Topic: Economics
Gold Hits $1007.00 per ounce Gold hits another all time high as dollar plummets. No end in sight.by Kipper Mathews
(Libertarian)
Sunday, March 16, 2008
In the present bull market gold rose to another all time high, peaking at $1007 per ounce as the dollar plummeted. Silver and the Brent crude fell slightly to $20.00 and $106.60 respectively.
With gold climbing up from $700 per ounce six months ago, gold investors and dealers are speculating, gold will to reach as high as $1500 per ounce by fall and may even reach as high as $6000 per ounce by 2011.
The current rally is the longest running in gold market history. In 1980 gold prices hit just above $800 per ounce for only two days and then declined.
Since the 1960's, there were only two bull markets in gold prior to todays ralley, each only lasting for one or two years, followed by four to five years at weaker prices. In each of these periods gold investors were seeking safety from economic or political problems.
Then there seven lean years from 94 to 2002, during which the gold price remained mostly below $300 dollars per ounce, with a low of $256.60.
The International Monetary Fund today warned authorities worldwide to "think the unthinkable" in planning to cope with a mounting crisis in the global financial system.
John Lipsky, IMF managing director, called for "decisive policy action" amid a credit crunch that stems from the US real estate meltdown and is spreading throughout the financial markets.
The coordinated actions by the US Federal Reserve and other global central banks on Tuesday to further pump billions of dollars of liquidity into financial markets were "helpful" but stronger measures may be necessary.
30 YEARS OF HIGHS AND LOWS.
References:
USA GOLD
BBC News
VIEW POINT:
Hold on to your hat, it's going to be a wild ride!
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2008 Kipper Mathews, all rights reserved.
Published: Sunday, March 16, 2008
Last modified: Sunday, March 16, 2008
The views expressed in this
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I don't know what it's going to take for the American people to wake up and rise up but if the past weeks events on Wall Street don't do it nothing will. The Fed bail out of Bear Stearns is DISTURBING to put it mildly. In a nutshell taxpayers and savers are bailing out Wall Street fat cats and in return those same Wall Street fat cats are going to forclose on many of those same taxpayers.
Peter Schiff who I'm sure all Ron Paul supporters are familiar with as he is on RP's economic advisory board was on Fox Friday. I'll let him speak for himself.
Also do yourselves a favor and watch this video and the others in the series. I had read some books about the history of banking some twenty years ago so I was aware of what this author speaks of. The US citizen is now the victim, yes VICTIM, of this scheme.
It's important for all of you to know that the Jews who resisted the Nazis in the Warsaw ghetto had a higher rate of survival then the ones that went along.
I had no idea since I quit watching the news or reading the paper a couple of months back.
But, I have been moving out of $ and into gold and commercial real estate in hot areas for a while now.
It occurs to me that all of the $ owed to or owned by the Chinese and others will have to start coming here purchasing U.S. assets since we don't export much of anything now. That works toward homogenization and is probably consistent with the objectives of the one world advocates.
Hey, here is some worthless advice LOL. Get out of the real estate. Or at least pay off the mortgages. If you get out, take the cash and buy real hard goods. Mostly water and food. If you're bored or have some time or just like to read, have a look at this article.
Jim, thanks for the article and advice. I read the article. I perceive that you are expert on oil from your posts.
Actually, I went into the commercial real estate to get rid of about $2-million in FRNs.
One property has two existing leases paying about a net 8% return on investment and renegotiable at the end of five years, and the other property of about 11 acres in the heart of town in Texas will be developed into a hot market yielding 8 lots with good profit potential.
And, if everything crashes I can just plant victory gardens. No mortgages.
I have been seeing this coming for a long time. I put a profit sharing plan in at my business for the employees several years back. That way the company made all of the deposits. Then I put the $ into gold and other hard assets and stayed completely out of the stock market. When I sold the company last October I had to close the plan out. It had a value of around $1-million and paid the employees a great return.
I personally drove the gold and silver over to Dallas to sell it when we closed the plan down. Scared the heck out of me. I could just see the bottom falling out of that Towncar and scattering the stuff all over the highway. Too bad we couldn't have kept it all.
That's hilarious. I can just imagine driving down the road with all that gold. Hahahaha! Did you need new shocks afterwards?
No mortgage, no problem. Good work.
I'm no expert on oil. I'm just a little nervous these days regarding the rapid increase in the price of it and the action I'm seeing in the market. It's hard to believe anything these days until it's staring straight at you. So many people with so many agendas. Still, I'm undeniably concerned.
I should probably take a deep breath before I post. LOL - Trying to stay optimistic.
Not for me and my bride of 53 years, but for four kids and ten Grandkids. The kids participated in the sale of the family business so they are all OK, and I sent all of the grandkids the max gift, but it is hard for the Grandkids to make to make a go of it in the work world now.
What has been done to us since 1913 makes me mad enough to chew nails.
And, with you I wish the best to all of us in these trying times.
Tonight I moved a chunk of my IRA to Fidelity Select Gold. I'm probably going to move more of domestic stock holdings into overseas and energy. This $200bn stimulus package is going to dilute the dollar and make foreign stocks look great. I'll spend my check to pay off an old home equity loan. And so it goes....
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2008 Kipper Mathews, all rights reserved.