WOW!

[engine 823]

Just noticed Silver is up to $18.71 Ounce!!!!!!!!!!!

 

[jewelerdave]

Just means that everything else you own is less valuable, Unless the only thing you own is gold and silver...you have probably lost money compared to the rest of the world.
real estate,
IRAs Stocks 401ks
Bank account balance dollars
cars

All of these things are now worth less to the rest of the world. And probably far outweighs the gain you have in your silver.
If your silver collection went up in value $100, it means the rest of your money probably went down over a grand.
Every %5 movement in the metals means that %5 of everything else you own is worth %5 less.
So if you have a home worth 100k, its now 95k, thats 5 grand gone....if you have 10k in the bank, $500 is now gone. Your car if worth 10k, $500 gone.
Stocks going down...money gone...
If you make $10 an hour. Not your making $9.50 compared to the rest of the world. ya just took a pay cut...gone.


In fact unless everything you owned went up by a value of 3 times in the last 5 years. Including what you make every year, home value, car value, savings etc. You have lost a lot of money and dont realize it.

Thats Right, EVERYTHING you own would have had to have tippled in the last 5 years just to keep up with inflation. Yet alone make any money on investments...unless it was all in PMs. But who does that?

Gee...Metals going up sure makes me happy! I look at how many tens of thousands of dollars I have lost over the last few years due too it. And I have more than half of my money invested in gold and jewelry...ugg. This is bad, America is going down the pooper.

 

[packerbacker]

So Dave, how long have you been a member of Optimists International?

 

[jewelerdave]

So Dave, how long have you been a member of Optimists International?

LOL I lost my membership card!

 

[seger98]

I gotta agree with Jewelerdave on this one, we're going down.....

 

[GPURS]

What inflation rate are you looking at Mr. Bernancke The U.S. inflation rate has averaged around 3-3 1/2% the last 5 years. I know you are a self appointed expert on all things in the world, but why would you think that all assets would have had to triple in the last 5 years to keep up with such a meager to moderate growth rate? If your home or stock portfolio had only appreciated a mere 5% a year over the last 5 years, you would have surpassed the rate of inflation and made money.

 

[GMan00001]

Just means that everything else you own is less valuable, Unless the only thing you own is gold and silver...you have probably lost money compared to the rest of the world.

If I am not mistaken, that also means my existing debt is costing me less now also, which is saving me money...

Granted that is probably an oversimplification, but in theory its true.

 

[Cat J]

If my house was only worth 100 grand it is still worth that unless I sell it at 95. As long as I still have it and don't sell it then I have lost nothing.

Thanks
Cat

 

[seger98]

If my house was only worth 100 grand it is still worth that unless I sell it at 95. As long as I still have it and don't sell it then I have lost nothing.

Thanks
Cat

Cat, If I buy a stock at $50.00 per share, and it drops to $40.00 a share is it still worth $50.00 a share if I don't sell it?

 

[Cat J]

It is definatly not if you do sell it. But if you don't sell it then it has the possiblity to come back.

Thanks
Cat

 

[solariscool]

silver broke $19 tonight... kitco shows high of $19.09. I think $25 will be here quicker than any of us think.

 

[markmopar]

Just means that everything else you own is less valuable, Unless the only thing you own is gold and silver...you have probably lost money compared to the rest of the world.
real estate,
IRAs Stocks 401ks
Bank account balance dollars
cars

I'm doing good then as I have no 401k, very little in thbank, a 20-year old truck and my few stocks all went up a good bit today!

 

[jewelerdave]

Man I love the storms this topic brings up.

Yeah if you have debt its a good thing. I think thats the Governments plan to "save" us. Cause inflation so debt is not as bad to deal with.

There are so many ways to look at economic theory and the metals is just one point of view.

Of coarse by some points of view everything is fine int he world...but by others the world is falling apart. Mostly it just depends on your financial situation.
The interesting thing is everyone is right...yet wrong...


What amazes me is how the markets react so raw emotion over logic. Kind of like GPRUS does

He does not get that the dollar falling is more of an economic indicator than what the fed says inflation is.
Ok smarty pants. If inflation has only gone up a couple percent per year over the last 5, Then why have most basic commodities tripped? Gas....It was just over a dollar a gallon, now its $3.
Gold, was in the 300s, now in the 900s.
Silver, was in the 5to6 now is 18+ as of today.
Copper, same deal.
Milk is a lot more expensive.
The dollar against the Euro, check it out.
A lot of things. Too much to list have gone up way past the 3 to 4% per year.
Tell ya what, Prove me wrong, Sell me all your gold and silver at the Inflation rate you believe in over the last 5 years,
Ill give ya $7 per ounce on silver, and $380 on gold. And prove me wrong and how valuable dollars are too you over metals....come on, Do it, I dare ya to sell me at what you say you believe. The dollar is so much more valuable too you as its safe right?

 

[kestrelia]

Very good points jewelerdave, from perspective it is a mixed bag, silver goes up so I can sell my stash for more, but that also means coins I buy for my collection go up in price (most are silver). Luckily, I've found more than I've been willing to buy.

Overall though it's a drop in the bucket compared to all the other rising prices. I heard to projections lately that got me nervous, one gas is predicted to go to $4 this summer, that'll surely raise the price of everything, and two not only is the price of corn going up, but now the price of wheat is going up.

Euro hit $1.50, too.

Brian

 

[GPURS]

Man I love the storms this topic brings up.

Yeah if you have debt its a good thing. I think thats the Governments plan to "save" us. Cause inflation so debt is not as bad to deal with.

There are so many ways to look at economic theory and the metals is just one point of view.

Of coarse by some points of view everything is fine int he world...but by others the world is falling apart. Mostly it just depends on your financial situation.
The interesting thing is everyone is right...yet wrong...


What amazes me is how the markets react so raw emotion over logic. Kind of like GPRUS does

He does not get that the dollar falling is more of an economic indicator than what the fed says inflation is.
Ok smarty pants. If inflation has only gone up a couple percent per year over the last 5, Then why have most basic commodities tripped? Gas....It was just over a dollar a gallon, now its $3.
Gold, was in the 300s, now in the 900s.
Silver, was in the 5to6 now is 18+ as of today.
Copper, same deal.
Milk is a lot more expensive.
The dollar against the Euro, check it out.
A lot of things. Too much to list have gone up way past the 3 to 4% per year.
Tell ya what, Prove me wrong, Sell me all your gold and silver at the Inflation rate you believe in over the last 5 years,
Ill give ya $7 per ounce on silver, and $380 on gold. And prove me wrong and how valuable dollars are too you over metals....come on, Do it, I dare ya to sell me at what you say you believe. The dollar is so much more valuable too you as its safe right?

Lighten up a little bit there angry young man! In your first post regarding this subject, you clearly stated that "every thing you owned would have had to have tripled in value to keep up with the rate of inflation over the last 5 years". Now you start throwing in things like currency valuations, commodity markets, and the fluctuating prices of the precious and semi precious metals markets! Straying a little far afield from the core inflation rate aren't you?? It's one thing for you to believe your own jargon, but there is no need to try and convince others on this board of the imminent demise of our monetary system, or our way of life in general. This country is full of opportunity, unless you constrain yourself with the power of negative thinking. By the way, you can play the currency markets and make good money off of a weak dollar....

 

[solariscool]

Meanwhile Saudi Arabia, South Korea, China, Venezuela, Sudan, Iran, and Russia are all considering dumping the dollar.

 

[jewelerdave]

Funny thing is, I am not angry, Just pointing out the obvious problems with our countries currency, and pointing out the fact that it does not buy what is used too, and it will continue this cycle and get worse.
Also pointing out the fact that the younger generations were sold out by there parents and grand parents, and have been set up for failure. No one thing is to blame its the whole system in the way things are working that is making it not work. Of course some people are getting very rich of it, most are not. Yes, this country is full of opportunity for those who know how to find it and have been schooled in ways to find it. The average American however is not. The message we grew up being told to follow for about 90% of us was BS. A harsh lesson to many and a major wake up call to witch only a few I can see have swallowed. Many live in Lala land where everything is fine.
It would be impossible to prove the dollar has not lost value. And we are not seeing inflation. Every fact points too it. Actions speak louder than words and the actions of the world sure do point toward a grim prospect over all.
I am not advocating that some huge chaotic mad max style world is upon is. Just the fact that maybe the inflation index is skewed to look better than it actually is.
I mean, heck, Corporations dont lie about there earnings by selling off there infrastructure to look good in one quarter while the CEO walks away with millions and the company goes bankrupt. that could never happen right?

And we can trust our government to not do the same cant we? they wouldn't ever lie too us right? We can turst everyone blindly right? Especially when a lot of money is involved with no consequence for the person who gets rich.

Give me a frikkin break. things are just going down hill, and will continue to do so. I know its not the end of the world or the country but it is bad for people over all. I just advocate that people be aware of whats going on around them, and make the best of the situation for them selves. I try to wake people up. thats all I do, and I position myself to be better off for myself and family.
Mean while the economic system and world is working against that. Not much more I can do about it, just how it is.

And yes, everything has a demise, even the great and powerful Roman empire fell, It lasted over 800 years. this empire is going down hill and has only been around for a little over 200 years. Spain, did very well after raiding the Americas. it also meant the downfall of other empires, then it collapsed in a short time.
Things just happen a lot faster now days.

Things are always changing, I could see America collapsing in the next 50 years. Or it could pull its self up and do well. The funny thing is, Neither situation would surprise me. What ever happens, we have to live with it. I find it more amusing to watch, I have my popcorn and the show is going on. I just heckle the players from the sidelines is all :P

 

[GPURS]

Now I agree with 95% of what you just said! I guess it all becomes somewhat philosophical to a certain degree. I agree that sometimes it looks like everything in this country is going to shit, but on the other hand, each succesive generation has a tendency to say the same thing about the next generation. I guess it's up to each person to educate themselves on things that really matter instead of watching American idol, or the Oscars... Rich people will keep getting richer because they keep doing the things that make them rich, and poor people will most likely stay poor if they keep doing the things that made them poor. Keep stirring the puddin!! Gpurs...

 

[Cat J]

Dave this topic is WOW that silver went up. Could you please take your message to a new topic maybe name it Doom and Gloom or The sky is falling. I find the down side to life is we just keep getting older we have not found the fountain of youth. I now know why my mother would alway say.... If I could only be your age again and know what I know now. LOL

HH
Cat

 

[Immy]

Dave is taking the macro view of everything, which has relevence. But the fact is, if I had 1,000 ounces of silver on Jan. 1st, the value has gone up 23% as of today, which trumps any inflationary stat you can think of on a personal (micro) level (price of milk, gas, even rent). When compared that way, what my dollars can buy versus other currencies just doesn't apply to me.