I just don't believe all the hype about gold being a great place to park money right now. The price of gold has been at a plateau for the past 3 years, with ups and downs, but it just doesn't look like there is the big climb the gold sellers are trying to tell potential customers. If gold was such a great buy, wouldn't they put all their resources into buying it for themselves, rather than selling it to others?
Any thoughts on gold are appreciated.
As you are no doubt aware, the price of gold is held down by the paper market.
Until such time as that market collapses, for whatever reason, the price of gold (and to a lesser extent, silver) will, as you suggest, stay stagnant.
However, once that paper market fails, which it will do all at once, it will be too late to buy gold and silver, because there will literally be nothing to prevent it finding its true value.
When that will happen, and what will finally trigger it I have no idea. I do believe it will happen though.
Ok, thank you. The gold seller didn't bring that issue up, but he did HEAVILY mention that some of the big banks are buying gold now, so that would seem to indicate that they think the end of paper currency is near. (or are planning to do whatever they can to end paper currency, since they will obviously profit from it if they have a huge hoard of gold)
Buy silver not gold. More underpriced. Take delivery or dont count on owning when SHTF happens
It's for a retirement account, so 'THEY have to hold it until I start withdrawing, at that time, I can either have the gold sent to me, or have the dollar equivalent credited to me.
I don’t know much about the subject, but from what I understand, you want to have actual possession of metals. Otherwise it is just a digital number and you can get screwed if the SHTF.
The companies advertising that they have gold IRAs SAY it's physical gold, kept in their vaults, but you do wonder if they really just have the paper claim to the gold YOU buy.
If I buy something and the company has to store my purchase, wouldn’t there be a hearty charge? Between climate control and an absolutely massive amount of security, there is no way they could absorb the costs….logic tells me it’s only paper.
The central banks storing up more gold is likely related to the upcoming BRICS+ basket currency which will be pegged to gold, amongst other things.
Such an act will immediately debase fiat currencies, especially the US dollar. If they continue to sell gold in fiat dollars, then everyone and his dog will be trading for the BRICS+ currency, and off-loading ll their US debt. All those dollars flooding back to the US will create hyperinflation and likely destabalise the entire planet. i.e. WW3.
However, if people have truly thought ahead, then each and every country will be forced to stabilise their national currencies by backing it with gold, which could explain why the central banks are buying it up so fast, they will need to have enough to peg a currency to in order they don't immediately go bankrupt.
If that scenario really is the one that is about to happen (I don't actually know that it is, but it seems likely something like that is happening behind the scenes) then gold will immediately be the hottest product on the planet, and then some.
If the entire world moves to a gold backed currency, with current GDP levels, I wojldn't be surprised if an ounce of gold became worth the equivalent of what $50k might buy you today, and to be honest I feel that's really conservative.
Silver will also jump, and as a percentage of its current value it will likely jump more than gold. $1k/ounce for silver doesn't seem overly impossible. Maybe not that much, but I think it might peak somewhere there before dropping to maybe $7-800.
Remember, if I use dollars here, what I'm really referring to is equivalent purchasing power, ie. what those dollars would buy you today.
Because if all this does come true, then fiat dollars will be worthless and it will likely cost you $1k to buy a toothbrush.
This is just my guess, I have no insider knowledge. For all I know the figures could be 10x what I said, or we could all burn in a nuclear fireball :)
Pretty good range of possibilities :) Maybe the thousand dollar toothbrushes will be nuclear proof :)
Paper refers not to just paper currency, but to paper silver and gold contracts. Silver and gold contracts are paper with nothing to back them, much like paper currency. It is my thought that when enough people convert their paper to physical, that’s when we understand the magnitude of this ponzu scheme and the value gets reset to what it really should be.
If your gold “salesman” is pushing anything other than physical, run!
It's physical, but they keep it in some vault, so the question is, would I be able to "cash out" in 5 or 10 years, if the whole global economy tanks.
If it’s not in your hand, it doesn’t exist. That’s my motto.
Yeah, buy silver!
This is the way, Fren.
Regardless of where gold goes, that sounds like a shitty salesman
He was very nice, right up to the point where I finally said "No" :)
The companies get a flat 7% of whatever you buy, so the price needs to go up at least more than 7% (there are storage fees) to break even. I don't know what the commission for the sales people is, but if they just get 1%, it could be lucrative for them, since some people actually buy several hundred thousand dollars or more. He was mad because the first time he spoke with me he spent about an hour and a half on the phone with me, and the more recent call was about 45 minutes. I was considering putting a considerable portion of my retirement account into gold, but when I look at the price history, it just doesn't seem like there is a need to get into it right now.
Storage fees? Will it still be there if SHTF?
One more reason to question the wisdom of a gold IRA.
@PhDinNY Storage?!? Umm, yeah. The only people "storing" my hard assets are VERY close family members with even more remote/secure locations than I maintain. That s*** goes where you go, buddy!
Buy some junk silver and put it in a safety deposit box, if you don't have a very good safe.
Just a reminder that the FBI raided a bank in Beverly Hills and took everything in all the safety deposit boxes, and still has not returned anything. And the injustice system backed them up.
If you don’t hold it, you don’t own it.
https://www.courthousenews.com/fbi-cleared-in-seizure-of-anonymous-beverly-hills-safety-deposit-boxes/
I know, but for every fbi raid,their are 1,000 of home burglary.
Know your own risk and act accordingly.
Indeed
Safe deposit box and all its contents are owned by the bank. If stuff goes bad you don't want a deposit box
Yes but it doesn't go bad in one day.
It's about 10,000 times more likely for you to lose your shiny in your own home. Some people live in very safe areas and some don't.
I'm a metal worker, safes are very easy to break into or take.
How do I know when to pull the contents of your deposit box? I think Jan-Mar 2020 would have qualified.
And don't claim the tax deduction for the deposit box.
We are almost at the point now, to empty your box. Mine is in my credit union,and they dont gamble with derivites and swaps, so it should be much safer.
Junk has a huge premium right now. A lot of people are agreeing with you!
I have some to get us through the rough patch coming.
BRICS is gonna destroy the dollar or “Gold will destroy Fed” same thing
"Gold salesman" seems like a scam. How much value can they possibly add? It would seem, the larger the transaction. the more the salesguy is just driving up the cost with no extra value.
I can see diversification. A little gold, silver maybe even bitcoin. What doesn't make sense to me is if paper is about to become worthless why sell these things and accept paper. Sure the person trying to sell the gold can take their commission and buy gold/silver but why are the people holding the gold accepting paper?
Everything is going to crash soon. There will be no safe haven. It is needed to wake up everyone. Full systematic collapse, especially when people find out they only have 3-5 years left to live.
Pure blood, blood will be what you want to own.
Consider your purpose for considering PMs. If you want to make a quick buck, this is a really risky proposition, but junior miners can provide outsized movement - that is of course both up and down, but has the potential to provide significant gains for gamblers. If your intent is to protect purchasing power against a diminishing currency, PMs are good and dollar cost averaging works over a long time horizon. If you want something that will be a potential medium of exchange in a TEOTWAWKI then junk silver is likely the best. It is not about what the market wants to give you, its about you controlling the tools to meet YOUR needs.
I consider my retirement account to be my kid's inheritance. My wife and I don't need it now or the foreseeable future, so I would like to have my money where it will at least keep most of it's current value. Despite being in the most conservative portfolia, I STILL lost about 20% in 2022.
Does anyone have an opinion on goldbacks. There are a few states that allow them as currency but they can also be used as barter. Small denominations, easy to carry and made with gold threads.
Cool technology! Premiums are a bit high but chances are you will recover the premium when you sell/trade. There are a few scenarios that would result in loss of the premium, but since the notes contain gold they can be melted down.
According to other reviewers, they are not as durable as paper notes.
The artwork on Goldbacks is amazing. IMO they are not as pretty in real life as the pictures look. Gold just isn't an ideal canvas. I have some and I would buy more if my local dealer did not charge so much more than average. (Outside of the few currency states.)
Goldbacks may be a solution to a problem the doesn't exist. Venezuelans are trading with gold flakes. Anons should at least be aware of what a Goldback in case we need to trade with frens.
Thanks for your reply. Premiums are high. I haven't compared premiums for goldbacks to coins etc but will.
I was literally in a Gold and Coin shop today. I was selling some sterling silver. It was the best sale price I have seen in silver. I also some buying gold coins Gold has been the preferred safe haven for people worldwide for over 5,000 years. During times of uncertainty, insecurity, economic or political turmoil, war, devaluations, and more, gold has always been the top choice. Its impressive track record speaks for itself, as no other investment can match its long-term success in terms of maintaining purchasing power. Gold has consistently proven to be the most reliable investment over time. So go back to the apologize to the man and buy some gold.
I wasn't rude to him, so no need to apologize, but as some have commented, if things got really bad, would I actually be able to access the gold?
If there is a huge price climb, that will cause a big increase in the supply when people cash out. It happened with silver in the 80s.
If gold did gain massive amounts of purchasing power, that would be a huge handout to the elites. We don't want that and I'm sure the WH don't either.
The WH could release their reserves. "we have the gold." Or we could find gold on an asteroid. The diamond market is manipulated up, gold may be too.
The dealers need to move metals in order to acquire it for themselves. Say they buy 100 oz from the market and sell 98 oz.
Perhaps a reasonable precious metal position would be 2-20% of your net worth.