary impacts of printing money. The end of QE signifies an end to printing, and end to ZIRP and an end to inflation fear. Take those drivers away and what reason is there left to buy Gold?

Thanks, Midas, for reminding me of another reason to not buy Gold.

[midas]

Federal Reserve Insider Alan Greenspan Warns: There Will Be a “Significant Market Event… Something Big Is Going To Happen”

If there’s any single person out there who understands U.S. monetary policy and its long-term effects on domestic and global affairs it’s former Federal Reserve chairman Alan Greenspan.

he said that the era of quantitative easing and zero-interest rate policies by the Fed… we really cannot exit this without some significant market event… By that I interpret it being either a stock market crash or a prolonged recession, which would then engender another round of monetary reflation by the Fed.

He thinks something big is going to happen that we can’t get out of this era of money printing without some repercussions – and pretty severe ones – that gold will benefit from.

http://www.shtfplan.com/headline-news/federal-reserve-insider-alan-greenspan-warns-there-will-be-a-significant-market-event-something-big-is-going-to-happen_02222015

Greenspan is absolutely right that removing QE will cause major disruptions to certain asset classes. The first of these will probably be Gold, which may fall a lot further, possibly to $800 ish from its current level of about $1200. The reasons are simple. Gold rose because QE made Gold bugs fear the inflationary impacts of printing money. The end of QE signifies an end to printing, and end to ZIRP and an end to inflation fear. Take those drivers away and what reason is there left to buy Gold?

Thanks, Midas, for reminding me of another reason to not buy Gold.

" Thanks, Midas, for reminding me of another reason to not buy Gold."

Oh only one?

Then show us how good an anti-goldbug you really are

Give us your counter arguments against these 12 reasons to hold gold at the moment(The supportive arguments for doing so are in the full article below )

1.Gold is Currency

2. The price of gold cannot fall, it can only be manipulated lower.

3. If the price of gold is rising, it is doing so despite enormous and desperate efforts by manipulators to prevent the rise

4. The world MUST return to the Gold Standard one day

5. Central Bankers are printing money relentlessly, and this can only drive Gold prices higher

6. Gold works whether the economy is good or bad

7. Gold will survive after the world economy crumbles

8. Never admit that Gold is essentially a sucker’s bet

9. Gold is a rejection of government, and their control of fiat money and finance

10. All Gold discussions must contain ominous macro forecasts

11. Gold is always rallying in one currency or another

12. China & India know the value of Gold; The Western world does not

http://www.goldcore.com/us/gold-blog/12-reasons-ritholtz-many-experts-mistaken-gold/

Edited February 26, 2015 by midas

[midas]

This is what gold does in a fiat-currency crisis

Now if only Ukraine actually still had some gold.....................

Edited February 26, 2015 by midas

[canuckoverseas]

Hmmm, pretty sure those Ukrainians are buying dollars. Can't buy anything with yellow rocks.

[churchill]

Perhaps another reason to think we may be seeing the lows …Apple / gold / watch

How Much Gold Will the Apple Watch Edition Consume?

http://tidbits.com/article/15443#.VO7sxYnnIRM.twitter

'The Wall Street Journal has reported that Apple plans to ramp up production of the Apple Watch Edition to over 1 million units per month in its second quarter of production. That’s an unbelievable number of gold watches, especially considering that they could cost as much as $10,000 each. But I’ll never underestimate Apple’s ability to sell lots of an expensive product.

For the sake of argument, let’s assume that each Apple Watch Edition contains 2 troy ounces of gold (Apple Spotlight estimates 50–75 grams in the Apple Watch Edition; 2 troy ounces equals 62.2 grams). Now, 18-karat gold is only 75 percent pure, because pure gold is too soft for everyday use, but for easier math, let’s also assume that 75 percent still uses 2 troy ounces of gold. (Even if Apple uses only 1 troy ounce, halving all the numbers below, they’re still huge.)

If Apple makes 1 million Apple Watch Edition units every month, that equals 24 million troy ounces of gold used per year, or roughly 746 metric tons.'

and

Apple is bringing special safes to its stores just to house the 18k gold Apple Watch

http://bgr.com/2015/02/02/apple-watch-18k-gold/

Edited February 26, 2015 by churchill

[paddyjenkins]

At a guess i would say the total apple watch sales are projected to be one million per month initially, of which a sixth may be the $10,000 Gold version. Apples initial order of 5 to 6 million watches is probably aimed at the surge in demand in the first few months, so an ongoing average of one million total per month fits. But before getting carried away even by that, Gold watches wont benefit from upgrade sales at least in terms of the actual Gold, and if a person spends $10,000 on a Gold Apple watch that probably means they wont be buying a Gold watch of any other kind, eg Rolex, IWC, Breitling, Patek Philippe etc, so those companies then buy less Gold. So Apple is more of a threat to the existing luxury watch brands than an indicator of soon to explode Gold prices. Furthermore, given that technology upgrades tend to be annual at slowest, i don't think many people will opt to buy a $10,000 watch which may be obsolete within a year. An expensive watch is bought for a lifetime, not a year.

Edited February 26, 2015 by paddyjenkins

[nelson bunker]

What i find interesting with this Apple watch is that it might bring new people to discover gold, people who had no interest in gold at all before.

It could be educational, people will have a physical contact with the metal (oh oh, it's heavy...).

With the innovation image of Apple it will also give a different image to gold, an image far away from the one of barbarous relic...

Edited February 26, 2015 by nelson bunker

[WorkingTourist]

At a guess i would say the total apple watch sales are projected to be one million per month initially, of which a sixth may be the $10,000 Gold version.

That is very bullish. Rolex is estimated to produce 7-800,000 watches/year. Do you really think that Apple will sell 3 times as many gold watches?

In comparison, Apple’s watch is a first generation product that is likely going to be obsolete sooner rather than later.

As a smart watch, AppleWatch might have appeal, but I just don’t see that many people lining up to buy it as time-limited luxury jewelry, at least not with a $10,000+ price tag.

[paddyjenkins]

At a guess i would say the total apple watch sales are projected to be one million per month initially, of which a sixth may be the $10,000 Gold version.

That is very bullish. Rolex is estimated to produce 7-800,000 watches/year. Do you really think that Apple will sell 3 times as many gold watches?

In comparison, Apple’s watch is a first generation product that is likely going to be obsolete sooner rather than later.

As a smart watch, AppleWatch might have appeal, but I just don’t see that many people lining up to buy it as time-limited luxury jewelry, at least not with a $10,000+ price tag.

In fact my one sixth of a million monthly was an attempt to more rationally interpret media claims of one million per month of the Gold watch alone. I agree with you that even my lowered estimate seems high and i really don't see why people would spend so much on a product that will quickly become obsolete. At the same time, its possible for the Gold version that the guts will be swapped and the Gold case kept. You are right that even my lowered numbers are high compared to current Rolex production numbers. But don't forget Rolex is just one of many luxury brands, and actually quite low in the hierarchy spectrum. Basically I'm trying to be reasonable but without prejudging...Apple has been able to redefine previous preconceptions and I'm not willing to bet against them right now.