Exciting times ahead for GOLD!

Not to mention oil, wheat, cotton.... (translation: food, clothing and transportation)

What I can't get over is the way goldbugs always measure their excitement in dollars.... never in oil, cotton or wheat. You'd think, since the premise of a rising gold price is the destruction of the currency (pick one - they're all being trashed) that you'd want some other benchmark by which to measure success.

The other irony is how gold producers sell their product for dollars. Why would you dig gold out of the ground only to exchange it for something that's going down in value? At a certain point it makes more sense to hang onto it, no? Why sell an ounce today if you can sell it 3 years from now at $3000 or even $5000 an ounce? Question then: what do gold producers see that the rest of us don't?

It all remind me of the excitement of the housing boom. Remember how real estate always goes up in value? How many people today measure net worth in terms of their home? How many people were sharp enough to sell at the top? For that matter, how many were sharp enough to NOT buy at the top?

Yes, $1500 gold will soon be a distant memory. So will $4/gal gas, a ten dollar T-shirt, $50 dinner for two.... you get the idea. I guess you'd have to buy gold in those circumstances, no?

Still, I can't help thinking that when push really does come to shove TPTB will throw everything they've got at saving the status quo, which will mean one of two things: much higher interest rates, gold confiscation, or a combination of both.

Exciting times? You ain't seen nothing yet.

ebear