posted on Feb, 2 2013 @ 01:25 AM
Originally posted by winterkill
If you take inflation into account, stocks are still below there 911 value, but everyone keeps hyping them like they are the place to be. Gold on the
other hand went from 350 to 1600 per oz and with the money printing, is about to move again.
Its sounds like the rich think its time to offload the loss onto the poor and stupid again, or should I say take their money and run.
I'm betting they're buying up hard assets while we speak.
This whole money supply::price of gold thing has got to stop, as it simply isn't true. We kept printing money during the Clinton years (although at a
slowing pace) and yet, gold and oil TANKED. During the Bush years, we kept printing money in record amounts, and gold went up. It has barely moved
since Obama became president, and guess what? Yep, still expanding the money supply.
The reason is, during the Clinton admin, the economy's growth far outstripped the growth in monetary supply. In the Bush years, the opposite. In the
Obama years, the economy has been growing roughly on-par with monetary supply growth.
We WILL see gold drop again, significantly, probably over the next 5 years. As economies grow, so do tax revenues, and therefore, less debt spending
is necessary. The economy will grow faster, and in fact, it already looks like debt:gdp ratio peaked about a year ago. It's trending down now, and
unless someone starts using up a lot of gold, you can expect the price to start dropping regularly going forward.