Gold is near all time high

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Gold is a medium of exchange. I have a cow I can trade and want some salt. You have salt to trade but don't want a cow. But someone else does want a cow but doesn't have any salt to trade. So the person who wants the cow gives me some gold for the cow. I take some of the the gold (I don't want a whole cow's worth of salt) and give it to you for the salt. Everybody is happy.
 
The difference between lead (ammunition) and gold is that lead is a consumable commodity while gold is not. Nothing you do with gold changes it's value. The fact that "you can't eat gold" is precisely why it is not a commodity. Actually you could eat gold (some fancy candy has gold leaf) but when you poop it out, it is still gold.
You can make jewelry out of it. You could even spin thread out of it and make garments out of it. You can plate electronics with it. But by doing so you don't change its value. It does not decay. Anything you make out of it can be melted down and all the gold recovered with as much value as it had before.
 
Gold is, in my opinion, is not a prep for a global nuclear holocaust, but that being said it has been used by many in times of war to buy what you could otherwise not! Save travel across a border for example. I have a trail bike, I can't eat it but it's fun to ride now and could be invaluable in a future SHTF. A lot of preps are like this.

My gold is a retirement package, but a prep none the less. Look at the gold price now, it's up 500% in my local currency from when I first began adding it to my stash. If I needed to I could sell it tax free tomorrow and use what I had bought over the years to buy a decent BOL with a flowing stream on it. That's a real prep for prep exchange. No, gold's use in all war may well be limited but as a financial prep it's as good as any.

Now consider Kurt Saxon.

The limitation on gold ownership in the United States was repealed after President Gerald Ford signed a bill legalizing private ownership of gold coins, ...which went into effect December 31, 1974.

Kurt Saxon was 45 years of age then, a great Survivalist, the first one arguably and already preparing books for print. If he had begun storing ounces then his latter years would have been a lot more comfortable. He died in poverty in the Blossom Nursing Home Arkansas, by all reviews a Dump.

blossom nursing home.jpg


One reviewer says.
"What a perfect place to put your toxic abusive parents when they are old and soiling themselves.:) will recommend this place to people with horrible parents."

Saxon, as an important leading voice to the budding modern survivalist culture probably began the anti-Gold meme with writings like this, dutiful survivalists ever since have followed his lead.

An example of such stupidity is the "patriots" who buy gold. Wealthy people may have a
reason to buy gold but working class people don't. I don't have any gold and I don't know
anyone who does and the great majority of ordinary people who buy gold are known by
the government as "patriots". All gold purchases from firms such as Viking International are recorded. The Feds have access to such records.

So if you believe the Feds are going to come around and collect your guns, you might as well
realize they'd collect your gold at the same time. Besides, gold is no longer legal tender with a fixed value. The price goes up and down. It's a commodity. After the collapse of our system, its value will be determined by the seller of what you want to buy.

You can't eat it you can't shoot it Blah Blah Blah. Sorry Kurt, but you were not infallible and you got that one wrong, you missed the boat. Gold was US$130/oz when you were denigrating it and $2000 when you were going into that nursing home. If you had have thought outside the box, "Why was the government making ownership legal again?" You might have had a nice nest egg to retire with.

Can anyone guess WHY the government made it legal to own?

https://www.findagrave.com/memorial/231135232/kurt-saxon
https://cdn2.imagearchive.com/homes...12/112582-YouCantTrustAPatriotByKurtSaxon.pdf
 
Gold is money, savings that can't be stolen in a market collapse. The feds don't need to raid your property to take your guns, they just need to wait until you can't pay the land tax and then the sheriff will do it for them. How many lost their properties in the Great depression over failure to pay the taxes?

From 1929 to 1932, state and local taxes soared from 6.3% to 15.3% of national income—and these were mainly property taxes... This was the reason the Democratic party, including President Roosevelt, switched from supporting Prohibition to supporting repeal. Alcohol taxes were needed to replace lost property tax revenue. It was also the reason for the adoption of State and local sales taxes.

Nearly everything of material importance is bought and held with Money. Secure your money of suffer like those did.
 
China Is Leading the Dance in the Gold Market @MovingMike
Exceptional strong gold demand from both the Chinese central bank and private sector has been driving up the gold price over the past two years, by which they have taken over control over the gold price from the West. The People’s Bank of China (PBoC) bought a record 735 tonnes of gold in 2023, of which about two thirds were purchased covertly. In addition, the private sector net imported 1,411 tonnes in 2023, and a whopping 228 tonnes just in January of 2024. If the West joins the Chinese gold buying craze, in fear of rate cuts and currency debasement, it will be a perfect storm for gold.

https://www.zerohedge.com/news/2024-03-28/china-has-taken-over-gold-price-control-west
https://www.zerohedge.com/news/2024-03-28/china-has-taken-over-gold-price-control-west
China Has Taken Over Gold Price Control from the West
ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zero
www.zerohedge.com
https://gab.com/links/46456236
 
Some profit taking right now on the gold market. I am tempted to say it's a chance to buy before it goes up again, but then I got caught in exactly that same scenario a number of years ago and it just kept going down, down, down, down after I bought. I had a couple of coins that didn't get back up to what I paid for them until this year. After watching the market for years I figured out what my buy price was and never bought above that price again. And it's way above my buy price.
So if you want to buy and take a chance on having to HODL (hold on for dear life) for a decade, go ahead. But I'd advise caution right now. At least wait and see what happens when the NYMEX opens at 9am EDT. If there is a big short right after the NYMEX opens (sudden steep drop in price) and an immediate bounce back up to what the price was before the drop, it might be safe to buy.
 
The mainstream media talk about Dr Copper, that it predicts recessions in the business cycle but I have never looked into it. probably because I have no faith in anything that's in the collective consciousness. Gold on the other had does seem to have a predictive side to it. Now one thing Gold does is follow inflation, as we have just seen. But I see another pattern.

historical-gold-prices-100-year-chart-2019-05-02-macrotrends-s.jpg


In this chart we see the uptick with inflation in the early 00's. Then an inflection point in early 2005 when the Housing market was just starting to been seen as a bubble. There was no real dramas in the economy but Gold took off, all the way up until the Great Recession kickoff with the Lehman collapse.

Around the time of the disaster in 2009 Gold fell sharply and that surprised me at the time. What was happening though was that many businesses were being hit with margin calls and other worries as the stockmarket collapsed and they had to get liquid. The easiest way was to sell their paper gold, and that collapsed the market.

When the dust finally settled, around 2015, Gold had fallen to $1200. Boo Hoo they all said. But what they didn't say was that it was up 100% from 2005's $600 price. Did houses do that?

As for the DOW and NASDAQ well they are totally manipulated paper markets and I have no opinion on them. The valuations, the PE ratios are so far from historical norms it's a joke. And look at them all, companies collapsing left and right, Trillions being wiped off the board with every setback yet the valuations still go sky high. I know some of the reasons for this, like a lot of European and Asian money is over there seeking a safe return and the untold billions that flow in every week from pension funds. But who cares. I just steer well clear of it.

Gold certainly has many aspects to it's performance but one thing has proved true. It retains it's value, it's spending power over time.
 
Markets closed for the weekend at $2329.20. for gold and $27.44 for silver. Silver is still a buy. Even though I think gold will go higher next week, I am not certain enough to buy. The long term trends have all been completely upended and we are in uncharted territory now. As we saw above, the "experts" haven't a clue.

It is, however, a good time for a little profit taking if you have enough gold to spare some. You might be able to buy some back if there is a correction.
 
Typically people who hold Gold have a lot of other assets as well, typically a lot of cash. Gold is a conservative investment, it tracks inflation and preserves purchasing power and conservative people are generally not risk takers, they don't use their physical Gold to speculate or take short term profits, it's a form of retirement savings basically.

I have sold Silver before when it skyrocketed and was lucky enough to buy that back at lower prices but it's not something I'd do as a rule. If it went to $100 I might! Why not, but what would I buy? I don't need anymore toys. Put more cash in the bank? I may need that silver if the economy collapses, I may need it in 20 years if SS collapses. Best to let sleeping bars lie.
 

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