Skol. it 'IS' different this time.In the 80's, the gold buying...

Skol. it 'IS' different this time.
In the 80's, the gold buying was on the back of inflationary pressures and people trying to see a way to protect themselves
as you can see, interest rates were high and climbing and people were buying into gold to counteract these high inflation rates.
So far , this time the interest rates are remainig lower than at anytime, everbefore.
So to say the gold bubble is over is ridiculous!!

The inflation rate has been held down due to the US$ being promoted as a safe haven, thereby deflating prices on many things, because to let the exchange rate actually reflect the true strength of the dollar would make everything in the US go up by between 20 and 30%
However, once this myth of $ safety is shown to be false, and the dollar drops the inflation rate will climb and rapidly, as it has to due to all the printing of QE money worldwide.
and when this happens, the next leg up in gold will be massive.
The fact it hasn't happened yet doesn't make me think for one minute it won't, because as Japan has said, stimulating the money supply is the way to 'inflate' an economy.

So my old mate, hang onto your history books, becasue this time is a new paradigm and once the infaltion levels rise, which they surely will, then the rush for gold will dwarf the 80's spike. Whatever you do though, don't hold onto your lack of faith in gold and think that this s(h)itution is anything like what has gone before. Its isn't!!

never in the history of mankind has so much money been created in a concerted effort to get out of the poo, but all it will do is add to levels of debt worldwide that have also never been witnessed before.

The worlds' economy is in the Kakka, its been pumped and primed and still the levels of growth are shrinking, no amount of this stupid padding of stock markets will create a 'feel good' factor big enough to offset the reality that the worlds financial system is heading to very scary uncharted waters, and the only thing left to have faith in will be that old relic gold. Trusted, safe and protecting people for thousands of years in the worst of times and beleive me, this is the worst of times.

One thought i had recently is that pretty soon we will see a rolling over of this money exiting the ETF's into gold miners, as its the way people used to invest in gold before these Electronic peices of nothig were born.
once people realise that they could get into gold and get a dividend, then a big rally in low cost miners with good balance sheets will occur very, very soon.
These miners wills have the 'good stuff' in the ground and that's what will make them very good to have a peice of.