Locals in Turkey sell houses, cars and buy gold - Lira implodes.

Azurescens

I'd like to address this economic issue. Has anyone been following it?

https://www.helleniscope.com/2020/08/16/in-turkey-locals-sell-their-cars-and-houses-to-buy-gold-while-lira-implodes/

Do you think this could happen to the US economy? A few weeks ago I heard people say stuff like this doesn't happen and uh.. here we are.

What’s more, it now appears that locals are choosing gold over the dollar, perhaps because the dollar has also been tumbling against gold in recent weeks due to the Fed’s overt attempts to debase the greenback.

“I think it is the best investment right now so I converted my dollars to buy gold,” the 57-year-old said, adding: “I might withdraw my lira and buy gold with it too, but I am scared to go to the bank right now because of coronavirus.”

turks have traditionally used gold as savings and there may be as much as 5,000 tonnes [161m ozt.] of it “under mattresses”, with more added after the recent buying spree, Mehmet Ali Yildirimturk, deputy head of an Istanbul gold shops association, said.

And although gold has never been more expensive – in either lira or dollar terms – vendors at Istanbul’s Grand Bazaar said almost no one is coming to sell their gold jewellery. There are only buyers.

derryb

yep in another thread

Baley

Perhaps they should consider trading the gold for a house in a better location location location. 😉

cohodk

So he traded his dollars for gold but held his Lira?

MsMorrisine

@cohodk said:

So he traded his dollars for gold but held his Lira?

felt safe enough to convert dollars to gold, but not safe enough to go to the bank?

blitzdude

@MsMorrisine said:

@cohodk said:

So he traded his dollars for gold but held his Lira?

felt safe enough to convert dollars to gold, but not safe enough to go to the bank?

Smells like a Bulgarian conspiracy to me............

derryb

@blitzdude said:

Smells like a Bulgarian conspiracy to me............

it's actually a Canadian Reuters conspiracy

cohodk

@blitzdude said:

@MsMorrisine said:

@cohodk said:

So he traded his dollars for gold but held his Lira?

felt safe enough to convert dollars to gold, but not safe enough to go to the bank?

Smells like a Bulgarian conspiracy to me............

Turkey and Bulgaria do have a common border.

ShadyDave

@MsMorrisine said:

@cohodk said:

So he traded his dollars for gold but held his Lira?

felt safe enough to convert dollars to gold, but not safe enough to go to the bank?

That part made absolutely no sense to me

ricko

Decisions, decisions..... We all make them (well, most of us do ).... Some good, some bad....some just founder. Those who view things long term, usually do the best.... reactionary decisions can be problematic. Cheers, RickO

bronco2078

I would like some gold Lira!

I have a few silver lira (60%) and some tiny Ottoman gold from the 1800's

The Lira actually implodes pretty regularly

metalmeister

As mentioned before, I was in Mexico back in the 90's when over night the Mexican government moved the decimal point on the Peso over two places. My 100 Peso was now worth 1 Peso. THAT was a interesting vacation! It can happen anywhere. trust me.