Dingdongler

$1500/oz now achieved and sustained.

Next stop $2000, we will get there but it will take a little time

zip106

That's it!
All my teeth are coming out and being weighed in.

Will

http://www.youtube.com/watch?v=gSq8ZBdSxNU

f1_fan

iTrader: (9)

I bloody hope not, this is killing the jewellery industry right now!!!

The Zohan

Thank God that we as a country have tonnes of the stuff in reserve and as assets and the last government didn't sell it of at nearly rock bottom...oh, wait a minute...

David Lock

When I was having a clear out recently I found a Krugerrand which I bought years ago and thought I had lost. So I got a price and mailed it off Special Delivery. £879 which seems OK

dl

GlesgaKiss

Yup, as expected.

Notice how hardly any of the regular public are even thinking about gold, never mind buying it. The bubble brigade should think about that. Inflation is here big time.

Even the BoE coming out the other day and saying they expect the CPI to rise above 5% in the next year! If they say 5%, god knows where we're heading.

alloy

don't forget the currency hedge....

JTaylor

https://www.scoobynet.com/740774-who...ng-gold-2.html

GlesgaKiss

What do you mean mate?

alloy

sell rec. i posted here was spot on, came off nearly 100 bucks.....and people still shrug off the power of the chart....on a similar note i also recall calling the bottom of the '10 pull back to within 50c 4 months in advance ......there's a lesson here for those ignorant to the ability to understand supply and demand presented graphically

alloy

well think about it, what are the simplistic drivers of gold moving to higher prices?

alloy

or infact any commodity...

GlesgaKiss

In the long-term? Falling real value of currency.

It was the comment I wasn't sure about though... are you suggesting hedging against a gold trade with currency?

JTaylor

You know I've never met you and I don't think we've exchanged posts, but I always read, digest and sometimes act upon your advice. Please don't fûck up.

Dingdongler

The public are SELLING their gold because they can't believe their luck at how much their jewelery is worth. They should have been buying not selling.

Dingdongler

Yes, the jammy bugger does manage to call it right most of the time

GlesgaKiss

If they were all buying, you wouldn't have it so easy.

Dingdongler

With respect Alan if it was really 'as expected' then I presume you remortgaged your house and bought it at after we discussed it last and made a fair few quid?

Do you agree with me it will reach $2000?

GlesgaKiss

Yes. Well it's a dead cert eventually, even if that isn't a rise from here in real terms.

But no, I didn't put any money on it. To be on the safe side - i.e. in case any change in government policies should occur (ha ha) - I am doing most of my saving in stocks. Would like to have a certain percentage in physical eventually though. Would even buy my first lot soon; but since it's part of my saving strategy, it'll be bought at all prices continuously over the years, rather than to benefit from an immediate rise etc.

Based on my common sense understanding of economics, I do 'expect' it to continue rising, but since I've just started learning and it's always possible I'm wrong (especially when many people who've actually been academically studying economics for years have the opposite view), I'm just trying to be as sensible as possible.

So let me continue to sit on the fence in peace!

alloy

Very basically and using general observations. Gold is a safer haven asset class, it goes bid on the back of a flight to quality for that reason. In the context of recent years USD strength has too been an observation of that flight to quality. S&P downgrade their outlook on US debt from stable to negative, we have seen how downgrades on soverign debt have plagued the euro......

Gold rallying now, but so too is cable. If you have £1k say GBPUSD is at 1.5000 so you can have $1.5k. With Gold at 1500/oz you can buy one oz. Now price goes to 2000/oz, you make 33% so your $1.5k investment is now worth $2k you sell, however cable has continued to rally so now it's 2.0000 so your $2k proceeds from the sale of your oz. are still only worth £1k therefore you have made nothing. If you are sitting in gold for the long term, this uncertainty would be intolerable against me assuming the risk of investing, i would look to take insurance out in the form of a hedge to make sure i dont suffer the opportunity cost of this possible situation playing out, especially when it can already be observed...

GlesgaKiss

Ah right, I see.