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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: Ken Benes who wrote (37043)	7/12/1999 11:45:00 AM
From: Bill Ounce	Read Replies (1) \| Respond to of 116764

USA Today -- Experts: U.S. should sell its gold Thought the goldbugs would get a laugh, or perhaps a cry, out of this one... Personally, I think the USA should sit on its gold as an insurance policy in the event that a world-wide currency meltdown gets out of control (which almost happened last Summer). usatoday.com [...] University of Michigan Professor Stephen Salant says the USA lost tens of billions of dollars by not selling its entire gold holding in the late 1970s after Washington abandoned the gold standard and ended the link between the dollar and gold. At that point, gold lost its special role in the monetary system and became just another commodity, like lead, whose price varies in response to supply and demand. In a 1997 paper for the Federal Reserve, Salant and Fed official Dale Henderson lay out arguments for gold sales by the United States and other nations. [...] President Clinton doesn't need congressional approval to sell the USA's own gold. But the longer the U.S. waits, the less money it'll get because others will sell first. "Those who wait will one day wish they hadn't," Henderson says.

To: Ken Benes who wrote (37043)	7/12/1999 11:46:00 AM
From: Braincramp	Read Replies (1) \| Respond to of 116764

I agree with you on the producer issue; The price of gold is going to continue to decline. The reason I say this that the major producers are not closing out their hedges. By not doing this they are showing a lack of confidence in the market. As for me I would like to see the price of gold rise as much as everyone else, how ever unless the market gets a vote of confidence it can only go down.

To: Ken Benes who wrote (37043)	7/12/1999 11:52:00 AM
From: FESHBACH_DISCIPLE	Respond to of 116764

Question?If gold is down for the count,what is the value of the swiss franc?Since they are selling off their gold,what is the allure of this currency now? any thoughts on a previous currency that was perceived to be backed by alot of gold in times of crisis? Shuld it not fall out of bed?In 1971 was at over 4 francs to the dollar.

To: Ken Benes who wrote (37043)	7/12/1999 3:26:00 PM
From: long-gone	Respond to of 116764

If enough people look for a lack of "significant downside" could there be a chance of a great upside?: Colorado firms keep hopes bright By Steve Raabe Denver Post Business Writer July 12 - Oh, London is a fine town, A very famous city, Where all the streetsare paved with gold, And all the maidens pretty. - English playwright George Colman, 1808 That gilded pavement in London no longer carries quite the same glitter. Following the Bank of England's sale last week of 25 metric tons of gold, prices fell to a 20-year low - $256 an ounce, rising slightly to close at $257.70 Friday. Gold once traded as high as $834 an ounce in 1980. How low can it go? By many accounts, not much lower. Adjusted for inflation, gold is cheaper now than its value of $35 an ounce in 1947. Investors stashing cash under a mattress would have fared far better than holding gold over the past 20 years. With that kind of performance, forecasting better days for gold is not a great leap. Then again, gold prices have defied laws of supply and demand for so long that gold confounds rational economic analysis. But some analysts say that a combination of widely disparate factors - the Y2K scare, an over valued stock market, economic instability in Asia and the shutdown of numerous gold mines - may point to a rebound for gold. "At some point, the price has to catapult, and go up by multiples," said Michael Kosares, president of Centennial Precious Metals in Denver. "The question is, when?" As the site of the great gold rush of 1859, Colorado has a significant interest in the answer to that question. Here's why: - Even though no one is mining gold in substantial quantities in the state, several gold-mining companies are based here, including Newmont Mining, the world's second-largest gold producer. - Kosares' Centennial Precious Metals is one of the nation's largest brokers of gold coins, and his book "The ABCs of Gold Investing" and his company Web site are widely followed by gold investors. - The gold fund at Denver-based Invesco mutual funds has performed better than many of its peers - albeit faint praise in the lackluster gold-fund sector. Officials at each of the Colorado entities share a common mindset: a hope and expectation of higher gold prices, tempered by the realization that gold has disappointed before and will probably disappoint again. "I'm not going to sit here and tell you I'm bullish on gold," said John Segner, vice president and portfolio manager of the Invesco gold fund. "But I'm also not sure what the downside could be," he said, referring to supply and demand fundamentals that point to a rebound for gold. "I just don't think you can find significant downside." (cont) denverpost.com

To: Ken Benes who wrote (37043)	7/12/1999 7:18:00 PM
From: Casaubon	Read Replies (1) \| Respond to of 116764

I have stated many times on this board, nothing is going to happen until the producers organize themselves into a credible force and challenge the declarations of the cb's with their own declarations of, we are closing all uneconomic mines and will make up the supply with gold from the vaults of the cb's. A clear example of this strategy, the price of oil and copper, both having appreciated after the producers implemmented an effective strategy. Why is it when banks and govt's sell off a poor investment, thereby reducing demand (ie gold), a conspiracy exists, yet when such agencies blatantly manipulate the supply of a commodity (such as a oil), the strategy is heralded as a viable means of operating business. Free market economics should reign. When that happens, fair prices for gold and oil will exist. What you suggest is nothing more than collusion.