PM prcies will drop hard....and then

carew4me · July 5, 2009 10:44PM

When SHTF arrives it be like a the calm before a tornado.

The news will consistently turn bad as is beginning to happen and the world will get increasingly nervous.

Forget the Yaun or Euro , other countries will start to hoard the only fiat they have relied on in crisis , the US Dollar.

This will strengthen the dollar even in the face or our trillions in debt, this will drive PM prices down.

This will be your final "all in" opportunity to convert the toilet paper to metal.

Once the other countries are convinced that the dollar is not the answer (for the first time) they will
go to Gold (which will pull silver along) like we have never seen.

I do not want this to happen, I have a family, children. But it does not look good.

Hopefully there really are people smarter than us out there that have real solutions.

goingbroke · July 5, 2009 11:26PM

I will hold my gold presently I have 30% of my savings in gold. I am debt free home and autos all paid off. 30% gold is a BIG gamble but the way things are going in the world you never know.

nightcrawler · July 6, 2009 1:48AM

The future seems dire in spite of those who say things are looking good.

JungleFever · July 6, 2009 4:06AM

If it is as bad as you are making it, what good will any assets do for you? Having nothing is about the same as having gold, silver, real estate, anything. When the countries begin nuking each other, by golly, get your gold and.........stare at it. Then put your faith in something better.

carew4me · July 6, 2009 4:37AM

I define SHTF more as hyper inflation.

Not countries "nuking each other", or shooting your starving neighbors on your front lawn.

Your bleeding into the hysterical.

My point is that there will a rush to the dollar , then a pull out.

When that occurs PMs will drop and then rise ...rapidly.

Just a thought

MoneyLA · July 6, 2009 4:39AM

I didn't catch your recipe for gold? How long do you bake it, and at what temp? do you put salt and pepper, mustard and relish on your gold? and would a side dish of silver and platinum make for a nice presentation?

stop forecasting how gold will save all. this talk only promotes the newsletter, book and web site publishers.... and the gold dealers.

gold is nothing more than another investment or speculation. the only thing that is certain about gold is that it will go up and go down. if you can buy it low and sell it high you will make money. if you can sell it high and buy it low you will make money.

it will not protect you from anything. unless you can eat it, and then it might protect you from supermarkets running out of food.

carew4me · July 6, 2009 4:50AM

Seeds and Bullets eh?

OPA · July 6, 2009 5:09AM

<< I didn't catch your recipe for gold? How long do you bake it, and at what temp? do you put salt and pepper, mustard and relish on your gold? and would a side dish of silver and platinum make for a nice presentation?

stop forecasting how gold will save all. this talk only promotes the newsletter, book and web site publishers.... and the gold dealers.

gold is nothing more than another investment or speculation. the only thing that is certain about gold is that it will go up and go down. if you can buy it low and sell it high you will make money. if you can sell it high and buy it low you will make money.

it will not protect you from anything. unless you can eat it, and then it might protect you from supermarkets running out of food. >>

As always, a cool head prevails from the gloom & doomsayers.

nightcrawler · July 6, 2009 9:54AM

<< I didn't catch your recipe for gold? How long do you bake it, and at what temp? do you put salt and pepper, mustard and relish on your gold? and would a side dish of silver and platinum make for a nice presentation? >>

nostradamus predicts we will eat people, not gold. Dire is the future.

renman95 · July 7, 2009 3:36AM

<< 

<< I didn't catch your recipe for gold? How long do you bake it, and at what temp? do you put salt and pepper, mustard and relish on your gold? and would a side dish of silver and platinum make for a nice presentation? >>

nostradamus predicts we will eat people, not gold. Dire is the future.

>>

I heard it was Soylent Green.

nightcrawler · July 7, 2009 1:13PM

This thread makes some good topic..

MrOrganic · July 7, 2009 3:22PM

...........AND THEN I BUY!!!!!!!!!!!

target plat 1100, pall 210

which of the four do you guys have your eye one?

I am lookin for plat & pall (ounce bars) anyone have suggestions? gainseville, coloradogold?

SportsModerator · July 7, 2009 6:26PM

Perhaps I am just too set in my ways and train of thought, but I cannot accept platinum and paladium as being monetary metals. Other than the waning industrial use of platinum for catalytic converters, and paladium as a speculative play that cold fusion might one day become a reality, two scenarios that I would not bet the farm on, what other demand/future do they actually have especially in a SHTF?

Please do not misinterpret my statement as being in the pro fiat/magical digitized money camp. Au contraire, I'm as dedicated a hard money advocate as you'll find and I do not have to explain the whys and wherefores of gold and silver being true wealth. History is on my side.

carew4me · July 7, 2009 9:29PM

I have to agree SM1.

There is no long term monetary history for P/P. Industry dictates their value.

Great for speculating but very little emotion tied to these two.

Pallidium may drop below $200 oz by December, if it does , that sounds like a good entry to me.

Platinum just doe s not make sense to me at the price.

But it could just be the story of poor guy that has $10,000 worth of catalytic converters in his basement

timcoin · July 8, 2009 2:05AM

<< I will hold my gold presently I have 30% of my savings in gold. I am debt free home and autos all paid off. 30% gold is a BIG gamble but the way things are going in the world you never know. >>

Smart man!

phantom1701 · July 8, 2009 2:16AM

I think Money LA makes a good point. For years I have followed PM's and totally get the concept and problems with our current fiat money system, but as with most things in this world the masses don't care enough to think or concern themselves about it to make a real impact on the way our government does things. They are content paying their taxes and going clubbing on Friday night. That's it. Life is stressful enough for most that they don't want to take on any other heady topics or issues beyond their workplace. So the government is free to spend into deficit oblivion and keep printing money hand over fist and no one outside of our circle will care. Just so long as gas prices don't get too high or movie tickets start costing $20, they'll accept whatever they are given when it comes to money and inflation.

The conclusion that I have come to over the years is that if we do indeed get to a point where PM's are "real money" and mega valuable, we'll have bigger problems to worry about like where we are going to get our next meal from. Because if this monetary system breaks down the way many think it might then the best thing to do is grab your essentials, consumables, ammo (not a gun guy myself) and head for the hills.

At the end of the day the "best case scenario" for gold valuable will mean the end of our civilization as we know it. Sad, but true.

Having said that, I still keep coins/PM's in my limited portfolio because there is indeed a value in hedging and diversifying one's holdings. But I hope the real doomsday scenarios never come to pass just so I can say I was right and holding PM's.

roadrunner · July 8, 2009 2:24AM

it will not protect you from anything. unless you can eat it, and then it might protect you from supermarkets running out of food.

It never ceases to amaze me that the "you can't eat gold" theory keeps coming up. Is it me or is the world still flat?

Other investible things that you cannot eat and therefore will "not protect you from anything."

Oil
Gold and Silver
Copper
Platinum or Palladium
Stocks and Bonds
Currency (you can physically eat it but get little value from it)
Clothing
Tin, Lead, Nickel, Molybdenum, Tungsten
Coal
Uranium and Plutonium
Natural Gas
Manure and fertilizers (good luck eating those!)
Automobiles
Coins
Art
Real Estate
Sports Teams
Land
Railroads
Ships
Timber
Precious stones
Beanie Babies
Tobacco
Guns, ammo and kevlar vests

roadrunner

cohodk · July 8, 2009 2:34AM

Roadrunner,

I think the arguement comes from the gold bulls who constantly tout that the world is ending and that you need gold to protect your assets. I hear the adds on TV and radio everyday. It is the bulls that put forth that concept, not the bears.

If people remember that nothing is a cure all and that all assets have their day in the sun, one should be able to stay ahead of the curve and prosper.

goingbroke · July 8, 2009 2:49AM

I dont believe the U.S. will end up in as bad a condition as you folks think. At least not in our lifetime, I do think owning PMs is a good idea in this economy and I think PMs will continue to rise in price in the coming years. All I know is my cash savings in Cd's pays only 2% and after taxes there is no way it keeps up with inflation at least at this time. I believe my PMs will at least be worth what I paid for them sometime in the future and I look at it as a insurance policy. I just want my "TODAY DOLLAR" worth the same tomorow.

Bear · July 8, 2009 4:49AM

If and when the crises occures,

The one thing you should have

is LEAD.Preferably with a powder

charge behind it.

MMR · July 8, 2009 8:49AM

<< When SHTF arrives it be like a the calm before a tornado.

The news will consistently turn bad as is beginning to happen and the world will get increasingly nervous.

Forget the Yaun or Euro , other countries will start to hoard the only fiat they have relied on in crisis , the US Dollar.

This will strengthen the dollar even in the face or our trillions in debt, this will drive PM prices down.

This will be your final "all in" opportunity to convert the toilet paper to metal.

Once the other countries are convinced that the dollar is not the answer (for the first time) they will
go to Gold (which will pull silver along) like we have never seen.

I do not want this to happen, I have a family, children. But it does not look good. >>

I am in complete agreement with the OP's thesis, and I feel that we are seeing these events play out right before our eyes. The dollar is strengthening and PMs are declining. How much further will PMs go before they spike back up and we see the dramatic rise in PM prices that many of us sense is coming? I personally believe we will not go any lower than AU $850 if even that low. I consider the recent action in gold as a buying opportunity. I just wish I had more liquid capital to buy gold with.

Norseman88 · July 8, 2009 12:00PM

<< If and when the crises occures,

The one thing you should have

is LEAD.Preferably with a powder

charge behind it. >>

I agree 100% although my wife thinks I'm nuts storing 2,000 rounds of .223 ballistic loads along with several hundred rounds of 12 gauge shotgun shells and .45 caliber shells for my Glock.

roadrunner · July 8, 2009 12:27PM

I think the arguement comes from the gold bulls who constantly tout that the world is ending and that you need gold to protect your assets. I hear the adds on TV and radio everyday. It is the bulls that put forth that concept, not the bears.

If people remember that nothing is a cure all and that all assets have their day in the sun, one should be able to stay ahead of the curve and prosper.

I have zero issues with any of the above. It's when the discussion goes sub-credible and the "you can't eat gold" theory pops out that I lose it. I had similar reactions at work (non-union) when some idiot says "that's not my job." When one lowers themselves to the gastric abiilties of investments they might as well say, hey, don't listen to me from this point on........Now I do fully understand the thermal BTU value of investments and therefore can appreciate the fact that during the peak of the Weimar experience, people were buring currency for heat once they held it too long. It had more value for it's carbon content (approx 8,000 BTU/lbm).

roadrunner

jmski52 · July 8, 2009 12:29PM

I agree 100% although my wife thinks I'm nuts storing 2,000 rounds of .223 ballistic loads along with several hundred rounds of 12 guage shotgun shells and .45 caliber shells for my Glock.

I don't think you're nuts.

nightcrawler · July 8, 2009 4:31PM

Why do the PM prices drop when the dollar grows stronger? Is it sort of one against the other on the market?

And is this 'World Currency' thing real, can it happen? Is it happening? Wilkpedia is vague.

I really need a sigline disclaimer if I'm going to start posting here, lol.

Norseman88 · July 9, 2009 6:06AM

<< Why do the PM prices drop when the dollar grows stronger? Is it sort of one against the other on the market?

And is this 'World Currency' thing real, can it happen? Is it happening? Wilkpedia is vague.

I really need a sigline disclaimer if I'm going to start posting here, lol.[/

Possibly this is the New World Order that George Bush SR. kept expounding??

cladking · July 9, 2009 9:41AM

<< 

Hopefully there really are people smarter than us out there that have real solutions. >>

The problem isn't a lack of solutions, it's the lack of the courage to implement them.

Every single solution will require vast changes in the way things are done. Our leaders
are too busy grubbing money and protecting their chances for reelection from an elec-
torate which fears change over all else. We might just all stay in our respective ruts
until there is no longer a means to support six billion people on the planet.

And then population will begin a decline.

Don't count on gold's coattails to pull silver along. If we really do fail to make the changes
then gold will most probably do well when explosive inflation comes along but all bets are
off when the systems start failing. Silver is a great bet on our ingenuity and genius but it's
not a good bet on pigs at a trough.

PM prcies will drop hard....and then

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