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<p>[QUOTE=&quot;yakpoo, post: 898124, member: 18157&quot;]All good points (as usual), but my main point still holds (I think)...which is, with <b>everything else being equal</b>, the marketprice for a commodity/equity represents the <b>perceived</b> value to the market as a whole; the point where equilibrium is achieved between buyers and sellers.</p><p>&nbsp;</p><p>Although current economic conditions seem as though the sky is falling, it&#039;s (in reality) just another one of the recessions that&#039;s plagued world economies for thousands of years. Irrational exuberance leads to hangovers. At some point the sky will stop falling and the economy will grow once again.</p><p>&nbsp;</p><p>At that point (whenever that is), the demand for capital will increase and so will the rates paid to attract capital. Alternative investments will compete with PMs for available cash and the price of PMs will fall. It&#039;s not a question of &quot;if&quot;, just &quot;when&quot;. </p><p>&nbsp;</p><p>I only mention the price of pulling gold from the ground because if gold drops below that, new supplies will pucker up and eventually swing the pendulum back in the other direction...assuming we ever get that low again.</p><p>&nbsp;</p><p>I&#039;ve often said that we may see a dip in PM prices (perhaps 15%) by this fall...in anticipation of post election interest rates hikes (not a fact; just a somewhat experienced guess). </p><p>&nbsp;</p><p>Polititians have a habit of applying &quot;loose belt&quot; policies as an election approaches and let the next group of &quot;stuckees&quot; tighten up afterwards. They&#039;ve been doing it as long as I can remember. Maybe it will happen; maybe it won&#039;t...I&#039;m betting my personal bullion purchases that it does.</p><p>&nbsp;</p><p>Now, whether or not First Spouse coins will turn out to be a good way to invest in gold, is anyone&#039;s guess. I&#039;m (obviously) betting that it is...but I don&#039;t know more about what may happen than anyone else. I can only report how I&#039;m spending my money and why.</p><p>&nbsp;</p><p><b>Bottomline:</b> PM prices high; FS mintages low. Regardless of what happens to gold prices; FS prices <b>should</b> continue to grow (apart from their bullion content). But like I said, it may take 20 years or more before you begin to see a reasonable return on your investment. Don&#039;t do it with money you think you will need before then.[/QUOTE]</p><p><br /></p>

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