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View Full Version : Gold Climbs as Buyers Continue to Vault It



Dogman
5th October 2010, 02:49 PM
http://blogs.forbes.com/heatherstruck/2010/10/05/gold-climbs-as-buyers-continue-to-vault-it/



Gold futures have climbed 1.86% today, to $1,341.30 an ounce. People with wealth have appeared to stop questioning whether they should buy gold, and have started to ask how much is the right amount to invest?

Probably somewhere between $42 million, which a UBS client recently spent on shipping a ton of it to his own vault (which I imagine looks something like this), and the $134 one could use to buy a 1/10th of an ounce gold bullion coin from the United States Mint.

Five and eight-year Treasurys are up, while 10 and 30-year bonds are down, investors expecting the United States Fed to invest more in the short term bonds to stimulate a weak economy than the long term ones.

This may be similar to the ways that investors have traditionally viewed gold as a solid safety spot to keep one’s cash when the dollar is weak and the equity market is sluggish. But now, investors are buying gold in the long term too – in the form of the physical product and in carefully chosen mining stocks with high growth potential – and the commodity’s futures price continues to rise.

BarneyFag
5th October 2010, 11:08 PM
2008 all over again.

madfranks
6th October 2010, 09:01 AM
$134 one could use to buy a 1/10th of an ounce gold bullion coin from the United States Mint.

No, you can't. First off the mint doesn't have any, secondly the mint charges a higher premium than most dealers.