Disclaimer: Not actually offering silver-containing threepences for your opinions, people. Used solely as a figure of speech. Due to high interest rates and indirect China commodity exposure the Australian dollar has climbed to historic highs against major currencies like the United States and Euro. Is there a scenario where gold prices remain high, and the AUDUSD returns to historical means between 0.75-0.80? If there is a significant commodity demand slow-down from China? If there is a temporary 10-year 'stay of execution' for the unbacked currency system due to a true 'Black Swan' unpredictable event, what do you would happen to gold price in AUD?
I actually think we are moving into the prime time for another spike in gold priced in AUD. If you look back in the charts when QE1 finished you will notice the DOW & S&P moved down sharply but gold in USD did not move much. You may also notice that the USD strengthened because faith in the USD returned which caused the large correction in the AUD which sent gold in AUD soaring. I believe that time is getting near possibly starting as early as the end of this month this is my prediction but based on previous QE.
It's the same story in New Zealand. The NZ$/US$ cross rate is currently at a post-float high due to the commodity boom (in Australia's case it's minerals; in New Zealand it's dairy exports). As a gold investor who was late to the game, the fiat value of my stack has remained static. It's incredibly frustrating to know I'd have been better off up until this point in time leaving my cash in the bank. Sure, the global financial situation could blow up at any time and that's why I purchased bullion in the first place, but the longer the powers that be continue to kick the can down the road the more annoyed I get.
I know how you feel green but i would suggest to just hang in there at least until the end of July, although i believe we may see quite a move even sooner. The big players are already doing the same as they did at the end of QE1 pushing down markets to force the fed into QE2 now they are doing it again with markets all experiencing significant losses as of recent. I'm not sure about gold in NZD but if you take a look at the charts of DOW / S&P / USD / AUD / GOLD AUD / GOLD USD... have a look at what happened whe QE1 ended, AUD and NZD will both have a correction when QE2 ends.
You can be as annoyed as you like. At least your investment is safe.As the fiat deteriates the gold is only going one way.And thats up! You will have your cake and eat it. Cheers, Butch.
Just curious, am saving cash for the lunar Dragons, both gold and silver. What is the best way to 'lock in' todays prices to later use to purchase dragons? I called Perth mint to see if they had some kind of "ETF" program or similar, so that i can buy electronic ounces for various prices between now and september, then convert the paper gold/silver for the dragons + premium.. but the person i spoke to said they had no such option. I am more optimistic towards gold at the moment, only cranking up silver purchase due to them being dragons
Look at PMGOLD on the ASX. Its a no expiry option with the Perth Mint. Other than that read the PDS. This is not financial advice.
My guess is that AUD went down (because of some bastard tax) so Gold looks like it spiked in AUD. Only went up like 2 USD so I don't think its overseas factors.
aud went down ever so slightly, and the rise of gold is ever so slight as well, might change tomorrow.
I am thinking the same - there are dealers locking in the price of gold dragons now - is it better to wait?
Just attempted to make my first graph splice: 5 Year gold price in AUD and USD on the same price and time axis. Looks like with the GFC gold fell in US (3rd quarter of 2008) but went up in AUD, and this divide increased further in the first third of 2009. Sounds to me like it could be time to be buying gold in AUD.
2006=$840/OZ 2011=$1400/OZ How Much things cost in 1935 Average Cost of new house $3,450.00 Average wages per year $1,600.00 Cost of a gallon of Gas 10 cents Average Cost for house rent $22.00 per month A loaf of Bread 8 cents A LB of Hamburger Meat 11 cents Average New Car Price $625.00 Canada Dry Ginger Ale 20 Cents Gold's store of wealth comparison 1935 price of gold $35/oz Whats interesting is that everything is comparatively the same in price in gold from then to now. except for housing.
Suprisingly that at that time you could buy a house with two years wages. I wish my wage could buy me an average house every two years!
Love your work Redback this is really interesting, i did some sums and just to add to what you have compiled: Average wages per year $1,600.00 @ 35oz = 45.71oz 45.71oz * 1463(AUD Gold price today) = A$66,873 Medium Australia income as of 2011 = A$66,820 Average Cost of new house $3,450.00 @ 35oz = 98.57oz 98.57oz * 1463(AUD Gold price today) = A$144,207 Medium Australia house prices as of 2010 = A$549,980 Its really interesting how the medium income is only $53 off what it was in 1935 when priced in gold but the average house price if off by over $400,000. I got to give you credit this is one of the most interesting posts i've read on here.
Does anyone think that the price of gold is going parabolic just like the silver price did a few months ago before it came down rapidly to around 30ish dollars an once? With all the Carbon Tax increases coming and financial issues in Europe I don't know whether to buy now or wait a couple of days/week to see what happens....
I'm so annoyed that I didn't take my own advice here Oh well, now it seems too hot to handle! I'll sure as hell be buying any dip.
