G0ldfinger

Once can clearly see that silver has the round-number-jitters too. That's why gold-silver is stuck just below 50 for now.

The cab driver from the airport today told me "that people were fearing the house market was tumbling". Hmmm, I thought, and told him of paper money and that all this could end very badly.

I am away for a day, and what happens? Gold almost at $1,000. Of course mainly due to Dollar selling.

Bernanke will destroy the Dollar. He and the Fed are navigating in uncharted waters. I've just bought a large chunk of silver. Maybe it will go down further, but I think we have seen nothing yet on the upside.

So, the HPC gold thread is open again. Having being shut for so long, they just think it's gonna rise from the dead? Anyway, I will be quite busy the next few days, not much time to watch the price of gold. See you folks again towards the end of the week.

The Dow has said 'adios' to the 12,000-level. But today's fall still is pretty contained.

I think, I will do the same soon. Only, my money isn't there yet.

Bear Stearns going belly-up? http://www.bloomberg.com/apps/news?pid=206...&refer=home No wonder someone HAS to dump gold.

Want to buy some silver soon, but my 'powder' hasn't arrived yet where I need it. http://www.bloomberg.com/apps/news?pid=206...&refer=home Oil at $107 -- Gold sells off. $300?

This inflation thingy just won't go away. http://www.bloomberg.com/apps/news?pid=206...&refer=home

Gold and silver getting hammered today from the very beginning.

It's a full-blown bankers' panic. We had a real bank run already, the bank run on the shadow banking system is almost over (all SIVs busted already?), and now this. The run on the muni bonds is also almost over. Next thing is a run on government bonds. And then possibly some real bank runs again. Run, run, run. Got gold?

It's all blowing up. http://www.bloomberg.com/apps/news?pid=206...&refer=home Money Markets May Force Bank of England to Revive Auctions, Barclays Says Infinite rollover, anyone? http://www.bloomberg.com/apps/news?pid=206...&refer=home Hedge Funds Reel From Margin Calls Even on Treasuries

I think they won't let the big boys go down. I agree, any real bank failure with lost deposits is real monetary deflation. But I think they will only allow a few small ones to go against the wall. Imagine Citi going bust with no bailout whatsoever. I don't think it will happen, but if so, gold would go to the moon since the only safe place for your money (if even Citi can go bust, and Treasuries only ever pay negative interest). The US 1929 and Japan in 1990 are very different cases. Both where creditor nations at the time. And in 1929 you had the gold standard as well.

He fails to understand that central banks are there to avoid a deflationary slump, and that is exactly what they're doing now. They are cautious, because they know it will cause (hyper-)inflation, but political pressure will be too much to withstand. RK will be wiped out. But then, someone has to. And he is shorting the greatest bull market of this century (gold & PMs) against better knowledge. If anyone, he deserves it.

Selected Gloomberg headlines this morning: * Asian Stocks Fall to 7-Week Low on U.S. Jobs Report; Toyota Leads Decline * Dollar Declines as Traders Start to Bet Fed Will Cut Benchmark Rate to 2% * Yen Bulls Test Bank of Japan's Indifference to Biggest Rally This Decade * TIPS Prove Bernanke Has Lost Control of Inflation as Yields Turn Negative * European Stock-Index Futures Drop; Natixis, UBS, Credit Suisse May Decline * Auction-Rate Collapse Spurs Bond Sale `Tidal Wave,' Hearings in Congress * China Rail Construction Shares Rise, Nation's Worst IPO Debut Since 2006

This week, this will be true for me too. But I'll be back next week.

Hi GOM. Nice to see you over here.

David Morgan on silver: http://news.silverseek.com/SilverInvestor/1204906825.php

1oz coins are more expensive than 1oz bars because the are more 'recognizable'. Everyone (with a little interest in gold) knows the Krugerrand, while not everyone knows every assayer and how their bars look like etc. In general the more common coins (Krugerrands) are cheaper than less common ones. That might be due to collectability, scarcer/nicer implies higher price.

Mostly, yes. But my father always had a few coins, and has now gotten more interested in it again. I think it is BECAUSE he had no bank account that he valued the metal so much. Interesting though that gold can be found on the beach. I would think it would sink instantly to the ground or sink deeper into the sand.

Here are a 1oz Britannia, a Maple Leaf and a Krugerrand. One can clearly see the differences in colour and size. One can also see that the fine gold coin is much more scratched than the others (although, they obviously differ in age anyway, but still).

I think you're too pessimistic. Back in Germany in the 1920s, people where just happily pushing around their wheelbarows (full of worthless cash) to buy a loaf of bread or a bottle of milk. They where also very civilized and took the totally useless notes and used them as fuel in their stoves. No total breakdown of civilization. Just a severe hickup (that lead to a total breakdown a couple of decades later, of course). Don't get scared by people like John "gold-will-go-down" Nadler who only recently said he would not like to live in a world with gold at $1,000. Has he committed suicide meanwhile, I wonder? Obviously, he was just (one more time) talking rubbish when he made this statement.

I've recently been buying more Sovereigns. The reason is that the premium is comparably small even for small quantities (7.5%, not 10%-12% like Britannias or Pandas), but they have the CGT advantage. Another advantage is that they are only 0.2354 ounces, i.e. you can sell them in very small quantities should the price ever go astronomic (or you can buy only half the supermarket, instead of buying the whole chain with a 1oz Kruger). Other coins in that size (1/4oz) usually carry a much higher premium.