Comments on: Why gold is not a bubble

By: Mark

Mark — Tue, 16 Mar 2010 21:09:37 +0000

Simon – have you ever needed to use your emergency travel gold, or do you have any stories from other world travelers who have that you can share? Or have you (or others you know) ever made a larger barter transaction with the gold you are building up, or are you mainly saving up in case of a fiat money meltdown? It’s hard to imagine a world where no one is accepting paper or plastic anymore, but I can see gold’s value looking historically at countries with periods of hyperinflation. I don’t know how good I would be bargaining on a fair weight in gold (with indivisible bars or coins) as a price for a good or service.

By: Gina

Gina — Tue, 16 Mar 2010 02:00:37 +0000

Good food for thought Simon. I looked at gold but decided silver rounds and bars fit my current situation better (for some reason it’s ignored when traveling, as if they were piggy bank change). Would you recommend the same strategy for silver as you offer for storing gold?

Thank you for the insight.

By: Alex

Alex — Tue, 16 Mar 2010 01:59:35 +0000

There is one thing that I have a hard time reconciling. Do I want multiple flags? Absolutely.

But for every country I have an interest, there are roadblocks. Residency is the least of the issues.

Moreover, I am perplexed by one thing that is very definite. This should not be ignored. If you pursue a second passport, you are legally obligated to surrender your passport. Here’s the source: http://travel.state.gov/travel/cis_pa_tw/cis/cis_1753.html

Here’s the fact: a person who acquires a foreign citizenship by applying for it may lose U.S. citizenship. In order to lose U.S. citizenship, the law requires that the person must apply for the foreign citizenship voluntarily, by free choice, and with the intention to give up U.S. citizenship. Intent can be shown by the person’s statements or conduct.The U.S. Government recognizes that dual nationality exists but does not encourage it as a matter of policy because of the problems it may cause.

Either you become an outlaw, or the buraeucracy is so slow, they just haven’t gotten around to people like Simon yet.

Given these facts, if the average person is pursuing multiple flags, they must be prepared to commit ALL THE WAY and possibly be a citizen of that country forever.

If any of these premises are wrong, let me know. I would LOVE to get a second or a third, but it is not looking good.

By: ace

ace — Tue, 16 Mar 2010 00:58:10 +0000

Actually, the “Cash for Gold” trend is a sign of public selling and dealer buying. It is more like a bottom than a top. When dealer’s start advertising “Gold for Sale”, look out below!

By: J. Gen

J. Gen — Mon, 15 Mar 2010 21:11:24 +0000

I couldn’t agree with you more, Simon. It’s just great to hear confirmation from someone whose posts I hold in high regard. Gold is definitely still undervalued with mountains of evidence to validate this. I was curious as to what your thoughts are on Silver? There are so many resources claiming that this metal is possibly a better investment since silver is both a precious metal as well as industrial. According to many sources, silver scarcity in relation to ETFs is a possible contributing factor to silver’s extreme undervalue.

By: REx

REx — Mon, 15 Mar 2010 19:24:55 +0000

Hi Simon and company,

Due to a glitch and computer crash I was unable to save the second residency information that was sent out on or around feb 24th. I have the first one but was unable to save the second one, is there anyway you can send me the citizen 2nd passport info again, thank you.

By: Tom

Tom — Mon, 15 Mar 2010 17:25:26 +0000

I agree with Mike Shedlock that the price of gold fluctuates roughly in an inverse manner to the public’s confidence in government and has little to do with inflationary or deflationary expectations. When confidence is low, gold rises and when confidence is high, gold declines. It appears to me that gold has a long run up ahead of it but that the best way to play it as a speculation as you suggest is in mining stocks.