Something is up with Gold

[DrHenley]

And I don't just mean the price. Gold is at a seven year high and still climbing. Usually the gold market moves in the opposite direction of the stock market.

 

[BillMasen]

People getting out of currencies and stocks and buying land and gold instead

 

[DrHenley]

Usually an indication of fear in the markets.
https://www.cnn.com/2020/02/20/investing/goldman-sachs-stocks/index.html
Goldman Sachs warns of stock market correction

London (CNN Business)Stocks keep reaching record highs. Goldman Sachs is worried that leaves investors vulnerable to surprises.

The investment bank told clients this week that a near-term correction, in which the market slides at least 10% from a recent peak, "is looking much more probable."

 

[DrHenley]

https://www.fxstreet.com/analysis/s...all-on-renewed-covid-19-tensions-202002211335
Safe Havens Soar, Global Stocks Fall on Renewed Covid-19 Tensions

Asian and European, along with American futures dipped today on renewed concerns over covid-19. Safe havens like gold, treasuries, and the yen rose while the price of crude oil dropped. The main concern is that the disease is spreading in other countries like Japan and South Korea. The main concern is that many businesses, which do business in Asian countries could be affected.

 

[jontte]

well,well...if this hits the global finance it might produce something like was done in the late 20's and early 30's...it just needs someone who can sweet talk to the masses and promise utopia..

 

[Mountain trapper]

Usually an indication of fear in the markets.
https://www.cnn.com/2020/02/20/investing/goldman-sachs-stocks/index.html
Goldman Sachs warns of stock market correction

I always view stock market corrections as good buying opportunities. But I've also been investing in gold/silver since the mid '70's. For my money gold is a little too high right now which makes silver a better choice.

 

[DrHenley]

For whatever reason, silver seems to have become decoupled from gold. It used to move more or less in tandem with gold, but with wider fluctuations. Silver is nowhere near a seven year high.

 

[Maverick]

Right now the markets all down, oil taking a hit. I think the world traders are a little spooked. Market correction isn't all bad, gold is reacting to futures and it's inevitable for the markets to take a hit. Keep in mind before the coronavirus the EU can't get their **** together and wasn't healthy financially even before Brexit, the coronavirus moved the cherry closer to the top of the icing.

This is what happens when all the eggs are in one basket cough* china *cough

 

[DrHenley]

A 10% market correction would probably be healthy for the market. We're only talking about going down to 26,000 or so, which is higher than it was at the beginning of 2019.

 

[BillMasen]

well,well...if this hits the global finance it might produce something like was done in the late 20's and early 30's...it just needs someone who can sweet talk to the masses and promise utopia..

AH, BM or OM ??

 

[Maverick]

AH, BM or OM ??

? might I ask

 

[Maverick]

I'm sure this is playing with stocks and precious metals

The yield on the 30-year Treasury bond dropped to an all-time low as investors around the globe reassessed the potential economic costs of the coronavirus outbreak.
https://www.breitbart.com/economy/2020/02/21/30-year-treasury-yield-drops-to-lowest-level-ever/

 

[BillMasen]

? might I ask

Adolf, Benito or Oswald

 

[jontte]

I'd say this time it comes from the east.. a new Josif....but Italy can surprise us all
if something really bad don't happen Germans have not the stomach to produce a new Adolf..not yet..

 

[user 7704]

This could really hurt Trump. Idiots would turn to all the freebie people without thinking it through.

 

[Brent S]

Yeah, gold is too high for my tastes to want to buy more right now. Silver is probably a good investment though. It has a lot of room to rise still. Wish I had a crystal ball.... I do feel the stock market is going to take a hit, correction or anything else you would like to call it. Now is probably a good time to look at the investments in your 401k (if your fortunate enough to have one) and look at the risk/exposure you have. Most don’t but you can move your investments around any time you like with no penalties. Many managed funds are allready moving into lower risk investments. You just can’t take any of it out of the retirement fund until you’re of age without penalty. I’m planning to retire at 59 1/2 so am not interested in high growth/risk investments anymore .anyways.

 

[Mountain trapper]

Yeah, gold is too high for my tastes to want to buy more right now. Silver is probably a good investment though. It has a lot of room to rise still. Wish I had a crystal ball.... I do feel the stock market is going to take a hit, correction or anything else you would like to call it. Now is probably a good time to look at the investments in your 401k (if your fortunate enough to have one) and look at the risk/exposure you have. Most don’t but you can move your investments around any time you like with no penalties. Many managed funds are allready moving into lower risk investments. You just can’t take any of it out of the retirement fund until you’re of age without penalty. I’m planning to retire at 59 1/2 so am not interested in high growth/risk investments anymore .anyways.

Last week I moved a large portion of my investments in to lower risk managed accounts. My wife's investments (that I manage) are mostly in moderate risk accounts. And we still maintain a few higher risk accounts because I don't believe that the bull market is over yet. I "retired" at 57 but won't take SS until I'm 64 or so, or any distributions from my bonds, IRA's or 401k's until at least 65. The wife wants to work for another 2-3 years.
Next to stocks, I think silver is a good buy right now, and of course real estate is always a good investment in most areas of the country.
The key to any sucsessful investment strategy is to stay diversified, consistent, disciplined and unemotional. And don't follow any "fad" investing advice.

 

[Mountain trapper]

For whatever reason, silver seems to have become decoupled from gold. It used to move more or less in tandem with gold, but with wider fluctuations. Silver is nowhere near a seven year high.

Do you think that it's because silver has become more of an industrial metal now?

 

[Brent S]

Do you think that it's because silver has become more of an industrial metal now?

It seems to me that would help raise the value. Of course jewelry has mostly been the use for it for a while now.

 

[Maverick]

It seems to me that would help raise the value. Of course jewelry has mostly been the use for it for a while now.

6% Silver is only used in jewelry, most of is used in electronics followed by chemical production, coins and medicine

 

[DrHenley]

Do you think that it's because silver has become more of an industrial metal now?

That's nothing new. Besides manufacturing was going full bore before the virus, so it should have been up both as a safe haven and as an industrial metal. Maybe the crash a few years ago still has investors spooked. I bought some during the crash at $30 thinking it had bottomed out and was a bargain. Boy was I wrong!

 

[GaRp58]

gold is too high for my tastes to want to buy more right now. Silver is probably a good investment though.

Copper and lead are cheap. Invest in AMMO... cough, hack hack, cough

 

[lonewolf]

I cant see me ever owning gold.

 

[Petoski]

I used to dabble a bit in the stocks and got decent returns. Gold wasn't too bad either in the long term. I then switched to P2P lending and that was also quite profitable. Overall the gains were about 10%. However I came to realise that instead of investing that money with risks attached i would actually get a better return on my investments if I invested in my own infrastructure at home. I spent the money on energy and food production and I make a lot more than a 10% return on that investment.

 

[JackDW]

About a month ago, I made the decision to schedule my retirement to June 1st. At that time, I did, as Articdude did, move a large chuck of 401k to managed funds. Sure glad I did, today. Currently, wifey and myself can live comfortably on SS since my house (both of them) are paid for. Once retired, I will sell one of the houses and add that to my retirement. Hopefully, I can continue to live on SS alone and not have to touch my 401K. Yes, I will have to deal with the minimum distribution, but that will just be moved into individual mutual funds and hopefully not be necessary for living expenses.

As of today, I feel good. Tomorrow, who knows. Things seem to be shifting "big time", today.

 

[Brent S]

Copper and lead are cheap. Invest in AMMO... cough, hack hack, cough

No doubt, lead can be precious metal in rough times!

 

[Brent S]

About a month ago, I made the decision to schedule my retirement to June 1st. At that time, I did, as Articdude did, move a large chuck of 401k to managed funds. Sure glad I did, today. Currently, wifey and myself can live comfortably on SS since my house (both of them) are paid for. Once retired, I will sell one of the houses and add that to my retirement. Hopefully, I can continue to live on SS alone and not have to touch my 401K. Yes, I will have to deal with the minimum distribution, but that will just be moved into individual mutual funds and hopefully not be necessary for living expenses.

As of today, I feel good. Tomorrow, who knows. Things seem to be shifting "big time", today.

Congrats on living long enough to retire! I’m hoping to....