Gold or GLD?

[dennis in se pa]

If you were buying gold which would you buy? Krugerrands? GLD on the stock market? Something else is better?

[red-beard]

It depends on what you're protecting against.

If it is simply inflation, GLD will work. If it is a global meltdown, physical gold is better.

Just remember, you can't eat gold...

[tabs]

Originally Posted by red-beard

It depends on what you're protecting against.

If it is simply inflation, GLD will work. If it is a global meltdown, physical gold is better.

Just remember, you can't eat gold...

Since the DAWN of commerce GOLD has been the UNIVERSAL medium of exchange..IS ANYTHING DIFFERENT NOW? Buy the physical asset, the one you can bury in the back yard.

Let me take a moment to RANT here...Exactly WHAT IS DIFFERENT ABOUT THIS TIME IN HISTORY THAT MAKES ANY ONE THINK THAT IT IS DIFFERENT THIS TIME> THAT YOU CAN NOT EAT GOLD, THERFORE IT IS NO GOOD AS A MEDIUM OF EXCHANGE. Gold over mans history along with Silver has been a PORTABLE means of exchanging value. IT IS ABSOLUTLEY STUPID TO THINK OTHERWISE.

In all actuality it is the powers that be that want the public in general to THINK that the PAPER currency is the only viable means of exchanging wealth. They promote it...and the gullibel have bought it hook line and sinker...welcome to digging in the garbage pail for your next meal. Thank You this message was brought to you by TABS

C

[nota]

JUNK JEWELRY

it is cheaper
but you got to know how to read a touchstone

but I like silver USA coins
better to trade for a can of soup
if everything gets that bad

[red-beard]

Originally Posted by tabs

Since the DAWN of commerce GOLD has been the UNIVERSAL medium of exchange..IS ANYTHING DIFFERENT NOW? Buy the physical asset, the one you can bury in the back yard.

Let me take a moment to RANT here...Exactly WHAT IS DIFFERENT ABOUT THIS TIME IN HISTORY THAT MAKES ANY ONE THINK THAT IT IS DIFFERENT THIS TIME> THAT YOU CAN NOT EAT GOLD, THERFORE IT IS NO GOOD AS A MEDIUM OF EXCHANGE. Gold over mans history along with Silver has been a PORTABLE means of exchanging value. IT IS ABSOLUTLEY STUPID TO THINK OTHERWISE.

In all actuality it is the powers that be that want the public in general to THINK that the PAPER currency is the only viable means of exchanging wealth. They promote it...and the gullibel have bought it hook line and sinker...welcome to digging in the garbage pail for your next meal. Thank You this message was brought to you by TABS

C

In an immediate crisis, someone is not going to give up food, fuel or water for gold, unless they have excess.

Later, as trade re-develops, gold and silver will certainly be needed. It will be the exchange medium, along with barter. Remember, barter in a small community was used more than gold. People kept books of what they did for each other.

Thinking about things, low level labor used to be a dollar a day. So, it would take about 25 days for 1 oz of gold, or better said, a years worth of basic labor (6 days per week) was about 12.5 oz of gold. At 5 days per week, this would be a little over 10 per year which is $16,000 today, or about $8/hr.

[red-beard]

Originally Posted by nota

JUNK JEWELRY

it is cheaper
but you got to know how to read a touchstone

but I like silver USA coins
better to trade for a can of soup
if everything gets that bad

I agree. Pre-1964 Dimes!!!

[GWN7]

Buy seeds and ammo.

With seeds you can grow your own food.

With enough ammo you can get whatever else you need.

[flatbutt]

AFAIK Kruggerands have a higher copper content than American Eagles.

[on2wheels52]

Originally Posted by nota

JUNK JEWELRY

it is cheaper
but you got to know how to read a touchstone

True, but I still get took occasionally.
Jim

[tabs]

Originally Posted by nota

JUNK JEWELRY

it is cheaper
but you got to know how to read a touchstone

but I like silver USA coins
better to trade for a can of soup
if everything gets that bad

Yes, yes and yes. I have often touted US silver coins instead of Gold. More bang for the buck..as iSilver is not as pricey in real terms

[VincentVega]

GLD

If you buy gold you have to store it, or pay for storage, transport it, find some one to buy it.... GLD is much more liquid, assuming you are purchasing the asset as an investment.

[tabs]

Originally Posted by red-beard

In an immediate crisis, someone is not going to give up food, fuel or water for gold, unless they have excess.

Later, as trade re-develops, gold and silver will certainly be needed. It will be the exchange medium, along with barter. Remember, barter in a small community was used more than gold. People kept books of what they did for each other.

Thinking about things, low level labor used to be a dollar a day. So, it would take about 25 days for 1 oz of gold, or better said, a years worth of basic labor (6 days per week) was about 12.5 oz of gold. At 5 days per week, this would be a little over 10 per year which is $16,000 today, or about $8/hr.

Gold replaced barter...but hard currency was often in short supply.

We are not looking at a Mad Max scenario.

[tabs]

Originally Posted by VincentVega

GLD

If you buy gold you have to store it, or pay for storage, transport it, find some one to buy it.... GLD is much more liquid, assuming you are purchasing the asset as an investment.

So an advocation of trading a green coloured piece of paper for a gold colured piece of paper...that works?

[tabs]

I hate to say it but America and the rest of the world is ALREADY FRIED there is no coming back from this level of indebtedness. The powers that be know it, and are trying to keep the ship afloat for as long as possible.

[VincentVega]

Different argument. If the sky is falling and you think gold with have some value in the future have at it. If you want to trade gold as a hedge or a bet or whatever you think it is, that's what GLD is for.

If gold prices fall or drop and you want to unload quickly, which one is simpler and cheaper trade?

Depends on your needs, both have some value.

[on2wheels52]

This month I traded this



for this



Jim

[tabs]

As I have said before the economy needs either QEing or the fiscal stimulus of deficit spending to the tune of 1.2T USD a year. If you stop providing that fiscal liquidity what will happen to the economy? AND THE SOVEREIGN DEBT BUBBLE GROWS EVER BIGGER...

But ya see this is also a TAX on the world because of the USD reserves that the nations of the world have to keep on hand for the purchase of oil AND the amount of US Treasuries the world holds. The Chinese are still buyers for if the US collapses where will they sell their goods and then what happens to their economy....one viscious circle that is getting faster and faster every day.

BTW I don't dwell on this stuff nor think about it much, not much that we can do really.

[KFC911]

Originally Posted by dennis in se pa

If you were buying gold which would you buy? Krugerrands?...

Nope, though I have owned some...

Originally Posted by flatbutt

AFAIK Kruggerands have a higher copper content than American Eagles.

All 1 oz gold coins (Golden Eagles, Buffalos, Kruggerands, Mapleleafs) contain 1 oz of gold. I beleive that Eagles and K-rands have the same ratio of alloys in addition to the 1 oz of gold whereas Buffalos and M-leafs are 24 carat (.9999) pure. I've owned all of them, and Eagle/Buffalos command a slight premium over the others.

Originally Posted by VincentVega

...If gold prices fall or drop and you want to unload quickly, which one is simpler and cheaper trade?
.....

Although you'll pay a bit above/below spot price, I can buy/sell whatever I want with a 5 minute drive to a reputable dealer. Probably varies depending on where you live. If the exchanges, Internet, etc. have an issue or the SHTF, I wouldn't count on being able to buy/sell GLD, and you will certainly be "low man on the totem pole" compared to the powers that be that you'll be competing against. Just my .02 worth...I traded most of my metals for dirt (land purchase) recently. Jim know this stuff better than I.

ps: Stay away from 100 oz silver bars...I did well because I purchased 'em when silver was lower...nobody wants 'em since silver shot up over past couple of years.

[red-beard]

Originally Posted by tabs

Gold replaced barter...but hard currency was often in short supply.

I disagree. In many of the small towns in America, definitely into the 1830-1840s, barter was more normal than gold. No one had gold! Definitely after the civil war the use of gold or gold backed paper was very common.

[red-beard]

Originally Posted by flatbutt

AFAIK Kruggerands have a higher copper content than American Eagles.

The base metal content doesn't matter, as long as the total gold = 1 oz.

Non-US bullion coins must be declared to the IRS when sold. US bullion and US denomination coins do not.