GOLD

[Errol]

Good to see Schiff on top form. Bang on the money as well. Absolutely spot on.

[headmelter]

Netto is not including VAT, Brutto is including VAT

 

Brutto is what you will pay.

 

 

Thanks.

Forgive my ignorance but is gold not tax free?

[ConvertedGoldBug]

Can't see a reply so I'll give you my experience.

 

1)Ordered in Euros by mistake on the Tuesday

2)Eventually found thier invoice in my junk mail on the Friday

3)Rang them and said I wanted to pay but not in Euros.

4)I went to HSBC and deposited £ in their account 4.45pm (Just in time before the bank closed)

5)Notified them of payment by E-mail

6)They confirmed release on the Monday

7)UPS delivered 10.00am Wednesday

 

Hope that helps.

kb

Thanks for the info.... I hadn't seen anyone else reply either

 

Well, just placed my first order with "CoinInvestDirect.com" for a 1oz Gold Maple, and some 1oz Silver Philharmonics

 

Paid my invoice straight away (Sunday) via online bank transfer, so not sure how long that will take to get into their account... do you think I'm likely to receive my package by Thursday (before the Easter break)?

 

Can't wait to see what some real gold and silver coins look like!

 

Not sure how many silver coins I'll buy in total, maybe only about 50.

 

I know they're likely to go up in value quicker than gold, but due to the volatility, I think I'd prefer a smaller quantity of gold coins ultimately, rather than a whole hoard of silver coins that I'd then find myself having to dispose of to trade for gold. Will probably stick with my silver ETF to make money to use to buy some more real gold coins.

[narco]

Thanks for the info.... I hadn't seen anyone else reply either

 

Well, just placed my first order with "CoinInvestDirect.com" for a 1oz Gold Maple, and some 1oz Silver Philharmonics

 

Paid my invoice straight away (Sunday) via online bank transfer, so not sure how long that will take to get into their account... do you think I'm likely to receive my package by Thursday (before the Easter break)?

 

Can't wait to see what some real gold and silver coins look like!

 

Not sure how many silver coins I'll buy in total, maybe only about 50.

 

I know they're likely to go up in value quicker than gold, but due to the volatility, I think I'd prefer a smaller quantity of gold coins ultimately, rather than a whole hoard of silver coins that I'd then find myself having to dispose of to trade for gold. Will probably stick with my silver ETF to make money to use to buy some more real gold coins.

Gold Maples are a very nice coin, as are the Philarkmonikers.

 

You should probably expect delivery on Thursday via UPS.

[Bobsta]

Good to see Schiff on top form. Bang on the money as well. Absolutely spot on.

 

This second video from Fox on the same day is also great: http://www.europac.net/Schiff-Fox-3-14-08_lg.asp

 

It infuriates and amazes me that these so-called "experts" / "economists" point-blank fail to recognise that if you increase the supply of dollars automatically each one is worth less!

 

Schiff is also quoted in Friday's Daily Telegraph here: Dollar under pressure as US outlook darkens (also copied on Schiff's site).

 

Interesting quote from that article (not by Schiff)...

Hans Redeker, head of currencies at BNP Paribas, said the central banks may soon spring a trap on the markets, clubbing together to boost the dollar. The aim would be to chill the commodities, bringing down energy and food prices. "Shaking out speculators would be an indirect way of reducing the inflation impact from raw materials," he said.

[azazel]

The Schiff Has Hit the Fan !!!!

 

Peter Schiff March 14 2008 Fox Business News - Cavuto

http://www.europac.net/Schiff-FBN-3-14-08_lg.asp

 

Watch and enjoy

Thanks for posting that article and video. Id be worried sick if I had a large amount of ££ in the bank.

 

Do you think these people are exaggerating how bad things are and how bad they will get? Or are they telling it how it is?

 

If the world financial system is going to fail, is BV a good idea as it depends on the banking system to get your assets back?

[Pluto]

Well after reading the Sunday papers from the UK, and listening to what Paulson has to say for himself this morning... and considering that tomorrow Bush, Paulson, Bernanke, and the rest of the PPT are due to meet to discuss the crisis, I have come to the following conclusion:

 

We're FREAKIN DOOMED.

 

Of course, a canny Scot, Private Frazer from Dad's army, predicted this years ago which has been parroted by the Mogambo guru more recently.

 

Physical gold and silver seems like the only logical way to go now.

[azazel]

Thanks for the info.... I hadn't seen anyone else reply either

 

Well, just placed my first order with "CoinInvestDirect.com" for a 1oz Gold Maple, and some 1oz Silver Philharmonics

 

Paid my invoice straight away (Sunday) via online bank transfer, so not sure how long that will take to get into their account... do you think I'm likely to receive my package by Thursday (before the Easter break)?

 

Can't wait to see what some real gold and silver coins look like!

 

Not sure how many silver coins I'll buy in total, maybe only about 50.

 

I know they're likely to go up in value quicker than gold, but due to the volatility, I think I'd prefer a smaller quantity of gold coins ultimately, rather than a whole hoard of silver coins that I'd then find myself having to dispose of to trade for gold. Will probably stick with my silver ETF to make money to use to buy some more real gold coins.

I placed and paid an order on monday and I think they tried to deliver on friday but I missed it. I paid online bank transfer.

[marceau]

Good to see Schiff on top form. Bang on the money as well. Absolutely spot on.

 

 

Fantastic interview, Schiff is a real asset, he puts his point across so clearly and forcefully, and he backs it up with sound reasoning.

 

I don't think next week will be one for a dithering market. We'll pick a direction and head in it with force.

 

My current thinking is a panic sell after the Fed cut on Tuesday, when the market realises that the Fed is running out of ammo and effectively painting itself into a corner.

 

I think this will drag gold down with it, but I don't think it will be very far, possibly the old $972 battleground. After that gold shoots higher, much higher as the muppets realise their precious bubble world is gone.

 

However, there is also the possibility that Monday will bring a bout of fear-based selling that takes the financials and general indices temporarily into massively oversold territory. This could create ideal conditions for a great sucker rally when the Fed does cut, the end result will be the same, but I may be tempted to have a day trade punt on some of the better banks if they get hammered on Monday morning in NY.

 

Bull or bear, it's brown trousers time in the markets this week.

[drbubb]

I always thought that this would happen:

(1) The US will boycott the Chinese Olympics.

(2) China won't help the US anymore to finance their deficit.

(3) The US will see the greatest economic/hyperinflationary slump ever.

(4) China will invade Taiwan since the US will have other more urgent problems at the time.

 

The Chinese will watch the forthcoming Taiwanese election with interest.

If the KMT leader is elected, tension may ease markedly.

[dietcolaaddict]

From the BBC, a nice interactive graph of gold prices since 1971 with explanations of the major peaks and troughs.

 

Worth a 5 minute look IMHO:

 

http://news.bbc.co.uk/1/hi/business/7284184.stm

 

Good for the price of gold

- inflation

- invasion

- political problems / natural disasters that affect oil supply

- credit crunches and banking instability

 

Bad for the price of gold

- gold sell offs by IMF or CBs

 

 

SO MY QUESTION - where are we with IMF and its plan to sell off their gold reserve?????

[marceau]

From the BBC, a nice interactive graph of gold prices since 1971 with explanations of the major peaks and troughs.

 

Worth a 5 minute look IMHO:

 

http://news.bbc.co.uk/1/hi/business/7284184.stm

 

Good for the price of gold

- inflation

- invasion

- political problems / natural disasters that affect oil supply

- credit crunches and banking instability

 

Bad for the price of gold

- gold sell offs by IMF or CBs

 

 

SO MY QUESTION - where are we with IMF and its plan to sell off their gold reserve?????

 

 

The central bank sales of the 90s were of an entirely different magnitude to those proposed by the IMF at the moment. I'll have to dig out some figures. The other thing to consider is that those sales occured at a different point in the cycle, with low demand and relatively benign economic conditions. This far increased the negative impact.

[drbubb]

This is how gold bears could end up.

 

 

Lol

And Gold Bulls may wind up owning several flats like that one

[marceau]

I copied this from bullion vault, but I think it gets the point across quite well. Take a look at the gold price on the BBC chart between 1976 and 1980, it looks pretty clear to me that the IMF failed miserably.

 

Would selling some IMF gold help push the Gold Price lower – and by extension, help the US Dollar to recover? It's been tried before, and with little success.

 

Between 1976 and 1980, the IMF sold gold in a bid "to reduce the role of gold in the international monetary system," selling one-third of its total gold holdings – a massive 1,600 tonnes.

 

Well over 60% of the world's current annual gold-mining production today, half of that IMF gold was dumped onto member nations at just $35 per ounce – the old "fixed" Gold Price up until the US Dollar was finally cut free of gold in 1971. Mid-way through the 1970s bull market in gold, that was less than one-third the abiding Gold Market price.

 

The other half of that IMF gold was sold via auction, but the auctions were so well subscribed, the impact on Gold Prices was to actually force them higher and the auctions were eventually suspended.

 

The other thing to remember is that the amount proposed for sale this year (I believe 400 tonnes), is only equivalent to the amount sold by Gordon 'Ignoramus' Brown in 1999. During the 90s almost all gold owning nations sold off large amounts, totalling many thousands of tonnes.

 

The link below was written in 1998, but it makes interesting reading on drivers for the gold price over the years.

 

Paul Van Eden - 1998

[wren]

Peter Schiff March 14 2008 Fox Business News - Cavuto

http://www.europac.net/Schiff-FBN-3-14-08_lg.asp

 

Watch and enjoy

Good stuff. "Let them go under" (Bear Stearns).

 

I find he always comes across well in interviews.

[dietcolaaddict]

The other thing to remember is that the amount proposed for sale this year (I believe 400 tonnes), is only equivalent to the amount sold by Gordon 'Ignoramus' Brown in 1999. During the 90s almost all gold owning nations sold off large amounts, totalling many thousands of tonnes.

 

Thanks a lot for the info, marceau

 

I can sleep a little easier tonight......

[drbubb]

CDNX (mostly Junior Miners) - I still think it is in an uptrend

 

 

The daily chart still looks positive to me

[wren]

If the world financial system is going to fail, is BV a good idea as it depends on the banking system to get your assets back?

BV banks with Lloyds TSB in London. This is one of the safest and most boring banks in the UK. So if any banks survive in the UK this should be one of them.

 

Failing that taking personal possession is the only way. I'm willing to go with BV.

[Itinerant Wanderer]

Dr B.,

 

I know I've asked a few times - any sign of a CDNX proxy around yet? If not, which junior minors do you currently favour? RGLD is taking some paperwork for me to buy (because its on NASDAQ so I have to fill in some forms...). Anything UK or European based?

 

CS

[wren]

Thanks.

Forgive my ignorance but is gold not tax free?

Yes, in the European Union gold bullion is free of VAT, due to an EU law of Jan 1 2000. Gold bars and standard bullion coins certainly count as bullion. (Collectors' coins may not be depending on the price. I forget the details of the definition, something like if the price is no more than 50% more than the spot price of the gold content it counts as bullion.)

 

In the EU silver is not in general free of VAT.

[drbubb]

Dr B.,

 

I know I've asked a few times - any sign of a CDNX proxy around yet? If not, which junior minors do you currently favour? RGLD is taking some paperwork for me to buy (because its on NASDAQ so I have to fill in some forms...). Anything UK or European based?

 

CS

 

Yes, but there is a very imperfect correlation

 

AMBR.L........... : CYN.L............ : SVE.L.............

 

Does us a favor. Study the correlation with $CDNX, and tell us how good it is

[drbubb]

If cutting interest rates will not work to revive economies this time, then the deleveraging will continue relentlessly. It is that simple.

 

And, why are the bond markets freezing, and such? Because lenders of all types, who bought all the securitized debt, now realize that the present levels of debt in every sector, public and private, cannot be kept up. So, then, why do new lending? Everybody is maxed out. The reason for the collapse of the credit markets is also that simple.

 

The only thing standing in the way of a total world financial collapse right now is all this massive emergency lending by central banks to financial institutions. That means that, when enough big investors realize there will be no economic recovery from cutting interest rates this time, the stock markets will finally collapse big. I expect this to happen sometime this year, election or no election. The problems are just too big.

 

/see: http://www.marketoracle.co.uk/Article4016.html

 

= = =

 

I have to point out that senior bond market makers have repeatedly said that they have never seen bond/credit markets in such disarray, and so illiquid. Losses due to forced selling pile up, and financial institutions become even less willing to buy into the mess. Virtually no one wants to get into the bond insurer mess. That’s just unlimited liability.

 

The hedge funds that tried to buy into bond markets this year thinking they had bottomed are now out of business/frozen from redemptions. No one is going to try that again for a good while...

 

/see: http://www.prudentsquirrel.com/

[ConvertedGoldBug]

The only thing standing in the way of a total world financial collapse right now is all this massive emergency lending by central banks to financial institutions. That means that, when enough big investors realize there will be no economic recovery from cutting interest rates this time, the stock markets will finally collapse big. I expect this to happen sometime this year, election or no election. The problems are just too big.

DrBubb,

 

What's your stance on this with regard to mining shares?

 

Presumably they'd get hammered, but what about longer term?

 

Would these likely recover really quickly if the price of gold skyrockets?

 

Or could they stay in the doldrums for a long time?

[marceau]

If cutting interest rates will not work to revive economies this time, then the deleveraging will continue relentlessly. It is that simple.

 

We could be looking at the last bounce on Tuesday. After all, following the Fed's (presumably monstrous) cut, where will the market get its next injection of fantasy? I can't see anything on the horizon, so I think this will have played out in a big way before the end of the month. Either the Fed throws caution to the wind and monetizes completely, or we go into the black hole.

[wren]

This second video from Fox on the same day is also great: http://www.europac.net/Schiff-Fox-3-14-08_lg.asp

Wow. He tries to talk about hedonic adjustment of the inflation numbers and the interviewer tells him to shut up "You're boring me and the nation"!

 

But this is one of the main ways the CPI is faked. The other guy accuses him of conspiracy theory (great Newspeak that) but a proper explanation is boring!