gold, page-4283

Most people with a modicum of knowledge of markets would know about the famous bubble market in tulip bulbs that happened in 1600 century Holland. Summary below from Investopedia.

"The tulip was brought to Europe in the middle of the sixteenth century from the Ottoman Empire. Holland's upper classes soon competed for the rarest bulbs as tulips became a status symbol.

By 1636, tulip bulbs were traded on **promotion blocked**s of numerous Dutch towns and cities, encouraging all members of society to speculate in the markets. Many people traded or sold possessions to participate in the tulip market mania. Like any bubble, it all came to an end in 1637, when prices dropped and panic selling began. Bulbs were soon trading at a fraction of what they once had, leaving many people in financial ruin."

When I think about this mania and realise that it actually happened and people actually sold possessions to buy the bulbs of flowers and many ended up ruined because of it I find it very hard to comprehend how so many people could have got so heavily lured into trading a commodity which was not particularly useful and not the subject of communal trade amongst neighbouring countries in Europe. In fact looking from this 21st century perspective its seems laughable.

I'm confident that one day people in the future will look back and find it hard to believe that people in 2015/2016 formed an outsized bubble trading financial instruments that promised to repay an investor less than their original investment. That is the bubble we have created in the sovereign bond market in Europe and Japan with NIRP.

I actually think the bubble is laughable now but unfortunately the rest of the world seems to be taking it seriously still.

You keep playing 24/7 ping pong if it works for you. The market needs all types. I'll just hold on to the fact that the bubble will burst and not worry about the rest of the BS and I'll hold onto my money making gold producers until they look like they have run too far past a sensible long run value based on the "market" for gold.

Eshmun