dmotoguy

fork

Is that graph a ratio of the level of the dow to the price of gold. That would show that the dow is rising faster than gold right?

Also I would not have too much money invested in the company you work for. What happens if they take a ----, you have no job and your investment goes to ----. Also the financials are fucked right now, also you shouldn't have more than like 1/4 of your investments in a single stock.

ps I don't know ---- so don't listen to me

Jorsher

Dmoto - money's "value" is fake. The more they print, the higher the debt, the less it's worth.

Gold has actual worth, although its worth is somewhat fake too. Our money used to be backed with precious metal in Ft Knox.

Money can be manufactured all day, gold can't.

Tom-Guy

Okay, they increase in value at the same rate.

Now show me which individual stocks will increase at that, or better, rate. And I want you to sink everything you own into them.

You must have slept through history class the day they covered what caused the Great Depression.

fork

I don't think that chart says they increase at the same rate, the Y axis is the dow/gold ratio that means that the ratio is going up meaning at 1900 the dow was 2 times the price of gold, saving for the units. and now the dow is worth 20 times the price of gold.... and the ratio is going up meaning it is better to bet on the dow than gold, I could be wrong though,

1Fast68

The Fed Cut the money supply by about 1/3. Therefore turning a recession like we are in now into the great depression. Everyone rushed to the banks to try to pull their money out, since banks obviously only hold a certain amount of reserves and lent the rest they couldn't keep up with the everyone wanting their deposits. Banks went bankrupt.

Thats why in todays world, when we go into recession the Fed increases the money supply, helps spur economic growth, but if you let it get out of hand and put too much money into the economy it causes inflation and the devaluation of the currency. Thus where we are at now, trying to balance it all.

But, you weren't asking me.

dmotoguy

there are quite a few ways to make money with investments, you can make money by betting on the dollar going down... it going up... etc... but gold is about the most worthless investment you can make.

yes it is pretty safe, but i just dont see it... say there is a traumatic economic change in the us/world and you have some gold bars sitting in your back yard, what are you going to do with them?

gold hardly outpaces inflation if I remember right... yes there have been times where its much more valueable and much less... so you can make money on it in the short term... but that is about it. you can normally make 10%+ annually in the stock market if you are average... if you are good you can make 15%+

you cannot beat that..

BigD

You can buy $10,000 worth of gold today and tomorrow it will be worth $10,000. You can buy $10,000 worth of stock in a company and not be worth jack ---- tomorrow. Which one sounds like a more sound long term investment?

dmotoguy

that is the dumbest post of the century.
why would you buy stocks if you wanted to just hold the current value.... ----.
at some point gold isnt worth ---- too...

its proven in the last 100+ years that a 401k is VERY benneficial to 99.9% of people... i mean ----... do the math and see for yourself.
diverse investments are no more risky than gold... they just make you a lot more money...

CivicOCD

Fire does wonderfull things for melting off plastic. let it burn long enough and it will be clean as a whistle