The price of Gold


#4081

I don’t think you can ever have a currency that’s too strong.

Any road, If the ECB is going to be buying up assets, I wonder will they buy any gold?


#4082

Well I tend to agree actually but in a world that still thinks exports are the way to wealth they will disagree.
The Swiss have exported unemployment to the Eurozone with their peg; if the peg is removed that unemployment will flow back to Switzerland.


#4083

That’s funny. Venezuela’s repatriation of 160 tons from the US, and the EU too, the largest in 15 years, didn’t cause a ripple. The gold didn’t get any fatter or thinner, then, nor will it now. Dutch are simply doing the “rebalancing” any prudent investor does periodically. They are still keeping more of their gold on this side of the Atlantic.

bloomberg.com/news/2012-01-3 … rs-1-.html


#4084

yeah — you dig up gold from the ground – then you bury it again, but in a vault – and all the gold nuts think this is some major deal; hahaha


#4085

As opposed to printing off pieces of paper? Tell me, has there ever being a period in history when the value of gold went to zero?

How many times has gold failed as compared to currencies?

geology.com/minerals/gold/uses-of-gold.shtml


#4086

Withdrawing >1,000 tons could be a major deal if the gold isn’t in the Federal Reserve vaults.

I don’t understand why it’s necessary to be a gold bug/nut in order to question the US government’s word, especially when they are so reluctant to show the gold to anyone - even auditors.


#4087

Printing paper is cheap and not particularly environmentally damaging. Mining money (gold/bitcoin/whatever) is expensive, pointless and damaging.

Therefore humanity is better off using pieces of paper.


#4088

Therefore humanity is better off using pieces of paper not using non-sequiturs.


#4089

And central bankers are only thinking of humanity - doing God’s work! :laughing:


#4090

Arguing with a gold enthusiast about central bank motivation is futile, but the fact remains that digging up and reburying gold is not without substantial negative side-effects for humanity.

Of course you’re welcome to spend your entropy budget as you see fit, but I can think of better ways to race towards heat death than sitting on piles of useless shiny metal.


#4091

Did you actually read my post in its entirety? Apparently not.

And everything has both negative and positive side effects. Thing is you choose something when the positives outweigh the negatives and the mining and usage of gold has far more positives than negatives.

And one of your better ways is too print off useless pieces of paper.


#4092

TBH I struggled to get past the absurdity of “Of all the minerals mined from the Earth, none is more useful than gold”.

Do you really believe that?


#4093

Did you actually read the whole article?

Do I think gold is the most important mineral? Well, yes I do.

Put it this way, your computer, mobile phone and medical equipment wouldn’t work without gold.

And then its cultural significance.


#4094

Of course gold is not the most important mineral. Sure, it’s more useful than, say, osmium, but think about how well our society would function without copper, iron, or aluminum. But really, oil is our most important mineral as it gives us energy, transportation, and plastics.

And yes, computers, mobile phones, and 99% of medical equipment could function without gold (in the same way that the electronics industry had to come up with ways to replace lead in solder when RoHS regulations came in).


#4095

Well, if we are getting into the “crazy”, (diplomatic word), question biz…Why don’t you make a list of all the currencies that have failed, and all the currencies that have not failed, and total the cumulative value of wealth stored in each, as of a date certain, and compare that to the value of the approx 30,000 tons of gold in circulation???

I can help you out with a quick bit of mental math. @$1,000 an ounce the 31,000 tons of gold in storage is worth about $700B, (coincidently just about the same as Apple) so adjust for current price, and now over to you to do the currency bit, since that’s what you seem to be really worried about.


#4096

You seem to be toying with the idea of manipulating the market, or that the market could be manipulated, by moving a large amount from x to y? So where would you move it from/to and why?
Or are you just an ordinary decent conspiracy theorist?


#4097

:laughing: jesus, in a thread with an unbelieveable amount of bullshit, that’s the turd to top it off.


#4098

yup, what they call in the trade a carat top

:-GC


#4099

Lol, humanity is better of? I would disagree, when fiat currencies collapse it crushes society. Currencies don’t collapse when backed by gold.

Digging for gold is a choice people make - people are not forced at gun point to do it. In western society, people are paid huge salaries to do it.

If you are concerned about the “damaging effects on the environment” - then perhaps you should go hug a tree. That pathetic argument could be made about any mineral/food. Climate change etc is bull shit - but that’s for another thread.

Secondly, it is the labour and expense that goes into finding, digging, refining gold that gives it value. As opposed to typing a few numbers into a computer and thinking this has created value/wealth.


#4100

Tremendous contradiction in record time, even by gold bug standards

What do they pay these huge salaries in? Oh, gee, fiat.