What's the appeal of gold anyway?

[benhogan]

http://finance.yahoo.com/news/Gold-Prices-Top-Record-Break-tsmf-1814135815.html;_ylt=Ap0eUi9AJYlhRUa2qRyAObm7YWsA;_ylu=X3oDMTE1czUyYnUxBHBvcwMyBHNlYwN0b3BTdG9yaWVzB HNsawNnb2xkc2hpbmVzd2k-?x=0&sec=topStories&pos=main&asset=&ccode=


Gold just sits there. It does not pay dividends. You can't eat it. You can wear it and look like Mr. T but other than that, what good is it?

Some will say it will be the only thing of value after the whole economic world crashes down. Really? Do you remember Hurricane Katrina? Your could not buy things with dollars (or gold) during that mess. You could however get something if you had a bottle of water or a gallon of gasoline. So much for gold holding it's value.

Sorry to rant but I just don't get it.

[POS]

It was (and still is, currently) the world's currency backing all the dollars floating around. But if the world economy collapses, I'd rather have dollars than gold. The jews are even wiser - diamonds. Diamonds are a hell of a lot easier to transport than gold, but once again, I'd rather have dollars in my possession. Which is what I'm doing.

[Hatterasguy]

Its a good way to store money, although diamonds are even better.

[HuskyMan]

bottom line: if the other guy is unwilling to accept whatever it is you are wanting to trade, game over. some lower social/economic sectors may not understand what gold means, therefore you have to speak their lingo. perhaps they are in desperate need of water. you trade them a gallon of water for a gallon of gasoline which you need. everyone walks away happy.

now, if you are dealing with bankers who understand why they are keeping a big stash of gold under the streets of Manhattan, that's another story......

[benhogan]

Originally Posted by HuskyMan

bottom line: if the other guy is unwilling to accept whatever it is you are wanting to trade, game over. some lower social/economic sectors may not understand what gold means, therefore you have to speak their lingo. perhaps they are in desperate need of water. you trade them a gallon of water for a gallon of gasoline which you need. everyone walks away happy.

now, if you are dealing with bankers who understand why they are keeping a big stash of gold under the streets of Manhattan, that's another story......

how about a thirsty banker sitting on his roof in New Orleans after Katrina?

there was no social strata after Katrina...there were all the same.

[HuskyMan]

Originally Posted by benhogan

how about a thirsty banker sitting on his roof in New Orleans after Katrina?

there was no social strata after Katrina...there were all the same.

that's it. post Katrina New Orleans, the law of the jungle set up. only three things counted: shelter, food and water and the means to protect those three. the cops made sure they confiscated the guns from the people which left the people without the means to protect their homes, food and water. after the people were disarmed, the gangs moved in and robbed, raped and pillaged to their heart's content.

the system is working.

[Pavka007]

Originally Posted by POS

It was (and still is, currently) the world's currency backing all the dollars floating around. But if the world economy collapses, I'd rather have dollars than gold. The jews are even wiser - diamonds. Diamonds are a hell of a lot easier to transport than gold, but once again, I'd rather have dollars in my possession. Which is what I'm doing.

Do you really believe that the US dollar is backed up by real gold reserve?? You must be kidding... The dollar stopped being the real currency at the moment that they've replaced:"Silver Certificate" with "Federal Reserve Note" Come on man, even The Federal Reserve is NOT Federal. Everybody know that. The US is one of the few countries around the world that actually DON"T own the currency used in the country. The Federal Reserve is private bank.
On the real dollars backed by the real silver or gold you can see the writing:
"In Silver Payable To The Bearer On Demand" Look at your pocket...can you see this?? No...because they are not backed by real quantity of Gold or Silver.
Now they print them faster than we can use them

[mpolli]

I think demand is being driven by gold ETF's and it is a bubble right now, like many before. Don't know what will pop the bubble though.

[benhogan]

Originally Posted by POS

It was (and still is, currently) the world's currency backing all the dollars floating around. But if the world economy collapses, I'd rather have dollars than gold. The jews are even wiser - diamonds. Diamonds are a hell of a lot easier to transport than gold, but once again, I'd rather have dollars in my possession. Which is what I'm doing.

the gold standard went bye-bye in 1913.

[MS Fowler]

Gold has intrinsic value. It may buy more or less goods or services, but the value is constant. You are correct; it does not "grow" except when the government inflates the currency.

Gold is important in the electronics industry where its value far exceeds its beauty.

[pawoSD]

Gold and other precious metals have very high value in several major industries.

[cmac2012]

Gold has value,of course, electronics especially but the water and earth that is abused in the mining of gold has value also.

Some of my favorite country up in WA state is being flogged in pursuit of gold. The mine is at Buckhorn mountain, which has to be "de-watered" for the approx. 15 years they will be mining. WTF is that going to do to surrounding area? Water is not in long supply up there and I have a horrible feeling this is going to degrade to some degree the ability of the land to support life.