Welcome to the USAGOLD Gold Discussion Archives. The archives of this gold discussion forum are a treasure trove of information to educate investors about protecting their wealth through portfolio diversification with private gold ownership. The discussion forum also covers the wider issues of the past, present, and future role of gold in international monetary policy and the dynamics of the modern gold markets...
The opinions posted by all guests are expressly their own and do not necessarily represent the views of the management or staff of USAGOLD - Centennial Precious Metals. The hosting of the public discussion shall therefore not be construed as an endorsement by USAGOLD - Centennial Precious Metals of any of the opinions posted here.
ARCHIVED DISCUSSION FROM 2/2/2006 All times are U.S. Mountain Time (Yesterday's Discussion.) Liberty Head (2/2/06; 23:27:27MT - usagold.com msg#: 141222) My State of the Union Speech When fascism is the trend, gold is your friend.Best Wishes ski (2/2/06; 23:16:09MT - usagold.com msg#: 141221) check-in Ahh Sooooo.... The Year of the DogPer the Rude Awakening .... as of 1-30-06Silver year-to-date 11.7%Gold year-to-date 10.1% Mthirsty1 (2/2/06; 22:54:22MT - usagold.com msg#: 141220) nice Right on waverider.M. PH in LA (2/2/06; 22:52:34MT - usagold.com msg#: 141219) Checking in Greetings MK,I'm still here almost every day, as I have been since the beginning, too. After all these years, there does seem to be a lot of empty chairs around the table: Another, FOA, and Belgian are especially missed. Would sure like to see them check in once in a while! Mthirsty1 (2/2/06; 22:45:16MT - usagold.com msg#: 141218) Money show http://www.moneyshow.com/channelms/webcastschedbyshow.asp Alot of gold seminars at the money show tomorrow. LimitUp (2/2/06; 22:28:25MT - usagold.com msg#: 141217) CHECK IN To MK and all the posters thanks "a million" To the moon! Gandalf the White (2/2/06; 22:02:31MT - usagold.com msg#: 141216) <;-) YES, Sir MK --- I too am " checking-in " ! Having been here at the TABLEROUND since "DAY ONE", (it truly is my HOME PAGE), I feel honored to have been a very, very small part of your successful "trial" effort of the USAGOLD FORUM webpage. So many great Goldhearts have graced the FORUM with their wisdom (and also artistic efforts) related to the really important matter of education about TRUE WEALTH protection. Because of the comradaeship here, I get a warm inner feeling when I log onto the FORUM each day. "THANK YOU", for your continued efforts !GandalfPS: Sorry to be so late arriving at the FORUM, but I am trying to increase the numbers of hours in each day, as there are far too many things yet to do and so little time. I still have GOLDFEVER and hope even more internet surfers catch it at the USAGOLD FORUM !<;-) Druid (2/2/06; 21:39:04MT - usagold.com msg#: 141215) Checking in... Druid: ...and many thanks to MK and the fine people at CPM that provide this website for all of us to convene and offer our diverse veiwpoints as they pertain to the subject of gold bullion ownership. Chris Powell (2/2/06; 21:34:41MT - usagold.com msg#: 141214) Is the gold price-suppression scheme coming apart? http://groups.yahoo.com/group/gata/message/3638 Latest GATA dispatch.To subscribe to GATA's dispatches, send an e-mail to:gata-subscribe@yahoogroups.com balzac (2/2/06; 21:10:20MT - usagold.com msg#: 141213) GROUND HOG & CHECKIN DAY TO THE FORUM:I HAVE BEEN LURKING AND OCCASIONALLY POSTING FOR11 YEARS. I discovered this forum whilst I was in Oregon ( I'm Canadian) and I liked it so much better than K.----- that I stayed. I have won a couple of 2nd places in contests and I thank you. But most of all I love the education. I saw Balzac Billy come out of his hole this morning and he didn't see his shadow, so winter is almost over. Gold is up again and if we can keep Bush from getting the USA into another war we might have a good year. Best wishes to all.Balzac Waverider (2/2/06; 21:00:06MT - usagold.com msg#: 141212) Checking in..... Yes Sir MK - I visit every day!! As per my sentiments for USAGOLD in 2002, I share them here again...this time with Gold heading towards $600.00 and higher!!One special evening about a year ago,I discovered O'Mighty Oaken Table of YoreWhich dwells in the CPM Castle of Gold,And whose essence and secrets must now be extolledI was welcomed here with both Kindness and GracePeoples' words I would read, ne'er seeing a face,Words of knowledge, and wisdom so dearA special tapestry, it soon became clear.A Table where the King, Sir Michael KIs the Perfect Host in every way,His knowledge, commitment, and generosity tooProvides the foundation for all that we Goldbugs do.A Table where guidance on the Trail each day,Comes from those experienced who've traveled this way,From the archives of FOA and Another are wordsOf prescient thoughts very rarely heard.A Table where quietly behind the sceneTownCrier works hard and is often seenAddressing the headlines and announcing the news,Inviting our thoughts, our debates, and our views.A Table where Gold rightly Reigns SupremeAs the economy collapses and comes apart at the seams,Where media lies are analyzed and exposed,As Truth is unveiled and clearly disclosed.A Table where intensive Gold study is done,Economics and geo-politics for everyone, The only institution on earth with the unique degree -A Master's in International Gold Studies.A Table where integrity and noble character aboundIn Knights and Ladies who frequent the Round,You provide strength and sustenance to follow my beliefsAnd a place to escape from the world, for relief.A Table where contests are both fun and fair,Where Gandalf the White seems always is there,To sound the "TATA" and announce the eventFor prizes so Precious they'll never be spent.A Table where writing is creative and boldSiege Engine may become a series I'm told,Poetry, essays, and writings, all kindsWeave a mosaic fabric from the many great minds.A fabric so beautiful you get caught in the threadVery curious to see where it next will be led,For we find at the O'Mighty Oaken Table of Yore The birth of ideas not read elsewhere before.A Table where Black Blade seems never to rest,Generously sharing his knowledge and doing his best To keep us All informed with the DMR,Reaching Goldbugs everywhere, both near and far.The FINAL REASON for returning to this TABLE of YORE,Is I WAIT for A GOLDBUG PARTY like NEVER BEFORETo HONOR our HOST and to MEET ONE ANOTHERFor it's HERE we've become GOLD SISTERS and BROTHERS!Waverider Nomad (2/2/06; 20:57:56MT - usagold.com msg#: 141211) Check In Present.The USAGold email with my password is the oldest email in my inbox (1999). I participated in the Fall, 1999 explosion in gold (from 250 to 340 in a few weeks) and it is one of the fundamental experiences of my life. I remember being long a LOT of call options, going for a 45 minute walk and coming back to find I had both made and LOST $ 500,000. I remember having coins and watching the price drop below $ 260, seeing the experts predict $240 and sub- $200 gold.As for what the present situation indicates, I think it's pretty simple. During the 80's bonds were the place to be, in the 90's it was stocks. Now in the 00's the hot place is commodities, especially gold and silver. But there is one very big difference - liquidity. The stock and bond market are trillion dollar venues, the precious metals are several magnitudes smaller, thus as we just begin to see Joe Sixpack just beginning to jump on the bandwagon in an effort to once again - get rich quick, I think the entrance gates are going to get FLOODED with buyers. I don't see this bull market ending for several years at a minimum. But there is a downside to all this and that is volatility - the price shocks are going to be big ones, just like we saw during the 90's in the tech stocks - huge moves for seemingly little reason at all.I think the inflation adjusted former highs for both gold and silver will both be taken out during this ride. It will take some years to do so, but it is definitely coming. The smart money is going to jump on this trend and hang on for dear life, just like with the tech stocks.This is just the very beginning of one absolutely wild, wild ride. :) 24karat (2/2/06; 20:56:35MT - usagold.com msg#: 141210) Coming out of lurking mode to check in I stumbled onto this forum 9 months ago and since, have rarely missed a day of reading the posts. On weekday mornings (without the coffee - I don't drink the stuff), I check the discussion before heading out to work. Later that evening I'll check back, along with the price movement for the day.I rarely post but I do remember joining in a couple of unofficial contests. I am very impressed by the contributors here. If we could somehow harness the brainpower in this forum, I'm sure we could light up all the casinos on the Las Vegas strip!Who would have thought that gold would be $572 at this point? Well.....WE DID!!! This is no surprise to any of us here. Nosiree.Also, many thanks to our hosts. You have successfully brought together many diverse views and opinions. innerline (2/2/06; 20:38:03MT - usagold.com msg#: 141209) Love the forum I check out this site almost everyday. I do not have much to say, cause I have been following for three years, which is not much in the golds circles. Thanks to all. Whitewaterwoman (2/2/06; 20:24:08MT - usagold.com msg#: 141208) checking in I'm here, watching the roller coaster ride. da2g (2/2/06; 20:00:54MT - usagold.com msg#: 141207) Check In Day Present and accounted for, Sir! Alchemist (2/2/06; 19:47:05MT - usagold.com msg#: 141206) checking in I have been following forum from the beginning as a lurker. Early on I won a contest and have made this my daily home to enjoy over my morning cup of coffee. I have learned a lot about how our financial system works and am very thankful and appreciative for that.I do feel that we are going to see significant dislocations to our way of life as the model we are hooked on is well out of control and it becomes more difficult to think how we might excape. Unfortunately that is often how wars start and I think that there is enough ignorance within the powers that be for this to happen.I am personnaly working digilently on my life to simplify, get by with less instead of more and be as independent of events as possible. With that a lot of my time is spent on sustainable communities and not on posting here but am using what I learn to help structure this.Thanks to all who have been regular posters over the years and expecially to the hosts at Centennial precious metals for all there energy put into this forum. Goldilox (2/2/06; 19:38:57MT - usagold.com msg#: 141205) Some Markets Even More Overbought Than Precious Metals http://www.financialsense.com/Market/wrapup.htm snip:The precious metals sector is red hot. How red hot? Cramer upgraded both Gold Corp. (GG) and Pan American Silver (PAAS) with a big Bou-Ya on his show on Monday. I'm hearing anecdotes about how much new Rydex Fund money is going into the precious metals sector and how this is a contrarian indicator. Many excellent and popular technicians are correctly suggesting that the precious metals sector is overbought and "due" for a correction. I've heard one intelligent and articulate analyst compare the action in precious metals to that of Nasdaq stocks in 1999. Numerous are suggestions that the public is discovering precious metals and this is a contrarian indicator. Are precious metals and their stocks overbought? Maybe. Is this a reason to sell? Not necessarily! In these financial markets, there is very little on which one can depend. Stocks are overpriced by any historical metric, and their valuations are being floated worldwide by speculative and liquidity-based buying. Bonds are in an intermediate term trading range with no clear direction and it seems as if their directions are being determined by central banks and not free markets. The one "sure thing" in today's markets is that gold and precious metals and their stocks are in a bull market. In addition to being in a technical bull market, there are strong fundamental cases for precious metals and precious metals stocks. Governments are continuing to print more paper currencies attempting to stimulate their respective economies and manipulate the true value of the massive amounts of US debt. Weakening currencies are bullish for precious metals and PM stocks. Both the technical and fundamental trends for precious metals are now strong and therefore, good for investing for the long term. In my view, investors should avoid trading out of their long term positions for a shorter term gain....The preponderance of evidence suggesting that precious metals stocks are in a long-term third wave leads me to the conclusion that it would not be worthwhile to sell and take profit due to an overbought condition. I wouldn't want to be out of my position waiting for a re-entry point because, "Anybody waiting for a pullback to enter will be sorry, because pullbacks will be short-lived and shallow."-GoldiloxMartin Goldberg expounds his suggestion that some other markets are overbought in the rest of the article. What is it that Sinclair reminds us? Markets can remain "overbought" much longer than expected in a raging bull market. Au-some (2/2/06; 19:16:41MT - usagold.com msg#: 141204) Check in day When the ABC's of Gold Investing came out I bought it, read it - and was impressed enough to check out the website given in the book. The website was usagold.com. I made it my home page. It still is.I have never expressed my gratitude to the host and to the members of this forum for all of the mind candy dispensed here so freely. Receive it now. Thank you very much.I often wonder what has happened to posters who have vanished. Where is Traveler??? Anyway, I know where Goldilocks 2 is and she says "Hi!" to all.Salud! Rad (2/2/06; 19:13:07MT - usagold.com msg#: 141203) check in, for wiley refining Maybe these guys can helphttp://shorinternational.com/refining.htm#Simplicityhttp://www.imperialproducts.com/Services.aspI don't work for them and hope I'm not breaking rules trying to help.I don't know if it would work with you specific problem.come by at least once a day Toolie (2/2/06; 18:49:51MT - usagold.com msg#: 141202) Checkin' in Where are we now? The beginning of some astonishing times. The pog has been on a persistent climb. Itës acting as though folks are trying to accumulate without spooking the market. Get it, while the gettin's good. Sundeck (2/2/06; 18:39:26MT - usagold.com msg#: 141201) US Treasury chief warns of pension black hole http://afr.com/articles/2006/02/02/1138836366542.html Snip:"...The United States will face a serious problem as the costs of pensions and health care create astonishing deficits in years ahead, according to Treasury Secretary John Snow."We're on a path where, unless something is done here soon - in the not far distant future, several decades out - we will see Medicaid, Medicare and Social Security, the so-called unfunded mandates, absorb all of the revenues of the US," he said in response to a question after a speech in Radnor, Pennsylvania....."Dealing with Social Security last year, you see just how hard it is to build consensus in the Congress to take on tough things," Mr Snow said. "But we have to find the will to do it."..."Sundeck: Huh! Now where have I heard something like this before...mmm....Oh yes...O'Neill? Kotlikoff? $44T shortfall, back in 2001 wasn't it?http://mwhodges.home.att.net/soc_sec.htmBack on the agenda is it? Did the Prez say something about this in his Taste of the Onion speech? (Sorry, I didn't watch it...had better things to do...like walking my dog and pulling weeds out of the garden.) Or is Mr Snow girding his loins for the inevitable show-down....Addressing the "black hole" back in 2001 would have spoiled too many parties, but now? Well, what the Hell, maybe Dubya has decided he can still become a great president by waging war on unfunded liabilities back home...the WOUL.Flup! Flup! Flup! Flup! "Wha's that noise? Momma...is you whuppin' up a batch o' parkin' pigs?""No son. Gets you back t' sleep. 'n nither you worry, neither. Tha's just Choppa Ben a warmin' up his helicopter...""Zzzzz..."Is it any wonder price of gold is climbing?;-) Chris Powell (2/2/06; 18:34:30MT - usagold.com msg#: 141200) A day without the USAGold Forum would be ... ... a day out of the loop. Checking in with gratitude to ourever-gracious and expert host, aswell as to fellow posters. Goldendome (2/2/06; 18:22:35MT - usagold.com msg#: 141199) Checkin in! Just added .6168 oz. to the Au pile today. Slowly but surely the stash grows over years. Read the site near daily; still posting some? Wonder if Aristotle or Socrates still look this way? Hey-- Miner 49er.Best, G-dome jenika (2/2/06; 18:22:20MT - usagold.com msg#: 141198) Checking in... Just checking in, I mostly lurk, I have been here since gold was about $320US. It has been the fastest learning curve of my life for which I thank every poster and of course USA Gold.Iam still on the learning curve and dont feel confident enough to post. Having said that, I remember either Another or FOA stating that the premiums for gold will rise. This happened this week in my area of the world where bullion premiums went up $10AU, Kangaroos went up $14. Funny how many people read the forum with a cup of coffee :) I do too but generally late at night. I enjoyed the forum when it was "open forum" as I beleive that helps us get the whole picture but disliked disrepectful posts. Iam always proud to recommend this forum to others as it is always informative, mostly respectful and not full of rubbish posts. You have all directed me into a learning curve on economics and gold - thank you - from my heart. PS. I also read the links too! Bound Spirit (2/2/06; 18:17:48MT - usagold.com msg#: 141197) Check in Here in Spirit only. The CoinGuy (2/2/06; 18:13:16MT - usagold.com msg#: 141196) Present and accounted for... Going on 8 years now. I've never left the table.Best,The(physical)CoinGuy Noble1 (2/2/06; 18:06:01MT - usagold.com msg#: 141195) Sorry Belgium=Belgian el dorado (2/2/06; 18:05:34MT - usagold.com msg#: 141194) Check in I've been a lurker and student of the gold trail for over three years. During Christmas I posted a couple of times, but most of all I enjoy reading. Thanks to all who make this forum the first place I check. I'm holding gold (and some silver) as my retirement fund. Sure is beating my fellow workers' funds (hehe). --el dorado-- Noble1 (2/2/06; 18:02:48MT - usagold.com msg#: 141193) Check In Day Checking in today and every day to read and absorb the thoughts of the many knowledgeable posters present at the best gold forum on the net. Thank you MK for constructing and maintaining these halls. (Remember, it is your purchases from USA Gold that support this site). I miss Belgium already. Hopefully he will visit and post periodically as events unfold. Noble1 Flatliner (2/2/06; 17:53:19MT - usagold.com msg#: 141192) Just watching http://www.nymex.com/media/delivery.pdf NYMEx Issues for February.Silver 114 or 570,000 oz.Gold 5,355 or 535,500 oz.I still question if these numbers really mean anything. But, will watch and learn. spikedog (2/2/06; 17:21:27MT - usagold.com msg#: 141191) Check in Hello All,Sorry I'm late; apparently too much Ground Hog Day revelry. Punxsatawny Phil may have seen his shadow from the sun, or maybe perhaps a bright piece of precious was nearby..... Boilermaker (2/2/06; 16:50:30MT - usagold.com msg#: 141190) Still Ticking and Tracking The USA gold forum is my second home. God bless everyone who contributes and lurks. Goldbugs are a special breed. No two alike. One thing they seem to share at this place is a passion for honesty and transparency. That said I have been saddened by the recent disappearence of Ari, Rich, Galearis, and Belgian. I prefer the "big tent" approach to this forum as long as the discussion remains polite and focused. Sometimes I see TC taking a heavy hand with respect to other's views. Intelligence is no substitute for diplomacy. Get you some. goldroadlx7 (2/2/06; 16:45:55MT - usagold.com msg#: 141189) checking in along the goldroad there are many sign posts along the goldroad although i don't read them all, through the years i have read many. i never dreamed that as i walked this long and winding road that i would learn so much about gold, but also that there are so many other intersecting roads, the silver road, platinum road, oil road, paper road, ect ect. yes we can all read the signs but can we interpit them. without this free forum it would not be possible for the average person to make informed decisions about their gold investments. i would like to thank mk another foa black blade ari and so many many more of you folks for the signposts i read along the long and winding goldroad all the best to all of you!!! you guys are good really good.my favorite sign post reads [GOT GOLD] goldroadlx7 R Powell (2/2/06; 16:35:03MT - usagold.com msg#: 141188) Gold news // BIS Dr X P Guma: Economic developments in South Africa during 2005 and prospects for 2006 (Central Bank Articles and Speeches) (01.02.2006 15:06)Address by Dr X P Guma, Deputy Govenor of the South African Reserve Bank, at the conference on South Africa: Today and Tomorrow, London, 24 January 2006.http://www.bis.org/review/r060201d.pdf (PDF, 25897 bytes)...inflows of capital in the form of portfolio and other capital, large direct investment inflows contributed to stronger gold and other foreign-reserve levels. Foreign direct investment into South Africa was bolstered by the... White Hills (2/2/06; 16:34:20MT - usagold.com msg#: 141187) Check in Every morning with coffee go to usa gold and get the latest info on gold. This is the place to talk about it, read about it and buy it. Thru the years I have touted gold ad nausium to all my friends. I have always recommended usa gold and know that some have called you. Every little bit helps. MK- found out what a BAHT was. That Thai gold is beautiful. Thanks for the info. Incidently in the small gold market(grams) gold is selling AROUND $900.00 AND UP. premiums are climbing, it is like a TSUNAMI the small wave first and then tidal wave that pushes gold to where? How high can it go? As high as it goes. White Hills PS. the friends I have left all bought gold R Powell (2/2/06; 16:30:04MT - usagold.com msg#: 141186) Check In Still here + lurking + enjoying the ride. How about that silver...er, sorry, gold! phil288 (2/2/06; 16:28:20MT - usagold.com msg#: 141185) present and watching I too greatly appreciate all the information available on this site. I have been here daily for four years and as I have been fortunate to take paper profits in the metals casino stock market, I have enjoyed conversations with MK as I convert my paper to something more. Luckily I can still buy at way less than $1,000 per ounce, sometimes it pays to be small. I appreciate the insights gained here, and especially the knowledge avaiable from our host. I don't often have much to say, which is selfish on my part, but then less boring for the rest of you. I regret to say that I think we are on the cusp of events that have no certain outcome. I would urge all of us to continue to spread the word, for the more of us who are relatively liquid in a time of trouble the easier it will be to come out of this more or less in tact. Got gold and sleep well. Goldman Sacked (2/2/06; 16:18:40MT - usagold.com msg#: 141184) Checking In Hi Guy's: We're here, and truly benefiting from attendance, about five years ago I was profoundly influenced by a Grant Jeffery's video on the topic of Gold. Shortly there after I joined the two week free trail on Le Metropole CafÈ and the rest is history. Only recently have I started making USA forum daily monitoring. How has Another and Friend Of Another influenced me? Five years ago I was almost broke. Today I have about 600 oz. of Canadian Maple leafs and about 200K in unheadged tier one and two Gold producers. You've done your Job's well brethren. I'm grateful for this forum and the people who have labored to provide it and contributed to it. Since this is the first time I've herd of Checking In, I'll gladly take the opportunity to salute your efforts and acknowledge my gratitude and thanks wiley (2/2/06; 16:15:30MT - usagold.com msg#: 141183) Check in Day I've been checking in every, and Imean every day since '97 or '98. I don't know where to begin. Bought a few Maples just because they're pretty, then found this Forum and my prayers have been answered. I'm one of those idiots that never gave my later years a second thought and then woke up one day wondering how the hell I was going to survive the rest of my life on nothing but good intentions. I started buying whenever I had some spare cash, reading this august Forum (reading because I am of the opinion that the old adage "Better to remain silent and be thought a fool than to open your mouth and remove all doubt." is applicable in my case. I barely made it through ECON 101. That all has changed dramatically, I don't feel that I can carry a conversation with most of you but I"m getting the gist of things a whole lot faster and am able to relate what is happening in the world of gold to my friends and family (of course they look at me as if I was just released from the State hospital but at least I understand me). It has been lucrative hanging out with you boys and girls too as I have hit 2, count em two gold price guessing contests to the tune of .7354 ounces of SHINE. Thank you MK and thank you ladies and knights of this fortress.Now, I have a favor to ask of any of you that can give me a little guidance. About 3 years ago I took up the hobby of recovering gold from scrap. I have a pretty good source of electronic connectors, circuit boards and I even managed to get hold of about ten CRTs that were plated on the inside. I built a tumbler out of an old ice cream maker, found a source for cyanide (that ain't easy in this day and age) and sttarted running plate thru my contraption. I recovered the gold by zinc absorption. Now I have several pounds of gold impregnated zinc and don't know where I can get it refined. My dillema is that I don't know if the amount captured is worth more than the cost of refining. Anyone (Black Blade mayby?) know who will do a little job for cheap oe for a cut (of what?).?. One more time, Thank You All, . Max Rabbitz (2/2/06; 16:02:17MT - usagold.com msg#: 141182) Check'n In Although I've accepted the GATA thesis for several years now, the Credit Agricola report was shocking. A major international bank says these things!!! (Note the Mogambo triple emphasis). First the Russians, now the French. Time to get in line at the gold window again, if you can get there fast and before it's slammed shut. Rimh (2/2/06; 15:48:57MT - usagold.com msg#: 141181) Checkin' in! Good reminders, MK! I remain optimistic for short and long term. Medium term is bound to have wild days and rough weeks, but when one considers where we've come from, it's hard to get too upset. Thanks for hosting the forum - it has attracted a topnotch group of individuals who contribute and add to the collective understanding of all who read and I feel priviledged to participate!Rimh Golden Lionheart (2/2/06; 15:36:18MT - usagold.com msg#: 141180) Checking in I rarely miss a day and have accessed the site from Lhasa, Kathmandu, Havana and Myconos as well as from my humble abode near the Western Australian goldfields. It is my security blanket, my morning cup of coffee. Efcharisto poli Michael......and I won one of the competitions! Moegold (2/2/06; 15:31:26MT - usagold.com msg#: 141179) Check in Thanks for all the insights available in this forum.As a retiree whose pension and social security are/will in the future be paid in fiat dollars, I do not look forward to gold moving "to the moon". The dollars I receive will not go very far, I fear. Even though I have been accumulating hard assets for many years and will benefit from gold and other precious metals soaring, I don't think I will like what I see around me because most ordinary people will think they were hit by a freight train. That, of course won't be the fault of gold, but the irresponsible fiscal/monetary system that exists in the world today. It is great to lurk in a place that bolsters confidence in sound money. Sure don't hear any of these discussions in the financial media. Sprout (2/2/06; 15:20:10MT - usagold.com msg#: 141178) Im here just out hiking the back forty (Gold Trail) andran across an oldie but a goodie... FOA (10/25/01; 17:19:54MT - usagold.com msg#125)More Thoughts and Comments from the Trail HouseAnother thing we can count on and I mentioned this before:The moment England is seen as even a "virtual" member of the Euro club; the world will jump on every physical ounce of gold available at whatever dollar amounts anyone will part with it,,,,,,,,,,,,,,,,, and sell every paper gold play into the dirt in the process!! I say, know your dealer, buy your bullion early and watch for this act to begin. It's closer than you think!------------Thanks for hearing my thoughtsTrailGuideThen ran across this lil tidbit today, while I was giving my hiking legs a resthttp://news.bbc.co.uk/1/hi/uk_politics/4672602.stmsnips -Blair 'optimistic' over EU future There has never been a better time for the UK to play a role in Europe, Tony Blair said in his first major speech on the EU since giving up the presidency."Today, we have a shining opportunity to become part of a new consensus about the EU in the 21st century," he said.Mr Blair said he was optimistic because the "prevailing wind" in Europe was fundamentally shifting. He argued: "The irony is that, after the shock of enlargement, the crisis of the referendums, the opening of accession negotiations with Turkey and the agreement of the budget with a firm process of reform midway through the next financial term, after all these alarms and excursions there has never been a better time to be optimistic in Europe or enthusiastic about Britain's part in it. If Your Gonna Do it - JUST DO IT ALREADY!!!!! Sheesh ;) Flatliner (2/2/06; 15:15:56MT - usagold.com msg#: 141177) 968 It seems to me, the MTM-thing is a fundamental concept in this forum. To me, this concept implies that Gold is being managed back onto the world stage as the one true international currency that does not carry debt in its handling. The future of gold -- will be phenomenal - as the world comes to understand what this really means. Many here now almost seem to take it for granted, but I am new here, so I might see it from a different (naive maybe?) point of view. In any case, this forum has been a great place to witness the global support for MTM.But, MTM is just one step in the process. Investigation indicates that the MTM concept what first consider years ago. Laws slowly changed and, now, 30 years later, institutions are brave enough to state publicly that they now hold gold on reserve and value it. Great. But what is the next step?This is where I have the tendency to lean towards the point of view of previous forum members -- towards the concept of gold as wealth. As we can all see, the PoG is rising in all currencies. Some members see this as the re-valuation period for Gold. I don't take such a rose colored stand. I see this next leg as the redistribution of wealth. The redistribution of wealth does not come without turmoil. This is what I am not looking forward too. Hold your gold and plan for the future. You may find that the gold you hold will have value *way* beyond the price that it brings in the open market.Meanwhile, this forum is a great place to follow in the footsteps of giants. Tevye (2/2/06; 14:58:25MT - usagold.com msg#: 141176) check-in Thanks MK. I'll gladly check-in.I'm lurking whenever I can manage it.Gold. Its Tradition!Tevye DoubleEagle (2/2/06; 14:42:18MT - usagold.com msg#: 141175) Checking in and Checking out the charts I read the forum just about every day, give or take being away from home. Always a great discussion going on, and sometimes I regret I've got nothing to add most of the time. No great philosopher am I, just a true believer.I was looking at the charts last night, 30 day, 60 day, 1 year and 5 year and they are all "up." Like a beaten down dog I fully expected that after $500 was breached we'd get clobbered back to $450 and spend 8 months to a year grinding back up to $500. Boy was I wrong. It seems almost assured that we'll have $600 by my birthday (March 10th), so let me be the first to say WOW! Here's to $750 by the end of the year.Black Blade, Gandalf, Smeagol don't go anywhere. The forum would not be the same. And, if any of you happen to share a table with a long-absent trail guide, remind him that we await his return.-DoubleEagle 968 (2/2/06; 14:40:06MT - usagold.com msg#: 141174) @ Smeagol :) Didn't know the MTM-thing still is such a main topic here ? From my perception, Towncrier and Miner49er are the only knights still active in this castle who still support this theory,.....or am I wrong ?????????? The Hoople (2/2/06; 14:39:32MT - usagold.com msg#: 141173) Checking in Don't know where I'd be without the insight of this place and the GATA camp. This is an incredible time in history for gold and monetary policies, or rather, lack of monetary policies. Three things I now know:Never take advice from someone who has a motive to lie. Bankers, brokers, all fiat paper pushers would qualify.The mainstream media has a vested interest in disinforming the public about gold ownership. They would be among the biggest losers in a honest money system. G-E, Bloomberg etc. all benefit from the paper game."The power of accurate observation is frequently called cynicism by those who don't have it". (G.B. Shaw) My gratitude for this forum hopefully shows in my purchases from our hosts. Bulldog (2/2/06; 14:24:05MT - usagold.com msg#: 141172) Check in Been here since gold was $280. The other day I paid $CAD679for 1 Maple Leaf. I expect given the message of Bush in the state of the union address that war with Iran is in the future. He says he wants to wean the U.S. from 70% of middle east oil. Doesn't most of the U.S. oil come from us in Canada and from Venezuela? The year of the Dog will not be good for the world but good for gold. I am of two minds when it comes to gold because a very high gold price will mean a lot of folks will be having a very tough time just surviving.Aristotle if you are out there check in. Are we in an "ebb"or a "flow" with respect to the price of gold?This second wave of the gold bull should be interesting to watch. TownCrier (2/2/06; 14:19:04MT - usagold.com msg#: 141171) MK, the number of posting codes issued since 1998... 2,550 -- plus or minus a couple dozen one side or the other.R. TownCrier (2/2/06; 14:12:59MT - usagold.com msg#: 141170) Gold rally not a bubble, could go on up http://today.reuters.com/business/newsarticle.aspx?type=reutersEdge&storyID=2006-02-02T193035Z_01_L0252735_RTRUKOC_0_US-MARKETS-GOLD.xml LONDON (Reuters) - Gold's 37 percent rise in six months to 25-year highs, far from a price-bubble ready to pop, will continue upwards on renewed fund enthusiasm, analysts said.The bull market may attract even more new money in the coming years, with potential for bigger price spikes, they said."Like a gorilla with a gun, gold can go anywhere it wants," said Peter Hillyard, head of metals sales, ANZ Investment Bank."With the quest for yield, the need for portfolio diversification and the huge appetite funds have for risk, all commodities are certain to rock for a lot longer. It's not a bubble about to burst."Analysts say gold has room to go much higher. It is still well off January 1980's all-time high of $850, a level which would now stand at $2,100 after adjusting for inflation."I do not see any bubble on the gold market. Prices have been firmly supported by fundamentals. Most notably, changes in global liquidity have put upward pressure on prices," said Michael Widmer, analyst at Macquarie Bank Ltd.The safe-haven metal is expected to continue attracting buying due to political unrest, notably the Middle East, on worries about inflation and economic growth, instability in currency markets and hopes of buying by central banks.Almost stagnant mine supply coupled with rising output costs have boosted the metal's allure."While sentiment is so strong, it would be foolish to fight the trend in prices," said Alan Williamson, head of commodity research at HSBC Bank.^---(from url)---^Sentiment continues to turn in gold's favor, sometimes as witnessed even here -- in the typically anti-metal media whose bread-and-butter existance is to support the traditional financial institutions, infrastructure and establishments of Wall Street.R. MK (2/2/06; 14:03:43MT - usagold.com msg#: 141169) Randy. . . Do we have a general idea how many posting codes we've issued since Day One? Would be an interesting sidebar to "Checking-in Day." otish mountain (2/2/06; 13:59:13MT - usagold.com msg#: 141168) Roll Call MK.Have not missed a day in over 6 years except when there was no access to the net.I'm firmly in the Thoughts of Another camp and have no problem in suggesting $30,000 as a price that can be placed on gold in us dollar terms in the future.Inflation is coming, and have come to the conclusion that the only deflation we'll have is in things we don't really need.Where are we in at the present? As Richard Russell stated in his most recent letter (posted on the discussion forum yesterday) the gold bull has bearly lifted its belly off the ground. (or words to that effect)Thanks MK for providing this fine venue for with it I have been able to now consider myself "outside the box". USAGOLD Daily Market Report (2/2/06; 13:55:42MT - usagold.com msg#: 141167) Page Update! http://www.usagold.com/DailyQuotes.htmlThe Daily Gold Market Report has been updated.If you are considering investments in gold we invite you to request our free introductory information packet detailing the products and services offered by USAGOLD ~ Centennial Precious Metals. We welcome your inquiry and look forward to working with you.THURSDAY Market ExcerptsFebruary 2 (from Reuters) -- U.S. gold futures surged to a 25-year high Thursday on investment fund and speculator buying sparked by a soaring bullion price, a softer dollar and tensions over Middle East events, traders and analysts said.The market trimmed its gains slightly in late trading as oil prices fell after U.S. and European leaders played down the threat of United Nations sanctions against Iran, but sentiment remained positive overall amid strong investment demand.Simmering tension over the nuclear program of Iran, the world's number four crude exporter, has been boosting oil and gold prices in recent days.Meanwhile, the dollar eased after U.S. intelligence chief John Negroponte said al Qaeda is still plotting and preparing for attacks on the United States.COMEX April gold futures climbed $2.80 to end at $576.80 after trading a session range of $572 to $579.50 -- the highest price for futures since January 1981.Dealers said gold looked to be targeting $600 an ounce on bullishness on prices for this year and amid increasing investor diversification into commodities.Funds with deep pockets have invested heavily in the sector in hopes of boosting returns."There is no selling of any consequence (in the precious metals) but any that is around looks to be light profit taking," said James Quinn, commodities commentator at AG Edwards & Sons.---(see url for full news, 24-hr newswire)--- Thoreauly (2/2/06; 13:54:16MT - usagold.com msg#: 141166) Checking in Some years ago, I asked myself two questions, eventually stumbling on two books that sent me on a journey of discovery that has totallly transformed my life:Q. What is the State?A. http://www.opp.uni-wuppertal.de/oppenheimer/st/state0.htmQ. What is money?A. http://www.mises.org/money.aspAs for checking in, suffice it to say that my morning ritual begins with this forum (following a quick look at the gold price, of course).Thanks to all for adding immeasurably to my daily existence.See you at the end of the rainbow. Tate (2/2/06; 13:50:21MT - usagold.com msg#: 141165) Correction bellow: Russia, although has bullion refineries , they are Johnson Mathey reputation.Should say: Russia, although has bullion refineries , they are NOT Johnson Mathey reputation. Tate (2/2/06; 13:33:00MT - usagold.com msg#: 141164) With MK's encouragement: Hi every one.With MK's encouragement:Have not been posting for a long time, and still around.I miss posters like Oro , Traveler and others. They are good visionaries and help average investor to decipher market fundamentals.Back in 1997 I remember approaching several major mining executives at Prospectors and Developers show in Toronto, Ontario. At a time I was involved promoting mining investment in several gold and copper deposits located in Russian Siberia.I received cold shoulder. One of them saying he would like to see successful western projects first before he invest. True, at that time only several companies where producing or near production like: Kinross in Magadan- Far Eastern Russia and High River in Buriat --east Siberia. Multimillion once gold property of Sockhoy Lug was still top secret. I also met with government of Mongolia delegation who only had one English interpreter.Times have changed. Kazakhstan shortly starts to pump 1 million barrels of oil daily directly to China. Mongolia has dozens of publicly traded western miners ready to snatch new exploration licenses.Red Lake , Ontario, Canada is a small mining town, probably famous due to Goldcorps riches gold mine in a world. Back in 1936 (around gold revaluation period) town's airport was handling higher air traffic then any other airport in Ontario. These where bush planes coming and going, supplying numerous exploration teams in the area. We all know how much world monetary system has been abused. Time is coming to pay back. Anything that is phony will be devalued and in some cases to zero value.It is funny to watch commentators trying to explain gold rise, predicting imminent fall and correction, and next minute picking gold producer as best buy.Some astute observers like GATA's Bill Murphy informed long ago Chinese visiting South African miners and signing direct monthly gold purchases. Part of newly world produced gold does not see open market it lands directly in coffers of serious buyers.The other day I had request from private USA interest to provide specifically Canadian gold dealer names. These people are moving their funds out of USA to Canada and into gold. They specifically do not want to deal with US bullion dealers. Regarding Russian gold refineries mentioned earlier. Russian central bank has first right to purchase gold mined on its territory and has been doing it for some time. Russia, although has bullion refineries , they are Johnson Mathey reputation. Miner prefers to process surplus gold outside country. Most of gold produced in Kazakhstan today is melted locally and sold in ingot form mainly to European jewelry on contract basis. They are short of local capacity to process low concentrate ore (4-6% Au) and ship it outside for processing. Goldilox (2/2/06; 12:55:55MT - usagold.com msg#: 141163) Alive and BUSY @Lothar,Your entertaining posts have been missed! I am reaching culmination of an IT trade show I am working on, so many hours are being expended getting Exhibitors and Sponsors ready.Never miss a day at the forum, as it is my home page.Many thanks to MK and TC for this awesome reference source. Shermag (2/2/06; 12:54:16MT - usagold.com msg#: 141162) Check in time Present and accounted for.Just letting all know that I read daily, and appreciate all the superb contributions. Keep em coming. Smeagol (2/2/06; 12:50:54MT - usagold.com msg#: 141161) Hotel USAGOLD (Smeagol mode off)Officially checking into the Castle, Sir MK. Though I may fall silent at times you may rest assured I am following the Trail here - every day.You are right about the currency price of gold not really mattering. All that matters is that one hold gold at the proper times - this being one of them - until conditions are such that one's wealth can be returned to useful purpose with minimal loss. At other more sane periods in history one transferred personal gold-wealth daily for many things, but in the current climate I think it is best to accumulate gold and let it "lie very still", "until further notice".However, I feel that gold will shortly become "unaffordium" for the great majority of people on the planet, and that might matter, even if we are only watching the return of normalcy as far as gold is concerned, because no one alive today has ever seen gold in its proper station, as it was a long time ago, and shall soon be again.One thing that you bring to my mind with your comments on this "Check In Day" is: This is the first PM forum on my list by a wide margin; I occasionally check several others. One thing that stands out is that as a percentage (judging by the relatively small number of gold forums - and their - traffic compared to "mainstream" financial forums), there are very, very few people in the general public, at least in the US/West, that are even aware of gold now. A much smaller percentage of that tiny slice are not buying physical but are lured to the paper gold arenas. And almost no one is really aware of the ongoing MTM transition (the "underlying forces") or its implications - even in gold forums!Just how many of us that pass these three tests are there?The USAGOLD public forum is the only place where MTM is a main topic of discussion as far as I am aware. I see it mentioned on the surface, in regards to the euro, in other places - but not in depth - and I believe that most of those generally aware of gold think that all that is happening now is just some repackaged replay of the past.As far as where we are going, at least in America, I feel that gold is going to go a lot farther in dollars than anyone is prepared to believe, but this may take some years, and is sure to be accompanied by some vertiginous moments either way, but there is always the possibility that the government or the Fed or the Treasury will do something in desperation, or stupidity, or malice, to rein it in. I wish I knew which central banks were on which side, and which are playing both ends against the middle.Thank you for providing this place, and thank you and all the others that post here for Thoughts which, in the end, to this poster are as valuable as the precious itself.Smeagol Survivor (2/2/06; 12:48:16MT - usagold.com msg#: 141160) "You Can Check In Any Time You Want, But You Can Never Leave" Still here of course, and still ësurviving'. Been doing this since the mid seventies. I really thought 1980 was a ëonce in a lifetime' event since taking the US dollar off the gold standard does not happen very often.But, here we are again (or still). I see no reason for a change in the current gold bull market. All one needs to do is look at population growth, money supply, dollar purchasing power, and the various types of debt to realize why demand for gold will continue to escalate, and why the ship is too big to turn around anytime soon.And speaking of money supply -- it isn't just the US dollar that will wash up on the shores of fiscal irresponsibility. Consider that the dollar has lost around 96% of its purchasing power since 1913, yet the exchange rate between the dollar and other major surviving world currencies has never varied permanently by anything close to 96%. That alone tells you that this is a world event which is not tied exclusively to any one country's currency. Instead, think of this phenomenon as tied to the real source of western power: Names like Rockefeller and Rothschild. All the best to the Ladies and Knights of this table.- Survivor OvS (2/2/06; 12:38:59MT - usagold.com msg#: 141159) India Something to keep inmind. India's middle-class is larger thenthe entire populationof America. They allbelieve in gold andsilver and doing verynicely, thank you. And why does James E.Sinclair, that savvyMr.Gold, have a housethere? No matter whatkind of reaction shoulddevelop: up and away... performance (2/2/06; 12:25:37MT - usagold.com msg#: 141158) still lurking As time permits, I love to read what the regulars have to say. Most often I feel completely inadequate of knowledge to post my opinion. However, since it is open forum today, I will say that I have become a very strong believer in gold and silver, and went in that direction because I didn't want my $$ to go down in value. Suffice it to say, not only did that not happen, but I am proud to admit my $$ values have actually grown, and recently cashed in some profits on silver to buy more gold. Thanks to all for your thoughts and inspirations and knowledge!! Black Blade (2/2/06; 12:06:37MT - usagold.com msg#: 141157) Still Here! Still here, watching and waiting. Everything is playing out as expected. We talked about the inevitable rebound for gold in the early days of this Round Table.The weakening US dollar - actually the weakening of all currencies in the ongoing global "currency war" - means we should expect to see precious metals continue to gain strong international attention. For the US Dollar currency it is a simple matter of the "twin deficits" taking a terrible toll on a battered currency. More importantly in my opinion are the simple fundamentals of supply and demand. Mine gold production continues to decline after years of weak gold prices and very little exploration for new deposits. On top of that add the liberalization of gold ownership in Mainland China and it's potential 1.3 billion new gold buyers, a rising middle class in India, also the higher petroleum prices in the Middle East leading residents to seek the financial safety-net of precious metals for their flood of petro-dollars, and a resurgence of interest in hard assets and commodities over paper wealth in the west (and Japan). Other reasons of course would have to include various new gold buyers and new financial instruments from the various ETFs, hedge funds, mutual funds, high-net worth investors and Central Banks that have suddenly "rediscovered" gold. Ah heck, gold (silver and platinum as well) will continue to gain traction as new fears are realized from new geopolitical concerns emerge and the growing ravages of inflation hit consumers around the world.It seems not so long ago when the price of gold hit near $250/oz that I had suggested people consider buying gold as "real rates" were headed to "near negative real rates" and "negative real rates" (a clear buy signal for hard assets). A modest accumulation of gold over time ("dollar cost averaging") for "portfolio insurance" then appeared to the the prudent course of action and remains so. As always, get out of debt and stay out of debt, stash enough emergency cash (or precious metals) for several months expenses, accumulate gold and silver for "portfolio insurance, and start a storage program of non-perishable food and basic necessities. - Black Blade Lothar of the Hill People (2/2/06; 12:05:43MT - usagold.com msg#: 141156) Check-in day Lothar lurks in the shadows at the foot of this noble table daily seeking the scraps of wisdom that fall, and awaiting the adventure of future contest.The wisemen of the Hill People have just returned from annual pilgrimage to the great houses of Morgan and Stanley. Back into the dark recesses of our ancestral home they bring strange tidings. Many of the words of prophecy seem but babblings to Lothar. They speak of strong economy and market performance in 2006 and poor in 2007. But the strangest of all, they speak ill of Gold.Seeing the state of Gold now, Lothar wonders what will happen in the poorer times they predict for 2007.The Hill people continue to accumulate gold and shall watch in wonder.Fare ye well,I am Lothar of the Hill People. Mthirsty1 (2/2/06; 12:05:21MT - usagold.com msg#: 141155) lurking M.K.I am here everyday lurking,listening,and learning.I recentley purchased the gold starter kit,and have loaned the ABC'S of gold investing to my nephew.We just attened a coin show last weekend,and he asked me why so many people were buying the old bank notes,my reply was that i had no idea.I then posed the question to him as to what he thought would happen if someone accidentley droped a match in that display case.Fire he replied,good answer.We then headed to another showcase displaying gold,Morgan dollars'silver and the like.Posed the same question again,his answer,nothing,good answer.The carpet might burn, in fact the whole disply case might go up in flames.But after it was over the coin dealer would gather up thier gold and coins and continue doing buisness like nothing had happened.It was when we returned home that he asked to borrow my book.I believe that we have another person climbing on the gold train.I will continue to buy gold everytime i have enough fire material to do so.M. ge (2/2/06; 11:50:46MT - usagold.com msg#: 141154) Check-in Nice bull market. More than doubled from 250 to 570 in 4 to 5 years. It is stealth (Richard Russell). Most people are not aware of it. It is overbought and is still rising (Sinclair, Russel); a classic sign of a powerfull bull market. Currently at 25 year highs, set to test the all time highs. contrarian (2/2/06; 11:48:32MT - usagold.com msg#: 141153) Excellent Web Site--Stastical Economic Chicanery by Govt et al http://www.gillespieresearch.com/cgi-bin/bgn/article/id=596 Timing of Related Currency and Financial Market Troubles Central banks, OPEC, corporations and investors, both foreign and domestic -- as holders of U.S. dollars -- increasingly will sense or realize the greenback is headed for the dumpster. It only is a matter of when, not if. The dumping of the U.S. dollar and/or U.S. debt by investors likely will hit quickly, with little advance notice. All the official actions that in turn could trigger hyperinflation would follow rapidly, with a full-fledged dollar collapse and developing hyperinflation possibly unfolding in a matter of weeks. When this will happen is the tough question. It could be years; it could be next week. Without knowing the precise proximal trigger of the shift in sentiment against the U.S. currency, the timing is impossible to call. Nonetheless, some early warning signs may be evident in unusual anti-dollar activity in the currency markets, or in unusually sharp and unexplained spikes in the price of gold. It would be extraordinarily surprising if the ultimate dollar collapse can be held off three to five years, let alone a decade. The pending global financial crisis conceivably could break in the immediate future, triggered possibly by one or more of the following developments: action by China to peg its currency to a basket of currencies instead of the dollar, OPEC pricing oil using a basket of currencies instead of the dollar, a sovereign credit rating downgrade on U.S. Treasuries, a major terrorist act, a very bad monthly trade report, a misstatement by an Administration official or some other event that may appear obvious in retrospect. MK (2/2/06; 11:36:28MT - usagold.com msg#: 141152) YGM "What do you think of Chris's report on the French Bank/Brokerage commentary. . ."An incredible affirmation of what we have been talking here for many years. I also liked the fact that JP Morgan is calling for $800 gold. Congrats to Chris P, Bill Murphy and the rest of the GATA army for making its most influential financial firm convert to date. . . . Flatliner (2/2/06; 11:35:17MT - usagold.com msg#: 141151) MK This newbie would like to thank you for this forum. There is still so much to learn. The reason why I find this forum so interesting is because it helps provide meaning behind worldly actions. And, it turns out, these worldly actions seems to always come back to ... gold. Best wishes. YGM (2/2/06; 11:30:03MT - usagold.com msg#: 141150) MK Here? you bet Michael, everyday as time permits. What do you think of Chris's report on the French Bank/Brokerage commentary, ie; Gold to $900. w/ possible spike to $2K... That kind of report/comment would have been unheard of in past. I firmly believe GATA is/has having/had a profound far reaching impact on Gold awareness. I know I have great admiration for their yrs of hard work and appreciation of the voice you have given GATA here on the forum..Regards; Ken Voyager (2/2/06; 11:20:30MT - usagold.com msg#: 141149) ."Check-in Day" for Table Round veterans and newbies There are differing positions on the Federal tax rate on capital gains of:Bullion Gold CoinsPre-33 Gold CoinsSilver EaglesSilver DollarsI was hoping to get others experience on this issue.Thank you MK (2/2/06; 11:08:21MT - usagold.com msg#: 141148) To: All. . . ."Check-in Day" for Table Round veterans and newbies: Are you out there? I'm getting quite a few questions from industry friends and clientele about whether or not I think the current gold trend is likely to continue. I will summarize my response this way:We are on the same trend line described in "The ABCs of Gold Investing" (the same Disturbing Trends, continuations of the same reactions in the investment markets discussed, same economic path, etc.), but simply at a different, more advanced, point. Nothing has changed in terms of the causes and effects outlined in that book. Nothing has intervened by way of government or central bank policy or action to alter the trend.So, how high is high? That is a matter of currency values, i.e. what your money can buy. It doesn't matter in the overall analysis if gold trades for $200 per ounce or $2000 per ounce. It only matters if you have an asset detached from the paper money markets. Take a look for instance at what gold traded for during the Nightmare German Inflation (as outlined here recently by TC). Such an asset is gold. If you do not own gold, you have not only forsaken the gains of recent years, you have lost purchasing power on the currency sitting in your accounts. In short, you've gotten the double whammy.If you are thinking about buying gold (as a newcomer or gold market veteran), do you really believe that the Chinese government or the Gulf sheiks given the opportunity wouldn't trade as much of their piles of paper for as much gold as they could at $1000 per ounce? That they would even hesitate given the circumstances? Please take some time to ponder that question. What is stopping the Big Buyers is lack of availability in quantity and nothing else. As someone once asked here: Wouldn't it be in your best interest to follow "In the Footsteps of Giants?" (Go to the Gold Trail link above if that Thought is new to you.)What is important for you to consider is not the price of gold, but the underlying forces driving the investment markets at this juncture, and that is what this Forum is all about. ______________Every once in a while, we have a "Check-in Day," wherein all the Table Round veterans post a note to tell us they are still around, and lurkers and newbies can simply say they're here watching and reading. It's good for those who take the time to post their thoughts and opinions here to know that there are people reading. It's important for all of us to know that there are others of like mind out there who appreciate this venue. I thought today might be a good day for that. We haven't done it in awhile. You might add how you feel about the gold market at present for the general readership, but its not mandatory.So, we invite you to say hello and extend our thanks in advance. . . . TownCrier (2/2/06; 08:46:51MT - usagold.com msg#: 141146) Gold Reaches 25-Year High as Oil Gains Renew Inflation Concerns http://www.bloomberg.com/apps/news?pid=10000082&sid=aXYbB__FbYNs&refer=canada Feb. 2 (Bloomberg) -- Gold rose to a 25-year high in London as gains in crude-oil prices increased speculation that inflation will accelerate, eroding the value of assets such as stocks and bonds.Gold rose 18 percent last year in London as investors bought the metal as a hedge against record oil prices stoking inflation. Oil rose before the United Nations' atomic watchdog meets today to consider referring Iran's nuclear program to the Security Council, which may impose sanctions on OPEC's second-largest exporter.The situation in Iran is a "double whammy," for the gold market, Norman said. "It increases geopolitical tension as well as oil prices, both of which are good (i.e., price-positive) for gold."^---(from url)---^Rather than thinking of unfriendly high prices, another way of interpreting comments that gold is at "a 25-year high" is to realize that gold today can be bought for the same price as 25 years ago.That sure sounds like a bargain to my ears. Given the population and economic growth along with all of the money-creation that has occurred around the world during the past two-and-a-half decades, how many other things are you still able to buy today at 1981 prices?When viewed from many other lands, in terms of other currencies, those 1981 prices are long, long gone and gold has been simply been trading at progressively higher ATH prices exactly as you should expect it to.Take advantage of the dollar's remaining legs and pick up your share of gold now in 2006 at user-friendly 1981 prices.Call USAGOLD-Centennial today for consultation and best prices.TOLL FREE 1-800-869-5115R. TownCrier (2/2/06; 07:59:10MT - usagold.com msg#: 141145) Yen slides on monetary policy fears http://news.ft.com/cms/s/d6ec1e74-93df-11da-82ea-0000779e2340.html (FT) February 2, 2006 -- The yen tumbled in European morning trade on Thursday amid further signs that the Bank of Japan is not yet ready to abandon its ultra-loose monetary policy...Toshiro Muto, the deputy governor of the Bank of Japan, undermined the yen by saying the conditions are not yet right to end Japan's policy of quantitative monetary easing, in which additional liquidity is pumped into the nation's banking system.Barclays Capital warned that with inflation starting to turn positive, real interest rates are likely to be negative for a "considerable period" after the removal of quantitative easing, which it sees as negative for the yen.Steven Pearson, chief currency strategist at HBOS... saw Japanese retail investors continuing to pile into gold, selling yen in the process.^---(from url)---^The amount of gold that these world-famous Japanese savers "pile into" could become a mind-numbing figure if they become sufficiently spooked or otherwise drawn into stampede mode.For best prices, choose gold while the market remains as calm as it yet is.R. TownCrier (2/2/06; 07:47:36MT - usagold.com msg#: 141144) In case you missed the subtle issue at hand... With regard to items on Korea's balance sheet, as the dollar declines in value, you saw in that example that the dollar-denominated market value of non-dollar assets would climb. And just a little thought should convince you that the dollar-expressed value of the non-dollar won liabilities would rise too.At first blush, it seems that everything stays in balance.However, you have to consider what happens to the portion of reserve assets that are themselves held in the form of dollars.Because these dollar assets are on par with the measuring unit being used in that example, they would NOT rise in MTM value as the dollar declines, and hence would pose a risk of causing a gaping hole on the asset side of the balance sheet at any such time as the dollar weakens.Use of 'best management practices' aims as addressing exactly such a ridiculous state of accounting and the potential dislocations that can result -- such as seen in the Asian contagion of 1997.R. TownCrier (2/2/06; 07:30:08MT - usagold.com msg#: 141143) Korean reserves rise to reflect dollar's drop http://joongangdaily.joins.com/200602/02/200602022243258339900090509052.html February 03, 2006 -- According to the Bank of Korea, the nation's foreign reserves amounted to $216.9 billion as of Tuesday, up from $210.4 billion a month earlier.The weaker U.S. dollar increased the conversion value of non-dollar assets, the nation's central bank said yesterday.Foreign reserves consist of securities and deposits denominated in foreign currencies along with reserve positions for the International Monetary Fund, special drawing rights and gold bullion.^---(from url)---^Here's an example of a central bank acknowledging revaluations of its various reserves as a reflection of a stronger or weaker dollar as the denominating unit of account.However, for the purpose of balance-sheet assessments, since its primary liabilities are in terms of its own currency, the won, 'best practices' would suggest that the Korean central bank ought to consider using its own currency as the basis for MTM assessments and revaluations of its various reserves on the asset side of its balance sheet -- and certainly this includes the value of its gold holdings.Have we lost anyone?R. TownCrier (2/2/06; 07:12:51MT - usagold.com msg#: 141142) Japanese gold investment http://www.aireview.com/index.php?act=view&catid=8&id=3471 February 02 2006 - Australasian Investment ReviewGold prices have strengthened again in recent weeks as investors choose the metal as a safe investment given uncertainty in the Middle East thanks to Iran and the Palestinian elections.Macquarie points out much of the buying interest for gold has come from Japan, where an increase in liquidity and a shift in asset allocation have resulted in significant interest in the metal.^---(from url)---^Famously high levels of papery "savings" in Japan, all just itching for some tangible peace of mind. A gold rush stampede is just one spook away.R. TownCrier (2/2/06; 07:01:19MT - usagold.com msg#: 141141) Russia gold and currency reserves increased to record-high http://www.tass.ru/eng/level2.html?NewsID=2909126&PageNum=0 Itar-Tass reports today that Russia's gold and currency reserve has grown by $3 billion on the week. It is up $5 billion since January 1st, 2006, and now stands at $188.2 billion.Please note, however, that this need not represent an actual inflow of additional currency or metal... depending on the frequency of MTM accounting operations.As you'll recall, on January 1st Russia embarked on its new (euro-style) accounting regime by which it evaluates and marks its gold reserves to market value. I have yet to confirm the frequency of the MTM revaluations, but will pass the info along when I do.(FYI, the eurosystem currently does this on a quarterly basis.)R. Clink! (2/2/06; 06:58:08MT - usagold.com msg#: 141140) Gold in Russia It occurs to me that some of the "liberalization" of gold ownership in Russia might be due to the pervasive distrust, particularly among the affluent, in the manipulation of the rouble. Overprinting has led people to store their wealth in something more solid, and US FRN's have been stuffed in mattresses for years. This new activity from Putin might indicate :1/ That he realises the danger of dollar devaluation and wants to protect his people from it (ROFLMAO !) or2/ That he realises the danger of dollar devaluation and wants to protect his own skin from a suddenly-poorer, disaffected populace.3/ Something else ?One thing that it would apparently NOT be is to stop the balance of payments deficit in dollars - gold exports must be a drop in the ocean compared with oil and gas.C! TownCrier (2/2/06; 06:34:03MT - usagold.com msg#: 141139) Treasure seeking http://www.usagold.com/webads/gold-coins.jpg (see url)Gathered from around the world to dutifully serve at the pleasure of your portfolio.Superior savings, fit for a king. You, too, can rule your destiny.Call USAGOLD-Centennial today. TOLL FREE 1-800-869-5115R. mikal (2/2/06; 05:53:42MT - usagold.com msg#: 141138) What is a U.S. debt "ceiling"? http://www.etherzone.com/2006/henr020206.shtml DEBT LIMIT... WE'RE NOT THERE YET - Ed HenryA humorous look at the obligatory, contorted pilfering forever increasing limits to unknown regions... mikal (2/2/06; 05:19:53MT - usagold.com msg#: 141137) Video daze http://www.miami.com/mld/miamiherald/news/opinion/13760721.htm MiamiHerald.com | 02/01/2006 | Avoiding the hard questions Sundeck (2/2/06; 03:54:53MT - usagold.com msg#: 141135) Putin and gold http://www.tmcnet.com/usubmit/2006/02/01/1334835.htm More details on gold goings-on in Putin's Russia...Snip:"...The agencies have until February 15 to present a report on measures aimed at stimulating exploratory work to discover new gold fields.They also have until February 15 to present a report on the expediency of exempting the sale of gold ingots to members of the public from VAT and lifting restrictions that keep them from possessing such precious metals.By May 15, agencies must submit a report on setting up transport and energy infrastructure in Siberia and the Far East to stimulate the development of mineral deposits with funding from the federal budget, regional budgets and private investors.The actual measures attached to the first two aspects of the gold market must be drafted by March 1, and the government is due to resolve the infrastructure problem by June 1.In addition, the Central Bank has been given until April 1 to consider a possible increase in the share of gold in the country's gold and Forex reserves, including by acquiring gold on the domestic precious metals market...."Sundeck:Note that it is not "ore", but concentrate (and probably gold dore) that should be refined in Russia. Note also the measures and deadlines attached to increased mining of gold in Russia, encouraging investment by the public, and for increasing gold reserves at the CB.Mmmmm...sounds a bit like measures being implemented in China...the days of the dollar are done...there's only one thing that is as good as gold!I find it a teensy bit intrigueing that gold issues are being voiced at the head-of-state level in Russia (Putin)...there are probably two reasons for that:1) So that the Russian people, industries and the various intermediaries (bureaucrats et al.) are under no illusion about the trend in official policy, and2) A most powerful signal is sent abroad...especially to the keepers at the dollar's gate...:-) mikal (2/2/06; 03:54:16MT - usagold.com msg#: 141134) 30 yr debt back, "to help finance the deficit" http://seattletimes.nwsource.com/html/businesstechnology/2002777486_longbond02.html?syndication=rss 30-year Treasury Bonds to Return Feb. 9 - Martin Crutsinger - AP - February 2, 2006 ViewYesterday's Discussion.
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