Topic: Gold Losing It's Shine? - page 6. (Read 6893 times)

I am having a feeling that too much gold is being mined out right now. Two decades ago, the total gold production (from mines, as well as from placer deposits) stood at less than 1,000 tonnes. But right now, the production is about to touch 3,000 tonne per year, with countries such as China and Russia significantly increasing their output.

Gold is very precious and most trusted asset through out the history of mankind.This will always remain an important player to measure the value of the currencies even in future when only digital currencies will rule the financial system.Gold's shine can never be dimmed not even little.Recent decline in price of Gold was after effect of price hype which was created by elite now price is very fair in my opinion.

I don't know much about gold mining, but like any industry, im certain that gold mining also advanced quite a bit in terms of lowering costs of mining itself.Tech gets better, theres more gold mined, overall costs decline. Thats regarding new gold flow coming into market, but regarding the gold already held by people and institutions, i guess it can be manipulated to some point, just like anything else (bitcoin price included.)

cheers

At least two serious books have come out, detailing evidence that major central banks have been suppressing gold "market" prices by trading derivatives.

What this means is that the authorities' own reading of world sentiment (which is surely better than that of mortals like me) is that gold price suppression *is* necessary to support the value of paper currency and its associated assets.

This condition was the real essence of the gold standard. Gold standards were not designed, as declared, to safeguard the value of paper. They were really intended to hold down the price of gold and prop up that of paper -- a form of financial repression that tried to push savers to get into paper, spend, and lend.

So, as surprising as it seems to say this in 2015, we are on a (flexible version of) gold standard.

The main reason to hold gold right now (but only physical gold) is that if the authorities continue to have problems getting the economy back to growth and inflation after the financial crisis, as evidenced by the Fed being unable to raise rates 7 years after the crisis, they might be forced to, effectively, devalue currencies against gold. Devaluation fundamentally makes the most sense in this kind of situations. The problem (for the authorities) is that it would be bad for market psychology with respect to paper currency.

Maybe with passing time we can expect a little fall in prices of gold.

those same people usually care only about their portfolio/income, so if they see bitcoin as a better alternative they will jump on board regardless, but it's not exactly the case for bitcoin with the current down-trend

When the BRICs flip the switch.. the USD will instantly lose 90% of it's value.. You heard it here first!

It is possible that gold is losing its shine considering the fact that now we have cryptocurrency being slightly better. However, I don't see it becoming oblivion or being forgotten anytime soon. The ideal scenario would be bitcoin moving alongside gold as an alternative investment option and certainly no matter what, those two are still far better than holding onto fiat.

if anything bitcoin, I feel like its catching up real quick at its own speed.

Its pretty crazy how we saw it match gold at one point, and we all know how old gold is..

As for the fiat, we have way too much since its more of a socialist view for banks to get bailed out every single fuken time. True capitalism works, because you let it fall theres no such thing as bail outs. Socialists for the rich, true capitalism for the poor. wtf.. 

Gold witnessed the rise and fall of empires, there's nothing to be afraid of Diamonds will surely lose value before gold and when it happens fiat will already be long forgotten.

It's not losing it's weight...

We have around $20 TRILLION dollars in debt, and another $60-$80 TRILLION in unfunded liabilities... There's not enough trees to print that much money. So the government definitely put the FIAT in fiat currency... The FED was suppose to protect us from this. It didn't.

I'm not say fiat currency can't work, it just needs to be managed with real controls that are not politicized. People will one day realize that fiat currency is an abstract item in a hyper-reality that is worthless. I'm not saying to go throw all your money into Gold but it better be part of your diversification portfolio, along with Silver, Palladium, etc... Canned Food too !!!

99% of all financial news that you hear about prices going to fall (rise) is just noise. That wouldn't be a problem if this noise wasn't contagious and toxic. Contagious and toxic here means that it still affects you and your financial decisions to a degree even if you know that it is no more than that...

Market never lies

...

Both gold and BTC have been pretty range-bound lately...  Hmm.

GOLD has been a Store of Value for 5000 - 6000 years (depending on whose figures you accept).  For me, it is best thought of as insurance against government malfeasance, as well as a possible lottery ticket (to a MUCH higher price, physical gold in your own possession only).  Oh, and it's shiny!

BTC is volatile as well, but it is also "its own asset class", and so fits very well with my ideas about diversification.  BTC is also a lottery ticket, it may go to a much higher price as well.  Oh, and it's cool and digital...

We'll see what happens!  "We watch together, no?"

Gold is less sexy yeah, with people seeing other financial intruments making them money, and bitcoin has been getting more attention.

But, I rather prefer less sexy - the stable reoccurring financial %, then a unknown variable like bitcoin. Dont get me wrong, but in a financial perspective of things, I`m more on a small percent then a huge one. 

I think Gold never lose its shining because many of rich people, power bands and governments have invested more than billions of $ on it but it may be a little cheaper, but as long as people who have power has not changed the Gold price does not change.

People are attracted to gold because it acts as a hedge against inflation.
Right now, inflation doesn't seem to be a worry.

notice how bitcoin reached that value too, maybe there is a cospiracy behind that price number..i think that gold is done its extraction isn't like bitcoin and don't fall every 4 years, is scarcity is fixed, so it should not rise much more than its current price

better to invest in something else for higher return

Whan dollar is loosing in price ,gold is going up

But last time gold prices were climbing together with hossa on stock,a lot of tha fiat money went in gold,but in virtual gold.If gold will goes under 1200$ it can easly hit 800$,

Some financial institution in some moment will urgently need cash,so sell everything,than buy back low price

Gold might be a glittering temptation for investors looking to fatten their investment returns with a relatively safe commodity. But it's far from foolproof. Indeed, gold shouldn't be considered an investment at all. Rather, the precious metal acts as a hedge, or a way to try to protect wealth against the risk of loss in such asset classes as real estate, equities and bonds. And I believe Bitcoin do the same as gold in the world of Cryptocurrencies.

I have not done well with gold in the past year. I still like it and think it is a great hedge against a catastrophic stock market decline, but I'm down like $40 an Oz.