risk off....gold up, page-87

dan,

Why will gold crash? Here's a few reasons.

ETF's. What's gonna happen when thousands of punters that own GLD decide push the sell button?

Interest rates, probably only one way from here and that's up.

Gold doesn't pay a dividend.

Why is gold the price it is? No one actually knows, there's some dreamers here that reckon it's worth $20,000, so why isn't it? Gold's only worth what someone will pay for it, there's no P/E.

I remember goldbugs rushing out and buying gold in 1979, like the stockmarket in 1987 and housing in 2007 it caused a real buzz in the community, people threw loads at it only to end up penniless.
Was gold 'a 5000 year store of value' for them?

Here's something you should remember dan.

'Those that ignore history are doomed to repeat it'.

And here's another one from one of the greatest banksters of all time, Joe Kennedy.

'Only fools hold out for top dollar'.

Gold may hold an inflation-adjusted value over time but so do other things, like housing and stocks, so the dollar being devalued scenario is true but there's more than one way to skin a cat.

I took a massive risk in 1988, borrowed heaps and bought waterfront property no one was interested in, people told me I'd lose my shirt and for a while I lost a lot of sleep. That area is now so busy there's traffic jams, I moved out 7 years ago, I made an absolute killing. You hoard gold, I like something more liquid that people really need. The time to buy gold was years ago, not when it it's at multi-year highs.