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Politics : Stockman Scott's Political Debate Porch

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To: SOROS who wrote (3187)7/24/2002 10:58:12 PM
From: Jim Willie CB  Read Replies (1) of 89467
 
outstanding, Pops... gold in Swissy terms... gorgeous

you should send that one to Richard Russell
I hate to disagree with geniuses
90% of the time I am just loud wrong
but I think Russell is missing something big here

gold can be potent as a deflation hedge
at first, investors see that gold is a great performing sector
in an environment where everything else is sucking wind
so they profit in the asset without benefit of knowledge beforehand that gold is a deflation hedge
they just know "it works"

that is what I think is going on with gold since last autumn

sooner or later, some geniuses in the press/media will say
"gold has a record as an effective deflation hedge"

but to date, investor conditioned experience is with gold as an inflation hedge

thanks for link, outstanding, monster Head & Shoulder
not as big as the Mother of All S&P H&S though
I read Jeremy Grantham interview tonight in Barrons at Borders Books
smart guy, says S&P will go past 500 on downside
he dont like gold, since it pays no dividend
different strokes
/ jim
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