What are you doing with your "petty" cash? Where are you hiding it?

[JohnLocke]

Always bear in mind that in times of real crisis the government will take it all.

That's very true, unless you are able to hide it from the governments somewhere in the mountains.

Yes that's what I'm doing, and this thread proved there aren't that many good alternatives..

It's a good thing short term, no one knows how long we are here on earth, however, if you don't think you will die within the next 10 years, I would say some has to think about his planning for the future.

Spending money is easy, earn money is hard, if you don't have any money and you need it badly you only rarely able to serve those you need.

For that reason, I find the initial question valid, all arguments are good in this thread, still we need something to store our money, if not in cash then in something else! If not for the next 20 years then for the 5 - 10 years unless you think you will die before that time.

Just my thoughts, out of the head

 

[369]

price in the past 20y.... currently at almost ATH...

It could easily loose 20-35% in next year or two...
so I would not touch it at this point...
View attachment 3138

about your initial question - you could just keep it in cash...

oh men you have no clue about gold and your analytic sucks

 

[AMD]

oh men you have no clue about gold and your analytic sucks

please enlighten us Mr. - I have the same headache as OP

 

[369]

What you describe is the ideal scenario and the way gold should react in times of crisis. And it still does react that way when we take TRY, ARS, RUB, VEF/VES, EGP and the like. However, the aforementioned currencies are not the benchmark and when taking Gold against CHF or USD it did not live up to its expectations during the past 40 years stability-wise.

Note: I am looking for a reliable store of value and do not see that with Gold. Just to clarify, neither do I see CHF or USD as a store of value because central banks destroyed the "bond-option" (see my above post).


I agree that you might be able to outperform inflation but the same can be said about certain stocks and other financial instruments.
My discussion with @Golden Fleece is much more about a reliable store of value and stability. Unfortunately, BTC is too volatile to fit into this. Perhaps this changes one day but as long as the value of BTC goes up and down by 50% in a matter of weeks it is very far away from being a store of value.

Question is why doesn't gold react as it should as hedge (btw gold is no hedge anymore)

Remember smart money is always entering under valued assets where retailers and the herd moves to overpriced assets and get milked.

But the main question for you should be why are central banks buying gold like insane but retailers not

please enlighten us Mr. - I have the same headache as OP

First of all gold is no more hedge.
You guys should focus more on the new monetary system they are implementing and the role of gold in it.
Also even if gold wouldn't be reimplemented into the monetary system gold is always
one of the best hedges against inflation which today is nothing what is still coming

The propaganda that gold lost its shine that bitcoin is better or anything else as gold is pure propaganda for retailers.
Or why else would central banks buy this s**t metal like insane.

Question is why doesn't gold react as it should as hedge (btw gold is no hedge anymore)

Remember smart money is always entering under valued assets where retailers and the herd moves to overpriced assets and get milked.

But the main question for you should be why are central banks buying gold like insane but retailers not


First of all gold is no more hedge.
You guys should focus more on the new monetary system they are implementing and the role of gold in it.
Also even if gold wouldn't be reimplemented into the monetary system gold is always
one of the best hedges against inflation which today is nothing what is still coming

The propaganda that gold lost its shine that bitcoin is better or anything else as gold is pure propaganda for retailers.
Or why else would central banks buy this s**t metal like insane.

whine ,wishky ,watches i would never touch,why ?

You still think there will be a middle class which will create enough demand after the transformation?

 

[Golden Fleece]

Yes that's what I'm doing, and this thread proved there aren't that many good alternatives..

Well, your original post limited the options dramatically by stating "wouldn't escape reporting." For example, in the U.S. there is an extremely safe bond now paying more than an annual 7% interest rate because of recent rising inflation, called the Series I Bond. You can invest up to $10k per person.

https://www.mauldineconomics.com/smart-money-monday/theres-a-government-bond-paying-7

 

[backpacker]

why are central banks buying gold like insane but retailers not

The central banks who buy gold "like insane" have already been mentioned in post #11. Including their reasons (well, it is actually just one reason).
No other relevant + reporting central bank except the ones I mentioned in post #11 buys/hoards gold "like insane".
------------------------------------------------------

Can you explain the following:

First of all gold is no more hedge.

And a few lines down in the very same post you write:

gold is always one of the best hedges

Now I am confused and need guidance ....

 

[bastard]

The central banks who buy gold "like insane" have already been mentioned in post #11. Including their reasons (well, it is actually just one reason).

Gold will keep it's value. I'm believing that so many do.. maybe there is sufficient of it on earth and in space, however, it get limited and what is out there is impossible to salvage.

 

[Golden Fleece]

Gold will keep it's value. I'm believing that so many do.. maybe there is sufficient of it on earth and in space, however, it get limited and what is out there is impossible to salvage.

Indeed, there is a finite supply. That scarcity is what has always made gold real money for over 4,000 years.

The below-ground stock of gold reserves is currently estimated to be around 50,000 tonnes, according to the US Geological Survey. To put that in perspective, around 190,000 tonnes of gold has been mined in total, although estimates do vary. Based on these rough figures, there is about 20% still to be mined.

https://www.bbc.com/news/business-54230737

 

[bastard]

sounds a little like Bitcoins with limited numbers of coins to be mined... here it's just a limited number of kg. gold.

 

[Golden Fleece]

sounds a little like Bitcoins with limited numbers of coins to be mined... here it's just a limited number of kg. gold.

Gold is nothing like Bitcoin, which currently lacks at least three essential attributes of money:
(1) stability as a store of value
(2) indestructibility and durability (no electricity or internet = no Bitcoin)
(3) widespread acceptability by most of the public

 

[JohnnyDoe]

Gold is nothing like Bitcoin, which currently lacks at least three essential attributes of money:
(1) stability as a store of value
(2) indestructibility and durability (no electricity or internet = no Bitcoin)
(3) widespread acceptability by most of the public

1. Gold price is not stable
2. Bitcoin can exist on a piece of paper, carved into stone, in microwaves…
3. Try to buy groceries with a gold bar

 

[Golden Fleece]

1. Gold price is not stable
2. Bitcoin can exist on a piece of paper, carved into stone, in microwaves…
3. Try to buy groceries with a gold bar

1) Gold is extremely stable. In fact, it has inexorably risen as the USD has lost more that 90% of its value over the past 100 years. Over 100 years ago, you could have bought a fine quality men's suit for one ounce of gold. Right now, you can still buy a fine quality men's suit for one ounce of gold. Its purchasing power has remained amazingly steady. It is fiat currency that has lost almost all its value.

2) As I already said, if a calamity causes either electricity or the internet to disappear, then Bitcoin also disappears. By contrast, any gold that lies on the bottom of the ocean for 1,000 years and then gets retrieved is still valuable. Will Bitcoin exist in 1,000 years? It may not exist in five years.

3) That argument is non-sensical. Try to buy groceries in Italy with Chinese Yuan or Russian Rubbles. By contrast, gold can be exchanged for the local currency on almost any country on the planet.

 

[JimBeam]

Yes that's what I'm doing, and this thread proved there aren't that many good alternatives..

cash is as liquid as it gets...

I mean you could buy something and hope that the value of that will increase in the future (collectible items, watches, gold, wines, crypto) but what happens if you want to cash out quickly and the price has declined or you can't find the buyer for the things you have bought...

If there was a possibility, would you like to turn money white somehow and have it in your bank account?

 

[369]

LOL

Its no hedge anymore because other than bitcon gold gets back implemented in the new monetary system

 

[JohnnyDoe]

1) Gold is extremely stable. In fact, it has inexorably risen as the USD has lost more that 90% of its value over the past 100 years. Over 100 years ago, you could have bought a fine quality men's suit for one ounce of gold. Right now, you can still buy a fine quality men's suit for one ounce of gold. Its purchasing power has remained amazingly steady. It is fiat currency that has lost almost all its value.

2) As I already said, if a calamity causes either electricity or the internet to disappear, then Bitcoin also disappears. By contrast, any gold that lies on the bottom of the ocean for 1,000 years and then gets retrieved is still valuable. Will Bitcoin exist in 1,000 years? It may not exist in five years.

3) That argument is non-sensical. Try to buy groceries in Italy with Chinese Yuan or Russian Rubbles. By contrast, gold can be exchanged for the local currency on almost any country on the planet.

LOL

Take a physical gold bar and try to use it today to buy food or anything else.
Or try to sell it. Then tell me what price you got.

Ask to someone who bought gold at $800 per oz in 1980 and had to wait until 2008 (28 YEARS) to nominally break even.

 

[Golden Fleece]

Take a physical gold bar and try to use it today to buy food or anything else.
Or try to sell it. Then tell me what price you got.

You must live on a mountaintop in Nepal. I can walk into any coin shop, bullion shop, or pawn shop anywhere in the U.S. and receive the spot price of gold. In fact, this is exactly what some people did after many banks closed immediately after 9/11. If you have no real world experience, you should not make comments.

Ask to someone who bought gold at $800 per oz in 1980 and had to wait until 2008 (28 YEARS) to nominally break even.

Like I have said throughout this entire thread, gold is insurance -- not an investment. Just as you cash out an insurance policy in the wake of a catastrophe, you must also cash out your gold during a panic when its value has peaked. How is that -- in any way -- hard to understand? Do you not understand the concept of insurance?

 

[Jerry1911]

I'm talking a few thousands euros, some tens of thousands tops.. I live in the EU neighbouring Switzerland and could deposit there but that probably wouldn't escape reporting.. What are you guys doing with it, buying art?!

Firearms, ammo, gold, Monero and stocks.

 

[JohnnyDoe]

You must live on a mountaintop in Nepal. I can walk into any coin shop, bullion shop, or pawn shop anywhere in the U.S. and receive the spot price of gold. In fact, this is exactly what some people did after many banks closed immediately after 9/11. If you have no real world experience, you should not make comments.


Like I have said throughout this entire thread, gold is insurance -- not an investment. Just as you cash out an insurance policy in the wake of a catastrophe, you must also cash out your gold during a panic when its value has peaked. How is that -- in any way -- hard to understand? Do you not understand the concept of insurance?

nobody in the world pays spot price for buying gold bars.

What a good insurance it is to wait 28 years to break even! During those 28 years if you needed to cash your gold you would have lost 60-70%.

Not to mention that gold bars are easily filled with tungsten…

 

[Golden Fleece]

What a good insurance it is to wait 28 years to break even! During those 28 years if you needed to cash your gold you would have lost 60-70%.

Now you are just being purposely obtuse. As I already stated, "Just as you cash out an insurance policy in the wake of a catastrophe, you must also cash out your gold during a panic when its value has peaked." If you cash out during a panic, which is the fundamental purpose of holding gold as insurance, then you have sold at a market top, a.k.a. at a parabolic blow off top. Perhaps you are so used to buying at market tops yourself that you cannot possibly envision that other people can know what they are doing.

And even if you do lose money, so what. Gold is insurance. People lose money on their insurance policies all the time. That is the nature of insurance. In fact, you should hope to lose money on insurance, because it means that the worst did not happen. It seems that you simply do not understand the concept of insurance.

And I never mentioned gold bars. You did. You can hold gold coins or whatever you wish as your insurance.

Firearms, ammo, gold, Monero and stocks.

If you live in a free country, firearms hold their value very well, especially if you buy them used. I recently sold a German-made air rifle for over $700 on ebay. It was made in the late-1970's and I purchased it for $125 at an estate auction about fifteen years ago. Not a bad return for something that you can also use while you own it. I do not think that I have ever lost money on either a used firearm or a used high-grade watch.

 

[uplana]

3. Try to buy groceries with a gold bar

In South Africa it is not a problem, they have the Krugerrand

What a good insurance it is to wait 28 years to break even! During those 28 years if you needed to cash your gold you would have lost 60-70%.

Sorry but that is BS - from that statement I understand that you don't owe a single ounce gold. You will never make a los on Gold maybe you will not make big profits compared to stocks and crypto, but as @Golden Fleece mentioned, consider it an insurance.

But why only discuss Gold, some mentioned already whisky, champagne, wine and art ?