scary if true

[lamboguy]

http://www.321gold.com/editorials/moriarty/moriarty082416.html

and just might be spot on

[barn32]

http://www.321gold.com/editorials/moriarty/moriarty082416.html

and just might be spot on"As Tom McClellan has observed a number of times, full moons tend to mark either reversals in the metals or acceleration in the direction they were moving before the full moon."

Stopped reading here.

[barahona44]

I never got this gold and silver thing.Why not coconuts or ostrich feathers?If there is a financial crisis, how could holding gold make things better? It's the greater fool theory writ large
If things get that bad, plant some vegetables and go in on a ownership share of a dairy cow.Be like the guy who bartered a paper clip into a small home in Saskatchewan.

Advisors who tell you to buy gold are trying to sell you gold.

[pandy]

I never got this gold and silver thing.Why not coconuts or ostrich feathers?If there is a financial crisis, how could holding gold make things better? It's the greater fool theory writ large
If things get that bad, plant some vegetables and go in on a ownership share of a dairy cow.Be like the guy who bartered a paper clip into a small home in Saskatchewan.

Advisors who tell you to buy gold are trying to sell you gold.


I agree. Gold was a great buy when it was under $400 because it had nowhere to go but up. True, now it's down from it's all time high but it's a guessing game. Companies have something to sell that people need or want, stocks seem a better gamble to me.

[lamboguy]

stocks were a great buy when the dow was under 2000. now its pushing 20,000. if stocks are such a great buy, doesn't that make gold even a better one now???

[JustRalph]

Lead and copper with a little brass thrown in are the most important precious metals

[lamboguy]

just looked at IBM from 10 years ago when the stock was $130 per share, today its $160. there were more outstanding shares back then than there are now and the market cap has remained close to the same. so the appreciation came from the condensed amount of shares, meaning buybacks. the money came from 1 of 2 different ways, either the earnings from the company or borrowed money to buy back the shares. if it was the latter and interest rates shoot up, the value of IBM shares will plummet. it looks like there are similar results from other high tech company's that i can see like cisco system's and micron technology. this leads me to question the rise in the dow from 8000 10 years ago. how much of that is sustainable with a rate increase? or if the rates won't increase to keep the valuations of these shares high.

it certainly looks like this system has rewarded those that were smart enough to borrow and sent people like me to the penalty box that saved over the last 10 years.

[teddy]

Some etfs are physical and some synthetic. Risk occurs on synthetic ones. At least more risk anyway if they cant pay up. GLD is physically backed so its considered safe.

[Parkview_Pirate]

just looked at IBM from 10 years ago when the stock was $130 per share, today its $160. there were more outstanding shares back then than there are now and the market cap has remained close to the same. so the appreciation came from the condensed amount of shares, meaning buybacks. the money came from 1 of 2 different ways, either the earnings from the company or borrowed money to buy back the shares. if it was the latter and interest rates shoot up, the value of IBM shares will plummet. it looks like there are similar results from other high tech company's that i can see like cisco system's and micron technology. this leads me to question the rise in the dow from 8000 10 years ago. how much of that is sustainable with a rate increase? or if the rates won't increase to keep the valuations of these shares high.

it certainly looks like this system has rewarded those that were smart enough to borrow and sent people like me to the penalty box that saved over the last 10 years.

I worked for IBM for five years, and they were definitely buying back shares with bonds issued back in 2011/2012. I took some sales training, and all the retirees were encouraging us new hires to get out there and sell to keep that stock price up. I don't recall off-hand how long the terms were on the bonds or whether they would adjust if interest rates go up. But that will be a HUGE problem for businesses, homeowners, the Government, etc., if that happens.

That's why the Fed is in such a corner.

And yes, while the tech and other companies were "smart" to borrow and inflate their share prices, savers and those on pensions/fixed incomes have really gotten the shaft. That's one of the reasons I quit my job a few months ago to start enjoying some of my savings before all hell breaks loose. IMHO, the future will be a time to have skills, no debt and few assets.

[ReplayRandall]

I quit my job a few months ago to start enjoying some of my savings before all hell breaks loose. IMHO, the future will be a time to have skills, no debt and few assets.

CASH is King!!

[reckless]

I never got into the fascination of gold being an investment alternative.

For gold to really, really appreciate, all hell must break loose and the world must be coming to an end.

In the meantime ... gold pays no dividends, there are carrying costs if one hold physical gold, there's real risk in buying gold-related ETFs... most of these ETFs also don't physical have any gold, just shares in mining companies, etc., and that's way more risky than owning Gilead, Apple or Microsoft common stock.

If one feels danger in investing in stocks -- that's an individual choice, I won't tell people what to do, although I am usually all-in in stocks -- then sell everything you own: stocks, bonds, house, car, spouse and kids.... everything... because when (really if) the alleged SHTF (shit hits the fan) then nothing at all will be safe to own.

[Parkview_Pirate]

CASH is King!!

Some of those folks in Cyprus, who had more than 100,000 pounds in the banks there found out differently (if by cash you include savings/checking accounts).

But, almost all my wealth is in savings or a trading account. Some cash. Hoping against a banking holiday. Renting a house. Planning to move from the big city to rural-ville soon. No interest in gold, some ammo in the closet. Trying to think of the most likely future, somewhere between Obama's Rosiness and Mad Max. Trying to figure out the balance between enjoying life now and full-fledged panic.

And right now, it's going pretty swell.