Would You Like Some Gold With Your Chocolate?

Germans may soon be able to purchase gold in vending machines at the country’s airports and rail stations. It is said that the machines will charge a 30 percent premium (!) and prices will be updated every few minutes. Gold has generated significant investor attention, particularly in Germany, since the financial crisis hit. (HT: Naked Capitalism) [%comments]


Mike

At a 30% premium, every bet is a losing one.

Eric M. Jones

"A camera on the machine monitors transactions for money laundering controls, Mr Geissler said."

This introduces an amusing market in disguises. I am already planning mine. Somebody has too much time on their hands...and too much money.

frankenduf

we have this in america- funny machine tho- you have to pull on a lever and every so often some gold coins flow out- overall, the 30% premium is equivalent

blue92

Obviously I need to go create a business where people can exchange their dirty old currency for crisp new bills.

I'll only charge $1.20 per dollar though, because I'm such a nice guy and have the interests of the consumer at heart.

Tariq F

I can't think of a better testament to the fact that Gold prices are either in or approaching a bubble state.

Chance, Burlington, NJ

The Financial Times story caught my eye this morning...

Aside from the idiocy of such a scheme -- mentioned in the comments above -- I wonder about the impact of the Germans purported love of gold as a hedge against currency devaluation and the effect it has on the Euro...

Is there really that big a market for Gold in Germany?