Friday, September 25, 2009

Don't Sell!: Inflation-Adjusted Gold Charts (Palladium)

(UPDATE: this was written just September 25. Today is October 8. The gold price today is $1050 per ounce, its highest dollar total ever. A quick read through the following article will show you how that price is no where near its all time high--thanks to inflation.)

I've been watching the price movements of gold and silver and palladium and platinum over the past month and haven't had too much to comment. What I was thinking of doing, actually, is to sell some gold and buy some silver with it, as I think silver is more undervalued that gold. However, that's a differnet discussion for a different day. Let's look at the history of the gold price and a chart that I "borrowed" from Look over this chart carefully and then we'll continue:

Gold Price History Chart

Gold Price History Chart

Okay, did you look? Gold is at an all-time high, right? Well, yes, you're right. It's about $1000 now and hit $1020 last week. Well, this has been mentioned before when talking about all metals including silver, platinum, palladium, and rhodium. But think again, the average wages back in 1981, when gold was nearly $900 were less than half of what they are now. So now, gold is worth only $1000? In fact, look back to the year 2000. Look how undervalued it was? Now let's look at a chart with inflation factored in (I grabbed this one from Wikipedia):

Inflation-Adjusted Gold Price History Chart

Inflation Adjusted Gold Price History Chart

Now don't pay attention to all the different lines. It will get confusing. I don't know exactly what they're getting at either, but, this is chart showing the gold worth in 2009 dollars. As you can see, all the lines are the same in 2008 (or 2009, which would be similar although this chart is from last year). But, look back in 1981! Gold is off the charts! So, in 1981, an ounce of gold was worth at least 5x what it's worth today if you measure it by the amount of goods you can buy with it. Today, an ounce of gold would buy you about one good suit. Back then, an ounce of gold would have bought you at least 7 suits. Understand?

I know this post is pretty basic for most of you, but, I just wanted to reiterate that although gold is hovering and reaching highs and everyone is saying, "Gold All Time High," it's really NOT at an all time high. It was much higher in 1981. Now, since this is a palladium site, let's take a look at palladium:

Palladium Price History Chart

Palladium Price History Chart

Do you see how high palladium was due to demand? Factor in inflation it would probably have been 25% higher. It's hovering around the $300 mark now, so, it's still pretty low. Don't sell palladium now either, if you have the money, buy palladium just as you would gold. Buy silver too, don't sell silver, keep it.

That's my take on things. I know most of you know this but some people have made good investments in precious metals and I don't want them to sell before they reach full potential! Good luck to all!

Tuesday, September 8, 2009

Gold $1000! Palladium $300!

Gold $1000! Palladium $300!

Right now, September 8, 2009, at 2 pm gold is $999 and palladium is $299. How long will this last? This morning we actually had gold over $1000 per ounce but palladium hasn't reached the $300 an ounce mark. Silver's following gold closely in terms of percentages as it's up to $16.50 per ounce. Did anyone say platinum? I didn't. Platinum is still in the $1200s, however, it's $1285, pushing $1300. This isn't nearly as big a percentage jump as gold, however, I suspect it may be following and if gold doesn't plummet platinum will reach $1350 or higher.

$1000 Gold Forth Time in History

Note that this is the third time gold has reached $1000 an ounce. It hit its historic mark back in 1981, then fell down into the $200s even before hitting $1000 again in early 2008, then in early 2009, and then again today.

Wednesday, September 2, 2009

Gold Price Jumps $20 Today!

Gold Price Jumps $20 Today!

Not much time to comment here but I had to at least mention the price of gold rise that took place today! Last I looked it was $955 and now it's nearly $980.

Palladium Price Up

Palladium coin buy prices are up because palladium is pushing $300 an ounce! Get your palladium bullion bars and palladium bullion bars at near spot prices if you buy now. Remember when palladium was $280 and the cheapest you could find a Suisse bar was $350? Well, now you might be able to find it at about 10% over spot. Good luck in the search!

Rhodium Price, Silver Price, Platinum Price

Rhodium has been steady at $1500. You can still get your rhodium coins from Cohen Mint for $90 for each Cohen rhodium bullion coin. Platinum has only shifted up $5, and silver has went up nearly $0.50. I predict silver will go up a bit more. It's $15.40 now. I think it will peak at just over $16.

That's all we have for now. I gotta run. I'm hoping to see some good comments on this recent price increase!
WAIT! Thanks for reading, but you're not done yet! This site has nearly 50 FREE ARTICLES regarding how, why, and where to buy palladium online. To see these simply see the "Blog Archive" atop the right hand column. Here are two favorites: Inflation Adjusted Charts and Fail-Proof Wealth Plan.