All times are U.S. Mountain Time
(Yesterday's Discussion.)
mikal (2/24/07; 23:59:47MT - usagold.com msg#: 152597)
$$$$698.20$$$$
POG may have 4 digits this year, or just 3 or five perhaps.
Factors in the end of year POG outcome may include increased volcanic activity, substandard investments, lack of quality finished goods and services,
esoteric numerology, greatly increased sunspot activity and associated crop losses, water shortages, heightened global education via internet, crossborder trade flows and information exchanges and more...
Aureo Speedwagon (2/24/07; 23:45:02MT - usagold.com msg#: 152596)
Ounces and pounds
To: Sierra Madre and Sundeck
Maybe the NewDollar will be defined as $100 = one gram of gold, and we could forget all this troy/avoirdupois/metric mental gymnastics.
Black Blade (2/24/07; 23:41:50MT - usagold.com msg#: 152595)
WOW! 20 Minutes Left
A lot of interesting comments and the list is getting quite long. Not much time left until the ballot box is close and carried off to the vault. Good luck all.
- Black Blade
canamami (2/24/07; 23:36:15MT - usagold.com msg#: 152594)
$$$$$$683.5$$$$$$$
It's impossible to predict the high for the spot price of gold...there are too many variables.
However, I will go far out on a limb and predict it will be shockingly high, due to economic warfare triggered by geopolitical and cultural conflict- $US4250 per ounce.
Iran will have to be hit. This will trigger a massive reaction throughout the Muslim world - oil boycotts and a refusal to accept $US for oil settlement. There will be terror attacks in Canada, the UK, maybe the US and Australia, and riots in Western Europe. China and Russia may react on an economic level against the US. There will a run on the US dollar as big holders are forced to dump to buy Euros, to buy oil. There will be massive manipulation of the gold market by CB's, but the US may be forced to use part of its gold reserves (directly or indirectly) to buy strategic oil, which will drive up the gold price. The decline of the $US, the currency and other generalized mayhem and uncertainty, and the possible need to use gold as a direct or indirect form of settlement will unleash the $US gold price. In fact, it could go even higher than $4250.
Black Pearl (2/24/07; 23:14:54MT - usagold.com msg#: 152593)
$$$$$$ 688.7 $$$$$$
I believe the pog will eclipse the high from 2006 by mid summer and settle at 745 by the end of the year. We won't see 500 again and 600 will be a memory before you know it. The entitlement generation will be ready to cash their checks in 2008 and spend it they will.
Sundeck (2/24/07; 22:15:07MT - usagold.com msg#: 152592)
Troy Weight
http://en.wikipedia.org/wiki/Troy_weight
@Sierra Madre #152591 and Aureo Speedwagon
The wiki link attached clarifies the troy scale of weights in relation to avoirdupois...
Cheers
:-)
Sierra Madre (2/24/07; 21:56:03MT - usagold.com msg#: 152591)
Aureo Speedwagon: about ounces and pounds of gold.
The Troy ounce contains 31.103 grams of precious metal. Troy ounces are used for the precious metals, NOT avoirdupois ounces.
The pound is 454 grams (approximately). There are 2.2 pounds in a kilogram (1,000 grams).
Divide 454 by 31.103 gives 14.596662, let's say, 14.6
That's 14.6 Troy ounces in a pound.
In kilogram, there are 32.1512 ounces; 32,151.2 ounces in a tonne of gold (1,000 kilograms or, 1,000,000 grams.)
SIERRA
Nathan Brazil (2/24/07; 21:52:47MT - usagold.com msg#: 152590)
Guess
$$$$ 685.5 $$$$
Guess for high of 2007 is $999.9 as 1000 would be too much to hope for. The fundamentals say it will go up, a thousand other factors and billions of other people ensure that it is indeterminate. I think the march is unstoppable, but PPT will bog us down as much as possible, or we may simply be playing along with the gradual $ devaluation they say they have wanted all along.
flow5 (2/24/07; 21:40:56MT - usagold.com msg#: 152589)
Sticken to my Guns
If you're a "doubting Thomas", look out below.
How does a mine, a bank vault, a jewelry store, its scarcity, indeed micro-madness, transcend the monetary flows (MVt) of the world's largest economy? What would overshadow the domestic economy, would be the trade deficit's perpetual, inexorably, relentless, and depreciating exchange value of the dollar (which is inversely related to gold's value).
Wky_Woodsman (2/24/07; 21:34:33MT - usagold.com msg#: 152588)
Try again
Since Beowulf already has $702.5, please make mine $703.0.
Thanks.
Wky_Woodsman (2/24/07; 21:30:51MT - usagold.com msg#: 152587)
$$$$702.5$$$$
Best guess on the price of gold high for 2007 is $950. Too many cracks in the financial system will get bigger and bigger. Housing teetering, jobs slip slipping away. Little guys are already being squeezed hard. The rest of the world is paying less and less attention to the demands of the US administration. Warnings of systemic risk go unheeded on the propaganda channel of Wall street. Whew! And to think that the expansion of war in the Mideast oil patch looms on top of our domestic problems! Good luck to all of the round table members. We'll need it. Wky.
beowulf + (2/24/07; 21:18:37MT - usagold.com msg#: 152586)
$$$$$$$$702.5$$$$$$$$$
I believe the coming attack on Iran is propelling the recent moves. As tension mounts in the middle east, housing slumps, and the dollar slides, gold should end 07 north of $1000.
7nomads (2/24/07; 21:15:35MT - usagold.com msg#: 152585)
$$$$$696.5$$$$$
6) AND MOST IMPORTANTLY (as this part MUST accompany the Price prognostication)
--- In order for your entry to be valid, entries will need to have a full answer to the QUESTION, in 30 words, OR MORE. <===== NOTE !!!
With 100% certainly we can say that one oz of gold will be one oz of gold a year from now. The gold price of the dollar is less certain.
I think 2007 will hold some hard adjustment for prices. I look for a perceived double top around $720 and then a drop below $500. (time to load up). Later I believe we'll see gold reach all time highs toward the end of the year or the first half of 2008.
All the best
Gandalf the White (2/24/07; 21:06:46MT - usagold.com msg#: 152584)
TAA TAA TAAAAAAAAAAAA --- UPDATE
$$$$$$$$$$ THE FEBRUARY 2007 "PRICE of GOLD" GUESSING CONTEST!! $$$$$$$$
OFFICIAL ENTRY LISTING
Entries as of DAY #10 -- (2/24/07) at just about 21:05 Denver time !!!
LAST DAY TO ENTER ! Entry DEADLINE is MIDNIGHT (Denver time) today!
Listed in order of decreasing values !
----
$$$$ $2,007.0 $$$ Federal_Reserves (2/23/07; 12:37:29MT - usagold.com msg#: 152517)
$$$$ $1,250.0 $$$ Beamer (2/21/07; 23:42:07MT - usagold.com msg#: 152436)
$$$$ $1,000.0 $$$ contrarian (2/24/07; 20:01:13MT - usagold.com msg#: 152578)
$$$$ $785.0 $$$$ Silver Fox (2/24/07; 20:14:40MT - usagold.com msg#: 152580)
$$$$ $775.5 $$$$ Sprout (2/16/07; 18:42:09MT - usagold.com msg#: 152256)
$$$$ $742.0 $$$$ Caradoc (2/22/07; 21:41:15MT - usagold.com msg#: 152475)
**** $727.5 **** Thoreauly (2/17/07; 07:46:31MT - usagold.com msg#: 152267)
$$$$ $725.0 $$$$ Armageddon (2/22/07; 21:30:39MT - usagold.com msg#: 152473)
$$$$ $724.6 $$$$ Topaz (2/15/07; 04:55:38MT - usagold.com msg#: 152177)
$$$$ $718.0 $$$$ Peculium Aurum (2/23/07; 11:51:44MT - usagold.com msg#: 152512)
$$$$ $715.2 $$$$ Boxman (2/22/07; 18:16:35MT - usagold.com msg#: 152469)
$$$$ $711.7 $$$$ Tevye (2/21/07; 19:50:55MT - usagold.com msg#: 152424)
$$$$ $710.5 $$$$ Waverider (2/23/07; 19:53:12MT - usagold.com msg#: 152538)
$$$$ $708.8 $$$$ Placer Gold (2/23/07; 12:13:05MT - usagold.com msg#: 152514)
$$$$ $707.7 $$$$ Survivor (2/23/07; 15:49:05MT - usagold.com msg#: 152525)
$$$$ $705.2 $$$$ Rimh (2/23/07; 12:30:58MT - usagold.com msg#: 152516)
$$$$ $704.1 $$$$ The Hoople (2/24/07; 14:35:52MT - usagold.com msg#: 152573)
**** $701.7 **** goldpuppy (2/23/07; 00:33:51MT - usagold.com msg#: 152485)
$$$$ $701.5 $$$$ Pal (2/20/07; 09:17:37MT - usagold.com msg#: 152369)
$$$$ $701.0 $$$$ Tranquility Base (2/24/07; 20:56:48MT - usagold.com msg#: 152582)
$$$$ $700.0 $$$$ Titan (2/24/07; 19:03:42MT - usagold.com msg#: 152577)
$$$$ $699.6 $$$$ Max Rabbitz (2/24/07; 20:16:51MT - usagold.com msg#: 152581)
$$$$ $699.1 $$$$ 24karat (2/22/07; 22:14:38MT - usagold.com msg#: 152477)
$$$$ $698.8 $$$$ slingshot (2/23/07; 16:42:52MT - usagold.com msg#: 152526)
**** $698.0 **** Cometose (2/23/07; 15:30:31MT - usagold.com msg#: 152523)
$$$$ $697.3 $$$$ Ag-geek (2/24/07; 13:57:02MT - usagold.com msg#: 152572)
$$$$ $696,9 $$$$ Shanti (2/24/07; 07:59:24MT - usagold.com msg#: 152555)
$$$$ $696.7 $$$$ Black Blade (2/24/07; 00:56:38MT - usagold.com msg#: 152549)
$$$$ $696.2 $$$$ phil288 (2/23/07; 19:41:14MT - usagold.com msg#: 152536)
$$$$ $695.5 $$$$ Prius (2/23/07; 13:18:38MT - usagold.com msg#: 152520)
$$$$ $695.3 $$$$ YGM (2/23/07; 09:22:58MT - usagold.com msg#: 152494)
$$$$ $695.0 $$$$ Sundeck (2/16/07; 04:38:24MT - usagold.com msg#: 152221)
$$$$ $694.5 $$$$ Camel (2/24/07; 08:36:33MT - usagold.com msg#: 152557)
$$$$ $694.0 $$$$ milkhon (2/23/07; 16:57:44MT - usagold.com msg#: 152527)
$$$$ $693.9 $$$$ GoldenBear (2/23/07; 15:01:12MT - usagold.com msg#: 152522)
$$$$ $692.5 $$$$ Quickbeam (2/23/07; 12:22:49MT - usagold.com msg#: 152515)
$$$$ $692.1 $$$$ Sierra Madre (2/23/07; 11:12:16MT - usagold.com msg#: 152506)
$$$$ $691.2 $$$$ glockmaster19 (2/22/07; 16:35:32MT - usagold.com msg#: 152464)
$$$$ $691.1 $$$$ Tin Man (2/21/07; 20:08:52MT - usagold.com msg#: 152426)
$$$$ $690.1 $$$$ Goldendome (2/23/07; 22:55:15MT - usagold.com msg#: 152542)
$$$$ $689.0 $$$$ Rocky (2/23/07; 11:21:55MT - usagold.com msg#: 152507)
$$$$ $688.0 $$$$ Goldilox (2/16/07; 11:26:32MT - usagold.com msg#: 152238)
$$$$ $687.8 $$$$ Lebieque (2/15/07; 03:55:18MT - usagold.com msg#: 152174)
$$$$ $686.9 $$$$ otish mountain (2/23/07; 17:20:44MT - usagold.com msg#: 152528)
$$$$ $686.0 $$$$ Clink! (2/23/07; 15:34:48MT - usagold.com msg#: 152524)
$$$$ $685.0 $$$$ Toolie (2/15/07; 03:10:40MT - usagold.com msg#: 152170)
$$$$ $684.8 $$$$ Freedom (2/18/07; 13:37:59MT - usagold.com msg#: 152295)
$$$$ $684.6 $$$$ GoldSilverRatio (2/24/07; 11:04:16MT - usagold.com msg#: 152561)
$$$$ $682.4 $$$$ Wheelthru (2/20/07; 15:01:11MT - usagold.com msg#: 152382)
$$$$ $681.5 $$$$ Aureo Speedwagon (2/24/07; 20:04:34MT - usagold.com msg#: 152579)
$$$$ $680.5 $$$$ solosza (2/23/07; 18:18:02MT - usagold.com msg#: 152530)
$$$$ $680.0 $$$$ GOLD FINGER (2/23/07; 18:55:27MT - usagold.com msg#: 152533)
**** $678.0 **** Rook (2/17/07; 19:55:35MT - usagold.com msg#: 152278)
$$$ FRN677.7 $$$ Smeagol (2/22/07; 21:36:03MT - usagold.com msg#: 152474)
$$$$ $676.5 $$$$ pilgrims_gold (2/22/07; 16:47:36MT - usagold.com msg#: 152465)
$$$$ $675.1 $$$$ xylo (2/20/07; 13:21:27MT - usagold.com msg#: 152379)
$$$$ $673.5 $$$$ Lothar of the Hill People (2/17/07; 13:25:18MT - usagold.com msg#: 152271)
$$$$ $672.2 $$$$ Tuco (2/24/07; 16:26:31MT - usagold.com msg#: 152574)
**** $670.0 **** Liberty Head (2/17/07; 10:03:22MT - usagold.com msg#: 152270)
$$$$ $668.8 $$$$ R Powell (2/23/07; 19:22:48MT - usagold.com msg#: 152534)
$$$$ $666.6 $$$$ Minero (2/17/07; 07:39:45MT - usagold.com msg#: 152266)
$$$$ $663.8 $$$$ Flatliner (2/22/07; 23:02:49MT - usagold.com msg#: 152479)
$$$$ $662.5 $$$$ Henri (2/16/07; 11:02:33MT - usagold.com msg#: 152235)
$$$$ $662.1 $$$$ balzac (2/22/07; 09:35:46MT - usagold.com msg#: 152446)
$$$$ $658.0 $$$$ flow5 (2/15/07; 12:19:26MT - usagold.com msg#: 152184)
$$$$ $652.0 $$$$ cinksl4 (2/23/07; 21:30:59MT - usagold.com msg#: 152539)
$$$$ $647.1 $$$$ smiles45 (2/21/07; 21:26:01MT - usagold.com msg#: 152431)
===
<;-)
Gandalf the White (2/24/07; 21:05:02MT - usagold.com msg#: 152583)
ONLY THREE HOURS TO GO BEFORE DEADLINE !!
Enter the POG Contest while you can !
<;-)
Tranquility Base (2/24/07; 20:56:48MT - usagold.com msg#: 152582)
$$$$$701.0$$$$$
I see the up trend for gold on the log scale is steadily climbing and has not broken down. I am confident that the forces which have provided that trend will continue if not intensify well into the future. The channel that exists should yield highs of $825 to $850 yet this year. That is probably conservative. T Base
Max Rabbitz (2/24/07; 20:16:51MT - usagold.com msg#: 152581)
$$$$ 699.6 $$$$
The 2007 high price of gold in US dollars is very conservatively estimated to be $881 based on proprietary technical market analysis involving lunar cycles and CO2 concentrations over Antarctica, plus a modest 20% increase from last year's high.
Silver Fox (2/24/07; 20:14:40MT - usagold.com msg#: 152580)
$$$$$$785.00$$$$$$
Based on today's rant by Cheney now stating that war with Iran is on the table scares me and everyone else who understands the potential impact of the POO. This THREAT will push more investors into GOLD & SILVER, and this is only the start.
Watch out, if we attack, the big lady is going to sing the last song on dollar oil hegemany.
SF
PS. I really hope they don't attack. Without an attack, the future of Gold & Silver still shine brightly.
Aureo Speedwagon (2/24/07; 20:04:34MT - usagold.com msg#: 152579)
$$$ 681.5 $$$
I just read Heinlein's YEAR OF THE JACKPOT (1952), in which a chartist sees all the charts going asymptotic next August, the 54-year cycle, the stocks, the wars... he and the girl get out of LA just ahead of the huge earthquake and the atomic war, but then the sun goes nova.
The charts don't lie. With a quarter of a quadrillion dollars in derivatives washing around the world, and Fannie Mae refusing to open its books, and commodities marching relentlessly upward, and sales of US treasury bonds faltering, something is going to snap and crush the dollar, although gold of course will still be worth 12 ounces per pound.
Gold will surpass the all-time high in dollar price this year, for sure, because it's a Boomer thing. The Boomers want to have all the records. Highest real estate prices of all time? On Boomers' watch. Most home runs in a season? Accomplished by a Boomer (a tail-end Boomer, but still a Boomer), and this season maybe the Boomers will take the all-time career home record, too. The all-time gold price record will be a snap.
contrarian (2/24/07; 20:01:13MT - usagold.com msg#: 152578)
$$$$$$$1000.00$$$$$$$$
The climax run of global liquidity will rocket gold into the stratosphere--the panic bloom of capitalism in its last dying throes--where greed has its last stand in a global blizzard of paper till paper loses all meaning. As life leads to death, as beginning leads to end--the way of all flesh.
Titan (2/24/07; 19:03:42MT - usagold.com msg#: 152577)
$$$$$ $700.0 $$$$$
The way the POG has been rising recently looks to me like the resistance we saw for so many months has finally been overcome. I expect it now to continue to rise, and for it to accelerate rapidly above this level as soon as someone attacks Iran.
Cometose (2/24/07; 17:57:07MT - usagold.com msg#: 152576)
COT
The commercials were at it again this week positoning themselves in options and futures contracts and on this basis
The Silver commercials were net Short again
500 + contracts
and Copper commercials were net long 340 + contracts
and GOld commercials were net short another 2400 contracts
THe rumor from the rumor mill is that James Taylor is going to open at the COMEX Pits next week to perform
STEAMROLLER BLUES .........
Tuco (2/24/07; 16:26:31MT - usagold.com msg#: 152574)
$$$$$672.2$$$$$$
Sometime this year I believe the price of gold will go to $1001 then be hammered down. Extreme volatility and uncertanty will drive the price upward. Fear of losing control will cause the PTB to drive the price down. The PTB will lose in the long run because all major dips will be buying opportunities for those who have just as much or more paper than the PTB. All bets are off if a Middle East country or countries violently lose oil producing or shipping facilities and/or a disaster (man-made or natural) occurs in the U.S.A. Then $1001 will just be a speed bump on the way up.
The Hoople (2/24/07; 14:35:52MT - usagold.com msg#: 152573)
$$$$ 704.1 $$$$
The POG will do well in 07', as the management activities to suppress it are becoming increasingly futile. Last week's $20+ gold rally day was proof efforts to hold back gold with paper selling will blow up in the short sellers faces. Too much physical demand, along with trillions of dollars of derivatives equals a big POG rise, possibly 4 figures soon. Big cards got played last week.
Gold is holding all the face cards, paper fiat can only bluff. The bluff failed miserably last week.
Ag-geek (2/24/07; 13:57:02MT - usagold.com msg#: 152572)
$$$$$$$$$$ 697.30 $$$$$$$$$$$
My thoughts on gold for the coming year are that we we will see a high in the 850 to 900 range. Following the high we will see a correction back to the 700 range and then a slow steady rise as inflation rises and the dollar slowly sinks and the world economy slowly unravels. of course the dollar and the economy will be given support by the central banks to make the fall as gradual as possible.
Cheers!
AGgeek
mikal (2/24/07; 13:45:15MT - usagold.com msg#: 152571)
@Topaz
Re: Exchange for gold
Aye matie! I have stockpiled full oildrums, uranium pellets and rhodium bars en masse to use as "hardtimes" money.
But like other committed commodity pirates, I'll continue to draw em down at the right inflection points, star position willing, to take advantage of the cheaper gold, the more barbarous of the four!
Har, not to those silly billy banker boys!
Ye see, in a world of relics, no risk is too big when it comes to thrillseeking! Methinks most of these islands are still unclaimed, but we'll fight if we has to!
Ahoy, mineral "money" ahead!
Topaz (2/24/07; 13:11:55MT - usagold.com msg#: 152570)
clarity.
"...to acquire "metal" through the acquisition/disposal of "metal"..." the trade is just as valid in reverse, but I kinda stick to the one-way street.
Topaz (2/24/07; 13:02:45MT - usagold.com msg#: 152569)
Ratio trade.
I thought I'd add, It's MOST important to know a ratio trade is NOT to be confused with "for Profit" trading.
When trading the Au:Ag ratio it is designed solely to acquire Gold through acquisition/disposal of Silver. The time spent in "FRN Limbo" is kept to a minimum as you move FROM Ag TO Au.
Many scenarios can be considered (all equally plausable) to arrive at (say) a 30:1 Ratio ...and some might be unfavourable "price-wise" to one or both.
flow5 (2/24/07; 12:47:45MT - usagold.com msg#: 152568)
The "Holy Grail"
Flawed as the AMBLR figure is (Adjusted Member Bank Legal Reserves), it is still far superior to the Domestic Adjusted Monetary Base (DAMB) figure, which is generally cited. The DAMB figure includes AMBLR plus the volume of currency held by the nonblank public (Milton Friedman's "high powered money"). Since the public determines its holdings of currency an expansion or contraction of DAMB is neither proof that the Fed intends to follow an expansive, nor a contractive monetary policy. Furthermore any expansion of the nonblank public's holdings of currency merely changes the composition (but not the total volume) of the money supply. There is a shift out of demand deposits, NOW or ATS accounts into currency. But this shift does reduce Member Bank Legal Reserves by an equal or approximately equal amount.
Since the member commercial banks operate with no excess legal reserves of consequence since 1942, any expansion of the publics holdings of currency will cause a multiple contraction of bank credit and checking accounts (relative to the increase in currency outflows from the banks) ceteris paribus. To avoid such a contraction the Fed offsets currency withdrawals by open market operations of the buying type. The reverse is true if there is a return flow of currency to the banks.
Since the trend of the non-bank public's holdings of currency is up (ever since the 1920's), return flows are purely seasonal and cannot therefore provide a permanent basis for bank credit and money expansion.
In our Federal Reserve System, 90 percent of MO (domestic adjusted monetary base) is currency. There is no money multiplier for currency And the currency component of MO is so prominent, and the proportion of legal reserves so negligible (and declining); that to measure the rate of change in currency held by the non-bank public, to the rate of change in M1 (where 54% is currency), is, yes, to measure currency vs. currency (cum hoc ergo propter hoc); in probability theory and statistics, not a cause and effect relationship.
Complicating the measurement of the monetary base is the fluctuation in the percentage of foreign currency circulation to domestic currency circulation (estimated at ˝ to 2/3 of all U.S. currency). . I.e., the domestic monetary source base equals the monetary source base minus the estimated amount of foreign-held U.S. currency. Inflows and outflows of foreign-held U.S. currency (seldom repatriated) are related to political and price instability, as well as seasonal flows; and all are immeasurable in the short run...
The "shipments proxy" estimate of foreign-held U.S. currency uses data on the receipts and shipments of currency, by denomination, at the Federal Reserve's 37 cash offices nationwide (note: > 80 percent of foreign-held U.S. currency are $100.00 bills). Because of its influence on the DAMB, quarterly estimates of foreign-held U.S. currency are reported in the Feds "Flow of Funds Accounts of the United States" & in the BEAs estimates of the net international investment position of the United States.
The volatility of the K-ratio (publics desired ratio of currency to transactions deposits), and the volatility in the ratio of foreign-held to domestic U.S. currency, both influence the forecast of the (1) cash drain factor, and (2) the movement of the domestic currency component of the DAMB. This causes unpredictable shifts in the money multiplier (MULT – St. Louis), [sic], for M1 and thus M2.
The Federal Reserve Bank of Chicago uses legal reserves ("t"-accounts), exclusively, to explain the creation of new money in the booklet "Modern Money Mechanics". The booklet is a workbook on bank reserves and deposit expansion. The stated purpose of the booklet is to "describe the basic process of money creation in a "fractional reserve" banking system" The monetary base plays no such role.
It is therefore both inaccurate in practice, and incorrect in theory, to refer the DAMB figure as a monetary base [sic]. The only base for an expansion of total bank credit and the money supply is the volume of legal reserves supplied to the member banks by the Fed in excess of the volume necessary to offset currency outflows from the banking system. The adjusted member bank legal reserve figure is that base.
USAGOLD / Centennial Precious Metals, Inc. (2/24/07; 12:22:03MT - usagold.com msg#: 152567)
Win this PRIZE from USAGOLD-Centennial Precious Metals! Less than 12 hours left to post your entry!
http://www.usagold.com/gold/coins/den20mermaid.html
Topaz (2/24/07; 12:12:02MT - usagold.com msg#: 152566)
@GoldSilverRatio.
http://stockcharts.com/h-sc/ui?s=$gold:$silver&p=D&b=5&g=0&id=0
Great effort your post ...
...on the GSR, I'm expecting an exponential decrease in the coming Ag delivery period (Mar) initial target 30:1 and am trading it "like there's no tomorrow".
Historically we're looking at 16:1 ...fundamentally we're currently at 8:1, and technically I can envisage a blow-off top down to 5or6:1 or even 4 ...sometime within the next 2-3 yr's.
All IMHO of course ...DYODD etc.
Clink! (2/24/07; 11:54:37MT - usagold.com msg#: 152565)
@ Freedom
I would be the first to admit that, being an engineer by calling, my thought processes are slanted to the visual and spacial. But I find that it is you who have the skill of word-pictures. I particularly enjoyed the thought of being on my back way up in the scaffolding - I have difficulties above 6 feet on a ladder !!
C!
flow5 (2/24/07; 11:44:29MT - usagold.com msg#: 152564)
FOMC
The FOMC just took the "wind out of its sails"
flow5 (2/24/07; 11:40:49MT - usagold.com msg#: 152563)
Housing
During the last 3 decades this country has experienced, in tandem, two types of inflation. One characterized by relentless rise in consumer and producer prices. Inflation, at varying rates, has persisted irrespective of the cycles of the business economy. This phenomenon enabled economists to coin a new term---stagflation; business stagnation accompanied by inflation. The other inflation has been largely confined to rampant speculation in urban and rural real estate. This inflation has been so excessive it has produced the "boom and bust" characteristics of all past speculative orgies.
Gandalf the White (2/24/07; 11:32:32MT - usagold.com msg#: 152562)
TAA TAA TAAAAAAAAAAAAA ----- UPDATE !!!!!
$$$$$$$$$$ THE FEBRUARY 2007 "PRICE of GOLD" GUESSING CONTEST!! $$$$$$$$
OFFICIAL ENTRY LISTING
Entries as of DAY #10 -- (2/24/07) at just about 11:30 Denver time !!! A little more than 12 Hours to go !!!
LAST DAY TO ENTER ! Entry DEADLINE is MIDNIGHT (Denver time) today!
Listed in order of decreasing values !
----
$$$$ $2,007.0 $$$ Federal_Reserves (2/23/07; 12:37:29MT - usagold.com msg#: 152517)
$$$$ $1,250.0 $$$ Beamer (2/21/07; 23:42:07MT - usagold.com msg#: 152436)
$$$$ $775.5 $$$$ Sprout (2/16/07; 18:42:09MT - usagold.com msg#: 152256)
$$$$ $742.0 $$$$ Caradoc (2/22/07; 21:41:15MT - usagold.com msg#: 152475)
**** $727.5 **** Thoreauly (2/17/07; 07:46:31MT - usagold.com msg#: 152267)
$$$$ $725.0 $$$$ Armageddon (2/22/07; 21:30:39MT - usagold.com msg#: 152473)
$$$$ $724.6 $$$$ Topaz (2/15/07; 04:55:38MT - usagold.com msg#: 152177)
$$$$ $718.0 $$$$ Peculium Aurum (2/23/07; 11:51:44MT - usagold.com msg#: 152512)
$$$$ $715.2 $$$$ Boxman (2/22/07; 18:16:35MT - usagold.com msg#: 152469)
$$$$ $711.7 $$$$ Tevye (2/21/07; 19:50:55MT - usagold.com msg#: 152424)
$$$$ $710.5 $$$$ Waverider (2/23/07; 19:53:12MT - usagold.com msg#: 152538)
$$$$ $708.8 $$$$ Placer Gold (2/23/07; 12:13:05MT - usagold.com msg#: 152514)
$$$$ $707.7 $$$$$ Survivor (2/23/07; 15:49:05MT - usagold.com msg#: 152525)
$$$$ $705.2 $$$$ Rimh (2/23/07; 12:30:58MT - usagold.com msg#: 152516)
**** $701.7 **** goldpuppy (2/23/07; 00:33:51MT - usagold.com msg#: 152485)
$$$$ $701.5 $$$$ Pal (2/20/07; 09:17:37MT - usagold.com msg#: 152369)
$$$$ $699.1 $$$$ 24karat (2/22/07; 22:14:38MT - usagold.com msg#: 152477)
$$$$ $698.8 $$$$ slingshot (2/23/07; 16:42:52MT - usagold.com msg#: 152526)
**** $698.0 **** Cometose (2/23/07; 15:30:31MT - usagold.com msg#: 152523)
$$$$ $696,9 $$$$ Shanti (2/24/07; 07:59:24MT - usagold.com msg#: 152555)
$$$$ $696.7 $$$$ Black Blade (2/24/07; 00:56:38MT - usagold.com msg#: 152549)
$$$$ $696.2 $$$$ phil288 (2/23/07; 19:41:14MT - usagold.com msg#: 152536)
$$$$ $695.5 $$$$ Prius (2/23/07; 13:18:38MT - usagold.com msg#: 152520)
$$$$ $695.3 $$$$ YGM (2/23/07; 09:22:58MT - usagold.com msg#: 152494)
$$$$ $695.0 $$$$ Sundeck (2/16/07; 04:38:24MT - usagold.com msg#: 152221)
$$$$ $694.5 $$$$ Camel (2/24/07; 08:36:33MT - usagold.com msg#: 152557)
$$$$ $694.0 $$$$ milkhon (2/23/07; 16:57:44MT - usagold.com msg#: 152527)
$$$$ $693.9 $$$$ GoldenBear (2/23/07; 15:01:12MT - usagold.com msg#: 152522)
$$$$ $692.5 $$$$ Quickbeam (2/23/07; 12:22:49MT - usagold.com msg#: 152515)
$$$$ $692.1 $$$$ Sierra Madre (2/23/07; 11:12:16MT - usagold.com msg#: 152506)
$$$$ $691.2 $$$$ glockmaster19 (2/22/07; 16:35:32MT - usagold.com msg#: 152464)
$$$$ $691.1 $$$$ Tin Man (2/21/07; 20:08:52MT - usagold.com msg#: 152426)
$$$$ $690.1 $$$$ Goldendome (2/23/07; 22:55:15MT - usagold.com msg#: 152542)
$$$$ $689.0 $$$$ Rocky (2/23/07; 11:21:55MT - usagold.com msg#: 152507)
$$$$ $688.0 $$$$ Goldilox (2/16/07; 11:26:32MT - usagold.com msg#: 152238)
$$$$ $687.8 $$$$ Lebieque (2/15/07; 03:55:18MT - usagold.com msg#: 152174)
$$$$ $686.9 $$$$ otish mountain (2/23/07; 17:20:44MT - usagold.com msg#: 152528)
$$$$ $686.0 $$$$ Clink! (2/23/07; 15:34:48MT - usagold.com msg#: 152524)
$$$$ $685.0 $$$$ Toolie (2/15/07; 03:10:40MT - usagold.com msg#: 152170)
$$$$ $684.8 $$$$ Freedom (2/18/07; 13:37:59MT - usagold.com msg#: 152295)
$$$$ $684.6 $$$$ GoldSilverRatio (2/24/07; 11:04:16MT - usagold.com msg#: 152561)
$$$$ $682.4 $$$$ Wheelthru (2/20/07; 15:01:11MT - usagold.com msg#: 152382)
$$$$ $680.5 $$$$ solosza (2/23/07; 18:18:02MT - usagold.com msg#: 152530)
$$$$ $680.0 $$$$ GOLD FINGER (2/23/07; 18:55:27MT - usagold.com msg#: 152533)
**** $678.0 **** Rook (2/17/07; 19:55:35MT - usagold.com msg#: 152278)
$$$ FRN677.7 $$$ Smeagol (2/22/07; 21:36:03MT - usagold.com msg#: 152474)
$$$$ $676.5 $$$$ pilgrims_gold (2/22/07; 16:47:36MT - usagold.com msg#: 152465)
$$$$ $675.1 $$$$ xylo (2/20/07; 13:21:27MT - usagold.com msg#: 152379)
$$$$ $673.5 $$$$ Lothar of the Hill People (2/17/07; 13:25:18MT - usagold.com msg#: 152271)
**** $670.0 **** Liberty Head (2/17/07; 10:03:22MT - usagold.com msg#: 152270)
$$$$ $668.8 $$$$ R Powell (2/23/07; 19:22:48MT - usagold.com msg#: 152534)
$$$$ $666.6 $$$$ Minero (2/17/07; 07:39:45MT - usagold.com msg#: 152266)
$$$$ $663.8 $$$$ Flatliner (2/22/07; 23:02:49MT - usagold.com msg#: 152479)
$$$$ $662.5 $$$$ Henri (2/16/07; 11:02:33MT - usagold.com msg#: 152235)
$$$$ $662.1 $$$$ balzac (2/22/07; 09:35:46MT - usagold.com msg#: 152446)
$$$$ $658.0 $$$$ flow5 (2/15/07; 12:19:26MT - usagold.com msg#: 152184)
$$$$ $652.0 $$$$ cinksl4 (2/23/07; 21:30:59MT - usagold.com msg#: 152539)
$$$$ $647.1 $$$$ smiles45 (2/21/07; 21:26:01MT - usagold.com msg#: 152431)
===
<;-)
GoldSilverRatio (2/24/07; 11:04:16MT - usagold.com msg#: 152561)
$$$$$$$$$$$$$$ 684.6 $$$$$$$$$$$$
$$$$$$$$$$$$$$ $684.6 $$$$$$$$$$$$
The "price" of Gold will remain One (1) piece of Twenty US Dollar Genuine Constitutional Gold Coin, of course. The reason being, there is insufficient time, let alone inclination for Congress and the States to amend the Constitution this year. Even if the Honorable Ron Paul was not the only one in Congress thinking honest thoughts on money.
The exchange rate of Gold in terms of Silver: I expect Gold to continue dropping against Silver. Not just this year, but until the present ratio of about 48 drops to around 20 or lower, perhaps in a few or several years. Then it would be very profitable to trade in bags of 90% Silver Coins for Gold Coins, getting more than twice as many Gold Coins as I could afford today.
In terms of Genuine Copper Pennies or Genuine Nickel Nickels, Gold price has already reached a plateau and their commodity values should trade pretty much in tandem. In theory, you could simply buy rolls of Pennies or Nickels. But practically speaking, non-precious metals take too much space. Besides, realizing their inherent melt value is illegal for now, until and if they are demonetized allowed trading freely. Long wait, meanwhile getting only their pitiful one cent and five cent face values. So, the only game is in precious metals.
We may possibly be better off with silver coins in stable times until the ratio finds sort of equilibrium.
We are definitely best off with gold coins in turbulent times of wars, rumors of wars, reckless printing of money and derivatives.
The degree of stability is a subjective guess and requires vigilant monitoring and teamwork. Therefore, I don't disagree with holding gold and silver in any particular ratio.
In any event, I expect to be worst off and feeling rather foolish holding Federal Reserve Notes and related promises in the longer term, meaning months, any time hereafter. It is bad enough that "in-service" choices in my 401k Fidelity holdings are being held hostage in FRNs. I am frustrated about the future of Social Security, having involuntarily contributed the maximum all these years. 56, victimized, all the way, all the time.
Therefore, regardless of the gold "price", this year, and thereafter, all discretionary funds simply must go to purchasing precious metals for delivery. Still, it is not nearly enough to compensate for the risks.
Best Case Scenario: Should peace and prosperity break out unexpectedly, the price of Federal Reserve Notes should be dropping only at the moderate rate of synthetic M3 inflation or 11%. This implies Gold trading at only FRN760 this year. Luckily, there is more time to accumulate more gold at these attractive exchange rates.
Worst Case Scenario: Should the Decider decide to attack Iran, or should the foreign holders of FRNs decide to cash in their chips, or should the luck of High Roller hedge funds run out, or should there be a run on the casino, the fiat FRNs could likely experience the familiar Sudden Death Syndrome, following hundreds of similar paper currencies of similarly deceptive, greedy, reckless and arrogant regimes. Once confidence begins melting down at accelerating rates, first suspicion, then alarm sets in, quickly followed by desperation, panic, then finally collapse with its horrors. Rational expectations would lead to FRNs continuing their inexorable collapse at rates of thousand fold ahead of the rate of money supply increase. Milton Friedman was dead wrong, since the final stages of inflation, like a drug overdose, are hyperbolic and out of control. Nothing like the easy-to-manipulate early stages where most can be fooled most of the time. Recall the hurricane of Perfect Storm or look down on the vortex next time you flush the toilet. The underlying math of the logarithmic spiral is analogous. In this worst-case scenario, neither very likely nor entirely impossible this year, only a fool would exchange Gold for collapsing paper at any rate. Well, except perhaps a few ounces to pay off a mortgage and another to pay the annual real estate tax - if you are a really brave optimist or lack alternatives. Else, use small gold coins to get tickets on the last train out, fill up the SUV one more time, or bribe the guards. At that point it would make absolutely zero difference how many zeros are printed on FRNs: FRN10,000/oz, or FRN1,000,000,000 or FRN1,000,000,000,000,000 since the fraud perpetrated on unsuspecting paper-promise holders would be fully exposed. The groups three zeros did not matter on French Assignats, Weimar Republic Reichsmarks, Hungarian Pengos or Yugoslav Dinars. Tragically and unnecessarily, most people not having the foresight and discipline to accumulate all the gold affordable NOW will likely be ruined, like holders of Continental Dollars or Confederate Dollars. Holders of paper promises of all kinds, life insurance policies, especially retirees on fixed FRN-designated incomes like Social Security or mutual funds or ETFs, yes, ETFs, will be destitute and many suicidal. Ancient, recent and current history is full of hundreds of precedents.
Most Likely Scenario: Somewhere between the above extremes, with accelerating fiat depreciation, increasingly violent volatility in the make-believe paper markets to pry gold from weak hands. Highs FRN1,000/oz this year, FRN2,500/oz within three years, FRN50,000/oz in five to seven years.
However, the price of gold will remain Twenty US Dollars in Genuine Constitutional Gold Coin with the same purchasing power it had in Constitutional Times.
I suggest the next guessing game, if any, to go something like this: How many counterfeit, aka paper FRNs, will be exchangeable for a Constitutional pre-1933 $20 Gold Coin? How many ounces of silver will be exchangeable for one ounce of gold? Or to make it easier: How many barrels of oil will trade for one ounce of Gold? Where are we on the Golden Trail?
Goldilox (2/24/07; 10:10:47MT - usagold.com msg#: 152560)
PoG review
http://www.netdania.com/ChartApplet.asp?symbol=XAUUSDOZ%7Ccomstock_lite
Click to the "8 hour" view to hone in on the last four months - a 105 point, 18% rise. Not without some "back and fill", but pretty steady, none the less.
Many are predicting another "breather" soon, but from what level?
$688 (yesterday's high), $700, $720, $730 (old high), $730+ (new high)????
Get your guess posted today for Wednesday's April contract close to help lighten CPM's load by one fabulous coin.
Be sure to follow the Wizard's simple rules, as the Hobbits can get cranky!
G'lox
Goldilox (2/24/07; 09:50:59MT - usagold.com msg#: 152558)
More trouble on the "home front"
http://www.chicagotribune.com/business/chi-0702240037feb24,0,3998543.story?coll=chi-business-hed
snip:
Lowe's Cos. on Friday reported an 11.5 percent drop in fourth-quarter profit, but the results still beat estimates and the company said sales will start to pick up in the second half of the year.
The Mooresville, N.C.-based company said net income fell to $613 million, or 40 cents a share, from $693 million, or 43 cents a share, a year earlier. The latest result surpassed estimates by 3 cents a share.
Sales slipped 3.7 percent, to $10.4 billion, the first decline in at least a decade. The fourth quarter had one fewer week than the year-ago period. Adjusted for that, sales rose 5 percent. Same-store sales, a key measure of industry performance that is based on sales in stores open at least one year, fell 5.3 percent.
-Goldilox
Not as bleak as Home Depot, but certainly feeling the effects of a slumping home sales market.
Camel (2/24/07; 08:36:33MT - usagold.com msg#: 152557)
$$$$$ 694.5 $$$$
Gold this year will briefly revisit its former all time high of around $850 and the reason may be expressed in one word ..... China .
China has allocated about 200 billion of its one trillion reserves to be shifted from US Treasuries to other types of investments which will be negative for the US dollar . The dollar spent many months in a highly choreographed equilibrium around 90, then fell to the 85 level where it has found another equilibrium. As China reallocates its reserves the dollar will drop to around 80 where it will again find an equilibrium awaiting further developments in the coming years which will lift it to even greater heights..
slingshot (2/24/07; 08:21:45MT - usagold.com msg#: 152556)
Deep Storage Gold
http://www.financialsense.com/fsu/editorials/kirby/2007/0223.html
Hope the link works
Slingshot---<>
Shanti (2/24/07; 07:59:24MT - usagold.com msg#: 152555)
$$$$$ 696,90 $$$$$
Since the "push the button" has been discovered to print "a la volonté" by (almost) all CB's, we see the reality happening before our eyes. The plot written in the Gold trail archives here at USAGOLD is coming closer & closer every day, there seems no way back anymore.
The accelerating overhang of huge liquidity of the above together with the liquidity created by fractional banking + the use of multi leveraged derivatives is snapping around the world for ROI. With just 1 mouse click away today it is astonishing that bazillions of currency can be transferred in nanoseconds........ Just imagine if only a small part is looking for GOLD what you think POG will do.......?
Long term trend is crystal clear what trend we are heading for, although short term is guessing, so for this year high my guess is $$$ 999.99 $$$
Still we have to reconsider what we wish for, if POG heads for extraordinary highs the other side of the medal would may be not so nice. To be prepared i would recommend to follow the slogan of Black Blade.
Salom-All
Shanti
Topaz (2/24/07; 03:58:30MT - usagold.com msg#: 152554)
further @smiles 45.
Just had a violent thunderstorm go through.
It may have been only 4 or 5 Yr's ago come to think of it. At the time the world became quite focused on the "plight" of Africa generally (for approx 6 mth's).
I recall a Presidential press conference announcement and, as Iraq was the subject du jour, the World press held it's breath. however, at the PC, GWB flanked by Sec'y Powell spoke inanely for 30secs about the Africa ...and that was it ...most peculiar.
Shortly thereafter T'Sec'y O'Neill went with U2's Bono to Africa ...and promptly resigned on his return. (remember the silly hat photo?)
The conclusion I drew at the time was that Sth Africa had nationalised their "resorces" (as opposed to Mining Co reserves, proven and unp) and had swapped them for T's (paperised)
So, I don't think your Shareholders are under the pump just yet as the said paper would be similar to a 30 Yr Long Bond ...only Gold backed.
Gandalf the White (2/24/07; 02:07:27MT - usagold.com msg#: 152553)
LAST CALL (for sssistance) <;-)
IF I have missed your POG Contest entry ---
PLEASE YELL at me !!
Tks
<;-)
Gandalf the White (2/24/07; 01:55:13MT - usagold.com msg#: 152552)
TAA TAA TAAAAAAAAAAAAA, ---- LAST POSTING !!!
$$$$$$$$$$$$$$ A "PRICE of GOLD" (POG) GUESSING CONTEST!! $$$$$$$$$$$$
We shall have a price guessing contest on the closing (Settlement price) of gold for the April COMEX Contract (GCJ07) on the last day of this month. Wednesday, February 28, 2007, ---BUT all entries must be posted to the TableRound before Midnight on Saturday, February 24th, AND ALL ENTRIES must answer "THE QUESTION" !!
Based on numerous prognostications from both recognized metals industrial companies executives, financial "experts", taxi drivers, and "idiots" – that the price of gold this year will be somewhere between $500 and $2,000,
the QUESTION is:
What do you think the highest price of SPOT gold (POG) will be this year, AND, in thirty words or more, Why????
This POG Contest winner -- the closest price guess to the actual Settlement Price -- will receive a rather rare collectors piece, a Danish 20 Kroner goldpiece, having the likeness of King Christian IX on the obverse, but commonly known as a "Mermaid" for the content of the reverse side of the coin !
The "Mermaid" 20 Kronor goldpiece had a total mintage of only 1.5 million, as compared to the nearly 110 million mintage of its period cousin, the English Queen Victoria sovereigns. It gets its name from the blend of a stoic Lady Liberty, enthroned with what I think is a porpoise or dolphin, swimming at her feet. Christian IX, pictured on the obverse of the coin, was known as the 'father-in-law' of Europe because two of his daughters and one son married into the royal lines of England, Russia and Greece respectively, and his grandson became the King of Norway. This coin is exceedingly popular with the people of Denmark in that the "Mermaid" is the national symbol of the country. These beautiful gold pieces were minted between the years of 1873 and 1900, have a Fineness of 0.900, and Actual Gold Content of 0.2592 troy ounce. This prize coin was minted in the first year of production, 1873 !
There will be also be two runners-up prizes for the next closest prognostications --- each winning an one ounce pure Silver U.S. Eagle.
====
THE RULES -- (We MUST have RULES !!) --- PLEASE READ !!
1) The Winner is the poster with the Price Guess closest to the Settlement price of the COMEX (most active) April 2007 Gold Contract (GCJ07) on the date of Wednesday, February 28, 2007.
2) Price "Guesses" shall be stated in Dollars and tenths !
(Such as $666.6)
3) "Guesses" shall be SHOWN in the SUBJECT BOX location AND enclosed in markers of "Dollar Signs" so as to be OFFICIAL !
(Such as $$$$$ $666.6 $$$$$$$ )
4) ONLY one "Guess" per Knight or Lady is allowed, and once that "Guess" has been "taken" -- no one can duplicate it !! FIRST COME has rights to that "Guess".
5) HOWEVER, All "Guesses" MUST be posted before the clock in Denver strikes MIDNIGHT (24:00) on Saturday, February 24, 2007.
6) AND MOST IMPORTANTLY (as this part MUST accompany the Price prognostication)
--- In order for your entry to be valid, entries will need to have a full answer to the QUESTION, in 30 words, OR MORE. <===== NOTE !!!
---
LET the CONTEST conclude at MIDNIGHT !
<;-)
Gandalf the White (2/24/07; 01:51:36MT - usagold.com msg#: 152551)
YES ! Lady Waverider ---- <;-)
GREAT to see you posting again !
AND Sir Black Blade too !!
NOW the competition is heating up !!!
<;-)
Black Blade (2/24/07; 00:56:38MT - usagold.com msg#: 152549)
$$$$696.70$$$$
I see the price of Gold breaking the all-time high this year pushing well over $850/oz. I would not be at all surprised to see the price rocket to $1,000/oz before year-end. Nothing has fundamentally changed as we are still burdened with the "twin deficits", depreciating currencies, and now an imploding real estate bubble with ripple effects in the banking and credit sectors. We are just beginning to see cracks appear that suggest the Federal reserve is losing their grip to to a lid on their definition of what is "inflation".
Worldwide people from Asia to the Middle East to the E.U, to Latin America to North America are reallocating their wealth into hard assets. They are skittish and ready to bolt to Gold and Silver. The world is an ever-more unstable place where the slightest spark can trigger geopolitical and economic upheaval. Gold and Silver have a history of being a store of value that spans over 6,000 years.
One small act that threatens the world's oil supply can easily be that trigger. The world's major oil fields are in decline and no new ones have been discovered since 1976 (Cantarell Mexico being the last). More costly small fields and unconventional oil and gas production is making up the difference for declining production from the major oil and natural gas fields around the world. A way of life is being threatened and that uncertainty will ripple through the global economy like a tsunami. Few assets like the precious metals are best positioned as "portfolio insurance" for wealth preservation.
As always, get out of debt and stay out of debt, stash enough cash for several months' household expenses, accumulate Gold and Silver portfolio insurance, and start a storage program of nonperishable food and basic necessities.
We live in "interesting times".
- Black Blade
Topaz (2/24/07; 00:47:21MT - usagold.com msg#: 152548)
@smiles45
The term "deep storage" as I recall was first mooted approx 6 yr's ago coincident with South Africas move to "nationalise" their in-ground ore deposits. You MAY recall the Rand was headed to zool around X'mas 2001 I think and suddenly reversed on the announcement of same ..and hasn't looked back.
smiles45 (2/24/07; 00:38:25MT - usagold.com msg#: 152547)
Sorry for the poor typing and grammar
Hope the post was helpful anyway/Peter
smiles45 (2/24/07; 00:34:24MT - usagold.com msg#: 152546)
Where's our Gold?
http://financialsense.com/fsu/editorials/kirby/2007/0223.html
This presentation would be best made by Mr. Chris Powell of Gata.For many years Gata have suspected and in many cases proved the US gold depositories Ft. Know, West Point and Denver were devoid of what the US Treasury has claimed. No physical audit has beed performed in decades. One would imagine a country with problems with it's paper currency would want to brag upon rooftops of it's vast hoard of 8,900 Ton of bullion.
Mr Rob Kirby has done a further hunt for the socalled "deep deposits" named on the last paper audit. What is becoming painfully clear these deep deposits are not in fact our bullion, but bullion yet mines. The issue of mines nationalization comes to mind with the onus on the present PM issue shareholders.
This is well worth examining carefully. Reference to ETFs as cash cows for govts out of control are scary to say the least. This could leave gold investors of ETFs and mines shares in the learch. We know bullion in hand is probably the safest and best way to retain wealth, but with a govt that has a 2x record of confiscation of gold is not a pleasant though. A govt so eager to denude us of the Bill of rights can and will do almost anything.
The well known concept of a cashless society is another problem. If that occurs who does one buy or sell to?? A 2-tier system one for govt (with gold) and one for the people forbidden to own gold. The variable are numerous. Where are poster Belgium, Another and FOA when you need massively important advic? I quote Mr Kirby below
"The Very Deepest of Do-Do
So what does all of this really mean?
If the Treasury's gold reserves are, in fact, ‘yet to be mined’ or deep storage gold - this has ENORMOUS implications for the gold equity markets. If significant amounts of ‘yet to be mined gold’ have been sold forward by the Fed and/or U.S. Treasury – this raises SERIOUS questions as to priority claims on yet to be mined gold. Specifically, would any Fed or Treasury claims [via swap agreements] pre-empt gold company equity shareholders?"
I invite all opinions and remedies/Peter
mikal (2/24/07; 00:22:00MT - usagold.com msg#: 152544)
(No Subject)
http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2007/02/24/cnusecon24.xml
US Mortgage Crisis Goes Into Meltdown by Ambrose Evans-Pritchard | Business | Money | Telegraph - Saturday, February 24, 2007
A one-page article ties together quotes from Noriel Roubini, Peter Schiff and others.
Goldilox (2/24/07; 00:18:29MT - usagold.com msg#: 152543)
Who's driving this bus?
http://www.financialsense.com/Market/barbera/2007/0220.html
snip:
Elsewhere, the recent G-7 meeting at Davos, Switzerland revealed that other leading figures are getting seriously concerned. Never one to mince words, the Financial Times’ Gilliam Tett quoted ECB President Jean-Claude Trichet as stating that "current conditions in global financial markets look potentially 'unstable.'" According to Tett, Trichet went on to suggest that investors "prepare themselves for a significant 'repricing' of assets" with Trichet noting that "the recent explosion of structured financial products and derivatives had made it more difficult for regulators and investors to judge the current risks in the financial system." Noted Trichet, "We are currently seeing elements in global financial markets which are not necessarily stable," with Trichet pointing to the "low level of rates, spreads and risk premiums" as factors that could trigger a "repricing." Trichet concluded his remarks to Tett stating that "There is now such creativity of new and very sophisticated financial instruments that we don't know fully where the risks are located. We are trying to understand what is going on, but it is a big, big challenge."
Ok, now I don't know about you, but if he is the President of one of the worlds largest Central Banks and he doesn't get it, ... Ah… where does that leave the rest of us? All of which brings us back to the DJIA and S&P, and the constant chorus of euphoria resounding through the hallowed halls of Cable TV where ‘in depth’ coverage often means nothing of the sort.
-Goldilox
Frank Barbera's market wrapup from Tuesday last. It seems especially poignant only a few days later.
ViewYesterday's Discussion.
