Gold Monitoring Thread £ GBP only

[bobski]

31 minutes ago, Bratnia said:

Russia is using Iranian/N Korean/China weapons in its war with Ukraine, only reasonable that Ukraine might in turn use other countries weapons in that war. A war where one side only was allowed to attack the others territory isn't a war - is just the way that Putin would prefer things to work.

Wow. You read a lot into my comment lol

I’m not going to comment here on the conflict between Russia and Ukraine. 
 

The point is that we’re upsetting the bear and it’s becoming obvious. The fear is that once Russia removes diplomats from the UK, that hints at an imminent attack 

[Petra]

19 minutes ago, ZRPMs said:

My Brother came round again last night and has been ramming his belief that Gold will be £3,000 an ounce in 12 months and silver is going to be £30 to £40. He seems to be looking at the precious metals as some sort of get rich quick scheme. I did tell him that I thought the reason for Gold was more as a preservation of wealth. I know things are going to hell in a hand cart but what's the general consensus out there. What do you think the price will be for an ounce of gold in 12 months measured in GBP?

Steady in upper £1800s🤔

[Bratnia]

32 minutes ago, Gruff said:

On the other point, I can't see that they would divide by 123, yes that's the over-subscription that we know about so, lets divide it all, but why not increase the value by 123 times? Oh yes, because that would disproportionately help peasants like us be wealthier.  

Doesn't matter what the scale factor, all washes, is just a number. 1850 / 4.24 = 436 factor if you prefer, current price of gold / former on-gold-standard price of gold. Or multiply by 1000, or 123 or whatever. I very much suspect that if the plan was to scale by 123 that first gold holding/trading would be suspended/prohibited or compulsory purchased as per US 1933. But those lessons have been learnt, so unlikely to be repeated IMO. As-is works (in the sense of being better than the alternatives). Were a better method identified it would be inclined to be adopted. Each method has both upside benefit and downside risks/costs. Anticipating a ending of the as-is - is a expectation of bad things such as a scorched earth.

Personally I like the former British based gold standard, broadly no inflation, borrowers had to pay a real rate of return in order to borrow (those that saved were pretty much guaranteed a decent real return on their savings) etc. The US/fiat system reduced the cost for states to borrow to near zero, deposit cash in a savings account and after tax and inflation you'll be lucky if that even offsets inflation (currency debasement), not good for those that have saved who instead have to take risks in order to potentially achieve a real rate of return.

[HerefordBullyun]

8 hours ago, Bratnia said:

The Fed are also the custodians, and I'd expect that the Treasury would have practices in place to reassure any of its concerns in that respect.

Alan Greenspan disagrees former fed chair... heres the proof...

 

[Bratnia]

15 minutes ago, bobski said:

Wow. You read a lot into my comment lol

I’m not going to comment here on the conflict between Russia and Ukraine. 
 

The point is that we’re upsetting the bear and it’s becoming obvious. The fear is that once Russia removes diplomats from the UK, that hints at an imminent attack 

If he does that's the same as raining 1000's of nukes down onto his own (70%+ of Russian's live within continental Europe) that NATO/US have upgraded and increased since Ukraine. In a sense we should be grateful that its Putin, there are others within Russia who are screaming to press the big red button. And once you're past 200 odd nukes it becomes a global factor (nuclear winter starvation, global radiation levels etc.). Good for gold? Maybe. Perhaps not (food/water/ammo/medical more preferred).

[Gruff]

34 minutes ago, ZRPMs said:

My Brother came round again last night and has been ramming his belief that Gold will be £3,000 an ounce in 12 months and silver is going to be £30 to £40. He seems to be looking at the precious metals as some sort of get rich quick scheme. I did tell him that I thought the reason for Gold was more as a preservation of wealth. I know things are going to hell in a hand cart but what's the general consensus out there. What do you think the price will be for an ounce of gold in 12 months measured in GBP?

This is it, it is wealth preservation, it won't make you rich. And also define rich? What are you using as your yard stick? Are you a millionaire? Ask the millionaires in Zimbabwe what hyper-inflation was like with all the trillionaires about..
Is it to be able to buy the latest Mercedes or Bentley or whatever? Why? What or who are you trying to keep up with, the Jones'? They won't give a sh*t about you when FIAT devalues by 30% overnight.

Are you looking to be debt free and have the ability to have a full stomach when the world is full of hungry people? 

[davejones]

40 minutes ago, ZRPMs said:

My Brother came round again last night and has been ramming his belief that Gold will be £3,000 an ounce in 12 months and silver is going to be £30 to £40. He seems to be looking at the precious metals as some sort of get rich quick scheme. I did tell him that I thought the reason for Gold was more as a preservation of wealth. I know things are going to hell in a hand cart but what's the general consensus out there. What do you think the price will be for an ounce of gold in 12 months measured in GBP?

A solid 2 grand would be nice

[Bratnia]

14 minutes ago, HerefordBullyun said:

Alan Greenspan disagrees former fed chair... heres the proof...

As the Fed guys said, the Fed doesn't own the gold, it was given to the Treasury for gold certificates (that as indicated are at a $42/ounce rate). The question put was does the Fed use the gold it owns to trade swaps/derivatives, the Fed responded with the correct answer, no - highlighting that it doesn't own the gold. The question wasn't extended to ask whether the Fed use gold certificates to trade swaps/derivatives - which would have been interesting to see the Fed's response. The US Treasury remain the official 'owners' of the gold. A concern the Fed/Treasury have is that whilst the setup is relatively easy to grasp many don't get it and the primary concern is that such misunderstanding can 'spoof the markets' and as such is better left being opaque/unquestioned.

[HerefordBullyun]

2 minutes ago, Bratnia said:

As the Fed guys said, the Fed doesn't own the gold, it was given to the Treasury for gold certificates (that as indicated are at a $42/ounce rate). The question put was does the Fed use the gold it owns to trade swaps/derivatives, the Fed responded with the correct answer, no - highlighting that it doesn't own the gold. The question wasn't extended to ask whether the Fed use gold certificates to trade swaps/derivatives - which would have been interesting to see the Fed's response. The US Treasury remain the official 'owners' of the gold. A concern the Fed/Treasury have is that whilst the setup is relatively easy to grasp many don't get it and the primary concern is that such misunderstanding can 'spoof the markets' and as such is better left being opaque/unquestioned.

Regardless I dont believe theres 8000 tonnes of gold in the US as it's never been shown or made public...

I call bollox

[flyingveepixie]

51 minutes ago, ZRPMs said:

My Brother came round again last night and has been ramming his belief that Gold will be £3,000 an ounce in 12 months and silver is going to be £30 to £40. He seems to be looking at the precious metals as some sort of get rich quick scheme. I did tell him that I thought the reason for Gold was more as a preservation of wealth. I know things are going to hell in a hand cart but what's the general consensus out there. What do you think the price will be for an ounce of gold in 12 months measured in GBP?

£400.   Of course..!  😅

[HerefordBullyun]

53 minutes ago, ZRPMs said:

My Brother came round again last night and has been ramming his belief that Gold will be £3,000 an ounce in 12 months and silver is going to be £30 to £40. He seems to be looking at the precious metals as some sort of get rich quick scheme. I did tell him that I thought the reason for Gold was more as a preservation of wealth. I know things are going to hell in a hand cart but what's the general consensus out there. What do you think the price will be for an ounce of gold in 12 months measured in GBP?

Tell him a fiver an oz and i will be round next week to offer him a tenner an ounce..

If he needs my address to post it to me let me know

[FriedrichVonHayek]

11 minutes ago, HerefordBullyun said:

Regardless I dont believe theres 8000 tonnes of gold in the US as it's never been shown or made public...

I call bollox

Governments are degenerate liars with a massive spending addiction,  so why would anybody believe the US has 8000 tonnes of Gold.

Edited May 8 by FriedrichVonHayek

[Bratnia]

Just now, FriedrichVonHayek said:

Governments are degenerate liars so why would anybody believe the US has 8000 tonnes of Gold.

Or ever landed on the moon

[Bratnia]

As ever things aren't just simple. The Fed increase/decrease special drawing rights (SDR's) which is a form of weighted basket of multiple currencies, which is somewhat like buying/selling gold. 2020 to 2021 and the Fed more than tripled the value of their SDR holdings. Iceland 2009 for instance and in terms of Krona (domestic currency) the price of gold soared during the financial crisis. As did the Euro. In terms of Euro's the price of gold remained relatively flat. Gold or Euro's would have served a Icelander as equally as well as a hedge against the collapse of their domestic currency.

[Bratnia]

27 minutes ago, HerefordBullyun said:

Regardless I dont believe theres 8000 tonnes of gold in the US as it's never been shown or made public...

I call bollox

The President appoints the Treasury secretary as their principal advisor. Who in turn report such matters as amount of gold ...etc. It would be a political win for a new/inbound President to highlight the lies of the former President, especially if a flip between Democrats/Republican. To opine that consecutive Treasury secretaries perpetuate a big lie is misguided IMO.

[Happypanda88]

[HerefordBullyun]

25 minutes ago, Bratnia said:

The President appoints the Treasury secretary as their principal advisor. Who in turn report such matters as amount of gold ...etc. It would be a political win for a new/inbound President to highlight the lies of the former President, especially if a flip between Democrats/Republican. To opine that consecutive Treasury secretaries perpetuate a big lie is misguided IMO.

If USA has more gold than china then I am pope Gregory the ninth skiing naked on the river near the Vatican...

[ArgentSmith]

If only there were a secure, trustless, decrentralised ledger where all holdings could be verified and audited 😁

Edited May 8 by ArgentSmith

[SidS]

11 minutes ago, HerefordBullyun said:

If USA has more gold than china then I am pope Gregory the ninth skiing naked on the river near the Vatican...

Well that paints a picture...

[ZRPMs]

11 minutes ago, HerefordBullyun said:

If USA has more gold than china then I am pope Gregory the ninth skiing naked on the river near the Vatican...

Hey @Gregory are you really @HerefordBullyun

[HerefordBullyun]

3 minutes ago, SidS said:

Well that paints a picture...

If you want photos they are 4 ozs of brits...

DM me if interested.

When moon for gold

[SidS]

2 minutes ago, HerefordBullyun said:

If you want photos they are 4 ozs of brits...

DM me if interested.

When moon for gold

I'm still traumatised by Lawrence Chard in his budgie smugglers. I'm not sure I could cope with Pope Gregory in his birthday suit. 😄

[Thelonerangershorse]

31 minutes ago, HerefordBullyun said:

If USA has more gold than china then I am pope Gregory the ninth skiing naked on the river near the Vatican...

It's the Tiber, I know that one.

[Thelonerangershorse]

2 hours ago, HerefordBullyun said:

Regardless I dont believe theres 8000 tonnes of gold in the US as it's never been shown or made public...

I call bollox

[Bratnia]

2 hours ago, FriedrichVonHayek said:

Governments are degenerate liars with a massive spending addiction,  so why would anybody believe the US has 8000 tonnes of Gold.

Wouldn't matter if even there was no gold, in 1971 the US left the gold standard, the dollar isn't any longer backed by gold. But as many Fed chairs have said when the dollar falls too far out of alignment with gold bad things tend to happen, so Fed decisions are still made with one eye on gold.