The GOLD scream room

Discussion of the Gold portion of the Permanent Portfolio

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buddtholomew
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Re: The GOLD scream room

Post by buddtholomew » Wed Mar 21, 2018 3:15 pm

ochotona wrote:Why did gold spike today? Isn't the Fed being hawkish?
duh...technovelist's recent purchase obviously raised the price O0
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Cortopassi
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Re: The GOLD scream room

Post by Cortopassi » Wed Mar 21, 2018 4:02 pm

https://www.investopedia.com/articles/i ... s-gold.asp

Despite widespread popular belief of a strong negative correlation between interest rates and the price of gold , a long-term review of the respective paths and trends of interest rates and gold prices reveals that no such relationship actually exists. The correlation between interest rates and the price of gold over the past half century, from 1970 to 2015, has only been about 28%, which is considered to be not much of a significant correlation at all.

Given the historical tendencies of the actual reactions of stock market prices and gold prices to interest rate increases, the likelihood is greater that stock prices will be negatively impacted by rising interest rates and that gold may in fact benefit as an alternative investment to equities.
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technovelist
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Re: The GOLD scream room

Post by technovelist » Wed Mar 21, 2018 4:55 pm

ochotona wrote:Why did gold spike today? Isn't the Fed being hawkish?
Don't worry, I'm sure this is just a glitch in the matrix. Gold should be plunging because I just bought a chunk!
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ochotona
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Re: The GOLD scream room

Post by ochotona » Wed Mar 21, 2018 7:11 pm

Mr Vacuum
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Re: The GOLD scream room

Post by Mr Vacuum » Fri Mar 23, 2018 12:50 pm

It's working today, budd!!!
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Cortopassi
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Re: The GOLD scream room

Post by Cortopassi » Fri Mar 23, 2018 2:57 pm

Sure is!

Image
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buddtholomew
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Re: The GOLD scream room

Post by buddtholomew » Fri Mar 23, 2018 3:03 pm

I guess...
Gold closed at the lows + 1.3 with the S&P down 2.1%. TLT was down so nothing magical.
70/30 allocation is bruised but to be expected. After today, both 70/30 and PP should be down about the same YTD.
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Re: The GOLD scream room

Post by Mr Vacuum » Fri Mar 23, 2018 6:34 pm

Classic, budd. I spoke too soon while the stocks loss was smaller. But corto is also right on: gold is still tops on the YTD (and has been the 3mo leader all month).
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buddtholomew
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Re: The GOLD scream room

Post by buddtholomew » Fri Mar 23, 2018 6:40 pm

Mr Vacuum wrote:Classic, budd. I spoke too soon while the stocks loss was smaller. But corto is also right on: gold is still tops on the YTD (and has been the 3mo leader all month).
I can’t let the team down now ;)
The benefits of holding a PP over an equity-centric portfolio are becoming much more evident as my variant of the PP is 1/5 the volatility of the 70/30 over the last couple days.
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technovelist
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Re: The GOLD scream room

Post by technovelist » Sat Mar 24, 2018 2:00 pm

buddtholomew wrote:
Mr Vacuum wrote:Classic, budd. I spoke too soon while the stocks loss was smaller. But corto is also right on: gold is still tops on the YTD (and has been the 3mo leader all month).
I can’t let the team down now ;)
The benefits of holding a PP over an equity-centric portfolio are becoming much more evident as my variant of the PP is 1/5 the volatility of the 70/30 over the last couple days.
Glad to hear that you are finally seeing some benefits!
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Ugly_Bird
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Re: The GOLD scream room

Post by Ugly_Bird » Sat Mar 24, 2018 3:49 pm

technovelist wrote: Glad to hear that you are finally seeing some benefits!
Just wait a little. :-)
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Re: The GOLD scream room

Post by dualstow » Mon Mar 26, 2018 10:25 am

Doesn't warrant its own thread, but here's an opinion piece from the WSJ on metal tariffs, gold and fiat money. (Really the latter two).
I am not for or against it; just think of me as a bot responsible for bringing gold-related articles here.
I made an archive so you should be able to read it without a subscription.

http://archive.is/d3eES
https://www.reddit.com/r/TactiCat
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