thanks for that little bit on not selling your PMs. I was just thinking whether I should or not. But this has also got me thinking. Should I continue building my gold/silver stock even though prices are sky high? The smart investor always says buy low and sell high. I know my PMs are not for investment but for emergency and also, I don't have money to buy more right now. But, should I wait till the prices drop or slowly buy a little over time even though the price are high?
I'd just apply common sense. We know that because of the crisis, gold is a bit more expensive these days. Silver is a good option because, while still a precious metal, it hasn't gone up as much due to the crisis fear.
If you dont have money to buy more now, certainly, DON'T buy. Don't go into debt of sacrifice other priorities you may have.
When you find that you have a bit extra income, maybe buy some more silver if you can afford it.
Maybe you come across some good deals of pre 65 dimes (silver) or broken gold jewelry that is getting sold below its gold content, simply because the owner doesn't even want to bother with it. Used wedding rings, broken gold chain, its still gold and if the price goes up, its still gold that you have.
Again, when buying junk gold, small amounts people. A few rings and pieces of chain to sell in case things get bad and you dont want to sell a coin that would attract much more attention in a local store. For greater amounts of money, stick to well recognized silver and gold eagles.
Just curious. Has your government tried to make gold illegal, and confiscate it like the U.S. government did in the 30's? That would seem like the next logical next step in total governmental control of the people.
No, not really. There were some cases where personal bank vaults were opened ( cash, and yes, gold) but that mostly happened to tax evaders and such.
Argentina is kind of peculiar because we didn't have much wealthy people to begin with, so this may be yet another difference of how things may end up developing if (big if things get as bad as they got here in USA. If gold becomes a problem for the government during or after an economic collapse, rest assured, they will do something about it so you better keep your purchases below the radar. Preferably buy gold with cash if you're buying large amounts. Use different dealers and stores. Didn't happen here because of our peculiar situation, doesn't mean it wont happen in other countries.
This post by FerFAL is good for provolking thought however I would disagree with never. Some of my PMs are purchased for what FerFAL discusses however some has been purchased for investment purposes as well. When/If my price points are reached I will sell those amounts and take a profit however if those points are not reached in the near future I will not be crushed either :)
January 6, 2010 3:50 AM
As long as you know and understand the difference and have two separate piles, that's just fine.