I'm surprised to read so many negative responses. I am inclined to believe YES, it helps, but of course, it depends on a variety of factors. Thing is, there were several scenarios in the distant and not so distant past, when gold actually helped people preserve wealth: *Weimar Germany hyperinflation (everyone quotes this) *Hungary post-WWII hyperinflation (the worst hyperinflation ever recorded) *Eastern Europe transition from communism to the capitalist economy model (1990's, especially the early '90s) - I heard people used to buy and hoard gold from Turkey to Eastern Europe, because the Eastern European currencies were devaluing, the rich were buying gold *Zimbabwe hyperinflation *during the Greek crisis, people rushed to buy gold, fearing a euro collapse *Cyprus wealth taxes last year *the current Ukraine crisis (one news report wrote about gold skyrocketing 75 %, as the hryvnia devalued) There are endless examples... So, I believe it helps having PM's. But: in Detroit, I don't think it would help, since it's the same country with as the rest of the USA, so the nature of the problem is different. If it were a nation-wide Detroit-like scenario, it would be different... I don't agree with the scaremongers and I don't think people should fear for an apocalyptic scenario. I think - it the crisis implicates currency devaluation, then it helps. But nowadays both the EU and the USA are cosmeticizing their economic indicators and making the currencies seem artificially strong. I wonder - how long will they be able to maintain this? If Russia kicks the petrodollar heavily (they are already making the first steps), then we will witness a severe dollar devaluation. Remember what happened in 2008, 2009?
Yes, gold is the best form of saving your wealth in every possible future economic situation except for: Complete collapse zombie apocalypse basic survival mode or, free energy extra-terrestrial technology outbreak.
I also think it's good holding some gold for the sake of speculation. Just in case it spikes again. Prices of consumer goods don't always follow PM prices - so, you could make a huge profit if your timing is right. As it happened with silver and gold when they peaked in 2011. Sell high and make a profit. Maybe even reinvest in real estate or something else and then buy again when PM's are low.
I guess you need to define your meaning of "Doomsday?" To me it means more than just a collapsed currency or financial meltdown. In a Doomsday scenario your just going to hope you survive. Gold, silver and alike have an understood value during relatively civilized times. When it all turns ugly as in a Doomsday scenario, well...let's just say all bets are off. You will be lucky if you can even keep it as much as trade it. A real "Doomsday" event will make Game of Thrones look like a fairy party. For what it's worth, I really don't think enough people grasp the unfathomable loss in such a scenario, and how important it is to protect a civilized freedom. Doomsday is someplace we never want to go, I pity those that do. No...your PM's won't save you in this case! There are however many more positive reasons for owning PM's. I would be more focused on this aspect, you will live a much happier life!
I am amazed to read another non-believer opinion. Is it because of the PM price crash that almost everyone has lots their faith in gold and silver? If we were to sink into a Detroit-Zimbabwe-Weimar Germany-type "Bermuda Triangle" of financial-economic crisis, then I think you'd loved to have some gold or silver. By the way... if some of you are stackers - then why are you stacking? (If not for wealth protection etc.).
I'm not a non believer TH....I just don't belief PM's will save your bacon in a "doomsday" event. For that though, we need to understand each other on what is a doomsday type crash, as opposed to a Zimbabwe - Weimar event. I believe the latter to actually be quite probable, I just don't put this in the basket of Doomsday. This is as you say a financial crisis. I hold PM as a form of insurance for said crisis not for Doomsday!
its just an insurance, but insurance does not pay out in the act of god. so long as the act of humans are not fatal, :lol: may be there is some use, somewhere.
So, it's a "barbarous relic"? Welcome to Keynesianism! Just stack your fiat and buy cryptocurrencies.
Isn't your "doomsday crash" people that en masse take action by dumping whatever that is a promise for assets? Isn't it better to buy after a huge price drop than after a huge price increase? Abit weird questions you ask. It's like you hung in 2011 or so, with its $35 average. It's now a $20 average. Since 2011 outlook hasn't been as good as now, we need to toss you and your topic in the time machine to warn those poor people that bought in 2011 lol.
I am not expecting or hoping to make a fortune after SHTF Day. My basic goal is survival, and to come out the other side with my family intact. If I can improve on that result, well and good. Most families that went into the Great Depression in 1929, took 40+ years to recover, and many never did. Homes were lost, education was cut short, and marriages failed, ambitions squashed! JMO OC
Not sure how to interprete you, why bold tagging my second sentence if you talk about the first? I said buying after a huge price drop, not after a doomsday crash.
You seemed to be implying it is better to wait till after an economic crash to buy PMs, so I was wondering what you think we'd use to buy these "cheap" assets. Cash?
I have a hard time recognizing that implication you see. I said: after a huge price drop. I did not say: after a doomsday crash. Why swapping? Read what there is. I said: "Isn't your "doomsday crash" people that en masse take action by dumping whatever that is a promise for assets?" "It's better to buy silver after a huge price drop than after a huge price increase." You put things together of these two sentences. That 'huge price drop' and 'huge price increase' did not refer to 'doomsday crash'. That 'doomsday crash' sentence even says that people dump promises (alike fiat) for assets. That's buying assets. Yet you seem to have interpreted that as selling assets, or how else could you have linked it to the huge price drop of the second sentence, mister Confusius?
Pirocco: Now is a huge price drop. (Maybe it develops to become a bigger drop...) So, according to you, people should buy in right now.
When I said "Doomsday" in the post title, I means "financial doomsday", I don't believe in real apocalyptic scenarios. I means something like: Weimar Germany, Zimbabwe, Greece... that'll make your city look like Detroit, starve like in Somalia, with riots like in Greece... So, a severe social-economic collapse. That's what I meant.
If we'd spend 1 gram of gold per a load of bread, we'd be living according to high-end luxury prices. 1 gram is currently around 40 USD. 31.1 grams (1 ounce) would only buy 31+ breads. I just lost my appetite!
Warren Buffett's famous words in a recent interview "Anyone betting against America will not win" Isn't that what we are all doing buying and holding gold today.........................we are betting on the US down fall.
