$2300 Gold

Discussion in 'Gold' started by mmm....shiney!, Jan 7, 2020.

  1. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    Nope, just a conspiracy theory. I don’t invest on the basis of conspiracy theories, but whatever floats your boat I guess.
     
  2. Davros10

    Davros10 Active Member Silver Stacker

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    And a falsely inflated stock market whose stocks are more than 50% government owned
     
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  3. minimilled

    minimilled Member

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    We’re here on a silver investing website

    Unless you came here from the perspective of industrial demand, then you probably had an interest in the history of silver as money, which is choc full of conspiracy as is the whole history of what passes as money.

    One interesting fact I learned through reading Thomas Engdahl’s book was US silver miners themselves conspired to ensure it remained a monetary unit. That was new.

    It seems reasonable to think many 19th C people invested in this conspiracy.

    Then in the 20th century, there came a time early on when debts could not be repaid in silver, being so large, hence the end of the pound as the world reserve currency as a surrogate default on war debt.

    The pound being an imperial pound weight of stirling silver redeemable for a paper pound note.

    The First World War bankrupted Britain. The book I have mentioned offers a perspective I didn’t know about. Many here know of Bernays, Freud’s nephew and the author of the literal book called “Propaganda”. A new insight was how he cut his teeth in World War One. He became involved in anti-German media efforts in the USA that became so successful that after the war, he naturally asked himself, “Could this same mass influence be used in peacetime...for profit?”

    After the war, because of his prestige in this area, he was invited to create a market for bacon by US pork farmers and played a big hand in the association of bacon and eggs from what I have read.

    In the good old days, propaganda was just about you eating bacon and eggs together. Nowadays sadly, just as before - debt and war go good together.

    As we know, after Britain lost its status through war debts, the gold standard took its place based in the deliberations of US banking cartel interests in tandem with their colleagues in the British Empire and Europe.

    Then, faced with war debts in Vietnam, the US cut the dollar from gold.

    Bit hard to get around the politics in gold and silver, but important to put all that second to buying low and selling higher. Banks still use it as a reserve so that is an indication of how much trust they have in fellow bankers. They’d still trust a lump of metal more than each other.
     
    Last edited: Jan 10, 2020
  4. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    Conspiracies and whatever else pass as misinformation such as the Fed being owned by private elites pulling the strings of puppet politicians serve to do nothing more than hype precious metals and cause investors to make poor decisions. Whatever the history of gold as sound money it doesn't matter any more.

    The key indicators to managing a portfolio with exposure to both mainstream and non-mainstream investment assets are what's going on with monetary and fiscal policy within whatever stage of the business cycle we find ourselves. So if we look at the current situation and we assume that we are at a peak in the business cycle, that a recession may be imminent, that CBs are exhausting their monetary policies and that governments are going to either cut taxes or ramp up spending - there's going to be some uncertainty in the future. :p

    And that's all I've got because I don't have a crystal ball nor am I financially savvy enough to know about say hedging bonds with TIPS.

    I'll continue to hold my position in gold, buy stocks I think have potential for capital growth, avoid overpriced stocks eg Apple, play with cryptos, USD etc in the hope that I can jump in and out of the various assets before I lose all of my money or what is more likely, watch my investments get eroded due to the opportunity cost of not being diversified.

    Conspiracies and nostalgia never feature. They're just distractions. Just like wars.
     
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  5. sgbuyer

    sgbuyer Well-Known Member Silver Stacker

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    What Minimilled wrote on the history of silver is very interesting. I like to add that fiat money existed during the Mongol Yuan dynasty and so there is precedence that silver was replaced or partially replaced by fiat and later came back. On the other hand, gold was never money in China before the 20th century. This is why you don’t see gold sycee before the Chinese Republic.
     
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  6. minimilled

    minimilled Member

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    Speaking of conspiracy (Australia)

     
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  7. Oddjob

    Oddjob Well-Known Member Silver Stacker

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    It ain't a conspiracy if it true. The US law establishing the US Federal Reserve in 1913 didn't state the US Govt as owner (as opposed to our RBA where the Commonwealth Govt is the legal owner). The 1913 Act of Congress created a legal entity which has congressional oversight, Fed board members are appointed by the Govt and it pays the US Treasury any bet profits from year to year, but all US banks have to be stock holding members of the regional Fed Boards and also rec a 6% dividend on their stock holding. Thus in my book, if an entity issues stock and pays a dividend, it's privately owned.

    The below link from the US Fed says it.

    https://www.federalreserve.gov/aboutthefed/section5.htm

    Now the question re private elites pulling the strings is a different but linked question. One would have to look at the shareholders of the bank's who hold US Fed Reserve stock and then come to view as to whether those individual shareholders are using their individual commercial bank shareholding level to influence decisions made by that bank as a shareholder in the US Federal Reserve system???
     
  8. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    Correct. It’s a private entity. But big deal. It’s from there that the conspiracy theories start.

    The shareholders do not have any voting control over the Fed so they have no more influence on the actions of the Fed than other “influential” types eg the president and the profits of the the Fed are disbursed to Treasury. The private entity status of The Fed is not even worth talking about.
     
  9. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    Gee, you’re giving John Adams a promo push today :p
     
  10. minimilled

    minimilled Member

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    True, true. Never heard of him before today. Only found him through a search for silver forecasts. Nothing he normally talks about until 5 days ago.

    But this is a natural fit with the other stuff on his site.

    His submission to the government on the issue of “conspiracy” about the petition regarding the 10k cash limit on transactions is righteous. It’s obvious.
    https://www.adamseconomics.com/post/official-letter-of-compliant-against-the-australian-treasury

    It would have taken a substantial amount of time to build that argument and that is after all the work it would have taken to fight the 10k limit.

    I doff my hat to this guy.
     
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  11. tigger2

    tigger2 Member

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    I'm always amused by prices in Tokyo 2nd hand/book shops. Goods from the 1960s to 80s often have their original price listed on them. It's quite common to see perfect condition, now collectible items that once sold for 100,000 yen now at 5,000 y.

    Senators and Congressmen were major stakeholders in silver mines. It's well documented in contemporary newspapers. Arguably the primary reason why there were so many mickey mouse denomination coins struck between 1850-80 and later phased out.

    Not having a go at anyone specifically, but I've found it very surprising how poor history knowledge is of gold/silver proponents and how very poor their knowledge is of general economics. I put this down to reading to many biased sources and not enough material from other walks of life.
     
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  12. bubblebobble2

    bubblebobble2 Well-Known Member Silver Stacker

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    $2310 this morning... GIDDY UP!!!!!
     
  13. slavaja

    slavaja Well-Known Member Silver Stacker

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    $2400 by the end of the week?
     
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  14. wrcmad

    wrcmad Well-Known Member Silver Stacker

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    No.
    Gold is measured in oz's, not $!..... REMEMBER!
    Or.... matbe that is just a conspiracy theory too! :p
     
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  15. madaw1

    madaw1 Well-Known Member

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    Should we consider this price as fake news again?/...:eek:
     
  16. herkyderky

    herkyderky Member

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    $2354 this afternoon - all time high in AUD .....not too far to go till it hits the $2400 :)
     
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  17. sgbuyer

    sgbuyer Well-Known Member Silver Stacker

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    Oz is physical, $ is paper.

    But nonetheless, it's nice to know the $ value is increasing.

    Every $10 increase in gold = $10 x number of ounces.
    Every $1 increase in silver = $1 x number of ounces.
     

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