Monday, October 19, 2009
Gold at $2,000 Becomes Inflation-Adjusted Bullseye for ‘80 High
Yes that's right...investors who bought gold in the last bull market (nearly 30 years ago) are still waiting to get their money back! On an inflation adjusted basis gold will have to reach $2300 per ounce in order for those folks to just break even, yet gold is touted as this incredible investment and inflation hedge.
In contrast, stocks have gained in the thousands of percent and even during the past 10 years, or during the period of the 1970s when stock indices didn't do very much, had you bought good, quality, dividend paying stocks and invested those dividends, you would have achieved a very nice, positive return!