Thread: Gold Buying
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Old 13.10.2010, 20:53
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Re: Gold Buying

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LME copper isnt a financial asset - it is a commodity.

http://highered.mcgraw-hill.com/site.../glossary.html

how is a property of gold to be default or catastrophe insurance? that is my original point - it is only because others think it is. at the end of the day - it have very little utility and thus inherent value.
I'd define an LME contract as a financial asset. The price of which can go down. Not really something to mortgage one's home in order to speculate on.

The central bankers believe that gold is default or catastrophe insurance. The Russian, Indian & Chinese central bankers are buying it as a cash (dollar) hedge. Personally I choose to weight their view over that of an anonymous poster on the interweb.
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