Peter Schiff on Gold and Stocks
What Mr. Schiff was trying to? say was that even if the Dow is at 12,000 it means nothing if the value of the US dollar is so debased. So Gold vs the Dow vs a debased currency. Only gold will hold a true value.
Arizona gold mining
Gold As An Investment
California gold nugget
So, now gold is trading at prices that are closer to what they “should” be (based on official inflation figures). I guess my question is: will the gold price become more stable (and more in-line with inflation) now (in which case, it should be expected to go up “long-term” at the same rate that inflation does)? Or will it be incredibly volatile over the “long-term”…as it has been in the past.
Why Buy Gold or Silver?
Morgan silver dollar
The dollar and other currencies are not necessarily doomed if they print 3X or 4X the amount of fiat money because they are only covering the electronic money that was created and lost through gambling in derivatives by financial institutions.
To give you some background information, at the end of the Cold War in 1990 it was recognized by some policy advisers that there was not enough money in circulation to support the recovery of Russia and Eastern Europe to avert a major crisis. At that time, the central bankers refused to print money to avert the impending crisis. Consequently, it was decided to price and allow derivatives to create electronic money. This resulted in the creation of trillions of dollars of new electronic money that was used to help the world avert a crisis and to grow the world’s economy. Read more 
Spot Gold Price & The Dollar
gold nugget specimen
Gold is actually keyed to the dollar–on the inverse. No fancy calculations. True that sometimes they briefly run together, but on the whole, gold runs inversely to the dollar. I like energy/oil in the long run, but perception is everything, and oil is perceived right now to be in oversupply with economic factors tamping down demand (might not REALLY be the case). At any rate, with oil under $70 or at least under $80, gold and other metal producers will benefit. Gold is now on the upswing and (with the usual variations) will break out over the summer being in a third wave UP.
Spot Gold Price & The Russians
Arizona gold nuggets
I think the only thing that is keeping gold down is overhang – an awful lot of it is in weak hands. The IMF, for example, has a history of selling at Odd moments.
And the Russians are extremely vulnerable to oil prices. A depression environment will remove any chance of return to their glory days, and they will sell gold as an alternative to embracing austerity.
BUT, once those “shadow inventories” have dropped, I think gold has nowhere to go but up.
Plus, China and Russia are the big gold players. They both indicated they want to increase their precious metal reserves. If they aggressively acquire gold/silver over the next 6 months they could dramatically affect the warehouse stocks. Arizona gold prospecting
