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Stock Market Slaughtered - broker sez buy coins !

With a couple of trillion dollars lost in the U.S. markets alone these past several days ,

a local columnist in the paper suggested a good hedge might be to invest in coins ! Bloody good advice I would say .......

especially since many of us have seen our mutual funds , 401K's and our children's college funds slaughtered with no light at the end of the tunnel

Comments

  • dohdoh Posts: 6,457 ✭✭✭
    I feel like I've read this before...oh that's right, every other post.... image
    Positive BST transactions with: too many names to list! 36 at last count.
  • PawPaulPawPaul Posts: 5,845
    there's a lot of posts on this subject no doubt

    - but how many mention an article from a major national newspaper urging the general public to buy coins ??


  • << <i>With a couple of trillion dollars lost in the U.S. markets alone these past several days ,

    a local columnist in the paper suggested a good hedge might be to invest in coins ! Bloody good advice I would say .......

    especially since many of us have seen our mutual funds , 401K's and our children's college funds slaughtered with no light at the end of the tunnel >>



    Slaughtered is a strong term. All that was lost was paper profits. It had no real value unless it was converted to something that has intrinsic value. Paper profits are only good if you use them for toilet paper.

    I would say that the "exuberance" of the last ten years is being adjusted. A steady deliberate investment in precious metals ove the last tten years has rewarded some quite well for their cautious diversification.
    Luck happens when preparation meets opportunity.
  • PawPaulPawPaul Posts: 5,845
    i somewhat agree -

    but disagree strongly that only paper profits were lost - my retirement fund has been decimated -and maybe paper to you ;

    but that's my future........... food, shelter , medicine , etc
  • ambro51ambro51 Posts: 14,053 ✭✭✭✭✭
    I was told to do exactly that ONE year ago....at a market high.

    By a Palm reader. Difference is, I sold at a HIGH, not at this rock bottom pit. thats the way youre supposed to do it, right?

    (Oh how I was laughed at then...but I done as he said)

    Now...who's laughing?
  • FullStrikeFullStrike Posts: 4,353 ✭✭✭


    << <i>broker sez buy coins >>



    Yes, indeed, but what kind of Coins? Gold and Silver Bullion Coins, I'll bet, or modern crap as we so lovingly like to call it around here. I'm willing to bet no one is calling for 1913 Liberty's at $5,000,000 +. image

    Why just the other day I got an email offering to take gold bullion, or spot free gold generics in trade for high quality high grade classic Coins. Now if the top stuff is so great why is it being offered for modern crap gold?

    Seems the Dealer in question is now wanting the very stuff they formerly looked down on. Is 50 oz of common bullion really better than one oz of rare quality gold at $50,000?

    image
  • roadrunnerroadrunner Posts: 28,324 ✭✭✭✭✭
    Why just the other day I got an email offering to take gold bullion, or spot free gold generics in trade for high quality high grade classic Coins. Now if the top stuff is so great why is it being offered for modern crap gold?

    That's because they wanted to pick you off on the generic gold following some large gains the past week. And in return, they can trade you stuff that isn't selling for them. A win-win for the dealer, lose-lose for you.

    Seems the Dealer in question is now wanting the very stuff they formerly looked down on. Is 50 oz of common bullion really better than one oz of rare quality gold at $50,000?

    Most would take the 50 oz. right now and get out of Dodge. Yes, only a few weeks ago bullion and generic gold were blights on the market. Real collectors buy gem proof gold and other such $50K+ trophy coins....not cheap gold widgets.

    roadrunner
    Barbarous Relic No More, LSCC -GoldSeek--shadow stats--SafeHaven--321gold
  • stevekstevek Posts: 30,950 ✭✭✭✭✭
    Of course the coin dealers are gonna say invest in coins.

    Whadaya think they're gonna say? LOL
  • bennybravobennybravo Posts: 1,950 ✭✭✭
    Hey Ambro, is your palm reader named Peter Schiff?image



    [Peter Schiff - CNBC - Kudlow & Company - 7/2/2007
  • Well, my 401K isn't even "paper" profits, it's little bits spinning around on a hard drive somewhere, but it's still real when it goes away, and it has an effect on my spending decisions.

    If this economic contraction continues, and people start losing jobs and selling things, there may be some collections hitting the market, but that will be sad because that means desperation has set in, however, there will be the opportunities. I'd say wait a while though and see how this thing all works out.
    Anyone can make a difference, but most people probably shouldn't. -- Marge Simpson
  • cinman14cinman14 Posts: 2,489
    The stock market losses are the same as PM losses... You only lose if you SELL.....

    The market will bounce back. It always does. It sucks if you are 5 years away from retirement.

    But then again, if you are 5 yrs away from retirement you shouldn't have had your money invested
    in the market....

  • TwoSides2aCoinTwoSides2aCoin Posts: 44,703 ✭✭✭✭✭

    image
    image

    This brown wheatie is over $150 with less than a half hour to go, on eBay.

  • Sure glad I "lost" a week and a half ago!


    ------------------------------------------------------------------------------------------------------
    The stock market losses are the same as PM losses... You only lose if you SELL.....
    Anyone can make a difference, but most people probably shouldn't. -- Marge Simpson
  • adamlaneusadamlaneus Posts: 6,969 ✭✭✭


    << <i>a local columnist in the paper suggested a good hedge might be to invest in coins ! Bloody good advice I would say ....... >>



    Too late for this if someone in the media says it.

    Stocks have gone down recently. Metals have gone up recently. Right now is not a good time to transition from stocks to metals. A month ago was. If you are going to time it anyway.

    And there is no telling what asset will hold value best in two, five, ten or twenty years.

    One thing I guarantee. Which ever asset does best is what these media types will be recommending. Their logic is simple, stupid and useless.



  • << <i>i somewhat agree -

    but disagree strongly that only paper profits were lost - my retirement fund has been decimated -and maybe paper to you ;

    but that's my future........... food, shelter , medicine , etc >>



    I learned a very tough lesson when the tech bubble burst in 2000 and my retirement account tanked 40%. If your old enough to have had a retirement account at that time and you didn't diversify after that decimation, then well, I don't know what to say to you. If you are younger and and you are just now experiencing your first market correction, then sit back and know that time is on your side. use this as a learning experience for asset allocation and you will do fine by the time you retire. The market moves in major cycles based on speculation and greed. It will bite you if your not careful. Learn from this, its not new. It happened in the eighties, it happened in the late nineties and its happening now. Its the game. Play it to win.
    Luck happens when preparation meets opportunity.


  • << <i>The stock market losses are the same as PM losses... You only lose if you SELL.....

    The market will bounce back. It always does. It sucks if you are 5 years away from retirement.

    But then again, if you are 5 yrs away from retirement you shouldn't have had your money invested
    in the market.... >>



    BINGO!!!
    Luck happens when preparation meets opportunity.
  • zeebobzeebob Posts: 2,825


    << <i>I feel like I've read this before...oh that's right, every other post.... image >>



    imageimageimage
  • SkyManSkyMan Posts: 9,567 ✭✭✭✭✭


    << <i>

    << <i>i somewhat agree -

    but disagree strongly that only paper profits were lost - my retirement fund has been decimated -and maybe paper to you ;

    but that's my future........... food, shelter , medicine , etc >>



    I learned a very tough lesson when the tech bubble burst in 2000 and my retirement account tanked 40%. If your old enough to have had a retirement account at that time and you didn't diversify after that decimation, then well, I don't know what to say to you. If you are younger and and you are just now experiencing your first market correction, then sit back and know that time is on your side. use this as a learning experience for asset allocation and you will do fine by the time you retire. The market moves in major cycles based on speculation and greed. It will bite you if your not careful. Learn from this, its not new. It happened in the eighties, it happened in the late nineties and its happening now. Its the game. Play it to win. >>



    A couple of different points; first, I agree with the above with some caveats. I've been through many cycles, but I've never seen ANYTHING before like what is happening to the financial stocks now. My basic position when the market has toileted like it has now was to hold on and wait for the recovery, which eventually always does happen. Unfortunately, this time, if a company goes belly up in the interim, let's say AIG, then you've in essence been forced to sell against your will. I am still holding onto most of my financial companies, but I bailed on 2 that I strongly suspect will be wastepaper within 6 months. As far as the other stocks go in my portfolio I am holding on to them, and indeed am dollar cost averaging buying various market funds (S&P etc.) at this point in time. Yes, the market may continue to go south, but what cost you $100 to buy 1 share (if you will) of the S&P 500 one year ago today, now costs roughly $60... so you tell me, when is the better time to buy.

    Second, IMO a large part of the advance in gold/pm's over the last 5 years was driven by inflation worries associated with commodity prices in general and oil in particular. The commodity market to a large extent was driven by China's growth and speculation on it's growth, but trees don't grow to the skies. Once anything goes up enough in price, less is used... basic market fundamentals. Oil's price, on the other hand, was driven by both China's growth AND the world economy in general. Now that the world economy is seizing up oil prices have dropped over 40% from their high. So, gold and pm's, are probably not going to make a significant upward move.

    Third, in the most recent auction I was involved in, a Space Memorabilia auction at Heritage 2 days ago, it was the one of a kind stuff that was setting all sorts of records while the generic stuff was more or less hanging around... either selling at estimate or not selling at all. My basic theory is that those that have serious money will always want, "The Right Stuff", be it coins or whatever and will pay to get it. Heck how does 2 oz. of Brandy for $18,000 strike you (I bid on this item but did not win it)?

    Brandy

    So, coins? Yeah, I'd certainly own some to diversify a portfolio, but IMO you're kind of late in the cycle if you're gonna' buy a bunch, as I strongly suspect the generics will either be going down in price or at best treading water, and the rarer stuff by definition is much more expensive to buy, so out of the reach for most mortals.
  • PawPaulPawPaul Posts: 5,845
    Like Skyman sez, there have been market corrections before-BUT NOTHING LIKE THE CARNAGE we are now experiencing ........

    Major Corporations , giant banking entities, mortgage kingpins, the biggest insurance companies; going belly up

    Government bailouts for mega billions, Uncle Sam taking over Banks , a bankrupt Soc. Security system, General Motors loosing 14 Billion last Quarter -

    are you crapping me ?????????

    get ready for the roughest ride of all our lives ..........



    And as for me being 3 years away from retirement and having a significant portion of my 401k in Blue Chips ?

    get serious boy's ; when the ship sinks there will be no survivors
  • mrearlygoldmrearlygold Posts: 17,858 ✭✭✭
    Some of the calls coming in lately have been..........interesting to say the least. The amount of inquiries has made us quite busy.
  • dohdoh Posts: 6,457 ✭✭✭


    << <i>when the ship sinks there will be no survivors >>


    Well, thankfully we're not all on the same ship....
    Positive BST transactions with: too many names to list! 36 at last count.
  • PawPaulPawPaul Posts: 5,845


    << <i>

    << <i>when the ship sinks there will be no survivors >>


    Well, thankfully we're not all on the same ship.... >>




    .....but , my friend - were all in the same boat ! image
  • jfoot13jfoot13 Posts: 2,677 ✭✭✭


    << <i>Like Skyman sez, there have been market corrections before-BUT NOTHING LIKE THE CARNAGE we are now experiencing ........

    Major Corporations , giant banking entities, mortgage kingpins, the biggest insurance companies; going belly up

    Government bailouts for mega billions, Uncle Sam taking over Banks , a bankrupt Soc. Security system, General Motors loosing 14 Billion last Quarter -

    are you crapping me ?????????

    get ready for the roughest ride of all our lives ..........



    And as for me being 3 years away from retirement and having a significant portion of my 401k in Blue Chips ?

    get serious boy's ; when the ship sinks there will be no survivors >>



    Be it by luck or design ,,, there will always be survivors image
    If you can't swim you better stay in the boat.......
  • tradedollarnuttradedollarnut Posts: 20,262 ✭✭✭✭✭
    The smart money is NOT going into coins right now...the smart money went into coins 3-5 years ago when the stock market was doing very little. Smart money made 15-20% annually on coins while the market treaded water.

    Now that the stock market has been tanking, the smart money is preparing to jump back in and buy equities at 40-60 cents on the dollar.

    That's what smart money does.
  • TahoeDaleTahoeDale Posts: 1,785 ✭✭✭
    No question but that TDN is on the right page. But be prepared for the market to go sideways, after the initial burst upward.

    And if anyone has any MS 65 bust halves that they want to sell, please write or call. I am always a buyer, til the average asking price exceeds $25,000.
    TahoeDale
  • jhdflajhdfla Posts: 3,030 ✭✭✭


    << <i>The smart money is NOT going into coins right now...the smart money went into coins 3-5 years ago when the stock market was doing very little. Smart money made 15-20% annually on coins while the market treaded water.

    Now that the stock market has been tanking, the smart money is preparing to jump back in and buy equities at 40-60 cents on the dollar.

    That's what smart money does. >>





    So true. Buying when there's blood in the streets in not just a cliche, it's how you make money. Be sure of a bottom first tho, don't try and catch a falling knife.

    It may be time very soon as most people's 401K's are now 201K's... worst move you can make right now is to move your 401K out of mutual funds and into money markets, I'm amazed the number of people I've seen do just that this past week.
  • PawPaulPawPaul Posts: 5,845
    when people are scared and panicky -they do strange things ............

    can we not expect rare coins to surge in light of the economic upheaval ??
  • tradedollarnuttradedollarnut Posts: 20,262 ✭✭✭✭✭


    << <i>when people are scared and panicky -they do strange things ............

    can we not expect rare coins to surge in light of the economic upheaval ?? >>



    NO! Rare coins have ZERO reason to surge during economic upheaval.
  • Dog97Dog97 Posts: 7,874 ✭✭✭
    Coinhog seys:
    <<<Slaughtered is a strong term. All that was lost was paper profits. It had no real value unless it was converted to something that has intrinsic value. Paper profits are only good if you use them for toilet paper.>>>

    BULL FREAKIN SHOOT!! When my account balance says it's worth $75k less than I paid for it I call that REAL because that's $75k that was once in my pocket and I basically put it in the toilet and pulled the handle and SWOOSH!! gurgle, around & around & around & down...
    Least that's the way I see it. hahahha



    Change that we can believe in is that change which is 90% silver.
  • PawPaulPawPaul Posts: 5,845
    dog- I hear you flushin' man .................
  • WinPitcherWinPitcher Posts: 27,726 ✭✭✭
    So would now be a good time to buy GM and or Ford?


    Steve
    Good for you.
  • Dog97Dog97 Posts: 7,874 ✭✭✭
    <<<So would now be a good time to buy GM and or Ford?>>>

    I like dividend stocks so personally I would't fool with Ford. At least GM pays 25¢ per share per quarter and the stock is at an all time low with lots of upward potential.
    My favorite is shipping like FRO with $3 dividends, EAGLE with 30¢, SFL with 50¢ dividends. People aren't gonna stop drinking COKE with 25¢ diviends and the worse times get the more people drink so booze company DEO with $1.25 dividend is also good to me.
    I also own BUD & HOG with total 70¢ dividends so I can actually say I get paid for riding around on my Harleys & drinking beer image I collect Harley Davidsons too.
    Don't buy BUD because they sold out to a foreign company and the stock is high, but Harley is still selling bikes like hotcakes, stock is record low, plus they just bought out Italian crotch rocket company MV Agusta, which is the baddest bike made, wave bye bye to Eric Buell with his wannabe crotch rockets with Sportster engines.
    I also just just received some nice dividends from 3rd rate mortage companies masquarading as REIT's but I don't suggest them unless you have nerves of steel and I don't know how much longer mine will last...
    $40 to $10 then a 2/1 rev split, then $5 to 49¢, then getting delisted does sting, that's happened to me a few times.
    Yeah, the stock market sucks but I'm still making $$$ from it though I'm waaaaaaaay in the red.
    Hope this helps.
    Change that we can believe in is that change which is 90% silver.
  • COALPORTERCOALPORTER Posts: 2,900 ✭✭
    The stock market losses are the same as PM losses... You only lose if you SELL.....

    Wrong. Did a broker tell you that ? When your assets decline, you are poorer. No two ways about it.

    The market will bounce back. It always does. It sucks if you are 5 years away from retirement.

    It does ? We've been lucky over the last 30 years that market corrections have been short and recovery very fast. But remember 1929? It took until 1952 to recover. Kind of a long bounce.

    But then again, if you are 5 yrs away from retirement you shouldn't have had your money invested
    in the market....


    Wrong. Most people will now live 20 to 30 years past retirement.
    Going zero % equities probably will not be agressive enough.
    Most financial advisors would probably recommend at least some exposure to "the market".
    1% yields on money account wont leave you enough to feed birds in the park image
  • Dog97Dog97 Posts: 7,874 ✭✭✭
    <<<The market will bounce back. It always does. It sucks if you are 5 years away from retirement.>>>
    Key word is the market. The DOW, S&P are averages of the market in general. It usually bounces back.
    Do not confuse that with your stocks, which may simply go POOF!
    Change that we can believe in is that change which is 90% silver.
  • fishcookerfishcooker Posts: 3,446 ✭✭
    The stock market losses are the same as PM losses... You only lose if you SELL.....

    Great! That means the Nasdaq I purchased at 4800 is not a loss then!


  • jdimmickjdimmick Posts: 9,821 ✭✭✭✭✭
    They think they lost a bunch now in the stock market, let the uneducated buyer go out and pursue coins in the current coin market and see how much more they loose. It will make the stock market loss seem minimal!
  • jmski52jmski52 Posts: 23,477 ✭✭✭✭✭
    Now that the stock market has been tanking, the smart money is preparing to jump back in and buy equities at 40-60 cents on the dollar.

    That's what smart money does.


    The stock market hates uncertainty. Besides that, earnings reports will not be looking good, and taxing authorities are running with shortfalls already.

    Besides that, everyone who recently looked at their retirement accounts will have to begin calculating what the ramifications will be to their plans.

    Buying stocks - I'd say a tad too early. Later, maybe. If I am missing something, I'd sure like to plug it into my strategy. What am I not getting?

    A few months ago, dumb money took his retirement money out of every one of his retirement accounts, paid the penalty, paid the taxes, and is waiting for a sign. Just gimme a little sign.

    A nice large cent would sure be nice, tho.image
    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • jmski52jmski52 Posts: 23,477 ✭✭✭✭✭
    Some of the calls coming in lately have been..........interesting to say the least. The amount of inquiries has made us quite busy.


    What kinds of calls?image
    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • mrearlygoldmrearlygold Posts: 17,858 ✭✭✭


    << <i>Some of the calls coming in lately have been..........interesting to say the least. The amount of inquiries has made us quite busy.


    What kinds of calls?image >>



    For twenties.



  • << <i>

    << <i>a local columnist in the paper suggested a good hedge might be to invest in coins ! Bloody good advice I would say ....... >>



    Too late for this if someone in the media says it.

    Stocks have gone down recently. Metals have gone up recently. Right now is not a good time to transition from stocks to metals. A month ago was. If you are going to time it anyway.

    And there is no telling what asset will hold value best in two, five, ten or twenty years.

    One thing I guarantee. Which ever asset does best is what these media types will be recommending. Their logic is simple, stupid and useless. >>



    Seems like everyone thinks hydrocarbons, oil & natural gas, are on their way out because of the green movement.
    I say it'll take about 50 years for this to happen. In the meantime, there are mid-cap drillers
    with healthy balance sheets and a P/E of 5 or 6 that can be bought
    for half what they were selling for last year. Give them a look.
    JET
    It is health that is real wealth, not pieces of gold and silver. Gandhi.

    I collect all 20th century series except gold including those series that ended there.
  • dohdoh Posts: 6,457 ✭✭✭


    << <i>.....but , my friend - were all in the same boat >>


    LOL, no we're not. You're in your own, doomsday boat. It's sorta funny to watch this thread and all others like it.
    Positive BST transactions with: too many names to list! 36 at last count.
  • If I had $$ right now, I'd put it in to real estate and the stock market, not coins!

    This may be the best stock opportunuty you will ever see! (That is of course, if we are at , or near, the bottom. I think we likely are.
    "Wars are really ugly! They're dirty
    and they're cold.
    I don't want nobody to shoot me in the foxhole."
    Mary






    Best Franklin Website

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