Interesting Take on PMs

vpr

I'm starting to think more like this.

PMs

agentjim007

In the piece, Buffett argues that bonds "should come with a warning label" right now, because interest rates aren't high enough to make up for inflation and taxes.
I didn't think there was any inflation.

derryb

Go for it. Give you .80 on the dollar for your PMs. You should recover the loss in no time.

cohodk

<< <i>Go for it. Give you .80 on the dollar for your PMs. You should recover the loss in no time. >>



I'll give you .80 for every dollar.

vpr

Hir argument is very valid. The fact that PMs just sit in storage is a huge negative. I'm still trying to find investments that will benefit with higher PM prices, yet can put capital to good use. I'm not so sure that mining companies are the way to go.

Overdate

Buffet's views would make sense in a reasonably free and transparent marketplace. They make no sense under a crony capitalist/socialist government that is trashing its currency to prop up the real estate and stock markets.

agentjim007

The fact that PMs just sit in storage is a huge negative

I consider this a positive. I like having something no one can get their hands on.

MilesWaits

Buffet is tainted road-kill due to his and others decision to accept the derivative protection they received.

I would rather listen to the respected Jim Rogers snore than Buffet's predictably rancid ramblings.

jmski52

Buffet - another hypocritical windbag, helping to pass obamacare while undermining the Keystone pipeline so that insurance costs & oil transportation costs will soak the middle class to benefit his insurance and railroad holdings. His economics are only based on the politicians that he can buy outright, or make a bargain with, at your expense and mine.

roadrunner

I think the stocks will outperform gold mantra is very long in the tooth. Dow vs. Gold Dow vs. HUI have basically gone parabolic. Is that sustainable Warren?
How will stocks do as we enter a 120 year economic cycle bottoming in 2014? Real Estate cycle will be peaking for the last time in 2015...then 33 years down/weakness according
to Armstrong. The period of 2016 to 2020 should be a difficult one for stocks and real estate. WB is still smarting from being told to give up his 130 MILL ounces of silver in 2006.
But in return he got the keys to the executive washrooms at a number of major corporations and banks as well as the treasury and white house.

LochNESS

From the article: "Buffett says Berkshire holds U.S. Treasury bills only to make sure the company has quick access to cash if it is suddenly needed."

Let us not forget this guy invested $5 Billion to save Bank of America. I know BoA does a lot more than handle banknotes but this seems awfully hypocritical IMO.

Regardless, I actually agree with this quote. I, too only keep Treasury bills to make sure I have quick access to cash if it's suddenly needed. Unfortunately I need it every month to pay my mortgage and utility bills, and I suspect Berkshire has the same problem. I doubt their electric bill is paid with stocks.

AUandAG

Wasn't that article written in Feb of 2012???

bob

s4ny

The US National Debt is now over $15 trillion. If you had all that gold, you
could only pay off 60% of what the US owes.

I am horrified to calculate that
all the US cropland could only pay off 10% of the US debt. (using a nominal value of $4000/acre)

Farmland and Exxon-Mobil are great assets. If you had lived in Tsarist Russia in
1913 and had 10,000 acres of farmland close to the Polish border and also owned
oil wells and a refinery in Baku, you might have preferred to have gold in a Swiss
bank.

OPA

<< <i>Wasn't that article written in Feb of 2012???

bob >>



Yes it was, and his comment: "Stocks Will Outperform Gold and Bonds," was right on the money for the time. Has he made any recent quotes?

VanHalen

<< <i>Buffet's views would make sense in a reasonably free and transparent marketplace. They make no sense under a crony capitalist/socialist government that is trashing its currency to prop up the real estate and stock markets. >>



+1

derryb

"Imagine little Suzie setting the price for lemonade at her cute lemonade stand, but without any lemonade, resorting to IOU chits to keep the price down. She would become the laughing stock on the neighborhood." - Jim Willie

DrBuster

<< <i>The US National Debt is now over $15 trillion. If you had all that gold, you
could only pay off 60% of what the US owes.
. >>



You left off about $2T....so even less than 60%.