money and investments

[oZma]

so I'm not sure where this belongs, but what are your thoughts on investing in the stock market lately.  a lot of the blogs and youtube channels I subscribe to talk about impending economic dollar crash, hyper inflation, etc... they warn against keeping dollars in bank accounts and the stock market and instead suggest investing in precious metals like gold and silver to protect against inflation.

what are your thoughts?

[Jamie D]

so I'm not sure where this belongs, but what are your thoughts on investing in the stock market lately.  a lot of the blogs and youtube channels I subscribe to talk about impending economic dollar crash, hyper inflation, etc... they warn against keeping dollars in bank accounts and the stock market and instead suggest investing in precious metals like gold and silver to protect against inflation.

what are your thoughts?

If you have the money to invest, and worry about inflation and other economic uncertainties, precious metals may be a good investment.  However, you should review the performance of the commodity before investing.

http://www.usagold.com/reference/prices/2012.html

This site shows the daily gold price for all of 2012.  On 03 January 2012 the price was $1598.00  The year-end price was $1655.50  The 2012 high was $1791.75 (04 October).  The 2012 low was $1540.00 (30 May).

Precious metals can never completely lose their value, unlike paper money.

[Devlyn]

Buy a piece of land and cultivate it, you can't eat precious metals or currency! Hugs, Devlyn

[JessicaH]

I think you will see enough warning to get your money out. Stocks are great because they are very liquid. I think medical stocks may take a big hit as medicare squeezes medical providers. The dollar will be fine unless you start seeing long term bond rates start jumping and I certainly wouldn't buy long term bonds at this point.

As soon as the govt. has to pay a few percent over the nothing they have been borrowing money at, the interest rates will cause the govts. cost of borrowing will shoot through the room causing the annual deficit to shoot through the roof which will cause a vicious, downward economic down-spiral. And that is why it's important for the govt to quit buying votes with the USA credit card and balance the budget!