Gold has been a symbol of power and wealth since time immeasurable. |
Over the past decade or so, Gold has risen from a fairly modest average of $400USD an ounce in the early 2000's to a phenomenal high last year in 2012 to nearly $1900 USD an ounce. This increase far surpassed inflation rates and was predominately linked to the failing world economy and insecurity in the world. This year in 2013 however, Gold's price has shrunk back down to $1200USD an ounce, levels last seen in 2010.
These price fluctuations however are a killer, precious metal prices are more or less unpredictable and tend to go up in panic buying stages depending on how the economy is doing, making profit off of buying and selling stock can therefore be very difficult, if not impossible, unless you buy a substantial amount of stock.
What is worrying however when it comes to the precious metal sales, is the Charlatans who whip up economic concerns in order to shift vast amounts of silver and gold bullion to concerned members of the public who only have their families survival at heart. Just think for yourself a moment people: if you was adamant that the world as we know it was about to end, and silver coins would prepare you for that, why would they be selling it to you for FIAT paper in the most dangerous economic times? You know the answer, I'm sure, its a scam! We've all seen the adverts on programmes headed by people such as Alex Jones, and it may seem like they are offering great free advice, but they have their own families mouths to feed too, don't be sucked into their exaggerated doom-porn news stories, and don't be fear mongered into parting with your cash over it either.
Speaking of scams, the hundreds of 'Cash for Gold' shops that exist today are yet another example of how we are being ripped off. The prices they offer may seem a good deal at the time, but I expect most people do not stop to check that morning how much the average ounce of Gold costs to check and make sure that they are getting a good deal. Which I promise you, you aren't.
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Gold Prices 2000 to 2013. |
Ok, lets keep this simple. So you sell your Gold to someone at 'Cash For Gold', and they then bag it up and sell it onto the mint for a profit who then melts down your family heirloom in a massive forge, increases the fineness and then creates large Gold Bullion bars. Who do you think buys the Gold? That's right, generally the Government or Banks for 'investment'.
Why?
Because the global financial elites need to make sure they've sucked every bit of value out of the world, I mean you only need to read my last article about Libya to understand how vulnerable any financially secure group or Government is. The emerging globalisation that is coming to a head in our lifetimes is as clear as day. It will be a world free of national borders, where the bankers call all the shots, and they need to make sure they've cleaned up before they begin implementing a combined 'World Bank' protocol which is essentially the financial takeover and blackmailing division of the UN (check the 'World Banks goals with the UN and you will see they are more or less carbon copies of one another.) On the face of it, their goals seem very honourable, yet the road there is by misleading and blackmailing the world into submission to gain unification. Once the world is unified, it would be very difficult to change the way in which things work because they will control every aspect of health, education and materials.
So what would I suggest? I'm not a prophet, but I currently see the world torn at a crossroad right now. On the one hand we might see a controlling world 'Nanny' state where we are all equal so long as you agree with our new 'banker-come-technocrat' leaders, or on the other hand, we might end up with Western Civilization crippled, putting us back to the Victorian times. Either way, you can't eat Gold, and although I may see buying small amounts as a long term retirement investment worthwhile, I certainly do not see any point in buying the stuff like it was going out of fashion.
If you seriously think that the world as we know it is about to collapse, you would do much better buying water filtration systems and solar panels and son on, sitting starving in a room full of Silver and Gold bullion doesn't sound like the best survival tactic to me.
That said, I am no prophet, and I have no crystal ball, I would just urge people to look at the wider picture before committing vast amounts of financial assets. One thing that is known to us though, is the past, and recently scientists have found out why Gold and other precious metals are so rare to begin with.
According to one science report, after observing the aftermath of a binary neutron Star collision, it appears that that is where heavy metals come from, meaning all of the jewellery that we wear today was forged in an extremely violent explosion in space. Which is pretty cool. Of course we are all made of star dust, but the rarity of precious metals is because these events are, well, rare!
To make the existence of Gold and other heavy metals here on Earth even more extraordinary, those that we do find here today came to Earth when our planet was still a molten ball of fire, and asteroids full of these heavy metals collided with the young earth and were essentially 'folded into' the planets architecture, instead of forming naturally like other minerals and metals found today.
If Gold and Platinum really is as rare in space as it is on Earth, it might of course mean that future transactions with Alien races may be settled in those rare materials, a interesting notion which makes certain theories on the real reason mankind exists on planet Earth at all, a tiny bit more credible perhaps.
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