In a quarterly securities filing on Monday, Soros Fund Management reported it owned 4.7 million shares of the SPDR Gold Trust (GLD.P) at the end of the third quarter, down from 5.2 million at the end of June.
Meanwhile...
Mish: "Midas Crush" - MarketWatch Attempts to Explain "Why Gold is a Bad Investment"
The bottom line to me is that "gold is money". We know that gold is money because it acts like it.
Gold is money because it "acts" like money? That's the proof?
Act
8. false show; pretense; feint
Money
Money is any object that is generally accepted as payment for goods and services and repayment of debts in a given country or socio-economic context.
Can I pay my bills with gold? No. So how exactly does gold act like money? I must sell gold first in order to get the actual money that is needed to pay my bills. In order to do this I must "speculate" that I will find a buyer who will pay me what I think gold is worth.
Mission Accomplished
We know George Bush is a fighter pilot because he acted like one. Right?
For what it is worth...
ReplyDeleteBush fell short on duty at Guard
The reexamination of Bush's records by the Globe, along with interviews with military specialists who have reviewed regulations from that era, show that Bush's attendance at required training drills was so irregular that his superiors could have disciplined him or ordered him to active duty in 1972, 1973, or 1974. But they did neither. In fact, Bush's unit certified in late 1973 that his service had been ''satisfactory" -- just four months after Bush's commanding officer wrote that Bush had not been seen at his unit for the previous 12 months.
I was just thinking of "mission accomplished". No joke.
ReplyDeletemab,
ReplyDeleteYou're doing a heck of a job. ;)
Mish: Open Letter to Bernanke from 23 Economists Complaining About QE II; GOP Lawmakers Call for Abandoning $600 Billion Bond Purchase; Curtain of Idiocy
ReplyDeleteThe Fed certainly cannot induce hiring. The unemployment rate at 10.6% is proof enough.
Mish's proofs are driving me nuts.
I agree with his overall point here but...
1. It is NOT proof.
2. The unemployment rate is not 10.6%. It is 9.6%.
Sloppy.
Marketwatch:
ReplyDeleteSoros increased gold positions in third quarter
Marketwatch says he bought. Bloomberg says he sold.
Fantastic. This is exactly why I shouldn't even bother to read the news.
You're doing a heck of a job.
ReplyDeleteThanks. A Bush on the job isn't worth a hand or a bird.
Fantastic. This is exactly why I shouldn't even bother to read the news.
It's part of the new (e)CONomy. They change the facts to protect the guilty. People are told they love it!
mab,
ReplyDeletePeople are told they love it!
They should pack up that love and sell it on the street. I bet it could fetch $40 a gram.
I'm speaking of products sold on Wall Street to those with addictive tendencies of course. You know. Gold. (There's 31.1 grams in a troy ounce.)
I know the feeling though. It is quite hypnotic. Somebody is going to make a fortune someday infusing gold with a chocolate cinnamon scent. Good God! Taking something perfect like that AND improving it? Oh the humanity!
Of course, I could be wrong. I'll freak if the government ever issues Cinnabonds to someday spur demand, lol. Sigh.
I'll freak if the government ever issues Cinnabonds to someday spur demand
ReplyDeleteI'm thinking Cinnabonds would go well with tea and strumpets
http://www.youtube.com/watch?v=zwYYGysRwzI
Hey, this is a George Bush thread after all.
New thought. We need more fraud. Now. It's critically important to get the "virtuous" cycle of fraud started again. I think we can all agree on that.
Can't we all just get a loan! Again!
mab,
ReplyDeleteGold sure isn't acting like money today. Neither are silver, platinum, crude oil, the S&P 500, and TIPS. It's almost like all those things were priced as risk assets as opposed to the safe havens we know they are.
Money is acting like money though. Suddenly eveyone seems to want it. Perhaps it is National Deleverage Day.
All I wanted was a measely 1 point gain on the S&P 500 since its drop to 1199. But no... the market has chosen to suppress my ongoing Rubicon joke. Where's "The World Rubicon Council" and "The National Association of Rubiconmen" when I need them?
Stag,
ReplyDeleteIt sure is a weird day - all assets classes are down. In a way, I'm surprised we haven't had more of these - our black debt hole is huge.
People have no clue about what money is or the difference between price and value. They hear hyperbole about QE and then overpay for insurance - typical.
What part of cost of production don't Mish & Hugo Salinas Price understand? Imo, they can only be right if there's a bubble or if the whole thing goes completely to hell and gold becomes the new world order. And even then, I'd argue they are wrong.
The lies and propaganda have done their damage.
What a sham(e).
I really see no way out of this mess. I'm not sure the current debt money system will make it. Something has to give. It's an international prisoners dilemma. I'm glad I dropped dime a long time ago.
Having the world's reserve currency founded on fraud and usurious debt is ludicrous. Japan if we're lucky.
mab,
ReplyDeleteI am comforted that the guy who made his name shorting Enron (Chanos) is now saying China's on a treadmill to hell. It isn't that I'm hoping China collapses. Far from it. I'm simply thankful that Chanos didn't think we were the #1 target.
China is the commodity story but I'd bet every last cent I have that they cannot afford to see higher priced food from here and will therefore be *forced* into disappointing the commodity bulls.
I watched the CEO of Caterpillar on CNBC the other day talking about how bright the future is for his company. I'm just not a believer. It's a cyclical business and I'm a cynical guy.
Just saw a Monex gold commercial telling me how I can own an investment with no counterparty risk.
ReplyDeleteThey also told me to ask about 25% down. Nothing says safety like knowing my fellow bulls would be using debt to finance their "sure thing" purchases, especially in this environment.
Now Interactive Brokers is telling me about all the money printing (complete with money printing sound effects) and how they too will lend me money to invest.
I'm still bearish. Go figure.
Looks like Sears isn't acting like money today either. It's down around 5%. What gives?
ReplyDeleteSears has $9.5+ billion of inventory. X-mas is going to be huge this year with QE. And don't forget the moneyness of $4.5 billion of intangible assets & "good"will. And then there's the bonus moneyness of all the real estate they acquired during the bubble!
The whole company is trading for ~ 5.8 million ounces of real money. That's about one wheel barrow full.
Oops. It's more than a wheel barrow full. A lot more.
ReplyDelete