You know, it's good to see titles of articles on the Kitco website that say:
"Metal stocks: Gold closes up for the day, but down for the week."
"COMEX gold ends up, seen edging lower in range."
People that write these kinds of commentaries try to look for the negatives when it comes to gold. "It's up today but down for the week" "gold ends up but it's going lower" With the price of gold where it's at, I'm surprised we haven't had any central banks announcing that they are going to sell gold. I think we'll get that as we approach 430. When a bank does sell gold notice they never mention who's doing the buying. If it's true China is looking to buy 1700 tons of gold I'd like to wish the gold price cappers luck trying to keep the price under 700.
When gold starts moving up I regret not buying when I had an opportunity at a lower price. I read about people complaining about the price of gold being manipulated, while it can be frustrating, I really don't mind, it gives us a chance to buy more before it moves up higher. I don't know where most of you think the price of gold is going, but I'm looking for the old highs to get took out.
Richard Russell wrote in his daily commentary today:
"Paper money does not hold its value."
Whenever I buy gold I never think of it as "buying" gold. I think of it more as exchanging one form of currency to another. How can people prefer something that has lost 95 percent of it's value in the last 90 years to something that has been recognized as wealth for over a thousand years? The more I think about the dollar just being pieces of paper with ink on them, the more I want to jam all I can into gold.
The more we have people that write negative commentaries or articles on gold the better. That tells me not too many people are on board this train. The less company on this trip the better. They'll join us at much higher prices..
If you are only 25, as you state, and not wishing you were....you're pretty smart for that generation...Most journalists who write about financial markets, like the one you noted, don't have two dimes to rub together...They are told by their editors to present a balanced view...for that they keep their jobs....They don't have ideas they back up with bucks....They just hope to get promoted and go on junkets where somebody else pays...Maybe they'll get a girl, certainly they'll get drunk.
With almost everybody under invested or not invested in PM related there's more of an audience who will clap for the negative than the positive about PMs. Who wants to be reminded that they are late to the party, especially if under 50, they have no knowledge of the last time PMs moved and why....little sense of economics other than related to "tech" and much less of history.
Others of course have been burned when they finally decided to jump in to PM related after a rally and a new high, only to be taken to the showers by the CABAL who lies in wait for the foolish public spec to unload onto in a market that doesn't have Wall Street suppot...Losers don't want to be reminded they invested poorly...better that PMs are going down or a good case that they will..their sale is therefore justified.
Wait till this unfunded pension issue hits the press after the elections and adds to the unfunded liabilities of the US government...(Notice today that a United Airlines pilot expecting to get 66K a year will only receive $22 K)
At 25, or wishing, you're not likely concerned about your retirement, but several other generations are ....much more so than the last girl who dumped them...When it becomes plainly obvious to even those with their heads the furthest under ground rapped up in front of their big screen TV under the influence of sports escapism that Uncle Sam is broke and that the Chinese and Russians are on the hunt for what will truly be of value, Gold and GG will be many multiples higher than current levels....Only those on the train now will truly prosper....
If I had to invest in any other sector other than the precious metal sector, I would look to invest in printing press parts, those things are ran until they just roll over and die. All the damage that has been done over the years because of this careless printing of money. A few decades ago it only took one income to be able to afford the payments of a house, now it takes two incomes and the couple is still struggling. With all the stress this brings I wonder how many couples have divorced over inflation. A friend of my sister�s was telling us that her 14 year old daughter brought her to tears, she asked her mom why doesn�t she have any time to spend with her and her younger sister, she works a full time job and get out late so she never sees her daughter play sports. I think this is all too common these days, the loss of purchasing power of the dollar has done many people major harm. All paper currencies go to zero and the dollar should be no different. Gold is a MUST have during these times. Gold has protected people in the past during dark times and it will protect us again. We are but a small percent of the people who understand these times, what an opportunity we have, getting in on the bottom of what could be a big bull market in the metals.
�Who wants to be reminded that they are late to the party, especially if under 50, they have no knowledge of the last time PMs moved and why....�
That is so true, the younger generation probably doesn�t even know that gold was once selling at over 800 an ounce. The young financial advisors and young investors are only used to seeing the Dow Jones rise pretty much year after year. They don�t know what a bear market looks like. Even though the DOW hasn�t done much in the last few years �the markets always go up.� They also don�t know gold is wealth and think of it only as jewelry.
I like to speak to young financial advisors just to see there view of things. I like to get there thought on metals, one told me flat out that I was �crazy� for investing in gold stocks, but then again, this was the same genius who got me into a tech stock that got de-listed a few weeks after I invested, I was able to get out at a 25% loss, that was the last time I ever listened to an advisor. I prefer to listen to people that have been there, people in there 60�s that have been through both bull and bear market, people like Richard Russell. Most everyone in my age group are blind, they don�t see what�s happening or what�s coming, there is going to be a lot of surprised, upset people within the next few years�
I just turned 30 a few months ago. I haven�t got around to updating my age on the profile. My cousin set me up with the e-mail and put 1976 instead of 1974.
The place where I work is pretty much a minimum wage workplace. The age range is anywhere between 20 to 30. As I look at all my co-workers and also all my friends, they are all absolutely clueless to what�s happening to the economy and the financial markets. The only thing they know is that the price of gasoline is rising. They don�t know anything about gold or silver and have probably never even thought of buying some.
My financial advisor works for Wachovia, I call him every once in a while to see if anyone is buying gold and silver stocks. He says that out of all the people he deals with there is only one person besides me that is buying gold stocks. I�ve read that the percentage of investors that are in the precious metals is under one percent. Imagine what would happen when three to four percent get in.
That�s why I think we have an excellent buying opportunity right now, as people that follow the gold market�
We know that the dollar is going to tank,
We know that gold has been moving higher over the last three years,
We know that world demand is 4000 tons and supply is only 2500 tons,
We know that countries are starting to buy gold, (Argentina I think bought 42 tons)
We know that China, India, Russia and the Middle East are buyers,
We know that huge gold deposits are getting harder and harder to find,
We know what happened in the 1970�s,
We know that the employment numbers are lies,
We know the trade deficit is big and getting bigger,
We know oil is headed for 75 a barrel,
Just as there is no gold at the end of the rainbow, the same is true for Fort Knox. How long has it been since there has been an audit there? It�s not like it�s going to take a long time to count the gold, I mean, how long can it take to count nothing? Stories of former guards saying there is no gold� stories of Army trucks leaving Fort Knox� great, we have a currency that�s backed by squat.