Debt is one of the reasons PMs have a great future. The real question is how high can it go before it implodes:
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
On the greed vs. fear scale, I think we're still in the fear cycle (for metals), but not drastically so. OTOH, I don't see much greed in the precious metals market right now, either.
At some point, the bond market will decide that more debt just doesn't make sense and metals will look like heaven. Right now, the QE stock market anesthetic hasn't worn off yet. When it does, the stock market won't feel so good, then again - I've been saying that for about 9 years now.
I might've been a little early in suggesting metals as a good insurance against out of control gov.com debt issuance and a bond market blowoff. Still, a gradual accumulation of silver (or gold, or platinum) over the past 9 years wouldn't have been such a bad thing. All it means is that less was bought at the peak and more was bought along the low spots - which is the objective, I think.
Q: Are You Printing Money? Bernanke: Not Literally
With the threat of war now increased, how high will gold go?
Numismatist. 50 year member ANA. Winner of four ANA Heath Literary Awards; three Wayte and Olga Raymond Literary Awards; Numismatist of the Year Award 2009, and Lifetime Achievement Award 2020. Winner numerous NLG Literary Awards.
Jmski....I would just ask you, to ask yourself, why you were early.
The bond market seems to be slowly turning. Slow is how a supertanker turns. It's better than sinking, but the metals are still under pressure. The window for continued buying is still open. Being early is to avoid being onboard in case the supertanker is named Exxon Valdez.
Are prices down? Heading down? Down already? It's harder to buy when prices are down. Which is when things should be bought.
Q: Are You Printing Money? Bernanke: Not Literally
@cohodk said:
Buying early is like arriving today at the airport for next Wednesday's flight.
prices aren't scheduled. Early investments always trump late investments.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
@cohodk said:
Buying early is like arriving today at the airport for next Wednesday's flight.
prices aren't scheduled. Early investments always trump late investments.
Opportunity costs can be massive....have the early birds paid enough yet?
you dig for your worms and I'll dig for mine
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
I was early in 1977-1979. I was early in 2006-2007. Buying when prices are low means that you have a low cost basis and a low cost basis yields massive flexibility.
Opportunity costs when interest rates are very low, become insignificant in terms of risk/reward.
Q: Are You Printing Money? Bernanke: Not Literally
__Opportunity costs when interest rates are very low, become insignificant in terms of risk/reward.
Wow...is that ever wrong.__
Okay, I'll bite - tell me what opportunity costs are massive when interest rates are low. Are you suggesting that buying "low risk" Treasuries when interest rates are so low - is a stellar move? Because, it's not.
Opportunity costs may apply in IRR analysis, but that's not the same as personal investment unless you own a business where it's relevant.
If you are referring to a stock fund and opportunity costs, you may have a point as long as Fed has your back and as long as the debt fiasco doesn't come to fruition. If you have insider information about that, I'm all ears.
Q: Are You Printing Money? Bernanke: Not Literally
If you are referring to a stock fund and opportunity costs, you may have a point as long as Fed has your back and as long as the debt fiasco doesn't come to fruition.
You are aware that the stock market is ownership of equity that produce goods and provide services for human consumption, right? Are you expecting the end of humankind?
@cohodk said:
There are 2 sides to the debt market. You can either collect low interest, or pay low interest.
Leverage. Reinvestment. Huge opportunity.
35 years ago investors were given a gift of high interest rates. In the last few years they were given another.
But, there is a spread between the two sides. The consumer always pays more interest than the saver collects. Otherwise the money changers would not profit from the consumers' needs.
And when it comes to leverage, keep in mind that under the current fractional lending policy banks actually loan out more than 90% of your savings. Consider your deposits to actually be a loan to the bank with them paying less interest to you than you have to pay to them when you borrow from them.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
@cohodk said:
There are 2 sides to the debt market. You can either collect low interest, or pay low interest.
Leverage. Reinvestment. Huge opportunity.
35 years ago investors were given a gift of high interest rates. In the last few years they were given another.
But, there is a spread between the two sides. The consumer always pays more interest than the saver collects. Otherwise the money changers would not profit from the consumers' needs.
And when it comes to leverage, keep in mind that under the current fractional lending policy banks actually loan out more than 90% of your savings. Consider your deposits to actually be a loan to the bank with them paying less interest to you than you have to pay to them when you borrow from them.
Everything I wrote flew right over your head, didn't it?
You are comparing a savings account to utilizing low interest debt to finance productive asset purchases?
And what effect does inflation have on those low interest loans?
He may have meant 1929 just before the stock market crashed on "Black Friday" which ushered in the Great Depression.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
He may have meant 1929 just before the stock market crashed on "Black Friday" which ushered in the Great Depression.
Even if so, I would really love to see how he thinks either of those years looks like today. Specific economic and demographic data with inter-market analysis would greatly enhance his contention.
Even if so, I would really love to see how he thinks either of those years looks like today. Specific economic and demographic data with inter-market analysis would greatly enhance his contention.
The analogy was aimed at the use of leverage in a rising stock market. PerryHall more correctly perceived that I should have said 1928 or 1929. I may have some good references that I can throw into the discussion, but right now I really don't have too much time to dig for them. There are plenty of Great Depression and Stock Market Crash of 1929 histories to choose from.
There certainly is optimism in the stock market - or at least there has been for a good long time. I can almost hear someone saying that we've reached a permanent plateau or something.
I don't know any shoeshine boys personally or I might be tempted to ask one for a stock tip.
Q: Are You Printing Money? Bernanke: Not Literally
Comments
Debt is one of the reasons PMs have a great future. The real question is how high can it go before it implodes:
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
Why hasn't it "imploded" yet?
And since it hasn't, why would it?
Liberty: Parent of Science & Industry
deja vu 2008
the chickens always come home to roost
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
Ah yes, that was a great recession indeed
Liberty: Parent of Science & Industry
And gold dropped 30% and equities were the buy of a generation.
The economy never goes to zero...dang it!!
And having raised free range chickens, I know that sometimes they never come home.
Knowledge is the enemy of fear
the dingo ate your chickens
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
On the greed vs. fear scale, I think we're still in the fear cycle (for metals), but not drastically so. OTOH, I don't see much greed in the precious metals market right now, either.
At some point, the bond market will decide that more debt just doesn't make sense and metals will look like heaven. Right now, the QE stock market anesthetic hasn't worn off yet. When it does, the stock market won't feel so good, then again - I've been saying that for about 9 years now.
I might've been a little early in suggesting metals as a good insurance against out of control gov.com debt issuance and a bond market blowoff. Still, a gradual accumulation of silver (or gold, or platinum) over the past 9 years wouldn't have been such a bad thing. All it means is that less was bought at the peak and more was bought along the low spots - which is the objective, I think.
I knew it would happen.
Whew.....and here all this time I thought it was "they".
Knowledge is the enemy of fear
Jmski....I would just ask you, to ask yourself, why you were early.
Knowledge is the enemy of fear
Going up.
Resistance is futile, and obvious.
1 bitcoin or $8000.00 face value in 90% Silver U.S. coinage ?
As long as sellers are selling at $15 , I’m buying.
$14 ...here we go.
I bought some silver stocking stuffers for the nieces/nephews and friends kids yesterday, so it'll keep dropping.
$16.25 ? $15.75 ? Next stop is the ceiling not the floor.
I hope you are right. Up would be nice...
Well .... it’s a deep subject. Be well !
gold has down 20 dollars early this morning, now it's up 3.70 as the dow is now tanking down over 400. silver will follow gold
Gold is now up slightly. Palladium however is down $55 and still sinking. What's the deal? Did a car company go out of business?
I knew it would happen.
So, silver goes down to $15.35 and gold goes down to $1275. This is my short term prediction.
That is as good and accurate as any prediction
Successful transactions with : MICHAELDIXON, Manorcourtman, Bochiman, bolivarshagnasty, AUandAG, onlyroosies, chumley, Weiss, jdimmick, BAJJERFAN, gene1978, TJM965, Smittys, GRANDAM, JTHawaii, mainejoe, softparade, derryb
Bad transactions with : nobody to date
Oops. Got a knot on me head today. TGIF.
With the threat of war now increased, how high will gold go?
Well ? May Day !
No one knows when. But every morning I wake up. I am glad I am diversified.
100% Positive BST transactions
Jmski....I would just ask you, to ask yourself, why you were early.
The bond market seems to be slowly turning. Slow is how a supertanker turns. It's better than sinking, but the metals are still under pressure. The window for continued buying is still open. Being early is to avoid being onboard in case the supertanker is named Exxon Valdez.
Are prices down? Heading down? Down already? It's harder to buy when prices are down. Which is when things should be bought.
I knew it would happen.
Buying early is like arriving today at the airport for next Wednesday's flight.
Knowledge is the enemy of fear
Unfortunately not low enough for me to buy it all. Stack on!
The whole worlds off its rocker, buy Gold™.
prices aren't scheduled. Early investments always trump late investments.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
Opportunity costs can be massive....have the early birds paid enough yet?
Knowledge is the enemy of fear
you dig for your worms and I'll dig for mine
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
Mine are bigger. Don't be envious. Lol
So much talk about time..."it's only a matter of time", "time will tell"....yet why do so few truly understand it?
Knowledge is the enemy of fear
I was early in 1977-1979. I was early in 2006-2007. Buying when prices are low means that you have a low cost basis and a low cost basis yields massive flexibility.
Opportunity costs when interest rates are very low, become insignificant in terms of risk/reward.
I knew it would happen.
Why is Jamie Dimon stacking silver? Doesn't he know that it's too early?
I knew it would happen.
because he wants to and has been doing it for years.
Yeah, and he's been early!
I knew it would happen.
You've seen his personal statements?
Knowledge is the enemy of fear
Wow...is that ever wrong.
Knowledge is the enemy of fear
I am still buying sterling silver for 40 cents a gram; is that an OK price?
__Opportunity costs when interest rates are very low, become insignificant in terms of risk/reward.
Wow...is that ever wrong.__
Okay, I'll bite - tell me what opportunity costs are massive when interest rates are low. Are you suggesting that buying "low risk" Treasuries when interest rates are so low - is a stellar move? Because, it's not.
Opportunity costs may apply in IRR analysis, but that's not the same as personal investment unless you own a business where it's relevant.
If you are referring to a stock fund and opportunity costs, you may have a point as long as Fed has your back and as long as the debt fiasco doesn't come to fruition. If you have insider information about that, I'm all ears.
I knew it would happen.
There are 2 sides to the debt market. You can either collect low interest, or pay low interest.
Leverage. Reinvestment. Huge opportunity.
35 years ago investors were given a gift of high interest rates. In the last few years they were given another.
Knowledge is the enemy of fear
If you are referring to a stock fund and opportunity costs, you may have a point as long as Fed has your back and as long as the debt fiasco doesn't come to fruition.
You are aware that the stock market is ownership of equity that produce goods and provide services for human consumption, right? Are you expecting the end of humankind?
Knowledge is the enemy of fear
But, there is a spread between the two sides. The consumer always pays more interest than the saver collects. Otherwise the money changers would not profit from the consumers' needs.
And when it comes to leverage, keep in mind that under the current fractional lending policy banks actually loan out more than 90% of your savings. Consider your deposits to actually be a loan to the bank with them paying less interest to you than you have to pay to them when you borrow from them.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
Everything I wrote flew right over your head, didn't it?
You are comparing a savings account to utilizing low interest debt to finance productive asset purchases?
And what effect does inflation have on those low interest loans?
Knowledge is the enemy of fear
Leverage. Reinvestment. Huge opportunity.
Sounds like 1927.
I knew it would happen.
Please expound.
Knowledge is the enemy of fear
He may have meant 1929 just before the stock market crashed on "Black Friday" which ushered in the Great Depression.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
Even if so, I would really love to see how he thinks either of those years looks like today. Specific economic and demographic data with inter-market analysis would greatly enhance his contention.
Knowledge is the enemy of fear
Even if so, I would really love to see how he thinks either of those years looks like today. Specific economic and demographic data with inter-market analysis would greatly enhance his contention.
The analogy was aimed at the use of leverage in a rising stock market. PerryHall more correctly perceived that I should have said 1928 or 1929. I may have some good references that I can throw into the discussion, but right now I really don't have too much time to dig for them. There are plenty of Great Depression and Stock Market Crash of 1929 histories to choose from.
There certainly is optimism in the stock market - or at least there has been for a good long time. I can almost hear someone saying that we've reached a permanent plateau or something.
I don't know any shoeshine boys personally or I might be tempted to ask one for a stock tip.
I knew it would happen.