Comments on: Why the Euro is Garbage and Only Gold is Absolute http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/ An independent perspective on the Australian and global investment markets Sat, 21 Nov 2009 17:27:32 -0600 http://wordpress.org/?v=2.8 hourly 1 By: Ted http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/comment-page-1/#comment-5007 Ted Sun, 25 Nov 2007 03:03:30 +0000 http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/#comment-5007 Devaluation or default? There are more ways to play it than that. If the Int'l Bankers don't want to destroy the global currency scheme, they need to keep current beliefs in GDP based fiat alive. That means restoring relative values to pre-Neocon idiocy. That can be done by protectionism in trade and heavy progressive taxation. As Nathan Rothschild said in 1917 when it looked like the UK and France would lose WWI, "Tax the rich and tax them hard." The answer to whether or not the destruction of the fiat dollar system or the destruction of America is favorable to the international finance mindset will be determined by whether or not America uses taxes that are targeted at the rich to rebalance the ledgers. Devaluation or default? There are more ways to play it than that. If the Int'l Bankers don't want to destroy the global currency scheme, they need to keep current beliefs in GDP based fiat alive. That means restoring relative values to pre-Neocon idiocy. That can be done by protectionism in trade and heavy progressive taxation. As Nathan Rothschild said in 1917 when it looked like the UK and France would lose WWI, "Tax the rich and tax them hard." The answer to whether or not the destruction of the fiat dollar system or the destruction of America is favorable to the international finance mindset will be determined by whether or not America uses taxes that are targeted at the rich to rebalance the ledgers.

]]> By: slimer http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/comment-page-1/#comment-4796 slimer Mon, 19 Nov 2007 19:02:31 +0000 http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/#comment-4796 (meanwhile, who would buy your gold for $10K per ounce?). Certainly not any of you guys. Gold only preserves wealth it does not make wealth. Do you really believe that 800 cotton dollars (backed by nothing)represents the true value of 1oz of gold??? You guys must be bankers! (meanwhile, who would buy your gold for $10K per ounce?). Certainly not any of you guys. Gold only preserves wealth it does not make wealth. Do you really believe that 800 cotton dollars (backed by nothing)represents the true value of 1oz of gold??? You guys must be bankers!

]]> By: RISHABH http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/comment-page-1/#comment-4787 RISHABH Mon, 19 Nov 2007 07:04:54 +0000 http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/#comment-4787 $ DOWN , GOLD UP , U.S ECONOMY IN SHAMBLES , BLAH BLAH BLAH...ITS JUST A PHASE. A YEAR LATER IT COULD BE A DIFFERENT STORY. ITS A TRAP. THE $ WILL GAIN STRENGTH AFTER SOMETIME AND DRIVE A LOT OF RICH BULLS OUT OF THE MARKET. $ DOWN , GOLD UP , U.S ECONOMY IN SHAMBLES , BLAH BLAH BLAH...ITS JUST A PHASE. A YEAR LATER IT COULD BE A DIFFERENT STORY. ITS A TRAP. THE $ WILL GAIN STRENGTH AFTER SOMETIME AND DRIVE A LOT OF RICH BULLS OUT OF THE MARKET.

]]> By: Reckoning_Fan http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/comment-page-1/#comment-4785 Reckoning_Fan Mon, 19 Nov 2007 06:38:15 +0000 http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/#comment-4785 I agree with what Darius said and belive much of the most recent gains in the gold price are due to "short term play to capitalise on the fears of those hedging against some hypothetical currency catastrophy". Is it correct to assume that a 'currency catastrophy' would be coupled with an economic catastrophy? And if so, and things get really bad, will gold in reality be such a good thing to have spent all your money on? I agree with what Darius said and belive much of the most recent gains in the gold price are due to "short term play to capitalise on the fears of those hedging against some hypothetical currency catastrophy".

Is it correct to assume that a 'currency catastrophy' would be coupled with an economic catastrophy? And if so, and things get really bad, will gold in reality be such a good thing to have spent all your money on?

]]> By: Darius http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/comment-page-1/#comment-4768 Darius Sun, 18 Nov 2007 23:10:39 +0000 http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/#comment-4768 Dan, owning gold (physical or stock) is either an overly-fearful hedge against a catastrophic collapse of all the worlds major currencies, including the JPY, CNY, EUR, GBP and USD (assuming the country you live in has deep exposure to any of those). Or, it is just a short term play to capitalise on the fears of those hedging against some hypothetical currency catastrophy. Before your article can have any meaning you would have to detail and justify why you believe there will be a currency catastrophy. It seems quite clear that there is a transition occuring, away from USD, but will USD experience catastrophic collapse or gradual decline over decades??? There would have to be a natural disaster on a global scale for all major currencies to be catstrophic effected. Only then would long term gold be able to outperform the major markets, and then only until markets recovered (meanwhile, who would buy your gold for $10K per ounce?). Please tell us why you think there is going to be a currency catastropy. Thanks, D. Dan, owning gold (physical or stock) is either an overly-fearful hedge against a catastrophic collapse of all the worlds major currencies, including the JPY, CNY, EUR, GBP and USD (assuming the country you live in has deep exposure to any of those). Or, it is just a short term play to capitalise on the fears of those hedging against some hypothetical currency catastrophy. Before your article can have any meaning you would have to detail and justify why you believe there will be a currency catastrophy. It seems quite clear that there is a transition occuring, away from USD, but will USD experience catastrophic collapse or gradual decline over decades??? There would have to be a natural disaster on a global scale for all major currencies to be catstrophic effected. Only then would long term gold be able to outperform the major markets, and then only until markets recovered (meanwhile, who would buy your gold for $10K per ounce?). Please tell us why you think there is going to be a currency catastropy. Thanks, D.

]]> By: Coffee Addict http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/comment-page-1/#comment-4724 Coffee Addict Fri, 16 Nov 2007 05:42:26 +0000 http://www.dailyreckoning.com.au/euro-is-garbage/2007/11/16/#comment-4724 Is the growth in EU money supply significantly greater than long term economic growth trends within Europe? Is the growth in EU money supply significantly greater than long term economic growth trends within Europe?

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