Similar to what he's been banging on about for years but still some good reasoning behind his prediction [youtube]http://www.youtube.com/watch?v=X7lGBFJCn-w[/youtube]
I reckon he shaves his head to be like Lincoln. Houe - you've let your self go of late. You look different.
"Rickards also discusses China's gold purchases and that the people with the most gold will have the most say in regard to a new monetary system" No, the people with the biggest guns will have the most say.
House, man... he doesn't say 10,000 $ gold in the interview, he says 7-8-9 thousand... And to me, even that sounds very optimistic.
Nope, optimism is a GREAT FEELING Gold is a great sound asset and so is silver. It's the paper that pushed prices down. I would really love to see a separation of the physical and paper PM markets. Optimism is not a bubble. If reality proves optimism right, then stackers will celebrate!
If gold rises to $10,000/oz due to the collapse of the fiat currency, in relative terms in this hypothetical scenario, a loaf of inexpensive bread will then be about $65 and a gallon of gasoline in the US will be about $67 minimum. Food and energy (bread and gasoline) are staples, gold isn't. We'd almost certainly see a significantly bigger percentage increase in staple items that people will actually need because they will be consuming / using these. Perhaps on the treacherous road down a full fledged currency collapse, hysteria may drive metal's prices initially very high but as we get closer to the SHTF day, all things that people find of value (especially staples like food and energy) will catch up and far surpass the metals in percentage gain. If there's a shortage of food and gasoline, no one would be willing to trade those staples for a tiny snippet of silver or gold....what would they do with that....stick it up their craphole and run around screaming, "tomorrow silver will shoot to da Uranus!"? Foolish permabulls will always be fools in that way I believe. I'd rather be in the position in a SHTF scenario to have access to my own supply of food and energy and if I needed to trade or barter, food and energy would be a much more valuable commodity than gold at that time. .
