Stocks and Trading Thread - Channeling your inner Mono

[Ed Anger]

What's with the gold fixation; there was a senior American bond trader on Channel 4 news, and he was suggesting a position of around 10-20% in gold, despite spending all the previous bit of the interview triumphing treasury bonds.

It is considered a safe harbor.

[Caliga]

Cramer is saying 20% gold, too.  I ain't going there, though.  That bubble has got to burst at some point.

[Ed Anger]

Cramer is saying 20% gold, too.  I ain't going there, though.  That bubble has got to burst at some point.

I know this is going to rile Raz up, but I bought some gold when it was around 1500/oz. I wouldn't buy it now though.

[Razgovory]

Cramer is saying 20% gold, too.  I ain't going there, though.  That bubble has got to burst at some point.

I know this is going to rile Raz up, but I bought some gold when it was around 1500/oz. I wouldn't buy it now though.

I can't get mad at you.

[mongers]

Panic in Asia ? - the main indexes are down 2-3% in early trading.

[mongers]

What's with the gold fixation; there was a senior American bond trader on Channel 4 news, and he was suggesting a position of around 10-20% in gold, despite spending all the previous bit of the interview triumphing treasury bonds.

It is considered a safe harbor.

I know that, but I couldn't understand why they are recommending converting cash into bubble which might be about to burst ?

[Ed Anger]

What's with the gold fixation; there was a senior American bond trader on Channel 4 news, and he was suggesting a position of around 10-20% in gold, despite spending all the previous bit of the interview triumphing treasury bonds.

It is considered a safe harbor.

I know that, but I couldn't understand why they are recommending converting cash into bubble which might be about to burst ?

For some weird reason, a lot of people think that gold can only go up. Everytime I hear that on TV, it sets my teeth on edge.

[Richard Hakluyt]

What's with the gold fixation; there was a senior American bond trader on Channel 4 news, and he was suggesting a position of around 10-20% in gold, despite spending all the previous bit of the interview triumphing treasury bonds.

It is considered a safe harbor.

I know that, but I couldn't understand why they are recommending converting cash into bubble which might be about to burst ?

Your cash might become totally worthless, gold is always worth something.

[mongers]

What's with the gold fixation; there was a senior American bond trader on Channel 4 news, and he was suggesting a position of around 10-20% in gold, despite spending all the previous bit of the interview triumphing treasury bonds.

It is considered a safe harbor.

I know that, but I couldn't understand why they are recommending converting cash into bubble which might be about to burst ?

Your cash might become totally worthless, gold is always worth something.

I didn't think I'd find someone more pessimistic than me.

Tomorrow, I'm going to stock up on essentials.

[mongers]

http://www.bbc.co.uk/news/mobile/business-14454406

Asian markets tumble after share sell-off in the US
09 August 11 01:34
Asian markets have been hammered amid fears that the US is heading for a recession and after Wall Street posted the biggest losses since late 2008.

Japan's Nikkei 225 index fell 3.7%, South Korea's Kospi lost 5%, and Australia's ASX shed 3.8%.

[Ed Anger]

As the smart gremlin said in Gremlins II, Canned goods and shotguns.

http://www.youtube.com/watch?v=qsMc-IswG3w

[citizen k]

LONDON (Dow Jones)--JP Morgan (JPM) has become the latest bank to up its forecast for spot gold prices, hiking its estimates by a whopping 39% and predicting the precious metal to reach at least $2,500 a troy ounce by the end of the year.

This is almost $800/oz higher than current levels, which represent an all-time high.

The U.S. bank had previously expected spot gold to be at $1,800/oz by year-end.

The move will come amid very high volatility, the bank's Colin Fenton said, and is being driven by "rising probability of a reflaring of financial crisis."

Earlier Monday, Goldman Sachs (GS) raised its forecast for gold, saying its economists now place a one-in-three chance of a U.S. recession that would most likely occur within the next six months. But its prices are significantly lower than JP Morgan's, with Goldman predicting a spot prices of $1,645/oz in three months and $1,730/oz by six months.

Gold soared higher overnight and has become an investor favorite amid deteriorating economic conditions in the euro zone and the U.S.

Friday's downgrade of the U.S. credit rating from AAA to AA-plus by ratings agency S&P triggered the most recent strength in gold, which leapt over $70 from Friday's low to peak at $1,715.29/oz earlier Monday.

Morgan Stanley, ANZ, UBS, MF Global and Barclays Capital last week all upgraded their gold price forecasts, while producers like Barrick Gold (ABX), AngloGold Ashanti (AU) and Randgold Resources (GOLD) have been making bullish statement in support of further rises in recent days.

But JP Morgan said it isn't just gold that will benefit from the financial malaise. Commodities geared toward Asia, investment, and inflation will outperform commodities anchored more to the growth prospects and local supply chains of the U.S.

"The bullish basket includes Brent crude oil, gasoil, gold, raw sugar, copper, corn, and wheat," said JP Morgan's Fenton. "The bearish basket includes WTI crude oil, RBOB gasoline, aluminum, zinc, and North American natural gas."

He singled out sugar, noting that dollar weakness and rising inflation expectations open the upside for raw sugar prices to surge far higher than would otherwise be likely, perhaps doubling or more in a spike. But he cautioned that "sugar rallies tend to be brief, violent, and difficult to time."

[citizen k]

An older but still relevant news item from last February:

Gold hasn't reinvented itself as a currency yet. But it is getting closer.

J.P. Morgan Chase & Co. said it will allow clients to use the metal as collateral in some transactions. For example, a hedge fund wanting to borrow money for a short period can put up gold as collateral and use the borrowings to invest elsewhere, betting on making a better return. Typically, banks accept only Treasury bonds and stocks in such agreements.

By making the announcement, J.P. Morgan is effectively saying gold is as rock solid an investment as triple-A rated Treasurys, adding to a movement that ...

[MadImmortalMan]

Man, I'm buying more puts tomorrow. I'll be ready to sell them if the Fed does anything though. After this bloodbath, I'd have to guess they will.

[alfred russel]

Man, I'm buying more puts tomorrow. I'll be ready to sell them if the Fed does anything though. After this bloodbath, I'd have to guess they will.

It is just one crisis after another. I'd respect Bernanke if he put out a statement saying he is done dealing with this crap and he is off to Hawaii.

One of our classes of stock was down 14% today.