GOLD

[confounded]

There will be ups and downs on the way.

 

 

Around $2,600 at today's levels.

 

Thanks Goldfinger, some way to run yet just to hit the 70's first peak.

[marmite]

ETF investor turns paper into gold bullion for the first time

 

http://m.citywire.co.uk/wealth-manager/etf...st-time/a439461

[frizzers]

Brilliant

[marmite]

ETF investor turns paper into gold bullion for the first time

 

http://m.citywire.co.uk/wealth-manager/etf...st-time/a439461

 

If this story is true, someone is paying a huge premuim too have physical delivery. The question is why ???

 

Maybe he has spent too much time over at GIM " if you dont hold it, you dont own it "

 

 

[Pixel8r]

If this story is true, someone is paying a huge premuim too have physical delivery. The question is why ???

 

Maybe he has spent too much time over at GIM " if you dont hold it, you dont own it "

It is a flat fee of £750 he could have been exchanging hundreds of shares for kilo's of gold.

 

 

 

[marmite]

It is a flat fee of £750 he could have been exchanging hundreds of shares for kilo's of gold.

 

"Lansing said that anyone considering using this facility should factor in the cost of holding a London Bullion Market Association (LBMA) account, which is the required recipient of the redeemed gold. He said: ‘There are additional costs in moving the investment grade gold into an account and form that an investor can conveniently hold.’ "

 

It looks like there are additional costs above the £750. I think we will see more and more people take delivery in the future.

 

 

 

 

 

[G0ldfinger]

"Lansing said that anyone considering using this facility should factor in the cost of holding a London Bullion Market Association (LBMA) account, which is the required recipient of the redeemed gold. He said: ‘There are additional costs in moving the investment grade gold into an account and form that an investor can conveniently hold.’ "

 

It looks like there are additional costs above the £750. I think we will see more and more people take delivery in the future.

Maybe BullionVault or GoldMoney should set up an "in-specie" contribution over from ETFs, after all they're in the LBM.

[G0ldfinger]

Is the Euro turning here?

[surfdude]

About a year ago when Armstrong wrote his paper on Gold he was calling for a temporary high in 2010-11. He was calling for gold to reach a temporary top at the primary channel top of $1380.

 

He said a big change in trend may be Oct/Nov 2010 with a 12 month trend thereafter.

 

- an Oct/Nov 2010 low would point to an explosive rally for the following year.

- an Oct/Nov 2010 high would point to a decline for the following year.

 

Clearly we are having a high so could Armstrong be right in predicting a big correction for next year?

[frizzers]

Surfdude, have you got a link to where he made those comments ?

[romans holiday]

About a year ago when Armstrong wrote his paper on Gold he was calling for a temporary high in 2010-11. He was calling for gold to reach a temporary top at the primary channel top of $1380.

 

He said a big change in trend may be Oct/Nov 2010 with a 12 month trend thereafter.

 

- an Oct/Nov 2010 low would point to an explosive rally for the following year.

- an Oct/Nov 2010 high would point to a decline for the following year.

 

Clearly we are having a high so could Armstrong be right in predicting a big correction for next year?

But when you look at the price on the log chart, the increase looks reasonably steady. Nor does the recent move look parabolic. The moves in '05, 07, and '09 look much bigger than the one now. Does that portend a large move up in '11.... after perhaps a small correction?

 

The move this year looks quite tame in comparison.

 

 

 

[Fortune]

Surfdude, have you got a link to where he made those comments ?

On p.16-17 at http://www.martinarmstrong.org/files/GOLD-5000-11-11-09.pdf

 

As we go into year-end, a close for December ABOVE the 2008 high of $1,033.90 on a nearest future basis will signal a very strong posture in 2010 and we should move up to test the top of the Primary Channel [..] This target will stand at the 1300-1500 level in 2010. Things will start to get politically serious if we start to exceed this Channel & find it provides support thereafter.

 

If GOLD were to make new highs after November [2009], then we could expect a rally going into April 16th, 2010 or so where we could reach a temporary top at the Primary Channel top [...] It does appear that the BIG change in trend may be in October/November 2010 with a 12 month trend thereafter. An Oct/Nov '10 low would point to an explosive rally for the following year & visa versa.

 

http://img840.imageshack.us/img840/7193/ma...onggold5000.jpg

[frizzers]

Thanks Fortune.

 

This tallies with some of my thoughts on the gold to silver ratio. If that spikes to 52 I think we could be looking at a year of 'consolidation'.

[G0ldfinger]

I was quite astonished how bullish Jeff Christian (CPM Group) recently talked on FSN. He sees a potential for $1,600 by January (then $1,350 by March, he said he had talked to Jim Sinclair about this). For silver he could see $30 by Jan. (or at least $25, IRRC), then $17-$18 by March. He compares this to the blow-off in 1980, which is somewhat ridiculous and shows that he has no clue of how expensive gold is in relative terms.

[Pixel8r]

I was quite astonished how bullish Jeff Christian (CPM Group) recently talked on FSN. He sees a potential for $1,600 by January (then $1,350 by March, he said he had talked to Jim Sinclair about this). For silver he could see $30 by Jan. (or at least $25, IRRC), then $17-$18 by March. He compares this to the blow-off in 1980, which is somewhat ridiculous and shows that he has no clue of how expensive gold is in relative terms.

Thanks for pointing that out I missed that one, it's here if anyone else missed it.

 

Shouldn't that have been cheap?

 

 

[romans holiday]

Well, Bernanke speaks about the need for more QE... because of the risks of deflation, and gold sells of a little.

 

A continued ZIRP policy and jaw-boning might backfire... it might actually lead to deflation expectation in the end.

[marmite]

HEADS UP - CID will be doing a Gold special offer on saturday morning

 

Any gueses what it will be ??? Maybe a 2010 nugget or 2010 krug or will it be a 2009 1/4 mexican liberted

[d2thdr]

Well, Bernanke speaks about the need for more QE... because of the risks of deflation, and gold sells of a little.

 

A continued ZIRP policy and jaw-boning might backfire... it might actually lead to deflation expectation in the end.

 

You are just hoping. Hope is good. Dollar system is not going to survive. Can I ask you what is the basis of assumptions? Who is your guide on this road? It might tell us more where to read so that we can that person has to say and also evaluate their track record.

 

[romans holiday]

You are just hoping. Hope is good. Dollar system is not going to survive. Can I ask you what is the basis of assumptions? Who is your guide on this road? It might tell us more where to read so that we can that person has to say and also evaluate their track record.

Well, I wouldn't count myself a conventional deflationist..... I prefer originality.

 

http://www.greenenergyinvestors.com/index....st&p=176763

[G0ldfinger]

Thanks for pointing that out I missed that one, it's here if anyone else missed it.

 

Shouldn't that have been cheap?

I didn't qualify it, IMO it is NOT expensive.

[d2thdr]

Well, I wouldn't count myself a conventional deflationist..... I prefer originality.

 

http://www.greenenergyinvestors.com/index....st&p=176763

 

Seems to me your originality has a significant flaws. You have formulated a theory with US dollar as the global reserve currency and the future will remain as such with gold standard as the way to ensure everything falls into place and the excesses are eliminated. People around the world have suffered and are suffering just to keep Americans happy by providing gasoline for 20 cents a gallon.

 

You have discounted peak oil as well. If there is no oil available to be shipped or if US dollar can not buy oil, how can American hegemony be maintained?

 

Your theory is speculation, but it can not be applied to reality. BECAUSE PHYSICAL GOLD DOES NOT SUBMIT ITSELF TO DEFLATION.

 

Link

Troy and Beyond, Even to Rome!

 

Back then, there was no other currency. No paper moneys or banks. One had no need to save gold as a hedge or savings account. Your wealth was in the useful things contained in the world around you. Those little hunks of metal were just that, little hunks of gold that everyone knew had trading value. They were not money, not the way we think of money today. They were just a beautiful metal, gold.

 

In fact, that is why you carried them, to use that gold if it brought the best deal in a trade. That was worth considering because they didn't always bring the best trade. Unless most of the time you were on the road. Within local communities, at least, goods for goods exchange always traded better than goods for gold. But over distance, the town next door or the seaport across the Aegean, those gold hunks could usually do better than the flask of oil you took with you. One made the best use of gold by using it, not saving it.

 

Unlike today, the laws of money were turned on end from our perception. Gold was for spending (trading) and spend it people did, especially "away from home". There were many non-gold coins around then, silver, electrum, bronze, iron, copper and they did something we cannot comprehend;

 

----"this bad money drove good money into circulation" ---- (smile).

 

Yes, the little metal chunk that carried the highest trading return was spent first! But why? Because the average person's wealth and savings accounts were denominated in the real useful things you owned and consumed during your short life. (See my #56 again to get the mind working) This, my friends is the reason the vast majority of physical gold stayed "on the road" of commerce while all the other metal coins were saved for later use. Gold traded best, so it traded first.

 

The common repeated ratio that during most of the Greek times a 1 to 10 value existed between silver and gold was official dogma and sounded about as right then as it does today. But, like today, it was seldom tested on an established exchange. That's because the coins had no denominations and were much less traded between themselves, not to mention there was no exchange! Anyone holding gold would be a fool to trade it for silver or any other metal because a trade for goods or services would surely bring a much higher return. The same was true for silver because it was better to risk a trade for goods than be taken in a trade for gold.

 

Back then, gold chunks were, by far, more rare and tradable than most any other coin produced. If it wasn't traveling by night or stayed too long in a trading town, it was quickly melted into the next generation of national coinage and sent packing again. Or it temporally became the object of a Troy metal craftsman's hand. You see, those little chunks of gold, I point out again, had no denomination of currency unit on them. They were fair game to become tradable gold in any form, be it bar, coin, chain or chip. The same rare gold made the circle between coin and "use object" many times over.

 

All of this is supported because aside the finds of major treasures, the finds in "working towns and homes" did have tiny gold objects of wealth but rarely did they have gold coins. The presents of these other tiny pieces of gold wealth in medium size homes indicates that they would have had the resources or incomes to use gold coins as trading vehicles,,,,,,, but they did not have the resources to tie up that much wealth by saving coins of gold! That same "logic train" negates the premise that these same working people couldn't afford gold and therefore used lesser metals as coinage in equal value or in a 1 to 10 ratio of gold! They did use these other coins, but used them less. Gold finds, relative to other coins are rare because it was always spent. Place yourself in their times?

 

Again, people "did" often have and save "other" metal coins. So many, in fact that great numbers of these bronze, silver, etc. coins keep being found at dig sites today, all across Europe and Asia minor. Many of them found right in the same "regular" backyard saving accounts we ourselves sometimes use. Planted long ago as the next best trading item one could store and not lose too much "use wealth" during the wait. Indeed, these lesser items could afford to be put away.

 

But, you thought silver was more in style as a coinage then, because so much of it survived? If that were the case, those metal items would have made the exact same trip gold did. They would have been melted down and reused into jewelry and coins, never laying down for rest in such great numbers. (good logic, yes?)

[romans holiday]

Your theory is speculation, but it can not be applied to reality. BECAUSE PHYSICAL GOLD DOES NOT SUBMIT ITSELF TO DEFLATION.

Did you read my post? I know, I know... it's verbose.

 

Well, even Peter Schiff, famous hyper-inflationist, says everything will deflate in terms of gold. With this, I agree while finding the hyper-inflation of currencies an unnecessary hypothesis.

[d2thdr]

Did you read my post? I know, I know... it's verbose.

 

Well, even Peter Schiff, famous hyper-inflationist, says everything will deflate in terms of gold. With this, I agree while finding the hyper-inflation of currencies an unnecessary hypothesis.

 

See you already are contradicting yourself. I said Physical Gold does not submit to deflation. Everything else inflates.

 

[romans holiday]

See you already are contradicting yourself. I said Physical Gold does not submit to deflation. Everything else inflates.

I'm not sure we're disagreeing.

 

Inflation.. deflation... it's all relative. It depends how you want to measure it.

[G0ldfinger]

Mr. T Interview on Gold

http://www.bloomberg.com/video/63695708/

 

EDIT: "Gold is special", something about angels and Jesus too. He is an original.

 

The young boy who talks about the Dow/S&P gets it @$$-backwards of course.