Do you like buying gold and silver ?

[Suka]

Somewhere in the late 70's/early-mid 80's I bought/sold 100oz silver bars a couple times, did just fine with it. Had to buy them through a bank in those days. Really, the price is about the same now it was then; haven't followed it so don't know if it ever cycled up or not.

Would have bought gold but heck, at almost 400US/oz who could afford it?

[hopper146]

I've bought and sold silver lots. Its just like anything else, buy it low, sell it when it goes up. And then repeat. Not really that hard to understand.

[pitw]

Originally Posted by Sigg

And the last time you've paid for something with a lump of gold was.....

Week before Christmas 2015

Originally Posted by Sigg

PS I'm sure that what I could grow on my acre of land would be of way more bargaining power(if the world is ending, which its not) than your maples.

Then you must be well prepared for the shtf scenario. You still wouldn't buy anything from me with a cheque.

Originally Posted by Sigg

These "physical" gold and silver guys always crack me up, do you talk to your gold at night? Wrap a magic bag around it when it gets cold?

I've been known to fondle a piece now and then. I also fondle a gun, woman and other nice things.
What's the magic bag you speak of? There is something I don't believe in.

[ramnode]

Gold and silver would be useless in the short term in a total collapse scenario, and most people would not survive into the long term.

There's no guarantee that they would be valuable in the long term in a total collapse scenario. It could take several generations for them to become valued again (if ever).

I don't think it's an intelligent buy unless you have an excess of money and you're already well stocked up on everything more important and practical.

If you think there will be a major economic collapse but not a collapse or change of social order, then gold or silver may be better hedges.

[deerguy]

I'd rather have Silver coins and not need them then need them and not have them. They have an actual real wealth, our paper money is useless, only has a value that is printed on the paper.

Michigan just passed a new law in relation to the trade of precious metals and gems.

Here is a portion of the law


(

e) The name, date of birth, driver's license number or state of Michigan personal identification card number, and street and house number of the customer, together with a legible imprint of the right thumb of the customer, or if that is not possible, of the left thumb or a finger of the customer. However, the thumbprint or fingerprint shall only be required on the record of transaction form retained by the dealer. The thumbprint or fingerprint

Clearly the Government has different ideals on the future of precious metals and the role they will play as they want to closely monitor and have in depth records as to who has them.

You can look the bill up yourself, here.

http://legislature.mi.gov

There is a new thriller book coming out called "terms of use". Check it out.

Edit: here is the law

(

1) A dealer shall maintain a permanent record of each transaction, on record of transaction forms provided for in subsection (6), legibly written in ink in the English language. Each record of transaction form shall be filled out in quadruplicate by the dealer or agent or employee of the dealer. One copy of the form shall go to the appropriate police agency or sheriff's department pursuant to subsection (3); 1 copy shall go to the customer; and 1 copy shall be retained by the dealer pursuant to subsection (5). At the time a dealer receives or purchases a precious item, the dealer or the agent or employee of the dealer shall insure that the following information is recorded accurately on a record of transaction form:

(a) The dealer certificate of registration number.

(b) A general description of the precious item or precious items received or purchased, including the type of metal or precious gem. In the case of watches, the description shall contain the name of the maker and the number of both the works and the case. In the case of jewelry, all letters and marks inscribed on the jewelry shall be included in the description.

(c) The date of the transaction.

(d) The name of the person conducting the transaction.

(e) The name, date of birth, driver's license number or state of Michigan personal identification card number, and street and house number of the customer, together with a legible imprint of the right thumb of the customer, or if that is not possible, of the left thumb or a finger of the customer. However, the thumbprint or fingerprint shall only be required on the record of transaction form retained by the dealer. The thumbprint or fingerprint shall be made available to a police agency during the course of a police investigation involving a precious item or items described on the record of transaction. After a period of 1 year from the date of the record of transaction, if a police investigation concerning a precious item or items described on the record of transaction has not occurred, the dealer and any police agency or sheriff's department holding a copy of the record of transaction shall destroy, and not keep a permanent record of, the record of transaction. A dealer who goes out of business or changes his or her business address to another local jurisdiction either within or out of this state shall transmit the records of all transactions made by the dealer within 1 year before his or her closing or moving, to the local police agency.

(f) The price to be paid by the dealer for the precious item or precious items.

(g) The form of payment made to the customer; check, money order, bank draft, or cash. If the payment is by check, money order, or bank draft, the dealer shall indicate the number of the check, money order, or bank draft.

(h) The customer's signature.

(2) The record of each transaction shall be numbered consecutively, commencing with the number 1 and the calendar year.

(3) Within 48 hours after receiving or purchasing a precious item, the dealer shall send a copy of the record of transaction form to the local police agency and, if the record of transaction form indicates that the customer resides outside the jurisdiction of the local police agency, shall send a copy of the record of transaction form to the police agency of the city, village, or township in which the customer resides as set forth on the record of transaction, or, if that city, village, or township does not have a police agency, to the sheriff's department of the county in which the customer resides as set forth on the record of transaction. The record of transaction forms received by a police agency or sheriff's department shall not be open to inspection by the general public. Each police agency or sheriff's department holding record of transaction forms shall be responsible for insuring the confidentiality of the record of transaction forms and insuring that the record of transaction forms are used only for the purpose for which they were received.

(4) The record of transaction forms of a dealer and each precious item received shall be open to an inspection by the county prosecuting attorney, the local police agency, the police agency or sheriff's department of the local governmental unit in which the customer resides, and the Michigan state police, at all times during the ordinary business hours of the dealer. As a condition of doing business, a dealer is considered to have given consent to the inspection prescribed by this subsection. The record of transaction forms of a dealer shall not be open to inspection by the general public.

(5) Except as otherwise provided in this section, each record of a transaction shall be retained by the dealer for not less than 1 year after the transaction to which the record pertains

.

So take down all of your info, including fingerprints, then let law enforcement know that you purchased the valuable metals and the form of payment you used.

Hmmm, clearly nothing going on here...

[avb3]

Gold has not exactly been your best investment in the last five years.

[Suka]

This thread got me interested, so I googled historical gold and silver prices.

Over my adult lifetime there's been Wild swings in value. Looks like lot's of room to make a lot of money if you're patient and can have your cash tied up.

Far as a shtf scenario, if you've read the accounts of Bosnia when things went south there they had Some trade value, but a bic lighter was worth more (and alcohol, ammo, food, antibiotics, etc)
Bosnia's a worst case scenario though. For anyone worried about a collapse of the dollar it's likely a wise move I'd guess. Also would have to suspect if we went back to the gold standard the first thing the gov't would do is make it illegal to own or trade gold.

[deerguy]

Originally Posted by Suka

This thread got me interested, so I googled historical gold and silver prices.

Over my adult lifetime there's been Wild swings in value. Looks like lot's of room to make a lot of money if you're patient and can have your cash tied up.

Far as a shtf scenario, if you've read the accounts of Bosnia when things went south there they had Some trade value, but a bic lighter was worth more (and alcohol, ammo, food, antibiotics, etc)
Bosnia's a worst case scenario though. For anyone worried about a collapse of the dollar it's likely a wise move I'd guess. Also would have to suspect if we went back to the gold standard the first thing the gov't would do is make it illegal to own or trade gold.

The government is already working towards that, there is a reason they are making more and more restrictions on PM trade. They don't care if you own an AK-47 but they want your finger prints and details if you purchase PM's or Gems.

Just think about it for a minute.

[Headdamage]

Silver was worth about $30 around 1980.... in 20 years it should be around $10

[Silver_Hoarder]

Ive bought and sold PM over the last 10 years. Like the other guy said on here, Buy low and sell high. Easy for the nay-sayers to come out now after a drop in price over the past few years. Will they be here when it goes up? Probably not. Its with any commodity, Prices go up and down, it had for hundreds of years. WOuld I bet the farm on PM's and load my basement with the stuff, absolutely not. But for the guys that have tens or even hundreds of thousands in the bank, I would be more worried for them. This paper money is absolutely a joke. PRINT PRINT PRINT until a jug of milk costs $20. Buying things like gold, silver, platinum, land, guns, ammo etc are things that cant just be mass produced are always a good bet. See how I said bet there? Not the best investment, but a good way to diversify. There are lots of ways to make money in this world and lose money, not one way will work or fail for everyone. Having something physical is important to me instead of just thousands sitting in the bank.

Plus everyone asks to see the stack of PM when they come over.

Dividend paying stocks are what are paying for a lot of those items I listed above. Stocks are not for everyone, but I have done well on them and in return purchase things like guns, PMs, etc.

Just my two cents...

[Silver_Hoarder]

Originally Posted by Headdamage

Silver was worth about $30 around 1980.... in 20 years it should be around $10

Oh the uneducated.....

[Headdamage]

[Reel Time Rut Outdoors]

If you look at past times of strife and people had to get out. Gold and silver was the payment of choice. Happens today. Happened a hundred years ago. A thousand years ago.

It's just in this country we weren't really shown or taught the value of it. You go to say Asian countries it's still highly valued.

You look at past total collapse scenarios it still was highly valued. Now I'm not saying just have it. But it is part of a good diversified portfolio.

[pitw]

Gold doesn't corrode. It remains the same throughout time. One of the great things about stacking a bit is it is very liquid and can be used in times of need or want. If your kids decide they would like a skiing trip all one has to do is sell an ounce and voila you have the money to go. Saving in gold as opposed to say an rrsp lets you take advantage of the major spikes which I've never seen in an rrsp. No tax's makes it an even better unit to work in for me.
Silver is fun cause there are so many cool designs to explore. I mean you'd have to be near dead not to enjoy Marylin Monroe on a silver bar.

[Big Grey Wolf]

A couple years back Warren Buffet bought around $1billion in silver then sold it a year or so later for about double what he payed for it. However I would never trust a beginner like him to show me how to make money.

[avb3]

Originally Posted by Big Grey Wolf

A couple years back Warren Buffet bought around $1billion in silver then sold it a year or so later for about double what he payed for it. However I would never trust a beginner like him to show me how to make money.

So, now that he sold it, what are his holdings in silver?

In fact, he considers precious metals as non productive assets, whens that he avoids. You may want to read more here.

http://www.fool.com/investing/genera...tfxblnk0000004

I've sold all my PM a long time ago. Once I consider the effect of both loss of interest, and inflation, the capital gain that I obtained in at the higher rates meant I really actually lost money. I sold when gold was much higher than now.

[Ursus]

Sort of like buying a barrel of oil at $140 and waiting for $200 oil. Didn't happen but it might. It's all an issue of supply and demand. Don't discount the supply side. Gold bugs (and silver bugs) are hoping for less supply. I very much doubt the supply side (at least within my lifetime) will fall. Demand - that could go up with Asian affluence increasing but they may be more interested in food going forward. If I were to invest for the long term, it would be in water.

[whitetail Junkie]

I can easily see silver cracking $100 USD/Troy oz in my lifetime.....but when? IMO gold and silver would be an awesome buy right now if our dollar was on par with the greenback,however at 72 cents in ain't as good of a deal.

However Silver road the $5 an ounce horse for many years so who knows and in my opinion it will continue to drop with the oil and other commodities.....how low??! No one knows....

[KGB]

Here is the chart of price of gold. You make your own mind...

[whitetail Junkie]

Not a stacker but rather a small numi collector....here is my only slabbed coin I own and I got it on sale for $75.00 mintage is 10,000 and I think des mcafery was the artist,but dont quote me on that.

[The Elkster]

Most who hold PM do not consider the lost investment opportunity while they are holding onto a gold or silver collection waiting for the bounce. PM's can and have lagged for years.

Try running an amortization calculator for a diversified portfolio making a modest 7% annually over say the 10 years (est. years you wait for a big gain in gold value). That modest return doubled your money. Or you gave that up holding PM's.

As a physical resource gold and silver hold little intrinsic value. As such they won't do much in an emergency situation. In survival mode food, and shelter will be paramount along with lead for the civil unrest. The need for gold would be long down the line if/when they start rebuilding some form of finance system. Under cataclysmic conditions who knows how long that would be if ever.