Gold

[pieman]

How low will it go? Quite a smash fest over the last few days with panic selling forcing it down another 13%, the largest fall ever occurred on Monday also.

For me was always a dud investment with zero yield, nil chance to buy under market, zero chance to add value, zero ability to live in it, no franked dividends, reliance on the greater fool to bid the price up etc etc

 

[HotRod]

How low will it go? Quite a smash fest over the last few days with panic selling forcing it down another 13%, the largest fall ever occurred on Monday also.

For me was always a dud investment with zero yield, nil chance to buy under market, zero chance to add value, zero ability to live in it, no franked dividends, reliance on the greater fool to bid the price up etc etc

But does it "value" really change?

A kilo of gold is still worth a kilo of gold.

Maybe everything else is changing value?

 

[JT7]

But does it "value" really change?

A kilo of gold is still worth a kilo of gold.

Maybe everything else is changing value?

And that is the significant statement and well said!

With the world banks devaluing currencies by printing billions of dollars a month creating fiat currencies it's only a matter of time before inflation becomes an issue.

ETF's have been sold off in panic conditions over the last week however, physical gold and silver demand has remained incrediably strong.

Buying opportunity?

 

[pieman]

But does it "value" really change?

A kilo of gold is still worth a kilo of gold

...but if you purchased a kilo of gold 4 months ago it would be now worth 20%+ less in Aussie than now!

 

[HotRod]

...but if you purchased a kilo of gold 4 months ago it would be now worth 20%+ less in Aussie than now!

...but the argument is, is that Fiat money you are getting in exchange for it, also now worth less?

It's a double whammy.

My argument is that a kilo of gold will also be worth a kilo of gold.

It's just a matter of what you view as the true holder of value be it a piece of plastic backed by fingers crossed in Treasury or a heavy metal.

It just a paradigm shift away.

 

[greedy2000]

Gold as a precious metal has its own asset class. And as part of a well balanced portfolio it has it's place (and not a large place, in my view <10%).

Gold/silver as your only investment... well that is an accident waiting to happen.

Gold, like the share market is subject to whims of traders and can be aggressively sold off or bought at any given time. What you can see now is a lot of traders with leveraged positions being forced out of positions due to margin calls and the like.

Its too early to say whether its a buy or not, but I'd be waiting a few more months to see what happens before I did anything.

A dud investment? Don't think so, if you had bought it any time before 2011/2012 you would have done very well. Doesn't mean it will do well in the near future though.

 

[pieman]

A dud investment? Don't think so, if you had bought it any time before 2011/2012 you would have done very well. Doesn't mean it will do well in the near future though.

If, if, if, if I put 100$ on black last night instead of red, it would have been a great investment.
Gold is one big dud investment

 

[pieman]

Yikes!!!
Gold is off another 7%

 

[JT7]

Yikes!!!
Gold is off another 7%

LOL....so you're a buyer then...? Opportunity?

 

[VYBerlinaV8]

For me was always a dud investment with zero yield, nil chance to buy under market, zero chance to add value, zero ability to live in it, no franked dividends, reliance on the greater fool to bid the price up etc etc

Spot on, gold is not an investment in itself.

 

[JT7]

Spot on, gold is not an investment in itself.

Agreed. Certainly without leverage PM's are not like property. Also, it depends on what your views are on the Global economy and whether you believe the PM market is being manipulated. Each to their own.