All times are U.S. Mountain Time
(Yesterday's Discussion.)
The Invisible Hand (12/29/04; 21:06:26MT - usagold.com msg#: 127811)
Locke – the wood through the trees
http://www.usagold.com/goldenchalkboard/gc_John-Locke-2nd-Treatise.html
Let me quote from Richard Ashcraft's paper "Locke's political philosophy" in: Vere Chappell (ed.), "The Cambridge Companion to Locke", Cambridge UP, 1994, 226, pp. 246-8:
... to understand Locke's argument in the chapter on property it is essential to see it in terms of the structure of the political theory in the Two Treatises, in which moral foundations are linked to practical objectives. Hence the first stage of the state of nature – the original condition in which God placed mankind – is one in which property is defined in naturalistic and moral terms, where they key concepts are freedom of one's person, labor, use, the right to subsistence, and the Law of Nature or God's will. This stage, or way of life, for which the Indians in America provide as useful illustration, must be grasped holistically; Locke is, after all, offering a developmental picture of the state of nature, its transition from one stage to another, where both stages precede the institution of political society. It is a mistake to believe that the moral features characteristic of the first stage simply disappear with the invention of money and the other historical developments that characterize the second stage of the state of nature. For ... Locke certainly believes that the natural right to subsistence is carried forward in time as an enforceable moral claim in the most advanced or civilized state of society.
Locke's description of the second stage of the state of nature represents an empirical [historical] extension of the first stage. The key concepts of this stage are consent, exchange, commerce, cities and money. As Locke makes clear in paragraph 36, the "Rule of Property" governing the subsistence stage of the state of nature is transformed through the consent of individuals to accept money in exchange for the goods produced through their labor, thus allowing individuals a "Right" to "Larger Possessions". This "mutual consent" to exchange perishable goods for money "did no injury" to anyone else nor did it waste "the common Stock" of mankind. In fact, Locke maintains that by encouraging the productive use of labor and the cultivation of land, this process of exchange results in an "increase [in] the common stock of mankind" and it therefore represents a positive contribution to the preservation of mankind.
Apart from demonstrating that the use of money is consonant with the purposes of natural law, Locke supplies a historical account of how "Families increased" and people "settled themselves together and built cities, and then, by consent, ... and by Laws within themselves, settled the "Properties" of those of the same Society". In addition to these demographic changes, Locke identifies the invention of money with commerce and trade, and a productive use of labor beyond that necessary to supply the consumption gods of the individual's family. Thus, in Locke's terms, one moves from a labor-use-familial-consumption stage of existence to a production-for-exchange society, where men acquire laws to regulate their property rights. "And so by Compact and Agreement", individuals "settled the Property which Labour and Industry began". Once men settled in cities, "common Consent" and "positive agreement" rather than "natural common Right" determined the boundaries of property. This progressive development in the social relations of property assumes that everyone benefits in a society devoted to trade. Hence, Locke argues that the day-laborer in England is better off than "A King of a large and fruitful territory" in America. In other words, Locke assumes, as an empirical proposition, that a money-exchange economy benefits every member of society because the wealth of society as a whole filters down to the individuals of the lowest socioeconomic status in that society giving them a comparative advantage over individuals (e.g., Indians) who remain at a subsistence stage of economic development. Given the structure of Locke's moral argument, this means that the well-being of individuals must be viewed not merely in material terms but also as a progressive fulfilment of the obligation to preserve mankind by improving the conditions that make the execution of this obligation possible.
END OF QUOTE
If I may abuse the bandwidth a little more, I want to quote another paper in the book edited by Vere Chappell I want to do this because Locke is mostly thought of as being an empiricist like Berkeley (for whom to be is to be perceived) and Hume (for whom causality cannot be determined). as opposed to rationalists.
In his paper on Locke's theory of knowledge in the Chappell book, Roger Woolhouse argues (146, p.148) that Locke's insistence that the use of reason is in some way involved in the acquisition of knowledge is one thing that shows the need for caution about the common characterization of Locke as an empiricist.
How could an empiricist advocate the existence of natural rights? But this is off topic on a gold forum. Or is it? Again my apologies for abusing the bandwidth.
Cometose (12/29/04; 18:29:46MT - usagold.com msg#: 127810)
Taking a Dip
isn't so bad if the water is nice and warm ..........
unless the water gets to hot and your swimming gear is paper
Great Albino Bat (12/29/04; 18:10:40MT - usagold.com msg#: 127809)
Why do I stay the course?
Well, that hot-shot Raines - with his stupid remarks about the future of the mortgage industry and his deadly policy, which will prove a huge disaster for the US and all those who invest in Fannie Mae stock and debt - Raines is gone.
And all the financial supermen who are still obstinately trying to suppress gold (and gold stocks, too)- they will pass from the stage.
Even that demi-god, Greenspan, will be leaving in a couple of years, and his name will be spat upon.
"The captains and the kings depart..."
For my part, as long as I have life, I shall hold on to something that is never leaving: GOLD.
All the "market" contortions that we see, are directed to one object: to get you to part with your gold, or refuse to buy it. GOLD is indeed for very special people.
the GAB
USAGOLD Daily Market Report (12/29/04; 15:28:05MT - usagold.com msg#: 127808)
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http://www.usagold.com/DailyQuotes.html
The Daily Gold Market Report has been updated.
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Wednesday market excerpts
A stronger dollar, fund selling, month-end book squaring and stop-loss sell orders trimmed gold to its lowest level in 12 days.
The most active COMEX February contract settled $8.30 lower at $437.
The dollar's corrective rally against the euro led to asset shuffling by speculative players across many markets, and amid the thin conditions prevailing ahead of the New Year holiday, made notable price ripples in more illiquid arenas such as the precious metals complex.
This spurred momentum-following fund players into action, who chased prices lower through the New York session. Resting stop-loss sell orders pre-placed around $440 an ounce and then around $438 an ounce also added to the fray and kept prices on the back foot throughout the session.
Year-end accounting requirements also kept players active, with many hedge fund managers seeking to square their books ahead of the calendar year's end in order to report profits to investors.
As a result, the gold market's bias was decidedly bearish throughout, and market watchers agree that more price fallout could be seen before the weekend.
"This was a case of everyone running for the same door at the same time, and it made for a terrible mess," noted George Gero, a senior vice president at Legg Mason Wood Walker. "Being as we're coming up to a long weekend and the year end, there was really no one on the other side to slow the selling, so prices just kept coming off," he said.
Ned Schmidt, editor of The Value View Gold Report, considers gold's latest price drop a "correction" from what he called "the short-term overbought condition" seen over several days.
The euro's recent strength "should wane on into the new year," he said, and with gold now moving into an "oversold condition," the market should be set for a "rally in the first part of the New Year that will carry to a new cycle high" -- possibly $470 to $475, he said.
U.S. commodity exchanges will close early Thursday in observance of New Year's Day holidays.
------(see url for full news, 24-hr newswire)----
HEADLINES
Dollar gains amid talk of Japanese intervention -- ample.com
Yen Falls to Record Versus Euro Amid Speculation Japan Will Sell Currency -- Bloomberg - Asia
Dollar Ends Broadly Higher; Euro Hits Record Against Yen -- iWon
Too soon to know economic toll of tsunami, says IMF -- UBS Warburg
Asian currencies suffer on fears of tsunami's effect on tourism -- Hotel Online
Tsunami a gold mine for phone sellers -- Jakarta Post - Business
China tries to bring its roaring economy toa sustainable level -- China View - Business
Be bold and undertake economic reforms -- The Financial Express - Edits & Columns
TownCrier (12/29/04; 13:11:21MT - usagold.com msg#: 127806)
John Locke: Second Treatise of Government; Chapter V -- Of Property
http://www.usagold.com/goldenchalkboard/gc_John-Locke-2nd-Treatise.html
New addition to the 'Golden Chalkboard'
John Locke (1632-1704) has been one of the most influential writers of Western political thought, and his two treatises of government remain, three centuries later, as vital today as the day they were written. For the complete works, I would refer you to any library or bookstore, for the eye can only tolerate so much reading upon a computer screen. But insofar as this one chapter on property is at the same time singularly relevant to our intellectual pursuits and brief enough for online digestion, I offer it here.
R.
TownCrier (12/29/04; 12:11:54MT - usagold.com msg#: 127805)
NY gold and silver hit by dollar, absence of tsunami-based rally
http://yahoo.reuters.com/financeQuoteCompanyNewsArticle.jhtml?duid=mtfh86638_2004-12-29_15-58-19_n29386869_newsml
NEW YORK, Dec 29 (Reuters) - U.S. gold futures fell more than 1 percent to hold around $440 an ounce Wednesday morning on fund selling triggered by a sturdier dollar in thin dealings before the New Year's holiday.
Traders said gold's inability to rally on flight-to-safety buying after the devastating Indian Ocean quake tsunamis sparked some long liquidation.
"This is a purely technical move against the dollar," said a COMEX trader. "We saw retail liquidation and that spread into the funds as we took out the 20-day and 50-day moving averages in gold."
"I think we also saw liquidation after we couldn't rally safe-haven buying on this tsunami," the trader added.
Estimated gold volume was a a modest 20,000 contracts by 10 a.m. Many participants were out of the market this week for vacations.
New York metals will close early at around noon Thursday and stay shut Friday in observance of New Year's Day which falls on a Saturday this year.
------(from url)----
Given the precise nature of the tsunami devastation, damaging coastline resorts rather than banks, and damaging more poor areas than not in which the Red Cross estimates the death toll may reach 100,000, one is seriously forced to wonder why a NY COMEX gold rally would be anyones natural expectation. It therefore becomes even more ludicrous to use the ABSENCE of a corresponding rally of NY gold futures as a reason to liquidate those same derivatives.
We should see it instead as opportunistic volatility (vested interests running the stops downward) in a holiday-thinned market.
The good news for interested gold-buyers is that this is like rolling back the clock two-and-a-half weeks to the prices of December 10th. If you were wishing you had bought then, well, here's your second chance. Call USAGOLD-Centennial today to lock in your price and quantity of metal.
R.
TownCrier (12/29/04; 11:38:09MT - usagold.com msg#: 127804)
Fed adds $4.75 billion, continues to prop mortgage-backed securities
The trading desk for the Federal Reserve System this morning entered the open market with an eye toward firming demand for mortgage-backed securities. The Fed introduced $4.75 billion temporary dollars into the banking system through overnight repos, collateralized once again primarily with MBSs, taking all comers at 2.8 percent.
The collateral selection of the past few days is definitely atypical, and forces one to take deeper to heart the market breezes regarding accounting scandals looming at Fannie Mae, and their negative impact upon foreign demand.
Bottom line: Choose gold. Accept the bargain now handed to you as a timely blessing.
R.
USAGOLD / Centennial Precious Metals, Inc. (12/29/04; 11:27:25MT - usagold.com msg#: 127803)
... In Order to Form a More Perfect Union... (between You and Your Savings)
http://www.usagold.com/Order_Form.html
Ned (12/29/04; 10:53:47MT - usagold.com msg#: 127802)
Maverick1
The ONLY thing I notice different about today than all of this week is that London reopened this morning. Yes those crooked so and so's are up to something and I'll bet you it goes something like this, "..due to the horrible situation in Southeast Asia, demand for dollars is expected to be high..."
You watch, even though we're 3 business days into the week they'll try to pull this off anyways.
ge (12/29/04; 10:23:20MT - usagold.com msg#: 127801)
A rude ’05 awakening for Germans
http://www.iht.com/bin/print_ipub.php?file=/articles/2004/12/28/business/hartz.html
'Schmidt, a computer specialist, was recently laid off from a medium-sized company near Frankfurt. His wife, Sabine, has been unemployed for over a year and will now lose her benefits entirely as Chancellor Gerhard Schröder's groundbreaking changes to the country's unemployment regime kick in on Jan. 1.'...
'Still, the Schmidts may look back on 2005 and 2006 as the fat years if neither of them find regular work. Then, Hans, 47, will lose even more of his benefits under the Hartz IV rules - an eventuality he is eyeing warily.
"My chances of finding work in the next two years are about zero, and after I'm 50 I won't have a chance at all," Schmidt said. "The clock is ticking for me."
If they do not find work, the long-term unemployed will be required to take what have been dubbed "one-euro jobs," after the amount they pay per hour.
Maverick1 (12/29/04; 09:43:42MT - usagold.com msg#: 127800)
Huhhhhh?
Oh Boy! What is happening? I guess the IMF said they were going to sell gold to help the victims in Sri Lanka?
slingshot (12/29/04; 09:20:22MT - usagold.com msg#: 127799)
Henri
Just came on line to catch up on the forum and seen your message. To be short. You have a remarkable daughter that I know of which you are VERY PROUD.
To Kristen. It takes a very special person to face disaster and then help others. Job Well Done!
Slingshot------------<><><><><><><>
Cometose (12/29/04; 04:59:08MT - usagold.com msg#: 127798)
Earthquake: Coincidence or Corporate Oil Trajegy
http://www.independent-media.tv/item.cfm?fmedia_id=10211&fcategory_desc=Under%20Reported]http://www.independent-media.tv/item.cfm?fmedia_id=10211&fcategory_desc=Under%20Reported
Sorry , got the wrong article .....(puter muscle memory, perhaps)
Cometose (12/29/04; 04:55:29MT - usagold.com msg#: 127797)
Coincidence or Corporate Oil Trajegy?
http://www.sec.gov/rules/final/34-50103.htm
something from next door......
ViewYesterday's Discussion.
