Hi, I recently received this URL from someone. Not sure what to think. I honestly find it shocking - if it could drop that much. Gold all the way down to 750 $? http://www.survive-prosper.com/page...-Gold-750-Gold-Up-Gold-Down-Gold-Price-CN.php Gold is "submariner" now with 1,561 $ right at the moment I'm writing this. Looks like an "almost vertical" drop. I wonder how low it will go. And, how many will have the courage to invest massively.
This is the meat of the article, and it makes absolutely no sense to me. 1195 words, and the bit I've quoted is about the only relevant portion of the article, and their "reason" (in bold) is perhaps a fair enough prediction of what might happen, but they then fail to correlate that event/series of events into a rational reason why the POG will fall to $750. Not a particularly insightful analysis or prediction imho. Now it may well be that if one were to subscribe and receive the detailed report they promise they may well have some valid basis for the claim, since over 1/3 of the article is aimed at enticing me to subscribe, however based on this tidbit, I'll pass up their kind invitation.
Well I'm buying at $1525 give or take. If you are Long on physical gold then just wait for comex to Default or an Oil crisis due to conflict and butta bing It will shoot up again. Remember buy low sell high Enjoy your day ( my glass is half full but for many their's is half empty )
Personally, gold hasn't dropped below USD$1540~ since it first broke that mark in July/Aug 2011. Good buying opportunity today as it's hovering on that mark. Both times that line has been tested since, and both times it has recovered. BTFD!
Agree. But I don't believe the production cost has any direct bearing on the market price as some like to believe. The production cost merely determines who stays in business and who doesn't.
Perhaps if you are only talking about the paper market in the short term. In the long run the gold price must be higher than the cost of getting the stuff out of the ground - otherwise there would be no supply. That is why gold eventually reflects inflation - the inflation of mining costs (oil, labour etc). Back when gold was $500 there were profitable mines - but mining costs have gone up considerably since then (eg: oil went from $20 to $100) None of those mines would be profitable now at that sort of price.
Nearly all of the gold above ground was mined long ago, a reduction in new supply would only raise the price if an apparent shortage became evident which is highly unlikely as gold is not domestically used in the same way silver is by industry, rather traded or locked away for investment/hedging purposes. Golds use as a hedge against inflation is what reflects it. Could you imagine the chaos that would abound worldwide IF gold dropped to $750 an ounce? Apparently GLD etf is around $250 M down in paper losses already on the latest drop and if you transfer that across to supposed assets held by central and other banksters worldwide as collateral held against liability's things start to look a bit shaky for stability I would imagine.
over 50% of gold demand is for jewellery, so it is domestically used (even if not really used up in the way silver is). 60% of gold supply comes from mines with the other 40% from recycling. If the 60% supply from mines dried up (not to mention less recycling at lower prices), you bet there would be a shortage of gold.
Nothing has to cost more than the cost of production (Holden is a fantastic example of that :lol- mines simply shut and open as feasibility changes. For price to be maintained, there needs to be buyers - if price has fallen, it is because there are no buyers.
We wont see that price unless there is another financial crisis and everything else such as stocks and oil deflates along with gold.
It is still there though, in tangible form ready to be swapped for fiat if price dictates, unlike silver which disappears into landfill or is uneconomical to salvage.
That was my thought when I read their "reason" - just seemed counter-intuitive to me. But what do I know. I'll just chip away building my modest stack.....
Well I will give the author Rodney knowsfallaboutgold 1 oz of my gold if it drops to $750 usd this year. Even the puppet masters will not be able to achieve that With their lies and manipulation. USD and Euro will fail but it will be years...3 - 10. The prospects Of that is not something I relish even for the price of my bullion. In the mean time there will be major conflict, oil shortage etc Look for those opportunities to buy in the dips and ignore the Lies of government men who supply you misleading figures And tell you all is well in our economies. Its a done deal.....hyperinflation is heading to your town soon. Cheers
$750???? that's like another GFC all over again. i'm buying gold at roughly $1450 $750 seems a bit rough!
