GOLD 0.51% $1,391.7 gold futures

bread, you're another one who doesn't "get" the place of gold in...

  1. 2,730 Posts.
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    bread, you're another one who doesn't "get" the place of gold in the financial system. Gold isn't meant to be a competitor to interest bearing cash. What gold (the metal) is for is to protect wealth in times when fiat money investments present unreasonable risk. Like now, for instance. If you think the stock market, on which most wealth depends, still offers a favourable risk/reward scenario, then the best of luck to you.
    This is why the U.S. Fed, Government, and various other currency issuing authorities seek to denigrate the place of gold. Gold is a constant reminder to them that there is resource which capital can take flight into. Why wouldn't it threaten them. It reminds them that for every gold seller, there is a buyer. I bet I could go out right now and buy a new car with gold. Now consider how easy I could make that transaction in a market crash when the customers with paper money are staying away in droves.
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