Thread: Buying Gold with my Thai savings?

The New York Times had the definitive take on the vicious sell off in gold. :

Two years ago gold bugs ran wild as the price of gold rose nearly six times. But since cresting two years ago it has steadily declined, almost by half, putting the gold bugs in flight. The most recent advisory from a leading Wall Street firm suggests that the price will continue to drift downward, and may ultimately settle 40% below current levels.

The rout says a lot about consumer confidence in the worldwide recovery. The sharply reduced rates of inflation combined with resurgence of other, more economically productive investments, such as stocks, real estate, and bank savings have combined to eliminate gold's allure.

Although the American economy has reduced its rapid rate of recovery, it is still on a firm expansionary course. The fear that dominated two years ago has largely vanished, replaced by a recovery that has turned the gold speculators' dreams into a nightmare.

This analysis provides a good representation of the current conventional wisdom. The only twist here is that the article from which this summary is derived appeared in the August 29, 1976 edition of The New York Times. At that time gold was preparing to embark on an historic rally that would push it up more than 700% a little over three years later.

There's going to be some sad and desperate Thais around if the plummet continues.

I might buy a few 10b ingots once it gets back down to 8k.

Originally Posted by Noosa

There's going to be some sad and desperate Thais around if the plummet continues.

People that understand gold don't buy it as a short term speculation.

For over a month, JPMorgan managed to mysteriously avoid matching up the gold held in its (world's largest) vault with the Comex delivery notice update. However, as of today, that particular can will be kicked no more. Starting yesterday, JPM reported that just under 12,000 ounces of Eligible gold (the same Registered gold that two days earlier saw its warrants detached and convert to eligible) were withdrawn from its warehouse 100 feet below CMP 1. But it was today's move that was the kicker, as a whopping 90,311 ounces of eligible gold were withdrawn, accounting for a massive 66% of the firm's entire inventory of non-Registered gold, and leaving a token 46K ounces, or a little over 1 tonne in JPM's possession.


Finally, those who believe there is a connection between the ongoing run on JPM's vault gold, the suppressed price of the metal, the redemption of Bundesbank gold, and the fact that 3M GOFO has now been negative for 10 straight days or the longest period in history it has been below zero, and indicating an unprecedented gold collateral shortage, you are correct.


Finally, putting it all in context, this is what 1 ton of gold looks like in the real world courtesy of Demonocracy:

Anyone with some savings that still has no gold is going to regret not buying at these give-away prices. Gold at this close to 1000 usd per ounce is theft.

The Fed has been slamming gold hard for years now. You can see it clearly on the charts. It looks exactly like when the Jap CB intervenes in the Yen market

I'm very tempted but shit happens.

Originally Posted by Pragmatic

I'm very tempted but shit happens.

It will likely languish for another 6 or 8 months. Having none though is just stupid. If you have none then all you have is digital assets and if you have real estate, it's priced based on overly extended credit markets.

I might buy some gold; think I have about 5,000 baht spare this month... How many bars does that get me?

^ 80% of your savings in gold ?

Originally Posted by 9999

I for one put about 80% of savings into physical gold or silver

Hopefully prior to 2010/2011.

Originally Posted by Bower

^ 80% of your savings in gold ?

I have 6 figures worth of gold. Never done exact asset allocation but it's probably close to 80 %.

Any better ideas ? I wouldn't buy a govt bond with butterfly's money

Originally Posted by OhOh

Originally Posted by 9999

I for one put about 80% of savings into physical gold or silver

Hopefully prior to 2010/2011.

Most successful money managers say that you will always see unrealized losses on your long term investments for a time. I'm not in he red on my physical gold but my gold stock positions are a sea of red.

Originally Posted by socal

Originally Posted by Bower

^ 80% of your savings in gold ?

I have 6 figures worth of gold. Never done exact asset allocation but it's probably close to 80 %.

Any better ideas ? I wouldn't buy a govt bond with butterfly's money

Socal, we have discussed before I think, nobody should have their nest egg in one investment. In this forum I said and did pull out at $1710 and then, as now just day traded and only in physical gold. Profits made used to pay off commercial mortgages.
In my opinion everybody should hold enough cash to get through 12 months expenses.
'Out of debt, out of danger'

Originally Posted by Bower

Originally Posted by socal

Originally Posted by Bower

^ 80% of your savings in gold ?

I have 6 figures worth of gold. Never done exact asset allocation but it's probably close to 80 %.

Any better ideas ? I wouldn't buy a govt bond with butterfly's money

Socal, we have discussed before I think, nobody should have their nest egg in one investment. In this forum I said and did pull out at $1710 and then, as now just day traded and only in physical gold. Profits made used to pay off commercial mortgages.
In my opinion everybody should hold enough cash to get through 12 months expenses.
'Out of debt, out of danger'

Gold is not an investment. It is nothing but raw savings. Investments carry risk. Bank deposits or cash have no yield unless they are lend out to somebody else. And even at no yield , cash has no intrinsic value and is subject to currency risk.

six figurines on gold? Small ones?

Originally Posted by Bettyboo

six figurines on gold? Small ones?

I measure my holdings in pounds. But the currency value is of six figures...

So more then $€£ 99,000 because 99000 is 5 figures
Get it ?

Originally Posted by Bettyboo

six figurines on gold? Small ones?

I have no figurines in gold BB, I will correct that immediately, I think, when the markets right........

Why is the graph showing the gold price in London at less than $700 an ounce?
$A1372 in Australia

I'm considering buying gold but I don't like the fact that the dealers, nearest to where I live, make you pay transport costs on top. The rate is between 50-250 Baht per Baht of gold. This extra charge is pissing me off as I don't see why they should charge it. It's not added on if you buy gold in BKK.

Originally Posted by socal

Gold is not an investment. It is nothing but raw savings.

This.

How could you say saving 80% in gold / silver is silly, but saving 100% in cash is not? Are currencies not also subject to fluctuations?

Wait for the currency wars to kick off and we'll see who's left holding the bag.

Originally Posted by 9999

Originally Posted by socal

Gold is not an investment. It is nothing but raw savings.

This.

How could you say saving 80% in gold / silver is silly, but saving 100% in cash is not? Are currencies not also subject to fluctuations?

Wait for the currency wars to kick off and we'll see who's left holding the bag.

It seems to take a long time for western people to make this basic step in logic.

Here will have some gold market intervention.



And here we have some Yen market intervention. The diffrence is, Japan announced their intention to intervene.