So, Skol, a serious question or two: what do you think of the...

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CosmicTitan

70 Posts.

08/10/17

15:33

Post #: 27744306
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Originally posted by Skol ↑

China on the other hand realises the role gold has to play in the coming war and is thus stocking up big time. The USA also realises this and is holding onto its reserves while helicopter dollars rain down in unprecedented abundance. Our favourite thread naysayer is somewhat sanguine about the US economy while trashing gold but cannot address questions in a logical fashion preferring name calling, logical fallacies and side stepping as his primary philosophical stock in trade. As such his ramblings provide mere levity.
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Straight out of one of Bill Holter's diatribes.

The Chinese aren't "stocking up big time" and as Eisenhower correctly observed in 1957 after convening a meeting of economic experts to discuss gold convertibility he stated..."All that they had to say was that the President should pray that no one ever woke up to the fact that in essence gold is valueless - you can't eat it, you can't build things with it, or fire it in guns".

Gold plays no part in a modern economy and most Americans couldn't care less about the gold in Fort Knox because it's worth a pittance. It's only there because no can decide what to do with it, in fact some of it's on display at the Federal Reserve Building in NY as a quaint reminder of the way the economy worked in the past, a museum piece.

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So, Skol, a serious question or two: what do you think of the fact that the POG has gone into backwardation a number of times over the last few years and routinely flirts with this state? What signals do you think the loss of the gold basis (difference between spot and future price) means to the gold market? What do you think permanent backwardation would indicate specially in regard to gold futures contracts ?
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0 Great analysis

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