Why are so many people buying gold??!!!!

[jeliphish]

Seriously...I feel like people are getting rich off of people's fears! If we had a total economic colapse - it would be like post Katrina. No one was going around buying goods for gold, but someone would sure as shit trade some bottled water for some gasoline for their generator.
I personally have faith that things will get better...much better so I would not prepare for total economic colapse. If I were that worried though I would no waste my time buying gold. I have a co-worker who has bought thousands of dollars worth of gold (which is what sparked this post idea) in fear of our economy...even knowing that gold has been so unstable.

[mightymoo]

I don't think its being driven up significantly by people who are stockpiling gold against it being the new currency or some post apocalyptic world. Gold is considered a good hedge against inflation and the falling dollar, so I think its being run up by investors who are looking for a safer place to stash their investment money until things settle down. As a result, when the economy starts to come back, there will likely be a subsequent decline in the price of gold.

[rainbowmoon]

the price of gold has dropped a lot compared to 6 months ago. I think that is why a lot of folks are buying it now.

[Denvergirlie]

Gold is almost always a good investment.
It's a form of money, a tool of commerce for thousands of years.
I've wanted to hold gold for about 20 years, and I'm only in my mid 30's now.
The reasons people hold gold are wide and varied. Fiat money is much more influenced by inflation being one of the biggest reasons.

[astrophe27]

My chinese mom told me the "old chinese" would get gold because if the house burned down, the gold buried under it might melt and not be in bar shape any more but it would still be there.

I don't know if that's what people are thinking, but this thread reminded me of that story.

A.

[p1gg1e]

I don't buy gold to use to barter with. Its like a car , home or tractor. its useful , its an asset and it protects your money from falling with your currency. you don't put ALL you money in it. Like anything else you buy a bit like an insurance policy and if you need it great , if not fine...its also mobile and you can take it with you easy..unlike in a bank if it collapsed.

I'm though leaning more on silver

[newbymom05]

Agreeing w/ what everyone has posted, but I read somewhere that the IMF is a huge holder of gold, and can easily manipulate the market (as can countries holding). So let's say big collapse, Amero, what have you, the IMF could just flood the market and drive the price down. JM2C but I think gold is currently priced too high and there are too many big global players to make gold true protection for the avg person.

[ShaggyDaddy]

people buy gold because they think what works for nations and billionaires will work for the average person, in general they are wrong.

[dantesmama]

I've been wondering the same thing . . . mostly because all of a sudden I'm seeing commercials for tons of businesses advertising that they buy your old gold. Even big, reputable places.