If you don't Silver Stack you will be left behind

You have been warned! You have no standing "to do same thing back". You need to follow the rules, try reading them. You will probably stay, no matter how much you fume.

 

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I don't understand the hate for gold. It is certainly more valuable than paper and ink, and since both of these things are valueless what's the difference? Money is money, why is paper different than gold? They're both symbols. At least gold doesn't disintegrate, doesn't corrode and can't be duplicated by man. It's a perfect currency.
Thousands of years of human history would agree, as well as banks around the world who would just as much keep it in the vault.

 

If you honestly don't know what he's talking about how do you honestly know what it is that your pretend authority says I'm in agreement with?

It sounds to me like he's talking about a global recession/deflation in the not too distant future that will affect us. Had they raised interest rates three or four years ago, by one or even 3/4 of a point a year they would have something today to fight with. But oh no, if they did that who would coddle the crony carry trade? And now China and Brazil are tanking and may be followed by other developing countries which may cause the carry trade in emerging circuses to blow up.

Those are my guesses of what Mr. Stockman was talking about-mainly. Sorry it doesn't vomit status quo soap bubbles and butterflies. Guess that makes it a rant.

In the future should you decide to follow a link I post come up with your own interpretation or send them an email. I don't owe you any explainations about someone's article.

 

So, for about the 100th time, if gold is so worthless why do central banks hold it on their balance sheets? You continue to miss the real reason gold has value, and that is it is one of the the perfect materials to use for money.

 

We are down below $14 for the first time in a while. Is this the final downturn? I think I will start stacking again if it gets down around $12 again.

 

I do not miss the fact that Gold is one of the perfect materials for money, I just deny it. To be fair, yes, I agree it has some qualifies that are favorable for monetary use, but there is a huge problem with Gold. There is just no way to control the amount of new money into the system. Two things can happen. The first is the economy is trying to expand and needs more money to do so, but it needs to "wait" for the money to be mined. This slows things down, and can lead to deflation. Uggg. The second thing is if too much Gold is coming into the system there is no way to slow it down, you really can't just tell the miners they need to stop make a living for a while as we already have too much Gold.

Now you may not agree with how much paper money is being printed, but at least it is controlled and make no mistake about it. It is absolutely necessary that new money enters the system. The argument is only about how much.

 

There is a big difference, I just responded to Peace about the problem with Gold as money and why paper is different.

Also, many of those banks that were buying up Gold in the last few years really regret that decision now. They would have been much better off stacking Greenbacks. Banks and Countries make mistakes too.

 

Longnine, you certainly don't owe me any explanation, that is your choice. You could had just ignored me. I just think that on a forum it is best to discuss rather than just posting a link with no explanation or opinion. But not to worry, Sean and Kurt picked up your slack, gave their interpretation with discussion points. IMHO opinion, that is how a forum works best, but of course, YMMV.

 

Gold and silver are ingrained in us Darwinian humans on a subconscious, almost instinctual level from thousands of years of daily use by us bipeds. That's where it's true power comes from imho

 

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[QUOTE="mikem2000, post: 2292460, member: 30574" But not to worry, Sean and Kurt picked up your slack, gave their interpretation
with discussion points. [/QUOTE]
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Bailiff, smack Longnine's edited

 

I very strongly disagree, there is no ingrained lust for Gold and Silver. It is all learned behavior. If children were raised in an environment without these influences they would have about the same attraction to Silver as piece of tin foil. It might be interesting because it is shiny, but that is about it.

You last statement is even a bit scary suggesting that Gold has "true" power. You seem to be assigning a supernatural quality to an ordinary object. IMO this would cloud judgement and cause sound financial decision making much more difficult by believing the material has properties that truly don't exist.

 

Wow, ok, I didn't mean it has magical power over us just that we are empowered by it on a subconscious level which influences how we as humans treat it.

 

Well, OK but do you agree with me that is learned behavior or do you still maintain the newborn children would have an instinctive desire for an inert object that they don't even know exists? If it is the later, maybe supernatural is not the correct word, but boy that object would certainly be "special". So maybe my original wording was not accurate but the point is still the same.

If you believe the object is "special" and it turns out it is not, and "Gold Lust" is strictly a learned behavior then your valuation of a basic element would be severely skewed.

 

You have to ask why are people selling silver to begin with?
If it goes down another a dollar a year from now I'll be kicking myself today.

 

I believe silver and gold are unconciously symbolic to us as the moon and sun. And that silver is also *very* symbolic to stars. And to "travel to the stars" is symbolic to freedom. I can't prove any of it to anyone. And I don't have to.

 

I am not a gold bug, but I like silver a lot. It may go up or it may go down, but I think it's a store of value. Gold is a really powerful thing. That's why central banks still have it. It represents economic power. Even though we owe lots of money in the US we still feel like we are rich because of the store of gold that is supposedly left in Fort Knox, or wherever. It is a very dangerous metal. All wars are for GOD. That's gold, oil or drugs.

 

Excellent point and that is what I am getting at. Now obviously you said that tongue-in-cheek but that is still fairly close to the stacking communities belief system that Gold and Silver have worth that is above normal valuation for the simple reason, IT IS Gold and Silver. It has always had value and always will, because you know, IT IS Gold and Silver Duh.

So you don't have to prove anything???? I totally agree, that is your choice, and that seems to be the norm. A religious type belief system where little is questioned, just blind faith, because you know, IT IS Gold and Silver.

If folks took the time to really question and think it through, they most likely would have passed on Silver when it was trading at $48 which is at least three times cost of production and they would have much more purchasing power today.

So going forward from here, if folks continue believe that two run of the mill commodities are somehow special, my guess is that will cause then, to make financial decisions which will greatly effect their purchasing power in the future. But hey I could be wrong, you know, because IT IS Gold and Silver. Of course, I think we all need to ask ourselves. How has it been working out so far???

Mike

 

Th

I invest in many things: stocks, bonds and, when conditions are favorable, precious metals. I have for many years. And one of the most hazardous things any investor can do is to try to predict a market bottom, or trying to catch a falling knife.

I have a few scars on both hands to remind me if I get into a predictive mode.

 

Gold is just one asset in central banks' portfolios, and a relatively minor one at that. Italy has perhaps the largest gold reserves in the world, relative to GDP, and it's just two steps above Greece and Portugal as a euro zone basket case. If gold reserves mean a strong currency, why did the Lire basically collapse? No, gold has PRECISELY ZERO to do with money, PERIOD! Central banks hold it as a speculative asset, just like gold bugs do, and BECAUSE goldbugs keep insisting it matters. Central bankers know better. They also know their paleoeconomic citizen populations don't, because they believe in "intrinsic value", which is as real as fairies and ghosts and shadow people. Intrinsic in this case means "imaginary nostalgic".

 

Me? I'm going to go all Hunt Brothers and corner the osmium market.