Well, What happened to all the GOLD HOARDERS ?

[joshuabardwell]

So, just for those who are keeping score, according to Kitco, on June 6, gold was around 1400. Between Dec. 28 and June 28, it went from about 1700 to about 1200. All in all, I'd give Grumpy a pass on this one. Not a home run, but not a strike-out either. It only went down $500, and it took slightly longer than 6 months. On the other hand, if anybody had money on it, he lost fair and square.

 

[powerpace]

For the gold traders to make money there has to be a scare. A downturn in prices that allows them to make money on their investment. As the price lowers at some point they may start buying with the idea that prices will increase in the future. Short term investment in gold and silver is for the inexperienced.

Gold buyers never buy at spot prices from the public. I've seen some as low as 60% and some as high as 85% when gold prices are unsteady. I have dealt with one dealer that paid me 125% over spot because I had two ounces of flake and nugget (jeweler quality) gold. That was about five years ago when gold was at $1200.

I attend estate auctions and every garage, moving, yard sale I can. I picked up about three ounces of sterling silver jewelry and a quarter ounce of 14k gold charms for less than $40 in the last two weeks.

 

[powerpace]

I just logged 20 acres of Douglas Fir and got a contract price of $725/Mbf. We haven't seen prices like that since 2001. We hauled out a couple loads of stuff too small or crooked to mill (chippers) and got $25/ton on the spot market. Prices have dropped off some with the summer busy season, but only about $60/Mbf.

As for labor, there is no longer much labor in logging. Two guys did all the work in about 3 weeks. They had a faller in for about 4 or 5 days, and the rest of the time they sat on machines and twiddled joysticks. The wood processor would pick up a log, limb it, buck it and stack it. Then they grabbed the logs with a loader and put them on the truck.

Not much to it anymore, unless your on a sidehill.

 

[KTurner]

Like I've said before no one needs a $500,000.00 house or $50,000.00 truck

Grumpy,
Didn't you just admit to having $50k stored in your truck? Doesn't that sort of make your truck a $50,000 truck?

 

[pjbci]

Not much to it anymore, unless your on a sidehill.

Its still hard work that leaves a man worn out and sore by the end of the day. Give em a lil credit for the work they do.

 

[ghenges]

A few months ago I posted how gold was going to drop in price by $600.00 in 6 months , Looks like I may be right about that one !:laughing:

Kyle Bass a Dallas Texas hedge fund manager that made billions employing credit default swaps to bet against the subprime mortgage crisis, was asked by his mother where she should invest her money.

Mr. Bass' immediate reply -- "Buy GOLD AND GUNS"

The current white house occupant is effecting a monetary policy of print all the money possible, the future health of the United States be dam*ed.

Bass had a very difficult time with his investors during the housing bubble, it's tough to be a counter investor in a housing market that seems to be on fire. No one ( except Bass and Goldman Sachs) was certain the housing bubble was certain to go bust.
The current somewhat improving economic conditions (based on bogus keep them printing presses maxed out) mask the true state of the economy.
The ONLY way to pay for all the printed money is what every government in history has done is to pay the debt with INFLATION.
The coming round of inflation will make Jimmy Carter's 12% inflation rate look like the Good Old days.

Gold is the only hedge against inflation.
An example: 150 years ago a certain weight of gold purchased two fine quality men's suits; in 2013 the same certain weight of gold will purchase two fine quality men's suits.
The dollar worth one dollar 150 years ago is now worth about .03 cents.

To say gold is a dead investment is truism most of the time, however, carrying gold into the coming economic crisis is a no-brainer.

Convert as much of your assets to gold and borrow as much as you possibly can (pay it off with inflated money exactly as your government will be doing).

How do I KNOW things are about to bust?
I recently spent a week in the hospital due to an intestinal blockage.
Every doctor scoffed at my insistence that it was an intestinal blockage.
Six days in the hospital (UPMC Pittsburgh) bought a plethora of unrelated tests, until the wee hours of the morning on the seventh day when I was brought a quart of a super heavy duty laxative solution. By the morning my guts were clean and the doctors saw fit to immediately release me.
The Cost for seven days to Medicare -- $103,000.00
How long can a country exist spending that kind of money on a belly ache?
I figured it out -- I was a bed stuffer, healthy enough to endure 7 more days without eating, JUST TO MAKE UPMC a hundred grand. Some old horse doctor could have fixed me on the first day for about a hundred bucks.
No government can spend money like that and long survive.

Grumpy Old Man, how do I know you are pretty much an uneducated man -- The reliance on emoticons is a sure signal of semi-literacy.

 

[cqaigy2]

Bass had a very difficult time with his investors during the housing bubble, it's tough to be a counter investor in a housing market that seems to be on fire. No one ( except Bass and Goldman Sachs) was certain the housing bubble was certain to go bust.

Say what? Nobody knew that pyramid scheme was going to go bust?:confused2:

 

[powerpace]

Say what? Nobody knew that pyramid scheme was going to go bust?:confused2:

Same story with the internet bust a few years back (and it will happen again). Internet companys that never made a dime sold for millions just because someone thought the site would bring in future revenue. Some of those sites were Beta (experimental) sites that never had a application anyone used.

 

[powerpace]

Its still hard work that leaves a man worn out and sore by the end of the day. Give em a lil credit for the work they do.

Didn't saw it wasn't hard work. At some logging sites a person never sets foot on the ground. Machinery with an operator gets it done. The bigger trees still require cutters, choker setters, and log deck crew. They work their butts off and it is dangerous work.

 

[Grumpy Old Man]

Kyle Bass a Dallas Texas hedge fund manager that made billions employing credit default swaps to bet against the subprime mortgage crisis, was asked by his mother where she should invest her money.

Mr. Bass' immediate reply -- "Buy GOLD AND GUNS"

The current white house occupant is effecting a monetary policy of print all the money possible, the future health of the United States be dam*ed.

Bass had a very difficult time with his investors during the housing bubble, it's tough to be a counter investor in a housing market that seems to be on fire. No one ( except Bass and Goldman Sachs) was certain the housing bubble was certain to go bust.
The current somewhat improving economic conditions (based on bogus keep them printing presses maxed out) mask the true state of the economy.
The ONLY way to pay for all the printed money is what every government in history has done is to pay the debt with INFLATION.
The coming round of inflation will make Jimmy Carter's 12% inflation rate look like the Good Old days.

Gold is the only hedge against inflation.
An example: 150 years ago a certain weight of gold purchased two fine quality men's suits; in 2013 the same certain weight of gold will purchase two fine quality men's suits.
The dollar worth one dollar 150 years ago is now worth about .03 cents.

To say gold is a dead investment is truism most of the time, however, carrying gold into the coming economic crisis is a no-brainer.

Convert as much of your assets to gold and borrow as much as you possibly can (pay it off with inflated money exactly as your government will be doing).

How do I KNOW things are about to bust?
I recently spent a week in the hospital due to an intestinal blockage.
Every doctor scoffed at my insistence that it was an intestinal blockage.
Six days in the hospital (UPMC Pittsburgh) bought a plethora of unrelated tests, until the wee hours of the morning on the seventh day when I was brought a quart of a super heavy duty laxative solution. By the morning my guts were clean and the doctors saw fit to immediately release me.
The Cost for seven days to Medicare -- $103,000.00
How long can a country exist spending that kind of money on a belly ache?
I figured it out -- I was a bed stuffer, healthy enough to endure 7 more days without eating, JUST TO MAKE UPMC a hundred grand. Some old horse doctor could have fixed me on the first day for about a hundred bucks.
No government can spend money like that and long survive.

Grumpy Old Man, how do I know you are pretty much an uneducated man -- The reliance on emoticons is a sure signal of semi-literacy.

So now I'm uneducated ? semi literate ? Another gold hoarder with an ax to grind ! When someone doesn't agree with your way of thinking you resort to insults ? And I'm the uneducated one .