I first suspected one was coming when I saw ads on TV for the documentary on the value of gold narrated by Idris Elba and sponsored by some gold trade group. Now gold bars are selling out...at Costco:
https://www.cbc.ca/news/business/gold-rush-costco-trend-1.7065821
Is there a way for any unaccredited rando to short the value of gold? Just curious...
They're basically selling 1 gold bar per store per day. $100M ÷ $2K = 50,000 bars sold ÷ 12 weeks is 4,166/wk. ÷ 602 stores is 6.9 bars per store per week, or 1 per day per store. Doesn't seem to be that huge TBH. Costco may be increasing the demand for gold by making it easier to purchase at a location someone is already going, which would increase prices. I have no idea where I could go I my town to buy gold. Maybe a pawn shop? Also, I'd rather buy a car than a gold bar, so maybe I'm not their target demographic?
When the SHTF, I plan to liquidate my Beanie Baby collection. That and Pogs will see me through the tough times.
And I thought this was a gold version of the lead ballon Mythbusters did.
Someone on the Dave Ramsey show told him gold bars is what you want if the economy totally collapses.
Never happen but say it does you'll want bullets and water. Gold bars will be useless.
This post has received too many downvotes to be displayed.
In reply to Datsun240ZGuy :
So, you've heard of Dave, but never listened to him, then.
Actual gold sells for a premium over the spot price you see on business channels. If the COSTCO premium is more than say USA gold charges then you have a deal. I prefer the canadian one ounce coins, they are accepted as good stuff and correct weight. With a bar it is easier to pass off a fake. IMHO gold is a questionable investment, it moves up too slowly and drops too fast. Like gas prices! But it will always be worth something, which is more than one can say about some investments or paper money.
Bouillon brokers are hard to come by. I think it's odd Costco sells them, but whatever attention grabbing headlines can be churned out anymore.
If the SHTF, I think I'd be more concerned about the gains on the upside as things returned than the losses on the front side. I've lived through several significant downturns, and the market has always come back strong. Gold has not always.
I'm not opposed to gold, but I wouldn't want to commit enough of my portfolio to it to make a difference.
If there was a TOTAL collapse, yeah guns, ammo, gas, and staples. But if there is any hope of a recovery, I wanna be in the market. If there is a total collapse none of this matters any more. We'll have much bigger problems than money.
Total collapses make good movies, but won't happen in real life. Even the Great Depression wasn't devastating to the majority of people. My grandparents barely knew it happened (and they were not wealthy). They continued going to work, and living their lives.
In reply to GameboyRMH :
Why do you hope for everything people do to fail? Gotta be a E36 M3 way to go through life. Maybe if you start trying to see success vs failure in everything, 2024 will be a better year for you.
Seems as if a mainstream company like Costco is trying to get into the gold market, the "gold rush" is over.
And to back up what Paul posted, you only "lose" your investment is if you sell low after a drop. Maybe you need to sell some of it to survive during retirement, but it will generally be a small amount while the market recovers. And it's been recovering after terrible and long term things pretty consistently. Even before the US was formed.
I DO know people who lost a helluva lot of money in the last couple downturns. Totally devastating. Every one of them did the exact thing you are NOT supposed to do. They chickened out and sold when things were low.
I didn't sell anything at all. I didn't change anything whatsoever. Not a single penny. I stayed the course and waited. I did pretty well... it all came back with additional gains.
Total world financial collapse?? Who the hell is gonna care about gold?
In reply to alfadriver :
"When the shoe shine boy is giving me stock tips, it's time to get out".
In reply to SV reX :
Why you should always have some cash on hand.
When the market tanks, everything goes on sale.
In reply to ShawnG :
Definitely.
I didn't lose anything, but I didn't have enough cash laying around to take advantage of the opportunities. My mistake. The people that did are now the filthy rich greedy bastards that Gameboy thinks have ruined the world.
I just think they are smart.
In reply to SV reX :
With sites like Robin hood and Wealthsimple, there's not really an excuse to not handle your own investing now.
Buy and hold has been proven to give excellent returns over the long run. Day trading might get you more but you have to be incredibly good or lucky for that.
"Time in the market beats timing the market" is a good mantra to live by.
As for gold, it's prudent to hold a bit of precious metals as a hedge against inflation. Gold is expensive and prone to swings when people start setting their hair on fire over what the stock market is doing.
Silver, copper and nickel will probably do well with the big push towards electrification.
In reply to SV reX :
When SHTF in late 2008 I took a buyout from my employer and got a two year severance package, which I put in the market on March 3, 2009. Go look where the Dow was that day.........
I love the people down voting my post. Truth hurt?
Steve_Jones said:I love the people down voting my post. Truth hurt?
I downvoted you because you ignored the original conversation (how to short a commodity and/or the value of the commodity) and turned it into a personal attack on the OP.
CrustyRedXpress said:Steve_Jones said:I love the people down voting my post. Truth hurt?
I downvoted you because you ignored the original conversation (how to short a commodity and/or the value of the commodity) and turned it into a personal attack on the OP.
Shorting anything is hoping it will fail. He wants everything to fail vs succeed, it's not a personal attack, it's an observation. As far as how can someone with no money short a commodity? They can't.
You don't think finding the negative in everything is a lousy way to live? Gotta be depressing to only have that outlook.
In reply to Steve_Jones :
I upvoted you. Because race car.
If it's any consolation, I'm getting downvoted too.
Steve_Jones said:CrustyRedXpress said:Steve_Jones said:I love the people down voting my post. Truth hurt?
I downvoted you because you ignored the original conversation (how to short a commodity and/or the value of the commodity) and turned it into a personal attack on the OP.
Shorting anything is hoping it will fail. He wants everything to fail vs succeed, it's not a personal attack, it's an observation. As far as how can someone with no money short a commodity? They can't.
You don't think finding the negative in everything is a lousy way to live? Gotta be depressing to only have that outlook.
And the narcicism to watch the votes on your own posts and then whine about them is a less depressing way to live?
Me personally, I just think gold is a bad investment, both in long and short positions. It doesn't have any intrinsic value in my eyes, so it is hard for me to logically predict the price.
In reply to Robbie (Forum Supporter) :
Gold is a physical thing, with a multitude of properties, that make it valuable across a multitude of industries. Long before those industries existed, it had a solid value around the globe regardless of location, culture, race, or creed.
The stock market and paper money are backed by faith in a corrupt government, an even more corrupt private institution lending it to the governments, and it's entirely useless without those things. Hell the majority of it doesn't even exist physically in pieces of dyed cloth or plastic, just digitally.
One good solar flare/terrorist attack/revolution/bug in the code, and it's all gone forever.
In reply to RevRico :
Wow. That's insanely pessimistic.
The stock market is based on faith in millions of people who are investing and building their businesses for the betterment of all. It existed long before there were digital methods, and will continue as long as businesses want to grow.
If a solar flair took out the entire digital world, gold wouldn't be worth much either. The industries that rely on it would be devastated.
This topic is locked. No further posts are being accepted.
