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Re: Zunobira post# 27534

Tuesday, 03/08/2011 7:40:00 AM

Tuesday, March 08, 2011 7:40:00 AM

Post# of 102667
I wish that I could share your optimism about the dollar stabilizing at a higher level. However, the very fact that dollars are being printed by the trillions makes that impossible for several years to come.
Regarding the price of gold, it will reach a high at some point and then decline some. For example, if gold goes up to $2,500 per oz, it may fall back to $1,500. The high price of gold will remain during our lifetimes. It will never fall back to anything like $500 because the previous $500 due to printing of dollars and inflation is now $1,500. In other words, the dollar is being inflated so it now takes $1,500 to buy what it previously took only $500 to buy.
A gold stock such as DGRI will pay off for decades if management delivers.
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