Hello Maurice, I will start this post by first agreeing with CB …
Message 16868149
<<Buying a share in a gold mine is an investment. Buying a gold coin is a hedge>>
… then by agreeing with your …
<<gold, like old cars, paintings, land, other metals and non-perishable stuff such as swamp wood, coal, fossils and any amount of other real, 3D objects, is a speculative store of value>>.
I then state, again, I am not a gold bug, as I have in the past, repeatedly …
Message 16834100
… and add the thought that gold, as opposed to Greenskaput, may be the true magic, an excellent piece of drama beautifully choreographed.
Follow along with me, for a moment, putting aside your natural and understandable bias, as I did, as AC Flyer is probably not willing to, and see what I mean, and then ask yourself, is it worth an allocation?
I will attribute fully to the sources of my fears, in case the Big Brother with ID EYE scanner is interested:
(a) You remember this then original idea I had discussed with you on the matter of gold consolidation, through LTCM and Enron-enabled financial engineering, given its now apparent accomplish-ability and certain profitability, intuitively obvious to the most casual of passing observers, if they would just look for a moment
Message 16025306
(b) You remember your awakening …
Message 16025323
(c) This very successful investor figures that the USD may fall, and sharply, when it does; otherwise the USD will fall, when it does, and sharply again …
pimco.com
… expanded on and adding to these old ideas, noted long ago, and now a few more years in the buildup to the prophesied deluge (warning: gold bug nonsense in AC Flyer’s frame of reference) …
tocqueville.com
(d) Problem we need to figure out is simple, namely, fall against what? Forget when, because no one should pretend to know. And if you said gold, you would be agreeing with your hero Greenskaput, as he noted here, when he was Greenspunkie (warning: bug crap, et cetera) …
gold-eagle.com
gold-eagle.com
(e) But, as noted, possibly not against gold, in Lawrence Summers (former Treasury Secretary and current President of Harvard University) article, "Gibson’s Paradox and the Gold Standard”, described in some detail here (warning: oh, you know already) …
gata.org
(f) What, confused? And therefore I would think, gee, maybe, just possibly, an allocation would be appropriate and wise, in case this following may be the state of reality sufficient to pass the ‘Matrix’ (i.e. movie w/ Buddhist leanings) test, where everything seems to taste like chicken … tocqueville.com
… without considering the more recent and spicier suspicions of government sponsored manipulation that, under normal times, I would have dismissed out of hand as bug crapola (I am also not a conspiracy subscriber, most of the time), had it not been for now indisputable Italian Euro convergence derivative trades, Argentine officialdom scamming private savings, and Enron-esque political cronyism …
(g) Divulged here in short reportage style, posted by the benighted BF …
Message 16894721
… and discussed here in scholarly but also somewhat detective thriller fashion …
tocqueville.com
You have to admit, the story makes a thriller, self-contained, internally consistent, consistently cohesive, without a lot of contradictions, other than the already mentioned Paradox.
(h) Well, gad, the rules for effective counter-measures are rather easy to follow …
tocqueville.com
This is so simple an insurance methodology, just in case the crazies are sorry-ly right, before officialdom apologies and witch-hunts are necessary. Especially when NEM option and share trades are so profitable, at least more so when compared to a lot of other trades.
Maurice, Ok, I admit that I am afraid. I mean what if THEY are right? Oops, forgot, I do not care, because I got Pt, plugged by President Bush in his call for fuel cells, and Au, unplugged by Greenskaput in his call for USD, and I am earning USD from NEM puts/calls:0)
And, guess what, I even have zestier plays to checkout, as recommended by Dr. Jim Black … Message 16867766
… Oops, Jim, sorry, didn’t mean to drag you under the scope of THEY who has the ID EYE:0)
In any case, gold will not rise because of baubles, dentistry, transistors, or Japanese digestive tract treatment. Gold will rise because of gathering mania, which we all understand so very well, without any intellectualization or rationalization …
(a) The Japanese must go long on gold, short on Yen, and/or repatriate savings that earn no yield …
nni.nikkei.co.jp
“Friday, December 28, 2001
Gold Selling Briskly Ahead Of Limited Guarantee On Deposits”
(b) The French need to prepare for the possibility of ‘Death of Euro’ …
minesite.com
“January 9, 2002
The French Are Switching Savings Into Precious Metals Rather Than Euros”
(c) The Russians need to hedge their reliance on the USD and the NMD …
therussianissues.com
“Duma to Make an Attempt on Russians' Dollar Savings
Duma advocates of gold savings are seemingly acting in the interests of those financial structures that wish to broaden the scope of their activities
issued on 14.11.01”
(d) The Chinese need to hedge their own government and tax authorities, given that they seem to have a good understanding of something they used to have and is having again …
ex.ac.uk
Chronology of money via links at bottom of page, starting at the earliest time period noted.
And from these reports, the magic is still strong, after 60 years of brutal suppression of the ideas concerning private property, wealth, enterprise, money, and the common good …
www1.chinadaily.com.cn
“Huang Jinbao withdrew 100,000 yuan (US$12,048) from his bank account on November 28 last year to invest in gold after China's first gold exchange made its debut in Shanghai. …”
www1.chinadaily.com.cn
“… Lu also revealed that the central government has reformed the examination and approval of the registration system for running a gold shop, which suggests that individuals with adequate funds will be permitted to operate gold shops after the gold market is fully opened …”
chinadaily.com.cn
“… According to other countries' experience, a stock market, a futures exchange and a foreign exchange trading centre as well as a gold exchange are essential for a city to become a financial hub …
… Experts indicate that the opening of the gold exchange will further improve the integrity of China's financial markets …
… Gold futures and foreign traders will be introduced to the market as China further deregulates its gold market.”
www1.chinadaily.com.cn
“The much-heralded national gold exchange … landmark in China's … a precious metal once viewed as one of the world's hardest metals and strongest investment tools …”
These communists, they have learnt much and applied plenty with childlike alacrity. So suspiciously capitalist-like.
(e) Islamic bankers … do not even start on their nutsy ideas …
millennium-money.com
(f) The de-leveraging process has be initiated by the mining consolidators, willy-nilly, assuming that the market is free, and if not free, the explosion of short positions will do the de-leveraging in a kaboom second
miningweekly.co.za
“Gold sector consolidation bad news for bullion banks”
In summary, gold is drama, characters cast from Chinese communist politicos, Russian schemers, aggressive consolidators, greedy global dealers, shadowy Central Bankers, Jihadic Islamic lenders, and whatnot. Pure drama.
What, not possible? Or as unbelievable as these words grouped together (Bush Greenspan surplus Enron plunge Social Security disappearance) … which, perhaps not so incredibly, yields this from www.google.com
google.com
Do You see any picture hidden amongst the pixels you are so found of? Maybe an outline? Perhaps if you zoom in to fractal scale down, or maybe zoom out to fractal scale up, and then a recognizable outline emerges.
Chugs, Jay
P.S. Here, them commies are learning from the Indians, globalization style … so that they have more money to pay for your CDMAs ‘planet-ization’ fashion …
nytimes.com
“Chinese Race to Supplant India in Software
January 5, 2002” |
