Posted on 12/15/2011 10:54:49 AM PST by blam
Everyone Is Mocking Gold Bugs And Ron Paul Fans These Days
Joe Weisenthal
Dec. 15, 2011, 12:01 PM
Gold bugs are some of the most annoying people in the world, so with gold cliff-diving these days, people loving the chance to mock them.
Nouriel Roubini, for example, has been tweeting up a storm about how gold bugs are in hiding.
Yesterday, Paul Krugman put up a post pointing out how the hyperinflationary predictions of Ron Paul fans aren't coming to pass, as commodity prices and gold prices sink.
Matt Phillips at the Wall Street Journal twists the knife by pointing out how US Treasuries are holding up really well while gold sinks. US debt! A super-safe haven!
For more on the gold bust, see here >
(Excerpt) Read more at businessinsider.com ...
Gold has trended up for what 3 or 4 years now, and the Keynesians take joy in it losing only small portion over the past 2 days. If I were them I’d keep my mouth shut unless and until Gold goes below $900.00.........until then we’re still in an inflationary depression.
Got into Gold and Silver many years ago. Doing just fine thank you. Paul would be a welcome relief to what we have now.
Anyone here have a clear, common sense explanation as to why inflation is so limited in the face of world record money printing?
Yes, some lag time may be required.
Yes, some measurements of inflation may be flawed or bogus.
But surely there is something going on here that is not explained by historical experience?
You answered it yourself: time lag.
That said, don’t look for inflation in the official numbers. You’ll find it at the grocery store, at Home Depot, and at the gas pump, just for starters.
My thinking has it that government officials are pulling Wizard of Oz strings to control markets ... Today it involves Gold and Silver. Since 2008, they’ve been doing it in the stock market. Look up “Crash Protection Program” on Google.
Just imagine ... Politicians having inside information on what ... exactly ... the string pullers are dealing in from minute to minute.
Around 6 monts ago I bought bread at Target in Houston for 97 cents a loaf. It has gradually crept up to $1.24. Now it has jumped to $1.47. And Borden’s milk is almost $5 per gallon. This is just two examples. Don’t tell me there’s no inflation.
This website does a good job of pointing out the lies, rumors, inside dealing, and fraud going on every day in the markets. I myself can follow only about half of what I’m interested in, but it’s worthwhile anyway.
Demand is depressed by the state of the economy. Low demand holds prices down. QED.
Just did a Google check ... try “Plunge Protection Program” instead of “Crash Protection.”
Indeed. I keep detailed notes of what I spend my money on at Home Depot; pretty much everything I buy is up 15% or so this past year.
Because the excess isn't being circulated, I would guess. It's landing in the accounts of Federal Reserve banks, where it either stays or is traded off to some other big players in the financial markets, where it stays. The economy in general never sees these funds, and so inflation is kept in (relative) check.
But that's just my guess.
I check out ZH every AM. There’s a few nutty poster there but most of it is good info.
If you read Free Republic you know Bert Predicts $2,000 gold in late July 2012.
The prediction is based on extrapolation of the Kittco 5 or 10 year chart. You can do it your self with ease. If Bert can do it, anyone can
The recent downward changes are the market’s determination that the Euro crisis is not a crisis and has settled to the established trend line of 22% anual growth in the gold price. The market has additionally indicated the trend by a strengthening of the €. Taken together, it seems many believe the immediate crisis is over
If you buy gold as an inflation hedge you have to consider the capital gains tax you must pay when you sell it, along with the fees of buying and selling. At best, buying gold is less than staying even in true buying power. But the sellers and government make a living off it.
The best way to make money off of gold is to be the one that mines it, or the pawn shops that buy it for pennies on the dollar.
I don’t mock Ron Paul Fans. They do a great job of blowing things around.
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