GOLD

[romans holiday]

Gold now slightly higher in fiat value terms

 

Whens everyone buying ?

I've had 50% of my worldly worth in gold for some time now, and consider myself pretty much all in. As gold has been rising, so too has that percentage.

 

If one was wanting to buy but felt a little nervous at these high levels, it might pay to think of buying gold as a currency swap; swapping a weakening currency for a strengthening one.

[fitkid]

Any one ever bought from "The Bullion Room". Any problems or concerns ?

 

Prices seem cheap compared to CID at present.

 

 

http://www.thebullionroom.com/investment_products.php

I spoke to them the other day i think they had only one krugerand and are much more expensive than the dealers i have listed previously.Buying at spot is getting harder definetly.I bought sovs at £185.00 yesterday which was a very good deal.Look for my previous post for the details of the 3 suppliers i have personally recommended several times.

[fitkid]

No, Wren hasn't been on 24K for nearly 2 months

Better than "crack cocaine" that 24 k stuff i've been on it for 3 years.

[fitkid]

Gold now slightly higher in fiat value terms

 

Whens everyone buying ?

 

NOW

[nicejim]

Think about your own worldview to decide if it is free of supernatural or mystical deities, forces, and entities. If you decide that you fit the description above, then you are, by definition, a bright!

Unfortunately it's not always that easy. A supernatural Magnetar has recently been discovered ;-)

http://www.bbc.co.uk/news/science-environment-11011118

 

I agree with this but the problem is; the purchasing power of an ounce of gold fluctuates - say within a month, it may purchase 5 percent more or less than the nominal dollar price of an item. Within this short time frame, a loaf of bread or gallon of fuel will be the same or possibly a bit higher priced in dollars - so some get locked into thinking the Sun orbits the Earth! IMO, only when prices are rising visibly, monthly, will people (some) begin to use an ounce of gold as the reference point.

I agree with that. When people thought the Sun etc went round the Earth it made calculations of the position of the planets very complex; rethinking the proposition allowed the sums to be simplified. In economics human behaviour and biases determine reality and we should consider reality to be whatever makes the calculations most simple. So, in pre-hyperinflation Germany the shops priced goods in Marks and the Sterling price fluctuated. But there came a point at which it was easier to price goods in Sterling and list the exchange rate by the till. Neither was wrong at the time it was done but it shows we should be prepared to adjust our perceptions...just not yet.

[fitkid]

Definetly worth watching again if you have'nt seen it before can you believe this is from over 2 years ago!!

 

A MSM (BBC PROGRAMME) GYPSIES WARNING FOR THOSE WITH THE EYES TO SEE AND THE EARS TO HEAR

 

The Money Programme - Gold - The Money Programme 13.06.08

 

From:

From:

From:

 

 

[fitkid]

I agree with this but the problem is; the purchasing power of an ounce of gold fluctuates - say within a month, it may purchase 5 percent more or less than the nominal dollar price of an item. Within this short time frame, a loaf of bread or gallon of fuel will be the same or possibly a bit higher priced in dollars - so some get locked into thinking the Sun orbits the Earth! IMO, only when prices are rising visibly,  monthly, will people (some) begin to use an ounce of gold as the reference point. Even more confusingly, when very high inflation starts, the purchasing power of gold will increase faster than the decline of the fiat currency due to gold's universal store of wealth attributes being more valued. Some refreshing insights on your blog BTW.

Remember the CONMEX is all smoke and mirrors ITS A PAPER MARKET.Not a PHYSICAL price for the metal.We are really fortunate at the momment that most DEALERS are using the fix prices as the guide to sell at.

 

I couldnt agree more with FOFOA on that point.

 

Monday, August 2, 2010

Relativity: What is Physical Gold REALLY Worth?

 

What is a piece of physical gold in the hand (of a banker) really worth today?

 

 

http://fofoa.blogspot.com/2010/08/relativi...old-really.html

 

 

 

[romans holiday]

That's pretty funny (and shows a misunderstanding) considering I'm a Bright:

 

http://www.the-brights.net/

Think about your own worldview to decide if it is free of supernatural or mystical deities, forces, and entities. If you decide that you fit the description above, then you are, by definition, a bright!

 

I guess that would've made Newton an "almost" bright. He retained the idea of force in gravitation; something that somehow works at a distance. Later more modern scientists - once that'd managed to get out from beneath Newton's shadow - criticized this idea of force [somehow magically working at a distance] as the last vestige of ancient/ medieval philosophy. It had a soulish/ animist aspect to it in common with the older ideas which were derived from the common sense idea of force being that of push and pull.

 

So we're now just left with mathematical equations and configurations. But how can they be considered knowledge of reality? Rather, they are just pure abstractions, useful nevertheless. Let me guess, brights don't believe in free will either, and think reality has vanished in a puff of logic/ mathematics.

 

What's the opposite of a "bright"? I'd prefer the label of dark to dull.

[romans holiday]

I agree with this but the problem is; the purchasing power of an ounce of gold fluctuates - say within a month, it may purchase 5 percent more or less than the nominal dollar price of an item. Within this short time frame, a loaf of bread or gallon of fuel will be the same or possibly a bit higher priced in dollars - so some get locked into thinking the Sun orbits the Earth! IMO, only when prices are rising visibly, monthly, will people (some) begin to use an ounce of gold as the reference point.

Ah, but what you're saying here, is that the hyper-inflationary tipping point of a currency only comes after a prolonged period of inflation where inflation finally becomes so bad... on a monthly basis... that the population is able to see it for what it is. They are then able to escape "money illusion", and realise the purchasing power of their currency is being destroyed, not that stuff is becoming more expensive. This happened in Weimar. A Weimar-like hyper-inflation looks unlikely today.

 

I agree with that. When people thought the Sun etc went round the Earth it made calculations of the position of the planets very complex; rethinking the proposition allowed the sums to be simplified. In economics human behaviour and biases determine reality and we should consider reality to be whatever makes the calculations most simple. So, in pre-hyperinflation Germany the shops priced goods in Marks and the Sterling price fluctuated. But there came a point at which it was easier to price goods in Sterling and list the exchange rate by the till. Neither was wrong at the time it was done but it shows we should be prepared to adjust our perceptions...just not yet.

Why use the word "reality". Most philosophically literate scientists are content to stick with hypotheses. Reality may remain "unknowable", but that doesn't make it any less real.

 

Good bit of diversion this.... for the doldrum months.

[Steve Netwriter]

Let me guess, brights don't believe in free will either, and think reality has vanished in a puff of logic/ mathematics.

 

What's the opposite of a "bright"? I'd prefer the label of dark to dull.

 

I think Brights have more free will than the superstitious, who bind themselves with their own imaginary creations.

 

The name "Brights" was chosen with care. It is supposed to be positive. For that reason I won't deride non-Brights by suggesting any label.

 

[Steve Netwriter]

This caught my eye when reading FOFOA's latest article:

 

Now, on the other hand, this "modern day middle of the spectrum"! Well, they have read why we need gold, but they have never "Experienced" the need for gold! Until that day, when they gain "Experience", most of them will make "A Gamble That They Never Intended To Take". Yes, they do invest in all forms of paper and or leveraged gold and all the while, expounding from the roof tops the coming currency crashes and stock market declines. Even looking for bank closures and bank runs, as they cling dearly to comex options and gold stocks!

 

Anyone, from the outside looking in can clearly see that "westerners" do lack "experience".

 

As I said before, judgement day is approaching, pick your side.

 

http://fofoa.blogspot.com/2010/08/two.html

 

[romans holiday]

I think Brights have more free will than the superstitious, who bind themselves with their own imaginary creations.

 

The name "Brights" was chosen with care. It is supposed to be positive. For that reason I won't deride non-Brights by suggesting any label.

But you've just derided [by implication] non-Brights here with; "the superstitious, who bind themselves with their own imaginary creations"

 

Anyway, I like dark... goes well with deflation. Plus too much brightness can dazzle you.

[Schaublin]

Remember the CONMEX is all smoke and mirrors ITS A PAPER MARKET.Not a PHYSICAL price for the metal.We are really fortunate at the momment that most DEALERS are using the fix prices as the guide to sell at.

 

I couldnt agree more with FOFOA on that point.

 

Monday, August 2, 2010

Relativity: What is Physical Gold REALLY Worth?

 

What is a piece of physical gold in the hand (of a banker) really worth today?

 

 

http://fofoa.blogspot.com/2010/08/relativi...old-really.html

 

Yes, although I backed up the truck several years ago, the idea that it is still possible to get physical gold for fiat - at a rate linked to a fantasy market of paper futures is astonishing.

[romans holiday]

Yes, Although I backed up the truck several years ago, the idea that it is still possible to get physical gold for fiat - at a rate linked to a fantasy market of paper futures is astonishing.

What I find astonishing is people still think the currency is going to blow up in hyper-inflation.

[absolutezero]

Definetly worth watching again if you have'nt seen it before can you believe this is from over 2 years ago!!

 

A MSM (BBC PROGRAMME) GYPSIES WARNING FOR THOSE WITH THE EYES TO SEE AND THE EARS TO HEAR

 

The Money Programme - Gold - The Money Programme 13.06.08

 

From:

From:

From:

Nice videos.

Had Brown not sold the gold off in 1999 the UK would have been £3bn better off now.

Is it just me or is £3bn chicken feed?

[drbubb]

... from the Benjamin Fulford thread (on Fringe) ...

 

I found this on his website:

 

08/16/2010

Amero preparations in full swing, China gets a special deal,

the Federal Reserve Board is history and chaos looms

 

Events continue to unfold at a blistering pace behind the scenes in preparation for the second American Revolution. As a part of this, the US dollar is going to be replaced with a gold-backed Amero at the rate of 2 dollars per one Amero. The Chinese have refused to go along with this so they have been cut a special deal but we are not privy to the details. However, we assume they are getting lots of gold. The Federal Reserve Board will be dismantled although the financial technicians who work for it may remain in place. Apart from that though, many key decisions are expected to be made during some possibly very rough horse-trading over the following few weeks.

[azazel]

Nice videos.

Had Brown not sold the gold off in 1999 the UK would have been £3bn better off now.

Is it just me or is £3bn chicken feed?

 

Err, chicken feed. Gold needs to have a much higher value in fiat.

[DoctorSolar]

Following on from the June thread: "The WORLDS No1 gold trading timer" Tom O'Brien sold ALL his gold at 1236 USD and went short saying we would be visiting 1056USD. This guy is apparently the WORLDS best and he seems to have gone a little stray on this one. Those who followed him may have made a bit money going short ASSUMING they have now closed their positions BUT will still hold NO gold! If they want their position back they will have to give up a good chunk of their profits if they want actual physical back.

 

That's why I keep pounding the table about averaging in. The WORLDS best can't seem to get the exact timing right!

 

8 more trading days left till the end of the month.... lets see where we are then.

 

The latest King World News interview with James Turk is a good listen. Are they referring to O'Brien by any chance?

 

http://www.kingworldnews.com/kingworldnews...James_Turk.html

[Errol]

I presume Tom does not sell his core physical holding? If he does, he is clearly insane.

[DoctorSolar]

I presume Tom does not sell his core physical holding? If he does, he is clearly insane.

 

In the video interview and other audio interviews I have heard he says he sold ALL his gold at around 1236 USD. He expected a 200+ USD drop and decided to step aside and get back in later. Well later has arrived and we are back at the price he sold at! I reiterate this is the "WORLDS BEST" gold market timer. If the "best" can get it so horrifically wrong what chance does the average joe have of getting all the wriggles right. One in a million? Well personally I would rather average in every month and buy a lotto ticket too

[d2thdr]

What I find astonishing is people still think the currency is going to blow up in hyper-inflation.

 

Why can it not? In your signature, you emphasize on the point that 'Debt' is real. But if this debt is denominated in fiat, which in itself is not real money, how can debt be real? It is fictitious IMO.

[G0ldfinger]

What I find astonishing is people still think the currency is going to blow up in hyper-inflation.

Because it is happening all the time in similar situations?

[romans holiday]

Why can it not? In your signature, you emphasize on the point that 'Debt' is real. But if this debt is denominated in fiat, which in itself is not real money, how can debt be real? It is fictitious IMO.

The debt is real because the bulk of the population believe it is, and acts on that basis.

 

Whether this belief is "rational" or not is besides the point. I interrogate the word because economic analysis should be as much about the actual behavior of populations as well as the perceived "rational" fundamentals. Fundamental analysis today tends to assume people will be "rational". Often, this so-called rationality is really just the projection of our own rational analysis onto the economy. An example of this is Friedman's belief that people would always have inflation expectation [would be rational] and act accordingly [central banks have been milking this for all it's worth]. Not so. People are just as irrational as they are rational.... which is which usually depends on one's own prejudices.

[romans holiday]

In the video interview and other audio interviews I have heard he says he sold ALL his gold at around 1236 USD. He expected a 200+ USD drop and decided to step aside and get back in later. Well later has arrived and we are back at the price he sold at! I reiterate this is the "WORLDS BEST" gold market timer. If the "best" can get it so horrifically wrong what chance does the average joe have of getting all the wriggles right. One in a million? Well personally I would rather average in every month and buy a lotto ticket too

I think O'Brien's error is the assumption that deflation is bad for gold.

 

The idea is deflation will bring the price of commodities down ergo gold will come down. The error consists in not seeing that gold is now effectively monetized and acting as a currency not a commodity.

 

This will happen again, when everything is screaming deflation, and gold will come off a bit. Because many gold holders have bought gold out of inflation expectation, they may have a moment of revelation, panic and sell.... right at the wrong moment.

[Jake]

I think O'Brien's error is the assumption that deflation is bad for gold.

 

The idea is deflation will bring the price of commodities down ergo gold will come down. The error consists in not seeing that gold is now effectively monetized and acting as a currency not a commodity.

 

This will happen again, when everything is screaming deflation, and gold will come off a bit. Because many gold holders have bought gold out of inflation expectation, they may have a moment of revelation, panic and sell.... right at the wrong moment.

Paper gold may well bring the 'price' down but not the availability. Then physical gold will become scarce to non existant. Premiums will rocket. There won't be gold for sale. We have already had a taste of this. I think people buying gold as inflation only hedge are tits personally. Gold is a bases loaded sayonara home run. Inflation, deflation, and the last swing of the bat, the safe haven home run. The only trouble is deciding which inning we are now in. (sorry about the basesball analogy-cricket just doesnt do it).