It's difficult to assess the potential overall effects of JP Morgan breakdown on the gold market, but we'll just offer this as a starting point: It can't hurt. The market action thus far today might be indicative.
Or will it be just another LTCM, bailed out by Wash-in-'t-wan and allowed to fade out into CH11 oblivion? Will we just pay for it in our taxes?
JP Morgan, Goldman Sachs, Chase Manhattan... what next?
Will real industry with real product follow?
Whenever I saw on the street that someone had a real product that did something and was looking for equity backing, the looks on the venture cap people's faces would be like they had bit into a piece of Buffalo chit and it caught in their throat. Now, if it were a dot comm that was going to get a *new technology* website to sell kewpie dolls to beat Sears Roebuck, or a hybrid computer that was going to diagnose and cure cancer in one pass with a neural network bio-assay-electro chip -- well how much did they want? The more farcical the story, the better.
But hey! A guy with a patent to separate non magnetic ferrous metal with a magnetic plate for higher grade, cheaper hematite concentrate -- what a crock! What utility would that have? Dunno. I didn't know that hematite ore was even an issue in this land. Don't they do all that in Brazil or somewhere? Or a guy wanders in their office with a 20 year old patent for a catalytic vanadium chip tower to eliminate 99.7 percent of all SO2 gas from roasting and generating plants and generate electricity to boot. Security! (It really exists and the patenter has 3 PhD's.)
The only problem is now that the OSC and SEC have elminated all the VC people brains or non from the mix, and the big boys with all their crooks are fading from the sight, the money dries up like HS2 on the road on a hot summer day. Pretty soon and you won't be able to scrape it off the pavement with a jackhammer.
EC<:-} |
