mb said:There have been several discussion recently on gold. Just wondering what how the forum felt about it going forward?
wab said:Can we have one more option? How about:
"There is no fundamental way to value gold, so I have no clue, and I avoid investing in things about which I have no clue."
brewer12345 said:I'm not there yet, but I am starting to think seriously about buying some long dated puts on gold when the bull has run some more. The gold market has every indication of being in a bubble, complete with every moron throwing their lunch money into the metal.
Focu$ed said:I guess I am one of those morons, but as I know virtually no one else who owns gold, silver, or precious metals stocks, I am not sure where you are finding all your "lunch money gold bugs." In fact, most people still seem to be stuck in your mindset that gold's increase is an aberation that cannot continue. We are far, far from being in a bubble.
brewer12345 said:Heheh, listen to the radio shows that Goldline International does, and you will see what I am talking about.
Focu$ed said:Well of course if it is a show specifically about gold, which I assume by the name it is, then people who believe gold is returning to favor after 20+ years of being a depressed asset class, will be the ones listening and buying. If the show was called Googleline International, you would have all Google enthusiasts,no?
brewer12345 said:My specific criticism is that they people calling into the show are the same clueless retail fad-chasers who piled into dotcoms in late 1999, tried to start flipping RE in 2005, etc.
brewer12345 said:My specific criticism is that they people calling into the show are the same clueless retail fad-chasers who piled into dotcoms in late 1999, tried to start flipping RE in 2005, etc. They don't really understand what they are buying or how it is priced, but they have seen strong recent performance and want in, just like all the mutual fund investors who keep buying the "flavor of the month" fund. I also am amazed at the sophisticated mix of appealing to both fear AND greed that is used to pitch gold on the show. Its like the host used to be a life insurance salesman or something. Listen to the show and you might understand why I regard the gold market with suspicion.
Focu$ed said:...I really do understand the reasons the metals and commodities are going up, and I have an unshakeable faith that they are going higher, .... I have spent six years learning more about economics, monetary history, market cycles etc. until I arrived at my current convictions. And I have put my money where my convictions are and done very, very well. But even though it frustrates me that others don't "get it" I do understand why people are wary. But I believe that many people who are scorning gold and other commodities today will be buying them a year or two from now when prices are much higher, wishing they had gotten in at lower prices.
I'm glad to see that everyone's putting their weapons back in their holsters. I think you guys are debating two different market forces.Focu$ed said:I do understand why people are wary. But I believe that many people who are scorning gold and other commodities today will be buying them a year or two from now when prices are much higher, wishing they had gotten in at lower prices.
Maximillion said:prices are NOT going up, the value of the Paper Currency is going down, there has been far too much printed.
REWahoo! said:Focu$ed,
That said, I can't help noting that if you change the two phrases I highlighted in bold in your quote above to "tech stocks", you will have rolled back the clock to 1999. But since you are convinced it's different this time, I wish you only the best in your pursuit of wealth in the commodities and metals markets.