Do you have any views on investing in physical gold,and if so,do you know of any Oz entities that offer this to the retail investor.
I believe that anyone who believes that the fiat monetary system is on the verge of capitulating should hold physical gold, saying that I have not made any money from my physical gold investments for over 2 years due to the strong Australian dollar, That said I believe that if the falls in the stockmarket continue we will see the Aussie dollar underperform even if it continues to rise vs the USD and we will again see the $A gold price rise again. That said the falls in Australian gold shares over the last week seem to indicate that $A gold prices may fall further again, if this happens I would not hesitate to buy physical gold at a pullback to A$512 where it has bounced from twice.
Re gold falling further,I saw a very good report from UBS last year making the case for a approx$450 gold price.It outlined the world supply and demand ie central bank sales,new production,scrap,verses demand from jewellers,electronics etc. It would be interesting to see some more recent reports like that.
It seems that the fundamentals are bullish re falling supply and we are told that demand is rising, the problem for gold is that the market is controlled by the paper market on the Comex. I think that gold will start to outperform again when the charade that economies such as the US and Australia can grow without negative real interest rates is exposed for the lie that it is.
