Hi Fudley61 and all,
Skol says: “That's right, I said gold has not held its value relative to other investments like property and stocks, and I'm quite correct.”
The arguments made by Skol and a few here seem to ignore the main reason I hold physical Gold and Silver, it is for the protection of my purchasing power. We all know about an ounce of Gold buying a suit of clothes as far back as Roman times.
I have a constant reminder on my car and house key rings, I have a US Silver dollar coins.
Back in 1930 one could use either the paper dollar or a Silver dollar to buy everyday things such as petrol or gas as our cousins call it. A gallon of gas (1930) was priced at $0.20 therefore one dollar could buy five gallons. Today I understand gas is around $3.00 a gallon so one would now need part with $15.00 paper dollar notes to buy the same five gallons of gas.
Whereas my Silver dollar coin containing one ounce of physical silver valued at $15.00 today still has enough purchasing power to buy me five gallons of gas. Now I grant you I would need to call into the bullion shop on my way to the fuel stop but that’s no great hardship.
https://www.energy.gov/eere/vehicles/fact-915-march-7-2016-average-historical-annual-gasoline-pump-price-1929-2015
I dare say over the same time period many of the stocks listed on the DOW have disappeared totally and whilst I know it’s futile to try and convince Skol of the value or enduring purchasing power of a metal such as Silver the above example is an inconvenient fact. I doubt that will stop him arguing against my point.
GE is getting booted from the Dow Jones industrial average: Here are the members of the original 1896 index
https://www.*.com/dow-original-companies-2016-12?r=US&IR=T
Cheers and very best regards: Andy
