The power of gold; Above $1800 and at the highest value since 2011

[libertybele]

The power of gold; Above $1800 and at the highest value since 2011

Gold surged above $1800 in trading today, closing above that key resistance level. Traders in New York took the price of gold futures to $1808, which is a net gain of just over $14. This is the highest value that gold has obtained since the net result of the financial crisis of 2008 took gold above $1900 in 2011.

This is this second attempt to trade and close above $1800 over the last month. That price point has served as a technical resistance level. The first attempt occurred recently, however gold was unable to sustain pricing above $1800. During that failed attempt gold retraced to approximately $1765.

However, over the last three trading sessions gold prices have closed higher for three consecutive days, with each day having a higher high and higher low than the previous day. Today is the third consecutive day of higher closes, the distinction is today’s close was well above $1800..........

https://www.kitco.com/commentaries/2020-07-07/The-power-of-gold-Above-1800-and-at-the-highest-value-since-2011.html

[Hoodat]

Gold is still at the same value it was in 2011.  It's the dollar that is not.

[corbe]

[libertybele]

Gold is still at the same value it was in 2011.  It's the dollar that is not.

The article goes on and a point that everyone should really think about...

  The United States has allocated roughly $6 trillion through a combination of aid packages passed by the House and Senate as implemented by the Treasury Department, and the current action of the Federal Reserve. Globally, central banks have also provided tremendous liquidity through their accommodative monetary policies.

The hard fact is that this global pandemic could remain active for much longer than anticipated. Dr. Fauci today warned that we are, “still knee-deep in the first wave and unlike Europe, U.S. communities never came down to baseline and now are surging back up.” His statement indicates that at least in the United States until a vaccine is created this pandemic could linger for an uncalculated period of time.

Obviously the longer the pandemic lasts the greater the expenditures will be needed to ensure both aid packages are available to those in need, and the needed monetary expenditures to aid an economic recovery from a still yet undetermined and unprecedented. Which is why the economy will face a fallout that is unprecedented as well, although it may take time for many to come to the realization. [/u]

[libertybele]

Going back to the gold standard may be a necessity.

[Hoodat]

The article goes on and a point that everyone should really think about...

 Obviously the longer the pandemic lasts the greater the expenditures will be needed to ensure both aid packages are available to those in need

Wrong, wrong, wrong, wrong, wrong.  Not the federal government's job.  Balance the budget, first.  Then we can talk about what is needed.

[DB]

Printing trillions of dollars out of the blue devalues the currency. Everyone with cash in the bank is a major loser. There's nothing free about "free" money.

And the fools are only going to increase the printing with Trump's blessing.

[catfish1957]

Considering the trillions of $ that are getting ready to circle the drain in another Fedzilla spending spree. 

I do not give financial advice, but I will say I have increased my position in this commodity.  I have given plenty of reasons here why the past few months. 

[catfish1957]

Going back to the gold standard may be a necessity.

Based on the old $32/oz gold standard that was in place from the depression to the late '60's, our currency would be devalued by 98.2%,   I'd be all for that if we once and for all abided by the Gold standard forever.  Problem you got, is you'd have another government come in and re-inpose another Fiat Fiasco.

[Hoodat]

Seeing how our government has run on deficit spending for 63 consecutive years, I think it is time we balanced the budget for a change.  The baby boomers have saddled this country with over $20 trillion in debt.  It is time to reverse that course and give future generations a chance at a stable future.

[DB]

Seeing how our government has run on deficit spending for 63 consecutive years, I think it is time we balanced the budget for a change.  The baby boomers have saddled this country with over $20 trillion in debt.  It is time to reverse that course and give future generations a chance at a stable future.

Neither party has any desire to do that. Deficit spending has only dramatically accelerated the last 12 years under both parties. Far too many think it doesn't matter. We are well on our way to becoming Greece.

[Hoodat]

Far too many think it doesn't matter. We are well on our way to becoming Greece.

We are well on our way to becoming the Weimar Republic.  Once the Saudis decide to start accepting Euros, Yen, Yuan, or Swiss Francs for oil, the standard of living in this country will plummet.