The euphoric mania in stocks and bonds in recent years has clouded the common sense of Wall Street's rather youngish money managers. Throwing all caution to the winds of greed, the go-go investment gunslinger mentality of the late 60's and early 70's is back again - screaming: Sooner or later their bubble will burst - and market focus will return to seek cyclic intrinsic values and traditional refuge investment vehicles. It is a nightmarish thought for the Buy-N-Hold advocates to take careful note that it took the next 25 years for a investment to break even!

Not even Job of the Bible would have had the patience to wait. Enough to cause heart-failure to the credulous believers of THIS TIME IT'S DIFFERENT. H-O-W-E-V-E-R, students of financial history took profitable refuge in gold metal stocks.

This merits being redundant.

The over-riding guideline of my precious metals' research was aptly described by one of Wall Street's legendary wizards, Bernard Baruch - unfortunately, unknown to most of today's investment Pollyannas. His observation still rings with logic and clarity: When something holds good for two thousand years,.

I do not believe it can be so because of. Traditional stock valuation indicators are at all-time record dangerous levels. The DJIA dividend yield plummeted to a century low 2. The price-to-book ratio soared to the all-time record of 4. Whenever these astronomical and unrealistic levels were reached, a vicious bear market eventually and inevitably followed.

In light of the current condition of all markets, prudence and patience will indeed conserve wealth and provide material rewards. Lamentably, those ignorant of financial history and the chronologically inexperienced will undoubtedly suffer once again the wages of unbridled greed and an acute myopic view of financial history.

What Happens to Gold and Silver When the Stock Market Crashes? - gedyfej.web.fc2.com

Great Crash Of Similarities Suggest Gold Prices Will Soar In Puncturing Deflation Myths, Part 1 Inflation During The Great Depression. Vronsky speaks three languages with indifference: English, Spanish and Brazilian Portuguese.

You may reach I. View the discussion thread.

If the Stock Market Crashes, What Happens to Gold and Silver? - Investing Video & Audio Jay Taylor Media

Privacy Policy Terms of Use. Search Gold Articles Search Gold-Eagle. Home Gold Price Gold IRAs Editorials Charts Analysis Gold Forecasts Authors Silver. Gold Stocks and The Great Crash of Revisited I. In October equities had reached unprecedently high levels of valuation. Although there were several causes of the crash, much of the blame may be attributed to the abuses of the infamous investment trusts - which enjoyed wildly accelerated growth from to It is interesting to recall that the investment trusts of the 20s were the forerunners of what we refer to today as mutual funds.

It was primarily through the channeling of the public's savings via the investment trusts that drove stock valuation ratios to astronomical - indeed unrealistic - levels in late Unfortunately, there was no securities' law nor S. And although the DJIA finally bottomed at 41 in June , the vast majority of stock investors continued to suffer the effects of the languishing bear market during the next three years.

As might be expected, interest rate sensitive equities were also decimated during the Great Crash of In September the Dow Jones Utility Average DJUA hit its peak at From late the DJUA tumbled to its abysmal l o w of only 15 in March and again in March Three years after hitting its nadir, the DJUA was still severely depressed. This is heart-wrenching financial history What Did Smart Money Do In the Crash and Aftermath?

During the same bear market period smart-money moved from the plunging equity markets i. The stock price of this gold mining company soared relentlessly upward during the entire bear market. Contemplate and appreciate the monumental difference in investment returns during a serious bear market.

Indeed, hard asset investments gold mining shares were islands of economic refuge during the grueling years of the Great Depression. This represented a devastating capital loss of almost two-thirds of their investment savings. The hapless naive investor with a buy and hold strategy in financial assets lost the greater part of his original stake. Pathetically, he could ill-afford to risk - let alone lose - his precious capital during the many long despairing years of the Great Depression.

One does not have to be a Ph. Investment Vehicle Investment Date Amount Investment Value Dec. For simplification cash dividends not taken into account It is a nightmarish thought for the Buy-N-Hold advocates to take careful note that it took the next 25 years for a investment to break even!

When something holds good for two thousand years, I do not believe it can be so because of prejudice or mistaken theory.

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Gold And Silver Price Seasonality…June Worst Month? Follow Us on Twitter. For simplification cash dividends not taken into account.