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ARCHIVED DISCUSSION FROM 8/20/2001 All times are U.S. Mountain Time (Yesterday's Discussion.) Black Blade (08/20/01; 23:47:59MT - usagold.com msg#: 59990) Demand for rigs softens in U.S. Gulf of Mexico http://biz.yahoo.com/rf/010820/n20282329.html Snippit:HOUSTON, Aug 20 (Reuters) - Demand for offshore rigs in the U.S. Gulf of Mexico has softened after a natural gas drilling boom in the first half of 2001, but forces that could support a recovery may already be at work, analysts said on Monday. Drilling has slowed down in the waters off the Texas and Louisiana coasts in response to a steep drop in U.S. natural gas prices from record highs of around $10 per thousand cubic feet at the end of last year to levels of around $3 in recent weeks. The number of rigs working in the U.S. Gulf fell to 165 last week from 168 the previous week, bringing the utilization rate for the U.S. Gulf drilling fleet down to 77.8 percent from 90.5 percent in late April, according to Offshore Data Services.As markets outside North America continue to recover, some rigs will leave the Gulf of Mexico to seek their fortune elsewhere, helping reduce oversupply in the Gulf, analysts said. Furthermore, with output from existing U.S. natural gas wells declining by about 25 percent a year, the slowdown in drilling in the Gulf should soon lead to reduced domestic gas supplies, higher gas prices and greater demand for rigs, they added.Black Blade: Unlike Gold Mining, when prices for natural gas fall, more expensive extraction operations stop production, thereby placing a floor on prices by reducing supply. Gold miners continue to produce when prices fall by either high-grading their deposits and therefore shorten the life of the mine, or they operate at a loss, still placing more product on the market. These offshore operations for NG exploration and production are more costly, however, as the article points out - fewer operating drill rigs means less supply - and higher prices. Still, the number of drill rigs (both land and offshore) has more than doubled and there is less than 2% production increase. There is simply not enough land based drill rigs and experienced workers where the bulk of natural gas exploration occurs. Recent AGA data shows sharply declining injection rates ahead of the coming fall and winter season. Energy prices are destined to remain high and even head higher, perhaps much higher if fall and winter are normal to colder than normal. Watch the CPI jump higher (despite the spin and bogus statistical filters) - Could get "interesting." Gandalf the White (08/20/01; 23:11:47MT - usagold.com msg#: 59989) Thanks White Hills !! Please choose a set of numbers with the Hobbits lucky #37 in it !<;-) Black Blade (08/20/01; 22:57:41MT - usagold.com msg#: 59988) Woe Is Japan http://www.dismal.com/thoughts/article.asp?aid=1338 Snippit:The revision to the first quarter numbers, as irrelevant as they are, is the only positive development regarding the Japanese economy in recent weeks. The dire straits in which the Japanese find themselves is best illustrated by the Bank of Japan's recent Monthly Report, which assesses current economic circumstances as well as the Bank's outlook, and which makes for lugubrious reading. Consider the following fragments from the current assessment: "…private consumption remains flat…", "Housing investment is declining…", "public investment is also starting to decline…", "…Net exports continue to decline…", "Business fixed investment is also decreasing…", "Industrial production continues to decline…", "Corporate profits and business sentiment are also worsening…", "…household income seems to be weakening…" If that were not bad enough, the Bank's outlook is equally bleak: "public investment is expected to follow a declining trend.", "Net exports are likely to continue decreasing…", "…business fixed investment is projected to follow a downward trend.", "Industrial production is expected to follow a declining trend." Indeed, the BOJ seems to be resigned to a prolonged period of widening economic stagnation. Note the following statement: "…it seems to be inevitable that adjustments [read contraction] in economic activities…will continue for the time being. Moreover, the substantial decline in production would cause domestic demand to decrease and in turn generate the risk of adjustments [again, read contraction] in economic activities to spread even further."Black Blade: "Game Over" for Japan. With a zero interest rate policy, there is no room to maneuver. AG and the Federal Reserve will likely cut US interest rates tomorrow, yet many now ask: If there is no problem with the economy, why seven consecutive rate cuts? That perception will hound the US markets over the next few days. As far as the Japanese economy - "Kamakaze Economy" Indeed! goldquest (8/20/01; 21:59:14MT - usagold.com msg#: 59987) White Hills I am interested! Thanks much! Black Blade (08/20/01; 21:37:23MT - usagold.com msg#: 59986) Analysis: Big Oil Faces Uphill Climb http://dailynews.yahoo.com/h/nm/20010819/bs/energy_growth_dc_1.html Snippit:HOUSTON (Reuters) - It's like a portly gent trying to run up the down escalator: big oil companies are failing to meet production growth targets because they are using up mature fields faster than they can find and develop big enough new ones to replace them, according to analysts. Depletion from existing oil fields runs at an average rate of about 5 percent per year, and that has to be replaced by an equivalent amount of new production just to keep output steady. The bigger the company, the tougher the task it faces. Small independent producers can post impressive growth rates from a low base; not so for the supermajors. From 1998 to 2000 the six biggest publicly traded companies largely failed to replace the oil and gas they produced with new reserves, after stripping out the effect of acquisitions and revisions, according to the Andersen management consulting firm.Black Blade: "The Slow Burn." It is just a matter of time now. Demand continues to grow while reserves shrink and large oil fields reach their peak production or go into decline. Currently there is only about a 2 million to 4 million bbl/day capacity for increased oil production and refining. Refineries are also aging and some are scheduled for closure. No new refineries are being built due to the liability associated with environmental regulations. Ultimately it means the end of the Bull Market economy we have seen over the last 20 years as there is no longer any "Cheap Energy" to fuel the Bull - shake hands with the Bear. Gold is still cheap portfolio insurance. White Hills (08/20/01; 21:26:36MT - usagold.com msg#: 59985) auspec Just to let you know I was out there in Gold Basin saturday and found a little Gold. What a feeling. Not quite the same as receiving it in the mail from MK. Wednesday night the Arizona powerball Lottery is 175,000,000.00. Went by Rosie's early Sunday morning to get my tickets. I can't imagine the crowd that will be coming from Las Vegas to buy tickets. Once again I am willing to share my winnings with anybody posting on this forum. Just let me know if you are interested and I will assign you one of the numbers. If it wins we will split the 175,000.000.00. First twenty gets the numbers. By the way I have talked to few prospectors who haven't a clue what is happening to gold. Without exception I hear, gold is a commodity, it pays no interest, it is to expensive to mine, and nobody really has any use for it. After all aren't all the Banks selling gold? It is like they have all been programmed by CNBC. White Hills Black Blade (08/20/01; 21:09:54MT - usagold.com msg#: 59984) Agilent to Ax 4,000 Workers, Posts Loss http://biz.yahoo.com/rb/010820/business_tech_agilent_dc_3.html Snippit:SAN FRANCISCO (Reuters) - Electronics testing equipment maker Agilent Technologies Inc. (NYSE:A) said on Monday it would cut 9 percent of its work force and reported a third-quarter operating loss as it struggles to restructure its business amid persistent soft demand. Black Blade: I smell Chapter 11 by the end of next year. Dem Bones, Dem Bones, Dem Dry Bones…. All 4000 little piles of them bones - up on the heap with the rest of Dem "Bones." Black Blade (08/20/01; 21:03:16MT - usagold.com msg#: 59983) Forbes Body Count http://www.forbes.com/2001/01/30/layoffs.html The "Bone Pile" rises to new heights. The stench that signals the Recession is on grows more stale by the hour. This economy is in deep trouble and many more layoffs are coming. Time to lock in some PMs for insurance and stock issues continue to seesaw into oblivion. Black Blade (08/20/01; 20:57:23MT - usagold.com msg#: 59982) RE: SteveH - PPT http://www.publicdebt.treas.gov/opd/opdpenny.htm The Working Group on Financial Markets is not without precedent. In 1907, J.P. Morgan was approached during the "Financial Panic of 1907" by bankers who had invested the banks funds in the stock markets and the market was crashing. They informed Morgan that the banks were insolvent and that a run on the banks was eminent. Morgan loaned the bankers several million dollars to start buying stocks and create a "Faux Bull Market" on Wall Street. That time it had worked. This time, however, it is not just the upper classes that own stocks, but it is Joe Sixpack who has his 401K and other investment funds tied up in the stock market. It is a bit more difficult to keep a lid on the Pressure Cooker. The Working group on Financial Markets (PPT), which also includes investment houses, has a very difficult task on its hands. When Joe Sixpack bails then it's "Game Over." BTW, I keep hearing about the alleged "Budget Surplus." BS - There is no "Budget Surplus" and there hasn't been one since the early 1960's. This is a simple lie that no one is pointing out. If there is a surplus how come the national debt keeps rising? If the inflows exceed the outflows, then the national debt would decline - not increase. The "Munchkin" from the Wizard of Oz (Robert Reich) is on FOX spouting this drivel. I also heard Rush Limbaugh doing the same today. These clowns have no clue or else they are purposely misleading the people. The Federal Mafia has been dipping into the People's Pension Fund, just as the Sicilian Mafia had dipped into the Teamsters Pension Fund. No difference. slingshot (08/20/01; 20:00:58MT - usagold.com msg#: 59981) Silver Dollar I have in my wallet a Peace Silver Dollar. Both sides of the coin is badly worn. It has tarnished and has no date. You can see the portrait of Lady Liberty and a few letters of,IN GOD WE TRUST. The back of the coin displays an outline of the Eagle and the faint inscription of E PLURBIS UNUM. Strange how this description of this coin also can describe the state of the USA. Loss of Liberty. No faith in God. Our abilty to preserve Peace though Power Projection weakened.I have pulled it from my wallet to glance upon its worn surface. Imagined when it was a new coin with all its luster.How many hands has it passed through to create this image. But the thing I love to do is drop it on the counter and hear the sound it makes.With all the ravages of time it still RINGS TRUE. I'll let you all come to your own conclusion to this little story.Slingshot auspec (08/20/01; 19:58:01MT - usagold.com msg#: 59980) Reiteration Simply repeating a point----- Whether or not Congress has totally failed to properly supervise the US Treasury gold, they are FULLY CAPABLE of turning 2 blind eyes while the elitist's games go on. Believe it! SteveH (08/20/01; 19:42:34MT - usagold.com msg#: 59979) PPT www.kitco.com repost:Date: Mon Aug 20 2001 19:54sailor (dan (GoldBrick, I know the url is there, BUT the article has been substantialy altered,)) ID#14470:Copyright © 2000 sailor/Kitco Inc. All rights reservedsheesh dan, as I said, don't know what's wrong with you accessing the site. Sorry Kitco, I'll waste some bandwidth, but I am gona do some "cut and paste" so just dan don't feel so paranoid. Here is what I read, exactly the same what GoldBrick posted in the morning. Where is the missing part? Must be them alians working on your putter. -------------- Michael said: "George, et al: Has there ever been any documentation of the Federal Government ( PPT ) using taxpayer dollars to make purchases ( sales ) in the financial markets, and if so, how is it done? Thanks, Michael Spencer" My reply... Actually, the real name of the PPT is called "The President's Working Group in Financial Markets". This organization is documented and it includes US President, Secty of the Treasury, Presidents of each major stock & financial exchanges, Fed Chairman, Presidents of CFTC and SEC, and a handful of non-voting associates. The origination of controversy around government involvement in manipulating stock markets began when an op-ed piece appeared in the Wall Street Journal on October 27, 1989 by then Fed Chairman Robert Heller. The following is a link to a copy from library microfiche of that article ( sorry for the poor quality ) : http://www.geocities.com/cyclepro2/Share/wsj891027.gif The President's Working Group is not charted to make any "direct" trades affecting equity or financial markets. However, it really does not matter who is actually doing it, as long as the manipulation is effective. Since 1997 there have been very close ties between the major brokerage houses and members of the Working Group. In October, 1997's mini-crash it was rumored to be Goldman-Sachs and Merrill-Lynch on the trading floor of S&P futures that forced the bid to rise by almost $30 in a matter of a few minutes. Arbitrageurs took over and effectively inched the equity markets higher while trading the various spreads between indexes ( baskets of individual stocks ) and futures. I have also been told that it was Merrill that was instrumental in the first big "experiment" in 1987 by buying MMI ( Major Market Index ) futures that effectively stopped that crash from going any lower. With this scheme, no tax dollars are used to manipulate markets. The 1997 manipulation appeared to be rather obvious, particularly when looking at the real-time sequence of events that coincided at nearly the same time of the morning... 12 blue chip companies announced major stock buy-back programs of which IBM announced a buy-back of $10 billion ( even though they already had a $4 billion program already in progress ) and there is insufficient evidence to substantiate that IBM bought back even $1 dollar of the $10 billion. Since 1997 there have been several instances that left behind scant evidence of manipulation, but not enough to point the finger at any one individual or organization. They have apparently learned to be more and more transparent in their activities. The reason Goldman & Merrill are active participants in these schemes is simple... they have access to huge managed accounts where they can place ( ie: hide ) trades. Collectively across all collutive accounts, the effect is substantial. I am guessing that if you were to review the raw SEC archives of individual trade data the trades would appear to have been made by individual accounts in varying sizes rather than one organization. Once they start the ball rolling and momentum takes over, they can sell back their positions to close out and effectively capture a nice profit. Anyone privy to these events can certainly profit individually in what must certainly be the most effective insider trading opportunity that is likely to ever exist -- since the CFTC and SEC are involved, it is unlikely that anyone would ever be penalized for front-running the manipulation activity. As for other alleged government manipulation, check into the discussions offered by GATA on the price of Gold. I have to admit that the arguments that the GATA boys are putting together are rather compelling. andrus sommerselg (08/20/01; 19:37:40MT - usagold.com msg#: 59978) "Good old times" How true sir Sierra,Indeed we have lived the nuevo belle epoque. We may have a few more years and get to watch things unwind. People are tired, public sentiment is as low as morals; times are changing.Sir Netking; I have done just about the same not long ago. My act of a silver bar exposure made a convert. The operation was a success. The patient is alive and well. CoBra(too) (08/20/01; 19:35:52MT - usagold.com msg#: 59977) Is it the New Moon ? Woke up thinking about investing even more in physical gold, after all it is the only asset without "counterparty" risk - a distinction, which may become more important 'with the day'. Hey, we've had LTCM and Tigers and, of course, Barings, how about bailing some red herings, like GS, JPM/Chase or even the ESF? ... and disclose la meme chose with an overdose of black (pepper) scholes, stir fried by adding light rubin rose´ to the hot pot of the day! As it seems its more or less capital, as Moore Capital has to fess up to survive the day - I'm happy to say I wouldn't be a counterparty at risk to its decay - and all of that is only hearsay and not advice, I pray! Though, I pledge, I don't hedge, as the hedges tend to disappear, when the hedge-hogs are in need of cover ... like banks lending (credit) umbrellas at sunny days ... fellers, get ye some real cover for rainy days ...back to zzzz - cb2 Netking (08/20/01; 19:25:46MT - usagold.com msg#: 59976) Sierra Madre, Auspec, Rich, Solomon etc -Silver . . . not to mention watching the eyes of some my relations go "as wide as organ stops" when I produce a bar of polished silver bullion for them to look at and hold. . . Oh My! Rockgrabber (08/20/01; 19:17:22MT - usagold.com msg#: 59975) Sierra Madre, R Powell Sierra Madre, "The gold advocates are the lepers of todays society". Yep, hate to even leave the house I feel so dumb. If I bring up what is on my mind, I am a loony in the others minds. Sure is nice to have this place to come to, and see some others feel and think this way as well. Its the ultimate in contrary opinion, with the best sure hopes of success. Its OK what they think, we have worked hard to learn the truth on the matter, they have not. We stand to win, they stand to lose. I am sorry for them, but just look at their will to understand, Its not there. There are pits to fall into along this trail of life, if we do not be carefull we will find them. Cheers, to being carefull in understanding. Look forward to hiking with you all. Loving Nature, Fearing Bad, Rockgrabber auspec (08/20/01; 19:15:44MT - usagold.com msg#: 59974) Rich and Soloman Totin' a Morgan Dollar as of tomorrow! R Powell (08/20/01; 18:57:26MT - usagold.com msg#: 59973) Sierra Madre You mentioned that gold and silver investors should be ashamed of themselves, are out of touch with reality, are intellectually challenged and probably suffer from a loss of self-respect. Hey, man, nobody ever said it was supposed to be easy. You haven't been talking to the misses have you? Is it okay if we have some other redeaming qualities?I mean, I did once own one tech stock, for a short time about four years ago. Does that count? Like Solomon, I walk around with a Silver Eagle in my pocket and, as you stated, most people think I'm a little odd when I tell them about it. But don't worry, I don't think there are many of us,...yet. Beware the Fed. rate cut! Rich Sierra Madre (08/20/01; 17:59:52MT - usagold.com msg#: 59972) Why 99% of investors will not invest in Gold or Silver I guess we all know this, but perhaps we should remind ourselves now and then.99% of investors will not even think of investing in physical gold or silver. Why?Simple: they would feel ashamed of themselves, and self-respect is terribly important to human beings.Virtually all investors KNOW that only cranky people who are out of touch with reality, buy precious metals. Such people are of course "intellectually challenged" to put it mildly.Shame is a powerful weapon for controlling human behavior. Buying gold or silver is a shameful act, for whoever decides to buy is placing himself in low-class company. Only freaks buy gold. Goldbugs=kooks.The rulers of this world have done a great job of manipulation of public opinion, as regards gold ownership.Don't expect tomorrow's series "Gold!" on the History Channel, to depart from the script regarding gold ownership. The thrust of the programs will surely bash gold. The message: "it's beautiful as jewelry; it has had a great history of moving men; but that era is over; gold as money, as an investment, is dead forever." Don't say I didn't warn you. Turn off the audio and look at the program. Provide your own audio by talking to yourself.The gold advocates are the lepers of today's society.Only something really terrible is going to change that view.Maybe these are the "good old times". "Beware what you pray for, you may get it".Recalcitrant Sierra site steward (08/20/01; 17:22:41MT - usagold.com msg#: 59971) BR549 -- hot off the press! Looks like you are "Johnny on the spot", having taken a peak at the latest Monthy Treasury Statement while the cyber-ink was still wet.What you will see revealed by the numbers for July (page 20 again) is that, not surprisingly, there was no implied change to the Treasury's allocation of SDRs, and further, there was no change to the quantity of SDRs among total holdings.The change in VALUE that you will see represented from the beginning to the end of the month (for both the SDR allocations in the liability account and the SDR total holdings in the asset account) is a reflection of the dollar's exchange-rate downturn over the course of the month of July. As a consequence, each SDR held increased in dollar value from beginning to end, and that is what you'll see.We also see that the Treasury has maintained its level of monetization at $2.2 billion via the issuance of Certificates to the Fed. (At today's exchange rate of $1.283 per SDR, the outstanding Certificates result in the encumbrance of 1.715 billion SDRs held by the Treasury's Exchange Stabilization Fund. And from the For-what-it's-worth Department, due to the dollar's continuing exchange-rate decline, the quantity of the Treasury's encumbered SDRs actually decreases even as the Treasury holds its monetization steady over the past month with Certificates valued at $2.2 billion.)It looks to me some people throughout this time have been mistakenly interchanging the dollar value of these SDR and Certificate accounts as though they were quantities of SDRs. As I tried to allude to Friday, there is a distinction.I think that's probably the last of it you'll hear from me on this deal -- I'm sure everyone is yawning indifferently at my comments. However, since you've shown an interest, perhaps my Friday posts will now seem a bit clearer?R. site steward (08/20/01; 16:37:42MT - usagold.com msg#: 59970) U.S. gold in international trade for June 2001 I finally found a chance to distill the latest monthly trade report for its relevance to some of you who frequent this forum. The Friday August 17th release of June trade data from the U.S. Department of Commerce revealed that our overall imports of goods and services declined for the third straight month (down to $115.36 billion, the lowest since Feb. 2000), reflecting our economic slowdown.Interestingly, despite this spending malaise, our national level of imported gold actually rose for the month by approximately 4 tonnes, from $126 million in May to $163 million in June. Perhaps American investment interest in gold is beginning to show its mettle.Also despite this slowdown in our spending, our international trade deficit in goods and services still climbed from May ($28.5 billion revised) to $29.4 billion in June because our level of goods and services exported declined even greater than our imports...a reflection of the strong dollar (exchange rate) sustained through June.Were this $29.4 billion June trade imbalance to be settled by payments using gold instead of U.S. currency, nearly 3,375 tonnes would be required to settle this single month's account at then prevailing market prices.As it was, foreigners called for the United States to export $585 million (67 tonnes) of gold in June, resulting in a net outflow of approximately 48 tonnes (after accounting for our 19 tonnes of gold imports in June).Year to date, our cumulative net outflow of gold for year 2001 has climbed to approximately 307 tonnes, outpacing last year's level of 201 tonnes at this time.We are on pace to lose over 600 tonnes of gold for the whole year. For perspective, our annual supply from domestic production is only 350 tonnes. Will you give up your own gold to help fill the gap?Alternatively, I suggest to call Centennial to acquire more, especially now that the dollar appears to have taken a turn for the floor -- seemingly peaking in early July. The Fed will likely soften monetary policy yet further tomorrow. How safe is your form of savings?Randy Solomon Weaver (08/20/01; 16:22:05MT - usagold.com msg#: 59969) Snipett on Silver Market http://news.moneycentral.msn.com/ticker/article.asp?Feed=BW&Date=20010813&ID=995722&Symbol=US:PAAS SILVER MARKET Silver prices in the quarter continued the disappointing downward trend set in late 2000, reaching a low of $4.30 in late June. July prices trended lower again, to a low of $4.19 on July 16. This is a 26-year low in real terms and, we believe, is simply unsustainable in the face of the massive silver deficit which has consumed over one billion ounces of silver inventories since 1990. Despite economic weakness in major markets, silver use in industrial and photographic markets has increased to date in 2001, according to a recent independent report by CPM Group, though silver use in jewelry and silverware registered a modest decline. We believe mine production of silver will decline in 2001 and for the next few years due to the closure of many large silver-producing mines and the opening of few new ones. The silver market at present, like many other markets, is technically driven rather than fundamentally driven but it is inevitable that the fundamentals will be asserted at some time and this should be accompanied by a strong upward correction in silver prices. Pan American Silver - most recent report on Q2 2001Poor old Solomon BR549 (8/20/01; 14:34:31MT - usagold.com msg#: 59968) Head 'em Up and Move that GOLD Out http://www.fms.treas.gov/mts/mts0701.pdf Randy-"Additional holdings of SDRs acquired outside of the IMF allocation quotas are added only to the asset side of the ledger. This asset side is adjusted downward according to any SDR Certificates that have been issued. Think of these Certificates as the title to an equivalent value of SDRs, similar to the title you provide to a bank to represent your car if you are using it for collateral on a loan."Now that I had a chance to further analyze the Treasury financials, I think it looks more like a Banksters Income Statement than a balance sheet. site steward (msg#: 59960)Now that I had a chance to further analyze the Treasury financials, I think it looks more like a Banksters Income Statement. The new Treasury Report for July, 2001 has just come out at 2:00PM Eastern today to update your previous link you provided in your last post for June report. It looks as though 2,200 additional SDR Certificates have been transferred from the Treasury to The Federal Reserve Bank. The total balance of SDR's remaining in The Treasury is down to 8,318 from the previous months 10,518. It seems as though 2,200 was the remainder of the Fed's balance of SDR Certificates. Wonder if the Fed spent their remaining 2,200 last month? Is the 2,200 number just a coincidence? Did I read this data correctly?I will check the Fed's new financials when they are updated to see if they show up there and to make sure that I am not double counting.@Chris Powell of GATA-More gold moving out of the coffers perhaps? Netking (08/20/01; 13:37:45MT - usagold.com msg#: 59967) Australian gold industry warned http://www.theaustralian.news.com.au/common/story_page/0,5744,2633136%255E462,00.html Snippit:"GOLD prices spiked upwards late last week, coinciding with two stark warnings about the ability of Australia to maintain its standing in the industry.The slow decline in Australian gold production is expected to accelerate over the next year with the closure of large and long-standing gold mines.Meanwhile, Australian Gold Council chief executive Greg Barns told a resources conference in Perth that Australia faced losing its mineral exploration sector to Canada and Britain unless both the Coalition and the Labor Party realised that explorers needed help to attract venture capital . . . Surbiton director Sandra Close warned that, in the coming year, the amount of gold production lost because of mine closures would be greater than the extra output from new projects and capacity increases. She said the Australian industry had done a remarkable job in maintaining overall gold output in the past few years. However, you cannot defy gravity forever and closures over the next year will begin to bite . . . Tommy P (08/20/01; 13:06:15MT - usagold.com msg#: 59966) Ames goes down for the count http://www.bloomberg.com/welcome.html OH no hey but the Dow is up??? Netking (08/20/01; 13:01:06MT - usagold.com msg#: 59965) More suicide bombers in Israel just waiting for the order http://www.haaretzdaily.com/hasen/pages/ShArt.jhtml?itemNo=65774&contrassID=1&subContrassID=1&sbSubContrassID=0 The military wing of Hamas said Monday it had suicide bombers in Israel waiting for orders to avenge the deaths in the Gaza Strip of a Palestinian activist and his two children. "We have mujahideen (fighters) inside the Zionist entity awaiting the signal to explode like an earthquake and turn the Zionists to pieces," a member of Hamas's military wing, Izz el-Din al-Qassam, shouted over loudspeakers before Abu Zeid's funeral. MarkeTalk (08/20/01; 12:46:25MT - usagold.com msg#: 59964) Syrian military buildup in Lebanon http://www.ddolan.com/update.html Here is the link to David Dolan's website regarding the aforementioned story. MarkeTalk (08/20/01; 12:43:50MT - usagold.com msg#: 59963) Syrian military buildup in Lebanon Today's edition of David Dolan's Middle East update mentions the movement of Syrian troops into Lebanon. This comes on the heels of street demonstrations and vitriolic rhetoric (Israelis = Nazis) used to inflame the people. The drums of war are beating once again. Also Israeli inspectors discovered around 10,000 Israeli manufactured bullets being smuggled into the Gaza Strip today. The question arises: what else has been successfully smuggled into Gaza and the West Bank recently? Rumors are floating around that some of the suitcase nukes that are missing from the Russian arsenal were sold to Iran and have now ended up under Palestinian control. Now that's a scary thought!Did anyone watch "60 Minutes" last night? The top story was an interview with a Hamas leader (now in prison) who recruited a suicide bomber. Anyone listening to his zeal to destroy Israel will quickly see that he and his cohorts will not listen to reason. I liken his ambition to destroy Israel to that of the Japanese kamikaze pilots during WWII. All of this leaves Israel with some very unpleasant options. If Saddam Hussein and/or Syria attack Israel with their millions of "volunteer" troops, Israel will have no choice but to go nuclear. A biological or chemical warfare attack would elicit a similar response. A good friend with contacts overseas told me that Israel has developed a battlefield neutron nuke that can be shot out of a tank gun. It obliterates all living things for a couple of square miles. The radiation drops off pretty quickly and no buildings are destroyed.Bottom line here: What do you think the prices of oil and gold will do if/when the foregoing scenario comes to pass? You can count on the Gulf state Arabs to play "the oil card" and then watch oil skyrocket. Gold will not be far behind. Then the old saw will take on new meaning: It is better to be an hour too early rather than a day too late. Once again, I urge all of my clients here at Centennial to re-evaluate their gold holdings and to call me if they need to buy more gold at these ridiculously cheap prices.GC site steward (08/20/01; 12:25:06MT - usagold.com msg#: 59962) Fed adds reserves to banking system The overnight market in fed funds was trading soft at 3.69 percent, and with the FOMC meeting this week, financial institutions are clearly signaling expectations of a target rate cut. Depsite the liquidity/softness, the Fed partook in repurchase operations to add $6.52 billion to reserves ($4.515 billion via 3-day RPs, $2.005 billion via 28-day RPs). In the process, the bid rates were low and the stop outs were ballpark 3.5 percent.Will the Fed surprise with deeper cuts? Stay tuned.R. BR549 (08/20/01; 12:21:49MT - usagold.com msg#: 59961) The Art of Federal Accounting site steward (msg#: 59960)You are correct sir! Thanks for the insite and for doing the research for me. The Fed uses standard accounting but alas, the Treasury does not.@ cb2-I enjoy your posts 2cb. I know that Venus of Willendorf would look great in your house. 30% Discount for GOLD! (if the artist OK's the deal and she didn't sell it while in L.A.) site steward (08/20/01; 12:08:38MT - usagold.com msg#: 59960) BR549, regarding msg#: 59935 http://www.fms.treas.gov/mts/mts0601.pdf Thanks for the follow up commentary yesterday! With the help of your additional comments I've now been able to identify the primary source of our difficulties. It appears that you have been attempting to paint the Treasury (and its financial statements) with the same brush that is used for banks (and their balance sheets) and for the Fed in particular.The Treasury would have a financial condition (and statement) that is far more akin to that of a household than that of a bank. On a bank balance sheet we WOULD expect to see assets and liabilities balance because that's the nature of the money game they play. But when you look at your own household accounting, do you truly expect to see equal liabilities for every asset that you've managed to acquire over the years? (Yet unlike the Treasury, let's hope our household books are operating primarily in the black, rather than in the red. Yikes!!)I can sure appreciate your loathing of research. Life is definitely too precious to spend it all in the stacks. And since you requested my assistance to hasten this task, let me direct you to the appropriate monthly statement from the Treasury. You can download the pdf at the URL given above, and then direct your attention to page 20 on which you will find the treatment of the SDRs (and outstanding Certificates) within the Treasury's assets and liabilities accounts.On another item, you said, "Maybe I am misunderstanding how this works and I agree with your summation of JT's theory. I don't think you are wrong in your summation of what he contends..."Here I think you may have mistakenly attributed someone else's work to me. Nowhere do I recall posting a summary of JT's theory, nor have I attempted to either support or refute his conclusions. That's simply not my place. To be sure, the material on SDRs that I posted (on Friday) was certainly done as a consequence of the attention that James fostered regarding SDRs among forum participants, but my post was offered merely to provide a neutral and parallel commentary explaining the accounting of the Treasury's SDR holdings and the protocol for their monetization (via Certificates) by the Fed. And in that singular regard, I did truly hold up for glorification one of Mr. Turk's paragraphs that touched upon that issue I was addressing.However, I continue to remain silent, then and now, on ANYbody's (and everybody's) proposals of connections between SDR accounts and gold accounts. I'm not discounting that deals have been struck behind the scenes, but the closest I've seen to a drag on the U.S. by these SDRs was suggestions by Fed Chair Arthur Burns during the mid-1970s that the U.S. might gradually pay off this "debt" to the IMF, assuming that other nations would accept the SDRs at this time when the dollar was not eagerly wanted --the SDR becoming an accounting "window" to exchange dollars for other, preferred, convertible currencies. It may in fact show up tomorrow, but I have yet to see any balance sheet or financial statement that would reveal that such an SDR payback deal has now been struck in gold. Time will tell. In the meanwhile, I am content to justify my own gold acquisitions and holdings on another basis. Many roads lead to Rome, do they not? See you there!R. diehard (08/20/01; 11:28:18MT - usagold.com msg#: 59959) diehard`s Parable of Homo Neanderthalensis An average investor has lost roundabout 60-70 % of his hard-earned invested capital since the Nasdaq `s Salami Crash in early 2000, which still takes hold on until today and perhaps infects the holy grail Dow Jones Industrial Index, too. Hard times for an average investor and his family, he/she must feel like living in a den of woe , like the early Neanderthalers and the Australopitheci ( all successors of Primates )did. Sitting in their woe on a small fireplace running out of food and water and wood , to get the fireplace (investments, averaged down and down to cut losses) burning to escape from the coming winter which will freeze the cave and definitely wipe out the fire. The average investor (Neanderthaler) even fears to get out of his den of woe , to gather new wood and commodity and everything he needs to survive, but, outside of the cave waits a nasty and big bad snake which is even more hungry for the Neanderthaler , waiting patiently for him , to come out of the cave. Some possibilities are left for him: either to starve, or to get frozen, or prior to that, getting sacked by the snake. Tommy P (08/20/01; 09:57:28MT - usagold.com msg#: 59958) http://www.theglobeandmail.com/servlet/GIS.Servlets.HTMLTemplate?tf=tgam/common/FullStory.html&cf=tgam/common/FullStory.cfg&configFileLoc=tgam/config&vg=BigAdVariableGenerator&date=20010820&dateOffset=&hub=business&title=Business&cache_key=businessColumnistsHeadline¤t_row=3&start_row=3&num_rows=1 good read USAGOLD (08/20/01; 08:55:10MT - usagold.com msg#: 59957) Daily Commentary & Review: Deutsch Bank Encouraged by Gold Action http://www.usagold.com/Order_Form.html Note: If you would like to receive an information packet on gold (how to buy it -- our products and services) and a free trial subscription to our newsletter, News & Views, please go to the link above. For those seeking a higher level of understanding with respect to the gold market, many of the concepts addressed briefly below are covered in detail in our upcoming 32-page Quarterly Review. Please go to the link above to register for your packet.- - - - - - - - - - 8/20/01 In Brief: Gold started the week on down note in New York after a fairly healthy showing overseas. One London trader attributed the downside correction to a build-up in long positions that would have to be traded at some point to realize a profit. Such speculative positions often act as a drag to the market. Deutsch Bank taking the longer term view says, "The gold price rallied to a 12-week high on COMEX, which is encouraging for further gains, especially in the case of further U.S currency weaknesses." That buying principally by hedge and commodity funds in Friday's session drove gold over the $280 mark (up $4). . . . . . . (MORE) CoBra(too) (08/20/01; 08:22:36MT - usagold.com msg#: 59956) @BR459 Hello there good Sir, love your insights - even as you do state to hate research, as I do - your logic is more than mere food for thoughts. Sorry to be brief, as I just wanted to acknowlede my appreciation of you'r being here - regards cb2PS: Venus of Willendorf has found a worthy artist to reproduce the old statue to some more than historical use. BR549 (8/20/01; 07:51:47MT - usagold.com msg#: 59955) Re-Post by Paul Andrew Mitchell SteveH (msg#: 59947)I guess that the Russian's plan to introduce gold coins into their economy to remove FRNs from under their citizen's mattresses won't work in the US if JT is correct.Going to a value-based currency on the silver standard instead of back to the gold standard would resolve the problem of all of our gold being depleted out of the national treasury. Of course, if the gold is still physically there and merely encumbered, then the Fed simply can default on its obligations to deliver physical gold and distribute FRN's for its SDR debts. Then deliver denominated gold and silver coins to its citizens in exchange for their FRN's, comparable to what is beginning to take place in the rest of the world.US. Silver bonds and "U.S. Notes" are replacing FRN with another form of fiat and the citizens will never believe that the future exchange for the actual metal will ever take place. Since paper is much easier to carry, a Certified Silver or Goldnote Certificate that can be exchanged for a given weight of gold 1:1 might be a fiat that would work (if the possibility for manipulation could be controlled). According to the critics, one of the disadvantages of introducing value-based currencies into the economy is that underlying PM's might fluctuate destabilizing the value and buying power of the instrument. Another concern is that value-based currencies would be hoarded by the citizens causing deflation as the money supply contracts. I think that the hoarding of value-based currencies would be good and severely limit the CB's manipulation capabilities. At least individuals would have PM's in their possession.The disruption that the direct injection of valued-based money may cause would be mild in contrast to the world war and internal strife that could result from Mr. Mitchell's solution. As long as Congress is elected and not appointed, the unjust, and some say illegal IRS, will reign supreme as the tool for the welfare states redistribution of wealth.Food for thought. R Powell (8/20/01; 06:52:12MT - usagold.com msg#: 59954) Dollar drop nears danger point Black Blade If and when the world currency traders decide to sell dollars in mass, the electronic trading system will provide the means for an almost instantaneous move. I don't believe even the combined efforts of the ESF will be able to do anything other than "soften" the shift. A.G. and his buddies meet again this week. Can the dollar withstand more weakening (lower rates)? I see the $ hold or sell decision as comparable to a cliff in that some certain amount of sell orders may trigger a mass exodus. Perhaps another half point? this week? Rich Black Blade (8/20/01; 06:29:40MT - usagold.com msg#: 59953) The Great Depression vs. the Millennial Slowdown http://www.businessweek.com/bwdaily/dnflash/aug2001/nf20010820_857.htm Snippit:It's easy to dismiss the parallels between then and now as superficial, but the similarities still ring with unsettling echoesBlack Blade: Give it time. Interesting review of history. Black Blade (8/20/01; 06:24:09MT - usagold.com msg#: 59952) Dollar drop nears danger point http://cbs.marketwatch.com/news/story.asp?guid=%7B577F4AD4%2D9920%2D4CCF%2DAEFB%2DAEE72225A1E5%7D&siteid=mktw Snippit:"Once currency traders pick up on any hint that the U.S. is no longer pursuing its firm currency policy, they will open the gates for a dollar decrease, which would be precipitated by hedge funds, asset managers and speculators," said Ashraf Laidi, chief currency analyst at MG Financial group, in a recent note to clients. The exit from a currency so plentiful, and held mostly overseas -- only about 30 percent is held safely within the U.S., Laidi noted -- will not be smooth and orderly like a fire drill. Bullies in the world's biggest playground have no respect for teachers and their whistles when money is involved.Black Blade: We shall see. Could get "Interesting." Black Blade (8/20/01; 05:54:27MT - usagold.com msg#: 59951) European Markets All Red http://quote.yahoo.com/m2?u European Markets have followed the Asian Markets into the red. However, the US Market indices have staged a "surprising" turnaround into positive territory in the last hour. "Interseting" Netking (8/20/01; 04:01:22MT - usagold.com msg#: 59949) Fed Meeting May Leave Stocks Cold - (Capital Flight To Come) http://www.reuters.com/news_article.jhtml?type=businessnews&StoryID=167800 Snippit:". . . Foreigners own a substantial amount of our securities, and if the dollar starts to weaken, they're going to worry about depreciation of value, and they're going to sell to try to avoid that," Herrmann said. "Or ... they may start to withdraw from additional purchases, both of which put pressure on our equity and fixed-income markets . . . " -----------------------------------------------------------As we've been saying, EXPECT a "capital flight" when the dollar "really" starts to drop, as it will. - Netking Netking (8/20/01; 03:48:01MT - usagold.com msg#: 59948) Fujitsu to cut 16,400 jobs http://news.bbc.co.uk/hi/english/business/newsid_1499000/1499971.stm Snippit:Japanese chip and PC giant Fujitsu has unveiled a restructuring plan which will see 16,400 jobs go, two-thirds of them outside Japan, to counteract the global slump in demand for technology . . . " SteveH (08/20/01; 01:55:15MT - usagold.com msg#: 59947) repost http://www.supremelaw.org/wwwboard/messages/1175.html this is a repost!WE MAY NEVER SEE A RETURN TO GOLD AND SILVER--------------------------------------------------------------------------------[ Follow Ups ] [ Post Followup ] [ Supreme Law Firm Discussion Forum ] [ FAQ ]--------------------------------------------------------------------------------Posted by Paul Andrew Mitchell, B.A., M.S. on July 15, 1998 at 13:17:17:In Reply to: WE MAY NEVER SEE A RETURN TO GOLD AND SILVER posted by Shane Hanson on July 13, 1998 at 19:13:17:: I am posting a message here because after having read a large number of the postings and replys I beleive that many of you are very knowledgable on the subject of restoring our constitutional government. I will accept any and all replys weather posted here or sent to me via e-mail.: I would especially like a reply from Paul Mitchel as I believe he is one of the more knowledgeable persons in these matters.: Also feel free to copy and send this message to any one who may have a solution and have them respond to my e-mail address TruthZone1@aol.com: Now the problem,: I have been studying for quite some time now on the reestablishing of our constitutional government. I have found that what I beleive to be the root cause of the decay of our freedoms (out side of multiple acts of corupt men) I beleive it to be our present standard or system of money, brought about by various acts since the 14th ammendment.: In The Constitution of the United States Artic1e 1 Section 10 it states that the only way to discarge debt is with gold and silver. So if I use a federal reseve note to buy an item, food, the debt for that item is not paid. When the circle of who owes, for the item purchased, is complete it is me that still owes for that item. I am then bound (enslaved) to discarge that debt lawfully (with gold or silver). : And so begins the problem,: Lets say by some chance I do obtain gold or silver for a service I provided. You cannot purchase gold or silver with federal reserve notes as you will still owe for it. Now if I decide to use it no one is willing to take it as payment. I am forever stuck having to purchase my food with a debt and there by enslaved.: I know there is a solution ALL of america must once again start mining gold or silver and using it to pay debt and buisnesses must once again start accepting gold or silver for debt. But I see no possibility of this: The question is how in all the wide universe am I to remove this horific burden. Untill we/I/you are able to pay debts in gold or silver we/I/you are slaves. No freedom or liberty or justice for all.: HELP!!! HELP!!! HELP!!! HELP!!! HELP!!! HELP!!! : I do hope everyone see were I am coming from on this it is in my opinion the single most impotant area that need to be dealt with before any of us can reestablish our freedoms.Assume for the moment that the Congress can bepersuaded to face the cruel facts, and to abolishthe federal income tax completely (because thosetax revenues are not paying for ANY governmentservices whatsoever) and replace it with nothingat all (not even a national sales tax). Wheredoes this action leave us, as a nation and as aneconomy?The answer is important and also difficult,because of the economic complexities that wereintroduced by the Federal Reserve System.In the book entitled "The Federal Zone," the IRS and the Federal Reserve Banks arelikened to two pumps, working in tandem: thebanks pump money and credit INTO the economy,and the IRS pumps (sucks?) money and creditOUT of the economy. The real economic reasonfor having an IRS, in its present configuration,is to maintain the purchasing power of FederalReserve Notes. If FRN's were allowed to floodthe marketplace, without a counter-balancingforce to remove them from the marketplace, wewould experience the very same hyper-inflationwhich plagued Germany after World War I.Thus, it is clear that, to stop this essentialconnection, the two pumps must be stoppedat approximately the same time.Only a very few, quite brave Americans have hadenough courage and insight to face a solutionwhich may not be too obvious to those who areless educated about monetary systems, and monetary fraud. This solution is, very simply,that the foreign banks who have extracted immensewealth from America, via the federal income tax,must now "eat" the Treasury Bonds which they purchased with money they created out of thinair, quite literally.Remember, the FRB pays Printing and Engravingless than 3 cents per FRN, REGARDLESS OF THEDENOMINATION on each FRN. Then, FRB obtainsa legal lien on collateral equal to the facevalue of the FRN, PLUS INTEREST. Thus, fora total cost of 3 cents ($0.03), FRB gets tocollect about $107.50 from our economy(assuming 7.5% interest on a $100 FRN).This much leverage is obviously unjust enrichment, because the $0.03 "cost" isalso created out of thin air.The crucial connection which must be recognizedis that FRN's do not get created now, until andunless the debt ceiling is raised. Put in simpler words, FRN's do not get created, untiland unless more Treasury Bonds are sold, andFRB gets preferential treatment on the purchaseof such bonds.Thus, to break the cycle of monetary fraud,cash must be created without also increasingthe federal debt, without also authorizingthe issuance and sale of additional TreasuryBonds, and without also increasing inflation.Remember, higher prices are not the "cause"of inflation; higher prices are the "effect"of inflation, which is defined to be adisproportionate increase in the money supply,relative to the amount of goods and servicesbeing exchanged.The solution which JFK devised, was to authorizethe printing of "U.S. Notes" (the ones with thedistinctive "red dot" Treasury emblem). Somebelieve that it was this action, among others,which cost JFK his life.U.S. Notes were a straightforward solution toeliminating the connection between cash creationand debt ceiling increases. JFK's U.S. Noteswere NOT created at the expense of additionaldebts payable to foreign banks, via the Treasury Bonds which would normally have beensold to those banks. Despite the obvious risksinherent in this solution, it remains a viable one, whether or not those U.S. Notes are actually redeemable. Please defer, for themoment, the question of redemption.The main advantage which U.S. Notes have overFederal Reserve Notes, is that the former haveno interest expense attached to them, whereasthe latter do have an interest expense attachedto them (in addition to the problem of theFRB's huge leverage, discussed above).Another, quite similar solution is to issue"Silver Bonds" which are Treasury Bonds whichare only redeemable in silver substance, at theirmaturity date. A proposal was made last year toissue Silver Bonds with 1-, 2-, and 3-yearmaturities, and interest rates slightly above market rates. This program would be coupledwith an aggressive federal government programto mint large numbers of silver dollars (notthe "clad" coins we currently use). Thoseindividuals and companies who had raw silverto sell to the Bureau of Engraving and Printing,would be paid in bank credit, Silver Bonds, orU.S. Notes, but NOT in FRN's.The other aspect of this program would be torecall Federal Reserve Notes on a one-to-onebasis with new U.S. Notes, "over-the-counter"(i.e. no bank accounts, cash transaction reports,or SSN's required). FRN's would be treated as"bearer bonds" (for those of you who know themeaning of that term).Once the silver coin production is ramped up,Congress can deliver on its promise to redeemSilver Bonds when they mature. Later, as thesupply of FRN's dwindles and the correspondingsupply of U.S. Notes increases, Congress wouldbe asked to phase in a redeemable U.S. Note,in a fashion which eases the transition to aredeemable currency. Silver bonds would bevery attractive investments for public agencies,like state governments and their politicalsubdivisions. At maturity, of course, SilverBonds could be used to purchase more Silver Bonds.The quantity of Silver Bonds to be issued, wouldbe controlled by the amount of silver dollarsto be minted; clearly, this is the kind ofdetermination which Congress has constitutionalauthority to make.The major problem which must be solved, underthis new national policy, is the massive "skew"which is present in the substantive equivalentof the FRN. One silver "dollar" today buysabout seven (7) Federal Reserve Notes. As long as the FRN circulates, and as long as sucha skew exists, people will be better off totrade their silver for FRN's, because theyget 7 FRN's for each silver dollar. Obviously,if you are buying milk and bread, you are muchbetter off to be holding FRN's, because youhave SEVEN TIMES as much purchasing poweras you would have by holding silver, in thesame "nominal" amounts. ("Nominal" here means "face value"). Forcing people to exchangeFRN's for silver, in nominal amounts, resultsin stealing huge amounts of money from thepeople who possess those FRN's. That is themajor reason why U.S. Notes are printed -- to moderate the FRN's inevitable devaluationto zero.Thus, the withdrawal of FRN's from the entireeconomy represents a massive, one-timeeconomic adjustment which must occur.The proper place for an open and candiddiscussion of the consequences, would bethe committee which conducts hearings onthe legislation that must be enacted, forthis program to go into effect.Without more study, it is impossible to beexact about the magnitude and distributionof "damages." But, take this one example:John Doe is persuaded to spend $100 FRN'son a silver bond, which matures at, say, 5% in one year. One year later, he gets $105 insilver dollars. He then turns aroundand exchanges them for $735 in FRN's (becausethe FRN's are still circulating at 7-to-1).Then, he goes to the counter of his friendlylocal bank, and exchanges the FRN's forU.S. Notes, one-for-one. Clearly, this isnot the kind of "appreciation" which Congresswould, or should, intend. Conversely, if theexchanges flow in the opposite direction, Congressshould never "force" such a massive devaluationin the common man's purchasing power. Thefederal income tax has already done enough ofthat, for the past 85 years!! The new national"policy" is to keep the money in our country.Putting a future "kill" date on the FRN onlyaggravates the problem I have described above,because people will not be able to "defer"their decisions after that deadline. As ofa particular date, the FRN is officiallyworthless. This "kill" date must also becoordinated with legislation which dishonorsthe Treasury Bonds which foreign banks nowown (i.e. we must shut off both pumps atapproximately the same time).Clearly, if the Silver Bond solution is adopted,the maturity dates on these bonds also need to becarefully coordinated with the deadline fortotal withdrawal of the Federal Reserve Note.FRN's can be used to purchase Silver Bonds;or FRN's can be traded for U.S. Notes,"over the counter" and "one-for-one" atall participating banks (read "all banks"by law). To illustrate, the ramp-up in mintingof silver coins should begin BEFORE the firstSilver Bond matures, and enough silver dollarsmust be warehoused to cover all Silver Bondswhich may get redeemed. By law, I would require100% of all Silver Bonds to be redeemable, on demand, as proof of the good faith andcredit of the United States (federal government)under this new program.Now, assuming that the U.S. Treasury Dept.can develop bank and consumer regulations which smooth this important transition, whatare the real political ramifications? The answer to that question falls squarely on the willingness of wealthy foreign banks to tolerate the huge amount of debt they must eat,as a result of implementing this solution.Dr. Edwin Vieira has confronted this problem,in his essay "Return to Constitutional Money,"and concluded that these foreign banks shouldbe given no choice in the matter: either eatthe debt, or face criminal racketeering charges.There are many educated Americans who fear thatthese foreign banks would choose instead to wagean overt war against America, rather than foregoall this future revenue. The federal governmentmust face this possibility realistically, andtreat any such threats as nothing less than anexpression of treasonous intent to invade ourshores. A policy of peaceful transition mustbe clarified by the Congress, and our loyalmilitary must be alerted to the probability of foreign invasion during this period oftransition.Indeed, the foreign invasion appears alreadyto have begun, under auspices of U.N. command.The United Nations is controlled by the very same foreign banks who now hold massive numbers of U.S. Treasury Bonds slated for dishonor.I don't want to get too "far out" with adiscussion of probable future scenarios.However, it is essential to understand thatthe foreign banks who presently hold TreasuryBonds, must face a future in which thoseBonds are destroyed, because it is the newpolicy of the United States (federal government)to dishonor bonds which were acquired by meansof fraud and racketeering by foreign banks,particularly if the real leverage of their"scheme" is in a ratio of $107.50-to-$0.03!I assume you all have calculators to do yourown computation of this ratio.Sincerely yours,/s/ Paul Andrew Mitchell Old Yeller (08/20/01; 01:36:37MT - usagold.com msg#: 59946) Mr.Gresham's law http://www.lewrockwell.com/blumert/blumert35.html File under misplaced assumptions or blatant propaganda;"The experts said the "sandwiches" would circulate side-by-side with the silver coins for an eternity"Sure they would,just as the gold price would fall when the gold window closed.That's because gold is an obsolete monetary relic and modern financial instruments would carry the day.Got some more neat stories for us?Amazing,the same old'same old;thirty years down the line.The key question is,just how much bigger is web of deceit and skullduggery this time around?Pull up the lawn chair,relax and watch the show. Netking (08/20/01; 00:45:18MT - usagold.com msg#: 59945) MarkeTalk Sir MarkeTalk, Your posts continue to be ones that I read & re-read always getting much from them, thanks. Black Blade (08/20/01; 00:14:05MT - usagold.com msg#: 59944) Asian Markets Still Crashing! http://quote.yahoo.com/m2?u A quick post before I too crash for the evening. Note to Nikkei and Hang Seng: "Last one to go sub 11,000 is a rotten egg." Black Blade (08/20/01; 00:01:52MT - usagold.com msg#: 59943) RE: MarkeTalk Indeed - "Interesting Times"Golden Dreams All!- Black Blade ViewYesterday's Discussion.
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