Addicted to Silver

Livestock and veggies are good. I do have a garden. I never said PM's were the end all, be all. They're just the one thing that pertains to this board, and they also last indefinitely. I wasn't making the argument that gold and silver are better than food and water, but they will always be tradeable even if you don't get what it cost you.

 

Log in or Sign up to hide this ad.

My wife yells at me whether I'm buying silver or not.

So I keep buying.

 

And I didn't even know my wife had a sister!

 

They must be triplets!

 

I would say that only blind folded monkeys believe in the stock market these days. Over the last decade it is has been turned into a farce high stakes gambling machine gamed up by the Federal Reserve. It's dominated by high volume robot traders, the gubment picking the winners and losers in business, and no way to judge risk now. It no longer represents the production of corporate America and anyone putting huge sums of money in the stock market, is asking to lose it.

On the business school myth, it should also be noted that the vast majority of common people had a significant portion of their gains eaten up by wall street fees. Tread into the stock market at your own risk as it isn't what it is purported to be.

 

At the end of 1999, I bet a friend of mine who is also very interested in the stock market that the DJIA would be under 12,000 at some time in 2010. I won the bet [dinner]. The point was that I believed the stock market was wildly overpriced in 1999 and would basically return zero over the next decade. But now the market isn't much higher than a decade ago, and the case can be made that the next 10 years will be much better than the last 10. So you can never invest by merely looking at recent historical returns. For better or worse, the stock market is still probably the best chance the average person has for making their savings grow at a high rate of return.

 

The stock market also retains some value with inflation. The stock prices inflate along with everything else. Sadly, it seems like most of the gains in the market since 2000 have been driven by inflation, but at least the average investor can retain some purchasing power there.

 

The monetary supply has tripled in 3 years. The stock market has doubled at best. Inflation has given the false perception of a rising DOW, when it has actually fallen in value since the housing crash. If you look at the DOW/gold ratio over the last 100 years, we are still on our way out of the bubble that peaked in 2007.