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Strategies & Market Trends : Precious Metals mutual funds (gold, silver, PGMs)

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To: Larry S. who wrote (627)2/23/2002 8:24:01 PM
From: Larry S.  Read Replies (1) of 972
 
Dan, et al,

I didn't find any significant mentions of PMs in this weeks Barron's; however, the Commodities Corner was devoted to a discussion of copper. The trust of the column was that supply is greater than demand and that the recent rise in the price was the result of speculative buying. It is stated that "the run-up, we think, is just a sample of the volatility yet to come". A further improvement in the global economy will be required to support the increase in demand required to support a rise in price. If Epstein is right, we may get the necessary improvement in the economy. He devoted his Economic Beat Column to supporting his bullish view on the economy and the view that inflation is just around the corner. Both support the view that we are entering a bull market for commodities.

The GMI/POG ratio:

On 02/21, the Barron's GMI was 378.64 down from the previous week's value of 389.18. With the POG down to 292.75 (02/22), the ratio was down slightly at 1.29.

The ratio a year previously was 1.07.

Cheers,
Larry
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