Gold and Silver Juniors, Mid-tiers and Producers Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: koan who wrote (32551)	2/11/2007 8:55:32 AM
From: que seria	Read Replies (1) of 78424

Koan: I think that piece by Jim Willie is essentially correct but I wouldn't bet on the timing of the US$, gold and oil re-adjustment. Writers have been making similar points for just about all the 25 years I've been following gold stocks. I agree with JW that the U.S. Ponzi finance scheme is closer to critical mass now than before--debt way up, productive capacity way down, debt finance and value of dollar dependent upon self-interest of competitors, resources tighter, citizens accustomed to gov't as national nanny, and competing nations collectively much stronger. But experience says U.S. Ponzi finance and a Goldilocks economy (with gov't adjustments that are "just right") can continue for a long time. I don't see, in anything Jim Willie or most others write, any near-term catalyst for a tanking of the U.S. $, no matter how unpromising its future. I long ago stopped subscribing to newsletters and even reading most free ones because writers so often mistook the inevitable for the imminent. I just go with precious and some BM explorers and figure that I win for as long as the U.S. $ and economic system is stable, or I have comparative value in the PM stockholdings if it falls apart. Gold is the ultimate store of value but if the USD collapses, the biggest thief in the U.S. will be the one with a legal monopoly on force. Gov't will just confiscate the people's gold--again! It's "in Canada I trust" for my "paper gold," in the sense that I hold Canadian stocks in a U.S. account (and would hold them in a Canadian account if I could!). Canadian gov't might confiscate physical gold but that seems far less likely than the U.S. doing so. Confiscation of physical could have a big negative spillover effect upon share prices, since companies' production would have to be part of the confiscation. I don't expect that even the U.S. will presume to confiscate or ban U.S. owners' foreign stocks just because the companies are in the gold exploration or mining business.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next