Gold price will surge to $5,000 in two years

[Madnsassy]

The following article was posted on Jim Sinclair's site this morning, and Sinclair says he agrees.  http://jsmineset.com/

Gold Prices will climb to $5,000 within two years due to US dollar weakness and significant buying by players in the hedge fund industry looking to preserve the value of their funds.

That is the opinion of New Zealand market trading expert Welles Wilder, who has previously been highlighted by publications such as Forbes and Barron's for his skill in the markets, stuff.co.nz reports.



http://www.commodityonline.com/futures-trading/technical/Gold-price-will-surge-to-$5000-in-two-years-14431.html

[lynnie]

Nobody really knows.

If it does, you can count on a 50% or more capital gains tax if you try to sell it-  if they let you own it. The sociopathic robber barons will win in the end. 

We bought some PMs mainly because FED treasuries are a theft instrument and morally wrong IMO. They are like investing in a mafia syndicate, and life is more than making money, it is about doing the right thing. Stocks are not that much better morally the way most companies are run, although some stock investments can be made with integrity.  Cash, well, who knows, but we expect hyperinflation.

I think the best investment is three years of anything that will keep (soap, toilet paper, wine, tools, land, etc) and a year of foods. After that, then PMs.

[PseudoPhil]

Link fix :

http://www.commodityonline.com/futures-trading/technical/Gold-price-will-surge-to-%265000-in-two-years-14431.html

[plastixxman]

One thing people dont seem to consider fully is the fundamental nature of this financial crisis.  Because the dollar is the world reserve currency and all commodities have had prices set in dollars in the post WW2 era, its been taken for granted, even as its aknowledged the system is collapsing, that we will still quote the value of commodities like gold and silver in dollars as the crisis unfolds.  At some point this will end.  When the dollar is virtually worthless or the government control of the economy too total people will not simply surrender to hyperinflation or thumbscanning to buy and sell anything.  They will seek ways around the repression.  A black market will grow, even if it is based on barter, and it will be of such a scale that the central government will not be able to control or tax it.  This happens in all totalitarian systems.  Post soviet russia is a good example and even if you look at the extreme repression of Gaza, those people dig tunnels from Egypt to bring in essentials to keep themselves alive.

The point is the ultimate value in this crisis of holding Precious metals is not the peak dollar price, but the barter value.  The dollar is disintegrating, at least in this form.  Any new currency will be starting from scratch and will need to acquire precious metal backing for any market confidence.  Its likely to be a long and messy process until we get to a New Dollar (and i dont mean the Amero scam of the globalists).  In the meantime barter will be key and gold and silver will play a key role. So the question is not that gold will be worth $5000 per oz (in wiemar germany it was worth milions of marks per oz eventually) but how much bread per oz or how much land per oz.  The value will probably be quite substantial because people will need reliable means of exchanging goods and services and PM are the most reliable.  If we have 2 years before gold reaches $5000 no one can say(I dont think we have that long), but that will not be the peak price.  This crisis is spinning out of control and from the information I am gathering, it looks as the dollar will be worth nothing at some point which means saving ANYTHING in it will leave you broke.  Gold may be quoted in bread.  We may say gold is at 5000 loaves.  Maybe Panera will be a hot stock.

[cozdiver]

I sure hope so.........

$$$$$$$ 5000 $$$$$$$

[lynnie]

plastixx, that is worthy of a bump and a thank you.

All the more reason to buy stuff as well as PMs.

[Domscott66]

Agreed...the PM's I own are not for an investment where I am expecting a large return to be paid for in dollars...well at least not american dollars. That brings up a couple of worrying points: What if the government makes it illegal to own gold or requires cash to not be used anymore (like greece). That is what has me worried, the time before the collapse and what the government may do to try to preserve it's power and influence.

[zeusij]

If gold goes up too much, you can beat on the government taking measures to keep ppl from owning it. Whether that means they will tax the crap out of it or, make you turn it in, and/or make it illegal. While they are still holding the wheels on, they will take measures against ppl running to gold.

[ZombieHordeLeader]

The US government is already on shakey ground.  They cannot make gold illegal without significant political risk.  Making gold illegal would be seen as a desparation move.  The USD would almost certainly collapse right after such a move. 

[three]

Who will take this $5000 "coin" as payment and how will they give you your change? I have a hard enough time finding a small business that will take $100 bill.

[max_power]

Who will take this $5000 "coin" as payment and how will they give you your change? I have a hard enough time finding a small business that will take $100 bill.

think bigger large purchases or divide the soft coin into grams

[cozdiver]

Who will take this $5000 "coin" as payment and how will they give you your change? I have a hard enough time finding a small business that will take $100 bill.

Just wondering what you think people did with their gold during the gold rush days like you see in
cowboy movies. I am sure there will be a place to cash in gold somewhere or receive a long credit line
for durable goods.

[Tchild2]

Who will take this $5000 "coin" as payment and how will they give you your change? I have a hard enough time finding a small business that will take $100 bill.

Which is why I try to buy small gold coins.  I like Swiss or french francs at .1867 oz each (slightly less than 1/5 oz).  You can still buy swiss francs at slightly above spot price with coins dating in the early to mid 1800's.  They were worth money then, and they still have their purchasing power 160 years later.

The change will be paid out in silver.  Or, have silver for the small stuff and gold for the larger stuff.

[ninakat]

The US government is already on shakey ground.  They cannot make gold illegal without significant political risk.  Making gold illegal would be seen as a desparation move.  The USD would almost certainly collapse right after such a move. 

Exactly. We're not at that point, not even close.

And, I don't have the figures in front of me, but if the government decided to confiscate gold, the value of it wouldn't do anything to solve the financial crisis. There's just not that much gold out there, even at $5000 an ounce, to make much difference.

[OneMoreTime]

What would be the point of outlawing gold in this country?

People are holding more of their wealth in TV's than gold.

Step outside the bubble, only crazy people actually own non-paper gold.

They made pot illegal and drove the price through the roof. 

I wish it was punishable by death to own gold but really, who would be effected?  A few fringe lunatics.