People, After reading and subscribing to this newsletter: http://portphillippublishing.com.au/2016/08/jim-rickards-the-new-case-for-gold/ it seems that Gold price will be predicted to go up to USD $10000 per troy ounce. But the thing is that, during the recession or GFC situation, who will buy Gold which makes it higher ?
If nobody is buying or selling than how could the price of anything move higher or lower? There will always be plenty of buyers and sellers of PM, especially during GFC situation.
It will work rather like in Germany 1923. At the top of the drama that ounce of Gold was worth $100 Trillion, and would buy $100 Trillion of goods and services. If you did not have that cash you went hungry! I would expect that if hyperinflation hit Australia today, then that ounce of gold would buy about the equivalent of $1700 worth of todays goods and services. JMO Oc
Never get to $10000, smokes wont go to $25 a pack, a slab wont cost $50, houses in Melb wont average $800000-$1000000, a new holden wont cost $50000, council rates wont be $5000 per year in the country, you will never get carjacked in Melbourne
People with a lot of cash in the bank that decide that a bank is not a safe place to have their wealth due to the fact that their deposit is technically owned by the bank and they are about to become chumps who will have their savings bailed-in and receive worthless bank shares instead of their stolen savings. These are people who will buy gold or any other worthwhile physical asset.
If there is a sudden crash, people may be forced to sell gold quickly to meet debt obligations. Initially the price could crash but there could also be many willing buyers looking to move cash into something more tangible, and this would support a price increase.[/*] If there is a slow. prolonged downturn with economic stagnation and decay, gold could also stagnate or fall.[/*] If your local currency starts to lose value at an accelerating rate, people will rush into gold (and USD) and the gold price will rise steadily as the local currency declines. Later people may convert their gold to USD or bit by bit into the local currency to buy daily essentials.[/*] If people lose trust in endless government fiat, gold may see increased demand as a store of value.[/*] If there is a major unexpected war, gold will spike.[/*] If I personally buy gold or silver, the price will fall the following week.[/*]
BB, I remember it well, January 1980, we were driving to Perth from Melbourne, and the price doubled during the holiday. I do not count the $50 an ounce for Silver back in those days, that was the Hunt brothers doing. JMO OC
Just out of interest would smokes at $25 be high? A pack of 30 here costs around $30 and a 50gram pouch is $75.
Smokes cost about a Dollar a fag (am i allowed to use that word? - 18c looms like the Sword of Damocles), No matter what form of tobacco it takes! OC
Poor OC of course fag is fine to use now. It is now "he or she ) that are the NO NO words as some people do not identify as male or female
Give me 1 min , I'll go outside & get a quote for you Some trany fluid with mixed with prepsol makes a good trim cleaner I once saw a bloke leave his trany behind while doing a burnout :lol:
My first pack of 20 'fags' cost me 20c, two shillings, I think! About 1957, the most INSANE thing I ever did! OC
Out of curiosity, what was the gold price back then? Would an oz of gold today buy the same amount of fags as it did back then? Maybe we should be stacking fags?
AB, Illegal i think and FAR too expensive now. Berlin 1945, cigarettes were a currency for anything from food to sex. OC
