Is now a good time to sell my gold?

[Goat Milk]

I do not know anything about this market and if anyone knows anything let me know. I have a lot of gold and don't need it when is a good time to get rid of it?

should i wait?

[freeVICK]

sell sell sell

[PingPong]

keep it unless you really need the money. it should only go up in value

[Data]

Gold is the money and the best tool to preserve wealth. If you need to buy something then you spend your money (sell gold). Otherwise, you are just exchanging your money (gold) to funny looking paper that becomes more and more worthless every day.

[tltaylor89]

Gold could correct in the next few years and believe me you dont want to be in the kitchen when it collapses .Silver is not a crowded play yet theres still alot of money to be made there.

[benjy]

It depends on how much gold you have, what your other assets are, and what want your investment risk profile to be.

Offering any advice without knowing this information is useless.

[SBR_John]

I would most defintely sell gold at 1400+. I expect it to trade down to $1250 in the 1st qtr. Possibly 1100 by the 2nd qtr.

[jeffksu]

I'll give you 900.00 per ounce right now on the barrel...no ?????'s asked....it's your call

[Data]

I would most defintely sell gold at 1400+. I expect it to trade down to $1250 in the 1st qtr. Possibly 1100 by the 2nd qtr.

Why don't you make an action points prop in SBR sportsbook, just for shits and giggles, you know?

[Data]

I am not buying gold only because I am already heavily invested. I have been buying silver and rhodium lately.

[Goat Milk]

I would most defintely sell gold at 1400+. I expect it to trade down to $1250 in the 1st qtr. Possibly 1100 by the 2nd qtr.

thanks but does anyone have future predictions based on analysis of the market and understanding of the product supply. the thing is i have had it for a long time and don't want to sell it now to find out 5-10 years from now the price for it has doubled.

[wtf]

thanks but does anyone have future predictions based on analysis of the market and understanding of the product supply. the thing is i have had it for a long time and don't want to sell it now to find out 5-10 years from now the price for it has doubled.

3k gold? dont see it

[LLXC]

Hold till Paulson sells, heh.

[20Four7]

The US is ready to double dip..... the recession is not over. Canada is going to follow suit because we thought we escaped it, we didn't and now we are gonna feel the pain. Money is crap get out of it. Money in sportsbooks is crap but we all need it.

Gold is king.

[cankid]

sell soon

[pico]

might hit 2k

[Joe Dogs]

It depends on the price you bought in at.

Are you holding the metal or stocks?

It looks to me that it might be over bought.

[Outlawdino]

Sell it as you need to, otherwise no hurry to sell.

[ngates815]

With the picture as his avatar...I'm guessing it's gold chains guys, not krugerrands.

[benjy]

thanks but does anyone have future predictions based on analysis of the market and understanding of the product supply. the thing is i have had it for a long time and don't want to sell it now to find out 5-10 years from now the price for it has doubled.

More is being used than is being pulled out of the ground. Unless cultural norms change and another (perhaps cheaper) non-corroding conductor comes around this is not bound to change.

It costs about $300 an oz. to get the stuff out of the ground setting a bottom price.

That all said gold's current price is largely driven as an inflationary hedge or a store of value. With worries about the solvency of many European nations (e.g. Greece & Ireland) and the potential insolvency of the $USD due to their ever mounting debt investors often need a place to park their wealth.

In conclusion, gold's future price is likely to be driven by macroeconomic factors and US budget deficits. I'm optimistic about neither; if you're worried about selling and gold doubling hold on to it.

[SBR_John]

I agree with benjy especially the last sentence. However, what is golds real worth given the current world wide economic woes???? Is it $1400 or as high as $1600 a troy ounce? Is the dollar that worthless or soon to be that worthless? No, its over shot. Gold is like oil that blew up to $150 in a run up game of musical chairs. When the music stopped it fell to $35 and then found its real value in the $65 to $90 range. Was it worth $150 a barrel at the time? A lot of folks said it was going to $200 but reality set in and panic selling did the rest.

When the music stops in this gold run up game I expect it to break $1000 probably go as low as $800 and finally settle in a range of $900 to $1100.

[pavyracer]

Never sell gold. When the dollar goes down the toilet from the multi-trillion budget deficit gold will worth so much more.

[GettingScrilla]

SAVE SAVE SAVE...Gold is as high as it has ever been and it is only going to increase in value. It is the opposite of the dollar as many have stated...I cant imagine selling gold if I didnt need to. Right now it is the best commodity to have.

[HauntingTheHoly]

How about all these "Cash for Gold" shops everywhere? That intuitively indicates that one should keep it at least a bit longer, no?

[DMB40]

gold will come down. I started selling my silver that i was buying at $15 an ounce as its over 29 now.

[eonizuka]

I would say no, gold is one of those things you should hang on to for a while. If anything let the price climb a little higher with the increasing demand before you sell.

[benjy]

SAVE SAVE SAVE...Gold is as high as it has ever been and it is only going to increase in value. It is the opposite of the dollar as many have stated...I cant imagine selling gold if I didnt need to. Right now it is the best commodity to have.

While in nominal terms this may be true when adjusted for inflation gold has been as high as $2358 (in today's $)



from bianco research.

If one expects the upper bound of gold's price to be similar to values reached during other (recent) periods of economic uncertainty this is as good a value as any.

[forsberg21]

Over the long term, gold hasn't even kept up with the pace of inflation...

[benjy]

How about all these "Cash for Gold" shops everywhere? That intuitively indicates that one should keep it at least a bit longer, no?

Not necessarily. Though unfamiliar with these kinds of businesses I've got other potential reasons for their recent profusion:

1) Bad economic times for people and the greater need to produce ready cash. This would also explain the payday loan places and check cashing joints that also seem more common in my part of the world.

2) The high price of gold provides more margin. In this kind of business melting down gold, refining it, and bringing it to market likely represents a significant cost of doing business. As the gold price has increased this cost/oz of processing the gold represents a smaller and smaller fraction of the end product and may be the difference making this kind of business profitable.

[Johnpoints]

Sell it and gamble with the money!

[MadTiger]

thanks but does anyone have future predictions based on analysis of the market and understanding of the product supply. the thing is i have had it for a long time and don't want to sell it now to find out 5-10 years from now the price for it has doubled.

When I was in B-school, I used this site quite a bit, and still do:

http://forecasts.org/

and the info in question:

http://forecasts.org/gold.htm

[benjy]

I agree with benjy especially the last sentence. However, what is golds real worth given the current world wide economic woes???? Is it $1400 or as high as $1600 a troy ounce? Is the dollar that worthless or soon to be that worthless? No, its over shot. Gold is like oil that blew up to $150 in a run up game of musical chairs. When the music stopped it fell to $35 and then found its real value in the $65 to $90 range. Was it worth $150 a barrel at the time? A lot of folks said it was going to $200 but reality set in and panic selling did the rest.

When the music stops in this gold run up game I expect it to break $1000 probably go as low as $800 and finally settle in a range of $900 to $1100.

It's so difficult to try to value something where the assets price is determined largely on the basis of market psychology (What is a store of value? A scrip of paper? A shiny, hypo-allergenic, highly conductive metal?). Perhaps it's not the economists that should be valuing gold but rather the shrinks.

As I've posted prior I see gold's lower bound to be (likely a bit above) $300 and using the historic high in the 80's it's upper bound to be around $2,400 - with gold trading right in the middle it's far too broad a range for any other than speculators or those trying to hedge currency worries.

The biggest, most likely worry I see is that the US will not be able to balance the budget and the deficit continuing to grow unabated. Without the legislative tools (i.e. a deadlocked, ineffective government) the US will continue "monetary easing" - printing money, essentially devaluing the dollar and importantly all of its outstanding debt. Not only would this increase inflation it would shake international faith in the greenback both potentially causing worldwide capital flows from $USD to other stores of value. With the Euro enduring it's own crises and no other place to go these flows would likely end up in gold.

It's far too speculative for me but were I to invest I'd take a flier and look into purchasing out of the money calls on gold.

[Doug]

Over the long term, gold hasn't even kept up with the pace of inflation...

That would depend largely on your definition of long-term. It was around $35/ ounce for a long time and couldn't be owned from about 1933-1971.

[Data]

were I to invest I'd take a flier and look into purchasing out of the money calls on gold.

Let's not confuse an investment with a trading opportunity. What you said you would do here is not the former but the latter. An investment in gold is owning physical metal only.

[Goat Milk]

It's so difficult to try to value something where the assets price is determined largely on the basis of market psychology (What is a store of value? A scrip of paper? A shiny, hypo-allergenic, highly conductive metal?). Perhaps it's not the economists that should be valuing gold but rather the shrinks.

As I've posted prior I see gold's lower bound to be (likely a bit above) $300 and using the historic high in the 80's it's upper bound to be around $2,400 - with gold trading right in the middle it's far too broad a range for any other than speculators or those trying to hedge currency worries.

The biggest, most likely worry I see is that the US will not be able to balance the budget and the deficit continuing to grow unabated. Without the legislative tools (i.e. a deadlocked, ineffective government) the US will continue "monetary easing" - printing money, essentially devaluing the dollar and importantly all of its outstanding debt. Not only would this increase inflation it would shake international faith in the greenback both potentially causing worldwide capital flows from $USD to other stores of value. With the Euro enduring it's own crises and no other place to go these flows would likely end up in gold.

It's far too speculative for me but were I to invest I'd take a flier and look into purchasing out of the money calls on gold.

If the government is going to continue to print money exponentially and the dollar continues to decrease in value, gold's value will increase, won't it? Deficit--> Inflation --> Higher cost of gold?
You also said that the supply of gold is diminishing steadily?

Because there aren't really any adequate substitutions for Gold besides the lower-standard silver wouldn't it be one of the few preimium products keeping this economy alive in the midst of a depression?