Infographic: Is Gold A Bubble?

[MNeagle]

Yes, another infographic, and yes, another answer (always the same) on whether gold is a bubble.
Courtesy of bullioninternational.com (http://www.bullioninternational.com/)
http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2012/02/GOLD___.jpg (http://i.imgur.com/kiqlN.jpg)


http://www.zerohedge.com/news/infographic-gold-bubble?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedg e+-+on+a+long+enough+timeline%2C+the+survival+rate+fo r+everyone+drops+to+zero%29

[gunDriller]

i wonder if, when they count "all the gold in the world" - do they count the gold in our teeth ?

i have 3 gold crowns. maybe a half ounce in my mouth. there must be millions of people walking around with 1/4 to a full ounce of gold in their mouth.

[Sparky]

I think it's clear that gold is not in a bubble (yet).

Do you think it will ever reach a bubble? Definition: Spot price drop of 25% off of peak within a 60-day period, 50% off peak within 3 years, and spending at least a continuous decade below 80% of its nominal peak price.

For reference, in 1980 the spot price dropped from $850 to $470 (-45%) within 60 days, and dropped to $300 (-65%) within 3 years. It spent 25 years below $680, which is 80% of its peak price.

No need to discuss "store of value", etc., because we all get that aspect. No need to claim that it would be irrelevant. Just wondering if you thing there will be a bursting of the nominal price at some point. To make it simple, let's say within the next ten years.

[keehah]

http://www.trustablegold.com/infographics/the-gold-tree-infographic.png

[palani]

I view gold as a mineral albeit a special one that has been assigned the function of balancing accounts between sovereign entities.

No other thing handles this function as well.

Gold operates to separate the responsible from the irresponsible.

[mamboni]

Yes, gold price will be the last and greatest bubble of this economic epoch, after it passes $5,000. Gold is the disinvestment of choice during a period of economic growth and currency appreciation. Gold is the investment of choice during economic deterioration and currency depreciation. If economic activity is kinetic energy then gold is potential energy. The economic cycle operates as a spring. When the spring is contracting you move from paper assets into gold. When the spring is expanding you disinvest your gold for paper claims on a healthy spring time economy showing real growth.

Presently, we are in economic winter, though it feels like early spring as central bank/government monetization has provided simulated economic activity. However, the fundamentals are those of economic winter. Until the debt burden is cleared, the only safe store of wealth is physical gold (and silver).

[EE_]

Bill Gates, Charlie Bunghole and Warren Buffoon have been appearing on CNBC the past few days to tell us gold is a worthless investment and stocks are where you should be.
So nice of them to pass this valuable info on to us. What great guys!

[Book]

http://cfile29.uf.tistory.com/image/151E1D444F43321420993C

The final "bubble" before the riots.

:D

[mamboni]

Bill Gates, Charlie Bunghole and Warren Buffoon have been appearing on CNBC the past few days to tell us gold is a worthless investment and stocks are where you should be.
So nice of them to pass this valuable info on to us. What great guys!

That's as bullish for gold as it can get.

[Sparky]

That's as bullish for gold as it can get.
My thought exactly.

[EE_]

A share of Berkshire Hathaway has collapsed over the past decade to barely more than 74 ounces of gold from the 238 ounces it was worth a decade ago.

Coo on that Warren, you filthy liar!
Sew that into your garments Charlie, you scumbag!


The Munger Games
http://www.nysun.com/editorials/the-munger-games/87811/