Journal zogger's Journal: Don't..trust..paper 2
Get it in your mitts..or you might be sorry come the big run time.
Transcript and links to some vids over the hearings at the Commodity Futures Trading Commission on paper metals trading shenanigans. The gist of it is, if you follow the analysis of the hearings, is they could be trading paper metals at 100 to 1 over physical, and they are under no real obligation to provide physical metals when/if push comes to shove, which *could* happen and IMO is likely to happen.. they'll pay you off in emergency poof created fiat inflationary paper, that you *didn't* want in the first place, and keep the shiny stuff. Ain't that special.
They just poof create ledger entries out of thin air and that's your "investment". Now is it making more sense why folks like the big Chinese banks demanded their gold to be brought back to their own vaults? They want it before it crashes, so they pulled theirs out of London. It isn't going to take too many more large players to do the same thing before that pushing and shoving starts...
The phrase that comes to mind is "snooze ya lose".
*Demand* paper! (Score:1)
Cuz when society collapses and everything that you can't eat is worthless, at least you'll be able to wipe your butt with it, unlike electrons, or a clump of "Mmm... shiny!" :)
My sister and her husband are starting to get pretty wealthy, and they looked at putting some into gold, but ultimately decided real estate was a better choice. Everyone will always need (and hence value) shelter. Altho it's not something that could be easily divided up to trade for say a few eggs and some fresh water.
If I had a bomb
Re: (Score:1)
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You assume the collapse of civilisation and then say real estate is the way to go. (Okay; your brother in laws opinion) If civilisation collapses, he WILL lose his real estate. People will not pay, even not eggs and fresh water because they will need that themselves and is in priority above shelter and you can keep shelter by shoo