Monday, March 9, 2009
"Some investors are so worried about the prospect of economic collapse that they are buying gold and having it delivered to them, rather than holding the precious metial in the form of futures contracts of other securities. ... But more surprising is that buyers are taking the unusual and expensive step of taking possession of it. ... At the U.S. Mint, a total of 147,500 ounces of American Eagle gold bullion coins were sold in the first two months of this year, a surge of 176% from the same period last year", Carolyn Cui and Allen Sykora at the WSJ, 25 February 2009.
Big deal. 147,500 ounces annualized is 885,000 ounces. At $960 per ounce that's $850 million. Peanuts. George Soros can make more than that in a year. Zimbabwe Ben can print more than that in a day.