Mike's Blog

Now I ain't sayin' she a gold digger

Uh!

Not having much money, I don't invest it, unless by investing you mean "fill a coffee can with buttons and string and bury it out by the traintracks." Sounds crazy, but the long-term yield is surprisingly good. I do read the business pages, however, just to sort of keep up on what the hell is going on in the world. Last week, I actually thought to myself, "Gee, the price of gold is really high." Now, I thought I remembered reading that this meant inflation was on the uptick (gold, like Elvis-plates and cubic zirconium, holds its value better in inflationary times - so I'm told.) But Sunday's NYT has another explanation for the record gold prices.

Some analysts credit the booming economies of China and India. Newly affluent people there have fewer investment options than Westerners and thus have turned to gold and other precious metals, said Parvathy Krishnan, a Morningstar stock analyst.

Hmmm. I have no ability to evaluate this claim, but it's interesting.

And now that Jude Wanniski is dead, who will be the next crackpot to demand that the United States reinstate the Gold Reserve Act and return the country to the international gold standard? I don't know.....David Horowitz...you've been kind of quiet lately. It may be time to step up.

http://www.nytimes.com/2006/01/08/business/mutfund/08precious.html

Posted by mike at January 9, 2006 08:50 PM