Posted by
Contrarian Guitarist on Tuesday, March 11, 2008 12:01:38 PM
The same people that brought you the "dot com" boom and bust, the Gold Rush, the house flipping/sub-prime mortgage craze, etc, is now propelling oil, gold and other commodities to record highs. Note the sentence found in the middle of
this article, ""This is out weighing the impact of" supply and demand, they added". In other words, investors are flocking to commodities as a "safe haven" for their money. Not really. They are trying to get rich quick. Some will. The first ones out will. Kind of like in a pyramid scam.
If you had invested in gold in 1980 and held on to it, you would have broken about even today. Well not really, you would've lost about 50% to inflation. If you had invested in Microsoft in 1980 you would have, oh never mind, I don't want to really depress you.