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Is There Any Correlation Between the U.S. Dollar and Gold?

By Patrick   Follow   Wed, 14 Nov 2012, 5:52pm   882 views   12 comments
In Menlo Park CA 94025   Watch (1)   Share   Quote   Permalink   Like   Dislike  

http://www.oftwominds.com/blognov12/USD-correlations11-12.html

The USD may gain relative to other currencies, but since all fiat currencies are declining against gold, it doesn’t mean that the USD is actually gaining value; in fact, all paper money is losing value.

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1. C Boy Follow Befriend 1 threads 208 comments Arlington, TX

   1   6:24am Thu 15 Nov 2012   Share   Quote   Permalink   Like   Dislike   Can't pay my bills in gold.

2. ELC Follow Befriend (3) 3 threads 657 comments Fort Lauderdale, FL

   2   4:25pm Thu 15 Nov 2012   Share   Quote   Permalink   Like (1)   Dislike   Melmakian says the dollar is being purposely debased Gold is being pushed by every low life huckster on every sucker who wants to believe the sky is falling while at the same time the dollar is being debased by unsound Government policy. That's why gold is not worth anywhere near what it's being sold for. It's the same with real estate. All it will take is a change in Government policy and gold and RE will drop like a brick. Just as the elite failed to buy this election and fool enough of the ignorant, eventually normal intelligent people will prevail.

3. The Professor Follow Befriend (5) 24 threads 1,306 comments Premium

   3   5:50pm Thu 15 Nov 2012   Share   Quote   Permalink   Like   Dislike   Protected   If "they" keep creating more and more money it is inevitable that the money will eventually be worth little more than whatever curio value a collector is willing to give for it. Gold was outlawed and confiscated in this country at the beginning of the New Deal. That was the last time the dollar had any correlation to gold. Gold is pretty and shiny. It doesn't tarnish. It is an excellent conductor of electricity. It is hefty. It can be stretched incredibly thin. Currency is always debased. Metal will always be valuable. Gold, silver, nickel, copper, even zinc and steel will always have worth. When the printing stops the one with the most paper loses.

4. pkennedy Follow Befriend (8) 28 threads 1,342 comments Redwood City, CA

   4   6:01pm Thu 15 Nov 2012   Share   Quote   Permalink   Like (1)   Dislike   You can't pay $23.45 with gold. You can't easily figure out how much gold is worth at the time of a transaction. You can't easily identify fraudulent pieces of gold, while paper bills have far more security features that the average person can use. It doesn't matter what the currency is worth, because all you care about is how much you can buy with it at the store down the street. Most people are living pay check to pay check, so gold would do them absolutely nothing. They spend what they make at the time they make it. Gold is only useful if you have a decent amount of money. And clearly those with a decent amount of money aren't buying up gold.

5. The Professor Follow Befriend (5) 24 threads 1,306 comments Premium

   5   10:06pm Thu 15 Nov 2012   Share   Quote   Permalink   Like (1)   Dislike   Protected   pkennedy says You can't pay $23.45 with gold. That is why you have silver.

6. Peter P Follow Befriend (4) 117 threads 17,655 comments Premium

   6   10:18pm Thu 15 Nov 2012   Share   Quote   Permalink   Like   Dislike   Protected   The Professor says That is why you have silver. Yellow brick road?

7. uomo_senza_nome Follow Befriend (13) 787 threads 1,542 comments

   7   2:33am Fri 16 Nov 2012   Share   Quote   Permalink   Like   Dislike   The Professor says When the printing stops the one with the most paper loses. When printing stops, currency is not debased anymore right. One with the most paper wins?

8. uomo_senza_nome Follow Befriend (13) 787 threads 1,542 comments

   8   2:37am Fri 16 Nov 2012   Share   Quote   Permalink   Like   Dislike   I highly recommend Charles Hugh Smith to consider this blog article by Prof. Krugman on gold. Gold is anti-correlated to real interest rates, at least for over 200 years of empirical data. This fact solves the Gibson paradox, the work of Barsky and Summers (yes, the same Lawrence Summers who was instrumental in deregulating the derivatives market).

9. ELC Follow Befriend (3) 3 threads 657 comments Fort Lauderdale, FL

   9   3:54am Fri 16 Nov 2012   Share   Quote   Permalink   Like   Dislike   The Professor says When the printing stops the one with the most paper loses. What are you talking about? When there's less printing, money is worth more.

10. ELC Follow Befriend (3) 3 threads 657 comments Fort Lauderdale, FL

    10   3:59am Fri 16 Nov 2012   Share   Quote   Permalink   Like   Dislike   pkennedy says Gold is only useful Gold is for posers.

11. The Professor Follow Befriend (5) 24 threads 1,306 comments Premium

    11   10:07am Fri 16 Nov 2012   Share   Quote   Permalink   Like   Dislike   Protected   uomo_senza_nome says The Professor says When the printing stops the one with the most paper loses. When printing stops, currency is not debased anymore right. One with the most paper wins? ELC says The Professor says When the printing stops the one with the most paper loses. What are you talking about? When there's less printing, money is worth more. The printing stops after they make the $10,000,000 dollar bill.

12. dublin hillz Follow Befriend 11 threads 775 comments Dublin, CA

    12   10:33am Fri 16 Nov 2012   Share   Quote   Permalink   Like   Dislike   Conservatives were busy creating doom and gloom scenarious for the last 4 years in order to pump the value of their gold holdings. That much is obvious. Suckas will end up as bagholders, business as usual.