two beneficiaries of dollar slide are GOLD and EURO
it is not "one or the other"
remember that the EURO is a babe in the currency woods
check the rise in each of GOLD and EURO since Jan2002
as the buck has come down, both have risen
the inverse relationship between US$ and GOLD has been established for decades
the EURO is the new guy
imho the EURO is the little African bird riding atop the GOLD rhino
all kinds of Asians dont give two drizzly shits about the EURO
China clearly has made moves from total USTBond dollar-based stored reserves to both GOLD and EURO
Arabs might show more interest in EURO later, but now GOLD
but Japan has shown no interest in EURO
as Japan works to liquify their wretched banking system, I expect more sales of USTBonds
meanwhile private Japanese citizens are still buying GOLD
as Sun Tzu said (close) "dont attack or get in the way of those who mutually benefit from your scheme and plans"
I read more thoroughly the Johnston letter to his sons regarding the Bureau of Intl Settlements (BIS) cited on Zeev's thread, brought by BoPeepPlicity this week
the plan is to take down the US$ and lift the EURO and GOLD as the primary store of value by the end of this decade
it was and is a brilliant plan engineered by the Swiss
all done very quietly
two centerpieces: yen-carry trade, gold-carry trade
short each and store USTBonds
expect significant amounts of TBonds to sit in foreign hands
then start the sale and bring down the dollar
by the way, BIS owns 1 billion oz GOLD
translation, BIS owns 30,000 tons of GOLD
the last project of the BIS was to cut down the Soviet Union
I am getting behind the BIS
the irony here is that the BIS was party to a recent lawsuit by GATA against the Gold Cartel
so the BIS has been temporarily in bed with the Gold Cartel in the effort to keep GOLD suppressed
now they enter their next phase as the suppression game has ended
now they encourage selling stored USTBonds for GOLD
Japan has already begun
here is a link:
Message 17450498
all I know about Harmony comes from a nice comparitive article on Gold-Eagle.com
you can find it in the black box of articles on the left on its opening website
yes, large reserves, cheapest reserves, good growth, low costs, earnings growth, low PE
I am wary of South African anything
black marxist govts and poor miners sweating in 130-degree heat underground doesnt give me a warm feeling as an investor
also, I wonder if the recent orchestrated trashing of the Rand currency is to soon see a corrective reverse
that would hurt the lowered cost effect for a monster widening profit margin for all SA mining firms
here is a link:
gold-eagle.com
/ jim |
