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Politics : Dutch Central Bank Sale Announcement Imminent?

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To: sea_urchin who wrote (20311)3/4/2004 12:46:42 AM
From: The Vet  Read Replies (1) of 81913
 
Searle, it all seems to hinge on what the real level of inflation is.. You said " I accept that the CRB is high at the moment but gold is now falling in relation to the CRB, which is clearly something to think about. Either POG is too low or the "market" feels the CRB is going to fall. I think the latter."

I believe inflation is firmly on the rise and that the CRB is clearly showing this. The "official" CPI figures have been so manipulated and massaged as to be virtually useless as a gauge of inflation. The US PPI figure is so bad that the US government is now unprepared to release it, until, I expect, they figure how to gut that figure as well.

Gold acting alternatively as a currency and a commodity tends to fall in and out of each camp, but it will shine when worldwide inflation in all the major currencies becomes too obvious to hide... Japan can print as many trillions of yen as they please and use them to buy dollars to recycle into US treasuries but all that cash eventually surfaces somewhere and inflation must result.
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