Macquarie said $3,500 by Q3 is possible, near-term $3,150.
Reports that Russia has depleted their gold holdings DURING the rise...they dumped the WMG's years ago and killed the price but gold held up. If they decide to replenish, that's more demand. Their SWF is down by 75% as the war in Ukraine is decimating their finances.
I keep seeing reports that there is "no froth" in the market. Means multiple buyers/bidders underneath....folks want INTO this market which bodes well for more buying.
@GoldFinger1969 said: Macquarie said $3,500 by Q3 is possible, near-term $3,150.
Reports that Russia has depleted their gold holdings DURING the rise...they dumped the WMG's years ago and killed the price but gold held up. If they decide to replenish, that's more demand. Their SWF is down by 75% as the war in Ukraine is decimating their finances.
I keep seeing reports that there is "no froth" in the market. Means multiple buyers/bidders underneath....folks want INTO this market which bodes well for more buying.
The debt markets are saturated, too much supply, little demand, and that's not going to change. Stocks are not a great place to be and not going to be attractive for quite a while to come. Although there's been pretty good action already, this is just the beginning of a big commodity bull market.
@RedneckHB said:
If, in 2003 (or 2004 or 2005, lest not be accused of cherrypicking as they had 1000 days to make these hypothetical investments), derryb invested $10,000 in gold and goldfinger invested $10,000 in the sp-500 who would have a higher balance today?
who would have been taking the greatest risk? Who is taking the even greater risk today? Risk assessment is not a component of your investment strategy? Good luck wid dat.
@RedneckHB said:
If, in 2003 (or 2004 or 2005, lest not be accused of cherrypicking as they had 1000 days to make these hypothetical investments), derryb invested $10,000 in gold and goldfinger invested $10,000 in the sp-500 who would have a higher balance today?
who would have been taking the greatest risk? Who is taking the even greater risk today? Risk assessment is not a component of your investment strategy? Good luck wid dat.
Very good point. One can always find something that performed better, but the key part of any investment is the risk. What any investor should seek is assymtric risk/reward, and I reckon that's commodities right now.
@RedneckHB said:
If, in 2003 (or 2004 or 2005, lest not be accused of cherrypicking as they had 1000 days to make these hypothetical investments), derryb invested $10,000 in gold and goldfinger invested $10,000 in the sp-500 who would have a higher balance today?
who would have been taking the greatest risk? Who is taking the even greater risk today? Risk assessment is not a component of your investment strategy? Good luck wid dat.
Risk? Define that.
But the answer to the question is that both would have the value. Both the same.
Your biases (you and PC) automatically went to thinking I was trying to dismiss gold and cheer equities. That's never been my motive, never, but that's how your closed-minded biases attack logic and reason. It just takes a little effort of doing one's own research. It ain't hard. And that's all I've ever tried to accomplish by asking these questions. But time and time again, no one ever tries, instead tetreating to their comforting echo chamber prisons and biased narrative.
I asked this question in regards to your incessant view of gold being suppressed, sold short, and manipulated. This is often stated in conjunction with equities being manipulated to high or unjustified prices. Yet, both assets have performed the same. It certainly doesn't seem gold has been suppressed, especially when compared to one that you say has been massively overinflated. I'm just providing a logical and reasoned response to your unsubstantiated and evidence lacking opinion.
@RedneckHB said:
It certainly doesn't seem gold has been suppressed, especially when compared to one that you say has been massively overinflated. I'm just providing a logical and reasoned response to your unsubstantiated and evidence lacking opinion.
Why suddenly is gold much higher? What fundamentals have changed? Maybe price suppression is now not as effective.
Do stock valuations remain extremely high? Maybe they are moving lower.
Maybe one has been suppressed and the other has been pumped full of QE cash. Maybe, just maybe, reality is now more in focus.
@RedneckHB said:
It certainly doesn't seem gold has been suppressed, especially when compared to one that you say has been massively overinflated. I'm just providing a logical and reasoned response to your unsubstantiated and evidence lacking opinion.
Why suddenly is gold much higher? What fundamentals have changed? Maybe price suppression is now not as effective.
Do stock valuations remain extremely high? Maybe they are moving lower.
Maybe one has been suppressed and the other has been pumped full of QE cash. Maybe, just maybe, reality is now more in focus.
Take a look around, everything is much higher. Expect the trend to continue. RGDS!
The whole worlds off its rocker, buy Gold™.
BOOMIN!™
AU chart looks like Mt Everest, just like 1980 and 2011. Now there is talk about 5K AU, just like the 3K AU talk in 2011. Hell I remember 3K gold talk in 2002 as well. Took a long time to get there. Corrections are looming this year.
@RedneckHB said:
It certainly doesn't seem gold has been suppressed, especially when compared to one that you say has been massively overinflated. I'm just providing a logical and reasoned response to your unsubstantiated and evidence lacking opinion.
Why suddenly is gold much higher? What fundamentals have changed? Maybe price suppression is now not as effective.
Suddenly?....it's been going up for 7 years. If you're talking more recently then because of dollar volatility due to chaotic US policies.
Maybe one has been suppressed and the other has been pumped full of QE cash. Maybe, just maybe, reality is now more in focus.
Maybe both pumped full of QE (cash)? This country has dumped $15 trillion on the economy since 2018.....which is when gold started this run.
@ProofCollection said:
The debt markets are saturated, too much supply, little demand, and that's not going to change. Stocks are not a >great place to be and not going to be attractive for quite a while to come. Although there's been pretty good action >already, this is just the beginning of a big commodity bull market.
Credit spreads say otherwise. The debt markets are Open For Business.
@derryb said:
Why suddenly is gold much higher? What fundamentals have changed? Maybe price suppression is now not as >effective.
It's NOT sudden, it's been a 9-year bull market. The price hasn't galloped like in the 1970's when it went up 35% a year for a decade. Early 2000's were 20% a year to the 2011-12 peak.
This is UNDER 12% a year !!
Do stock valuations remain extremely high? Maybe they are moving lower.
Maybe one has been suppressed and the other has been pumped full of QE cash. Maybe, just maybe, reality is >now more in focus.
Maybe maybe....I remember Y2K and how The World Was Gonna End.
@ProofCollection said:
The debt markets are saturated, too much supply, little demand, and that's not going to change. Stocks are not a >great place to be and not going to be attractive for quite a while to come. Although there's been pretty good action >already, this is just the beginning of a big commodity bull market.
Credit spreads say otherwise. The debt markets are Open For Business.
Like they were in 2008? LOL
Maybe maybe....I remember Y2K and how The World Was Gonna End.
Do you remember 2009 and how the financial world almost ended?
@Au100 said:
AU chart looks like Mt Everest, just like 1980 and 2011. Now there is talk about 5K AU, just like the 3K AU talk in 2011. Hell I remember 3K gold talk in 2002 as well. Took a long time to get there. Corrections are looming this year.
With a correction taking Au down 10% then that's very possible. If we peak at $3200 this spring and take a 10% hit we're still around $2900. Easy to see that happening.
A 25% collapse from $3200 to $2400 is a lot less likely but possible. Imagine the buying frenzy if Au fell back near $2500.
The Fed Gov't plans to balance the budget and knock -7% GDP by next year. Taking $2T of imaginary money out of the system will take the wind out of anybody's sails. Good in the long term but it will hurt. For a while.
The Fed Gov't plans to balance the budget and knock -7% GDP by next year. Taking $2T of imaginary money out of the system will take the wind out of anybody's sails. Good in the long term but it will hurt. For a while.
The budget will never be balanced...not even near balanced, ie $300 billion deficit. If tax proposals are passed then even getting to a $700 billion deficit may be impossible.
The Fed Gov't plans to balance the budget and knock -7% GDP by next year. Taking $2T of imaginary money out of the system will take the wind out of anybody's sails. Good in the long term but it will hurt. For a while.
The budget will never be balanced...not even near balanced, ie $300 billion deficit. If tax proposals are passed then even getting to a $700 billion deficit may be impossible.
The goal is $2T in cuts by 2026 and a balanced budget. I agree it won't happen. If they can get $1T in cuts and have a $1T annual deficit it will be surprising. To me at least.
The pain of trying to cut that much spending in 18 months will be huge. Hundreds of thousands of people will be losing their dream jobs by the end of next year. At least that's the current plan. There might not be a Tesla dealership left standing by then.
there's an unlimited amount of "real" money that can be created by borrowing. If you can't put your hands on cash, just borrow it. . . sky's the limit.
If the bond market doesn't like what's going on, and if the quality of collateral becomes an issue, the banks won't be able to create money via lending because nobody will have good collateral.
I think that The Great Taking made this as one of its central points.
Q: Are You Printing Money? Bernanke: Not Literally
@pmh1nic said:
I guess I'm old because the thought of buying $3K gold just doesn't register in my brain. I'd be much more inclined to buy Tesla stock versus gold or silver. Who is buying $3K gold?
Not I.
Successful transactions:Tookybandit. "Everyone is equal, some are more equal than others".
@MsMorrisine said:
so now there's more than 1 person wrong about that
you need to fully understand fractional reserve banking: Fractional reserve banking is a system where banks only hold a fraction of their deposits as reserves, allowing them to lend out the rest, expanding the money supply.
Fractional reserve banking describes a system whereby banks loan out a certain amount of the deposits that they have on their balance sheets.
Fractional reserve banking facilitates lending, thereby expanding the economy.
In most countries, banks are required to keep a certain amount of their customer's deposits in reserve.
Banks with a low fractional reserve are vulnerable to bank runs because there is always a risk that withdrawals may exceed their available reserves.
On March 26, 2020, the Federal Reserve reduced reserve requirements for all depositary institutions to zero. Instead, banks are now paid a specific interest rate on their reserve balance to encourage holding reserves.
@RedneckHB said:
If, in 2003 (or 2004 or 2005, lest not be accused of cherrypicking as they had 1000 days to make these hypothetical investments), derryb invested $10,000 in gold and goldfinger invested $10,000 in the sp-500 who would have a higher balance today?
who would have been taking the greatest risk? Who is taking the even greater risk today? Risk assessment is not a component of your investment strategy? Good luck wid dat.
Risk? Define that.
But the answer to the question is that both would have the value. Both the same.
Your biases (you and PC) automatically went to thinking I was trying to dismiss gold and cheer equities. That's never been my motive, never, but that's how your closed-minded biases attack logic and reason. It just takes a little effort of doing one's own research. It ain't hard. And that's all I've ever tried to accomplish by asking these questions. But time and time again, no one ever tries, instead tetreating to their comforting echo chamber prisons and biased narrative.
I asked this question in regards to your incessant view of gold being suppressed, sold short, and manipulated. This is often stated in conjunction with equities being manipulated to high or unjustified prices. Yet, both assets have performed the same. It certainly doesn't seem gold has been suppressed, especially when compared to one that you say has been massively overinflated. I'm just providing a logical and reasoned response to your unsubstantiated and evidence lacking opinion.
Been out for a while, finally updated the thread title again.
Why don't you know how to define risk? Risk of loss due to counter party risk or market or world events. Is that good enough for you? Gold that you possess has ZERO counter party risk, and risk of loss is limited because as they say, gold will never go to zero outside of technology advancements that enable synthetic gold production. We've seen the swings that stocks can have including going to zero. You can reduce that by spreading your bets with a fund or ETF.
Investing is (or should be) about risk vs. reward. US Bonds: Low risk, guaranteed Low return. Penny stocks: High Risk, Possible High Returns. It's really not a fair or worthwhile comparison if you don't factor risk in risk when you talk about returns, as anyone can find something like a a penny stock that's up 1000x in a few years but if you go back to when the stock was purchased the risk of loss was so high that it's unlikely an investor would have risked a significant sum.
Risk is also relative and personal and most of all a component of time.
To get into a discussion of risk would entail a 100,000 word essay, but I'm lazy and not an author so I won't go there.
There are many, many types of risk but the ones I concentrate on involve relativity and time. To simplify to your definition, I might say gold has demonstrated great risk in that it has declined 50% or more and has taken decades to recover. This is time.
You say gold has never gone to zero yet individual stocks have. This is true. It is also true that the stock market has never gone to zero and individuals have lost their gold (stolen, destroyed, misplaced, etc). This is relativity.
@RedneckHB said:
Risk is also relative and personal and most of all a component of time.
To get into a discussion of risk would entail a 100,000 word essay, but I'm lazy and not an author so I won't go there.
There are many, many types of risk but the ones I concentrate on involve relativity and time. To simplify to your definition, I might say gold has demonstrated great risk in that it has declined 50% or more and has taken decades to recover. This is time.
But is there a commodity that hasn't? I'm too lazy to go through historical charts. The US stock market has been lucky that I don't think it's ever had a downswing take decades to recover, but I know Japan has. Other countries may have too, so it's not unheard of and there's a first time for everything.
You say gold has never gone to zero yet individual stocks have. This is true. It is also true that the stock market has never gone to zero and individuals have lost their gold (stolen, destroyed, misplaced, etc). This is relativity.
Sure, if you aggregate the risk across an index of stocks the chance of zero is nil which is one of the main reasons such instruments exist, but you never eliminate the counter-party risk of having your bank or broker go broke, or the government take the stocks from you, or get Bernie Madoff'd.
A word of caution about interpreting this chart. Larger holders of ETF shares can demand physical delivery so outflows don't necessarily reflect sales.
A word of caution about interpreting this chart. Larger holders of ETF shares can demand physical delivery, so outflows don't necessarily reflect sales.
The main takeaway from this IMO is that the FOMO trend of selling gold ETF's to chase mag-7 stocks has reversed and more investment money is moving back into gold ETF's reflecting a desire to hedge portfolios with some gold again.
It is the recent inflows into the gold ETF's that has helped drive gold demand and kept prices at higher levels. This, along with continued central bank purchases, may be what helped push gold above $3,000 the past month.
A word of caution about interpreting this chart. Larger holders of ETF shares can demand physical delivery so outflows don't necessarily reflect sales.
show us such numbers
Why would an ETF holder want delivery when he could have just bought physical metal rather than the ETF? My conspiracy theory is that large holders of an ETF are simply speculating: buying and selling the ETF for profit.
A word of caution about interpreting this chart. Larger holders of ETF shares can demand physical delivery so outflows don't necessarily reflect sales.
show us such numbers
Why would an ETF holder want delivery when he could have just bought physical metal rather than the ETF? My conspiracy theory is that large holders of an ETF are simply speculating: buying and selling the ETF for profit.
Why would you buy gold from online when you can get it at your local shop? There are a number of reasons including arbitrage, tax reasons, and Comex Futures prices being higher than spot prices. I don't have the article I saw but if you keep up on PM news you'll see articles about record levels of metal transfers happening right now.
A word of caution about interpreting this chart. Larger holders of ETF shares can demand physical delivery so outflows don't necessarily reflect sales.
show us such numbers
Why would an ETF holder want delivery when he could have just bought physical metal rather than the ETF? My conspiracy theory is that large holders of an ETF are simply speculating: buying and selling the ETF for profit.
Agree. The ETF transaction (buying and selling) is easier to handle, there are no issues with storage and if you don't really believe there is going to be a collapse of the economy you're not concerned with possession of the physical metal. Over the last year the individual holding the an ETF has done better than most stocks. If you are in it for the long term with the mindset of never take profit you hold physical. If you're ok with taking profit short term and not concerned with a fiat collapse you go ETF.
The longer I live the more convincing proofs I see of this truth, that God governs in the affairs of men. And if a sparrow cannot fall to the ground without His notice is it possible for an empire to rise without His aid? Benjamin Franklin
Pertaining to large holders of GLD taking possession of Gold...
This is from the 10Q December 31, 2024.
"(291 Baskets) were redeemed in exchange for 2,687,263.0 ounces of gold, and 27,998.2 ounces of gold were sold to pay expenses. For accounting purposes, GLD reflects creations and redemptions on the date of receipt of a notification of a creation but does not issue Shares until the requisite amount of gold is received. Upon a redemption, GLD delivers gold
upon receipt of Shares. These creations and redemptions were completed in the normal course of business.
Comments
It's official. $3K God Bless the Metal of Kings. RGDS!
The whole worlds off its rocker, buy Gold™.
BOOMIN!™
The demand for platinum NEVER materialized and gold continues to have multiple buyers.
Russia dumped both -- one got crushed, the other rose.
Macquarie said $3,500 by Q3 is possible, near-term $3,150.
Reports that Russia has depleted their gold holdings DURING the rise...they dumped the WMG's years ago and killed the price but gold held up. If they decide to replenish, that's more demand. Their SWF is down by 75% as the war in Ukraine is decimating their finances.
I keep seeing reports that there is "no froth" in the market. Means multiple buyers/bidders underneath....folks want INTO this market which bodes well for more buying.
$3,100 for a typical extruded Engelhard 100 Oz bar.
https://www.pcgs.com/setregistry/gold/liberty-head-2-1-gold-major-sets/liberty-head-2-1-gold-basic-set-circulation-strikes-1840-1907-cac/alltimeset/268163
The debt markets are saturated, too much supply, little demand, and that's not going to change. Stocks are not a great place to be and not going to be attractive for quite a while to come. Although there's been pretty good action already, this is just the beginning of a big commodity bull market.
http://ProofCollection.Net
who would have been taking the greatest risk? Who is taking the even greater risk today? Risk assessment is not a component of your investment strategy? Good luck wid dat.
Capital investment depends on confidence. - Martin Armstrong
The Great Gold Leasing Conspiracy
Capital investment depends on confidence. - Martin Armstrong
Great artucle, thanks!
Very good point. One can always find something that performed better, but the key part of any investment is the risk. What any investor should seek is assymtric risk/reward, and I reckon that's commodities right now.
http://ProofCollection.Net
Whoever leased the gold and sold it into the market to depress the price is in a world of hurt now that they have to replace it.
I knew it would happen.
Thank you.
Knowledge is the enemy of fear
Risk? Define that.
But the answer to the question is that both would have the value. Both the same.
Your biases (you and PC) automatically went to thinking I was trying to dismiss gold and cheer equities. That's never been my motive, never, but that's how your closed-minded biases attack logic and reason. It just takes a little effort of doing one's own research. It ain't hard. And that's all I've ever tried to accomplish by asking these questions. But time and time again, no one ever tries, instead tetreating to their comforting echo chamber prisons and biased narrative.
I asked this question in regards to your incessant view of gold being suppressed, sold short, and manipulated. This is often stated in conjunction with equities being manipulated to high or unjustified prices. Yet, both assets have performed the same. It certainly doesn't seem gold has been suppressed, especially when compared to one that you say has been massively overinflated. I'm just providing a logical and reasoned response to your unsubstantiated and evidence lacking opinion.
Knowledge is the enemy of fear
Why suddenly is gold much higher? What fundamentals have changed? Maybe price suppression is now not as effective.
Do stock valuations remain extremely high? Maybe they are moving lower.
Maybe one has been suppressed and the other has been pumped full of QE cash. Maybe, just maybe, reality is now more in focus.
Capital investment depends on confidence. - Martin Armstrong
Take a look around, everything is much higher. Expect the trend to continue. RGDS!
The whole worlds off its rocker, buy Gold™.
BOOMIN!™
AU chart looks like Mt Everest, just like 1980 and 2011. Now there is talk about 5K AU, just like the 3K AU talk in 2011. Hell I remember 3K gold talk in 2002 as well. Took a long time to get there. Corrections are looming this year.
.> @derryb said:
Suddenly?....it's been going up for 7 years. If you're talking more recently then because of dollar volatility due to chaotic US policies.
Maybe both pumped full of QE (cash)? This country has dumped $15 trillion on the economy since 2018.....which is when gold started this run.
Knowledge is the enemy of fear
Factual errors throughout, and he says it's a "conspiracy" for things which are discussed in PUBLIC or before CONGRESS !!
Also, when Greenspan blew the lid on the "Top Secret, CONTROL" leasing program (no doubt dreamed up by KAOS
)....gold was $300/oz.
It's $3,000 an ounce today !!
So much for the Gold Leasing Conspiracy !
Credit spreads say otherwise. The debt markets are Open For Business.
for now
How do you know it wasn't a hedge against a Mag 7 tech position and they are celebrating with Dom Perignon in Cancun ???
It's NOT sudden, it's been a 9-year bull market. The price hasn't galloped like in the 1970's when it went up 35% a year for a decade. Early 2000's were 20% a year to the 2011-12 peak.
This is UNDER 12% a year !!
Maybe maybe....I remember Y2K and how The World Was Gonna End.
Like they were in 2008? LOL
Do you remember 2009 and how the financial world almost ended?
Capital investment depends on confidence. - Martin Armstrong
No, they blew out LONG before the Financial Crisis.
The bond market sniffs out trouble LONG before they happen:
https://www.longtermtrends.net/bond-yield-credit-spreads/
Yes, hour-by-hour I tracked it. My company had dumped 75% of our financial exposure from 18 months earlier on my recoommendation.
By 2009 things had settled down. The bond market bottomed in November; the stock market in March 4 months later.
2009 was the beginning of one of the greatest bull markets for equities. If by "end" you mean beginning, then yeah, your opinion is spot on.
Knowledge is the enemy of fear
With a correction taking Au down 10% then that's very possible. If we peak at $3200 this spring and take a 10% hit we're still around $2900. Easy to see that happening.
A 25% collapse from $3200 to $2400 is a lot less likely but possible. Imagine the buying frenzy if Au fell back near $2500.
The Fed Gov't plans to balance the budget and knock -7% GDP by next year. Taking $2T of imaginary money out of the system will take the wind out of anybody's sails. Good in the long term but it will hurt. For a while.
for a long, long while
The budget will never be balanced...not even near balanced, ie $300 billion deficit. If tax proposals are passed then even getting to a $700 billion deficit may be impossible.
Knowledge is the enemy of fear
The goal is $2T in cuts by 2026 and a balanced budget. I agree it won't happen. If they can get $1T in cuts and have a $1T annual deficit it will be surprising. To me at least.
The pain of trying to cut that much spending in 18 months will be huge. Hundreds of thousands of people will be losing their dream jobs by the end of next year. At least that's the current plan. There might not be a Tesla dealership left standing by then.
there's an unlimited amount of "real" money that can be created by borrowing. If you can't put your hands on cash, just borrow it. . . sky's the limit
Capital investment depends on confidence. - Martin Armstrong
there's an unlimited amount of "real" money that can be created by borrowing. If you can't put your hands on cash, just borrow it. . . sky's the limit.
If the bond market doesn't like what's going on, and if the quality of collateral becomes an issue, the banks won't be able to create money via lending because nobody will have good collateral.
I think that The Great Taking made this as one of its central points.
I knew it would happen.
borrowing doesn't create money. mining and coining or fiat "printing" does that
we need to pay our treasury principal back with fresh $100s
Banks create new money whenever they make loans.
Capital investment depends on confidence. - Martin Armstrong
so now there's more than 1 person wrong about that
Not I.
My US Mint Commemorative Medal Set
you need to fully understand fractional reserve banking: Fractional reserve banking is a system where banks only hold a fraction of their deposits as reserves, allowing them to lend out the rest, expanding the money supply.
Capital investment depends on confidence. - Martin Armstrong
Or just keystrokes on the 'magic money machines' ? !
Been out for a while, finally updated the thread title again.
Why don't you know how to define risk? Risk of loss due to counter party risk or market or world events. Is that good enough for you? Gold that you possess has ZERO counter party risk, and risk of loss is limited because as they say, gold will never go to zero outside of technology advancements that enable synthetic gold production. We've seen the swings that stocks can have including going to zero. You can reduce that by spreading your bets with a fund or ETF.
Investing is (or should be) about risk vs. reward. US Bonds: Low risk, guaranteed Low return. Penny stocks: High Risk, Possible High Returns. It's really not a fair or worthwhile comparison if you don't factor risk in risk when you talk about returns, as anyone can find something like a a penny stock that's up 1000x in a few years but if you go back to when the stock was purchased the risk of loss was so high that it's unlikely an investor would have risked a significant sum.
http://ProofCollection.Net
Risk is also relative and personal and most of all a component of time.
To get into a discussion of risk would entail a 100,000 word essay, but I'm lazy and not an author so I won't go there.
There are many, many types of risk but the ones I concentrate on involve relativity and time. To simplify to your definition, I might say gold has demonstrated great risk in that it has declined 50% or more and has taken decades to recover. This is time.
You say gold has never gone to zero yet individual stocks have. This is true. It is also true that the stock market has never gone to zero and individuals have lost their gold (stolen, destroyed, misplaced, etc). This is relativity.
Knowledge is the enemy of fear
stock market going to zero is a risk, very minimal
having your gold stolen is a risk, very minimal
Making a bad investment decision, high chance of risk. Focus on this one, not the far extremes.
Capital investment depends on confidence. - Martin Armstrong
But is there a commodity that hasn't? I'm too lazy to go through historical charts. The US stock market has been lucky that I don't think it's ever had a downswing take decades to recover, but I know Japan has. Other countries may have too, so it's not unheard of and there's a first time for everything.
Sure, if you aggregate the risk across an index of stocks the chance of zero is nil which is one of the main reasons such instruments exist, but you never eliminate the counter-party risk of having your bank or broker go broke, or the government take the stocks from you, or get Bernie Madoff'd.
http://ProofCollection.Net
My US Mint Commemorative Medal Set
And also, congratulations to everyone who bought gold in 2010 and held for the last 15 years !!!!!!!
🇺🇸 Harlequin
harlequinnumismatic@gmail.com
A word of caution about interpreting this chart. Larger holders of ETF shares can demand physical delivery so outflows don't necessarily reflect sales.
http://ProofCollection.Net
The main takeaway from this IMO is that the FOMO trend of selling gold ETF's to chase mag-7 stocks has reversed and more investment money is moving back into gold ETF's reflecting a desire to hedge portfolios with some gold again.
It is the recent inflows into the gold ETF's that has helped drive gold demand and kept prices at higher levels. This, along with continued central bank purchases, may be what helped push gold above $3,000 the past month.
My US Mint Commemorative Medal Set
show us such numbers
Why would an ETF holder want delivery when he could have just bought physical metal rather than the ETF? My conspiracy theory is that large holders of an ETF are simply speculating: buying and selling the ETF for profit.
Capital investment depends on confidence. - Martin Armstrong
Why would you buy gold from online when you can get it at your local shop? There are a number of reasons including arbitrage, tax reasons, and Comex Futures prices being higher than spot prices. I don't have the article I saw but if you keep up on PM news you'll see articles about record levels of metal transfers happening right now.
It's an old article but it's an example.
https://seekingalpha.com/article/4693920-michael-burry-just-made-a-brilliant-gold-arbitrage-trade-in-phys
http://ProofCollection.Net
Agree. The ETF transaction (buying and selling) is easier to handle, there are no issues with storage and if you don't really believe there is going to be a collapse of the economy you're not concerned with possession of the physical metal. Over the last year the individual holding the an ETF has done better than most stocks. If you are in it for the long term with the mindset of never take profit you hold physical. If you're ok with taking profit short term and not concerned with a fiat collapse you go ETF.
Go baby go! RGDS!!
The whole worlds off its rocker, buy Gold™.
BOOMIN!™
Pertaining to large holders of GLD taking possession of Gold...
This is from the 10Q December 31, 2024.
"(291 Baskets) were redeemed in exchange for 2,687,263.0 ounces of gold, and 27,998.2 ounces of gold were sold to pay expenses. For accounting purposes, GLD reflects creations and redemptions on the date of receipt of a notification of a creation but does not issue Shares until the requisite amount of gold is received. Upon a redemption, GLD delivers gold
upon receipt of Shares. These creations and redemptions were completed in the normal course of business.