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

To: Giraffe who wrote (42955)	10/14/1999 9:44:00 AM
From: Giraffe	Respond to of 116764

Even the computer magazine sites are talking about gold. This is from ITmanagersjournal Millennium Bug Meets Gold Bugs: A Polygamous Marriage Made in Heaven, or at Least Zurich "They laughed when I sat down to play. . . ." John Caples sold a lot of piano lesson courses with that headline. "They laughed when I told them that 1% per annum wasn't enough to cover their risk. . . ." That's mine. Central bankers have been loaning gold to bullion banks for 1% per annum. They loaned out their most valuable financial asset for 1% per annum, thereby pushing down that asset's price. Think about this. They are, now that they may not get it back. It does not make sense economically. It makes sense politically. They wanted to create a new international banking system not tied to gold, which inhibited them from manipulating the central currency to be. To do this, they had to embarrass gold holders. They had to show that holding gold is a losing proposition. Then along came Y2K. Y2K means that digital promises to pay may not be enforceable for many years -- maybe forever. So, all of a sudden, physical gold in a vault looks good. But there are all those central bankers, holding promises to pay from about-to-go-bankrupt debtors. Up, up, up goes gold; up, up, up goes the risk of default; up, up, up goes the carrying charge for lenbding gold: from 1% to almost 5%. The central bankers used political power to confiscate gold from the people in the first third of the century. Then they lent it back to agents of the people for 1%. Silly, silly central bankers. This will bankrupt some gold mines. But in my view the key fact is this: one group of central bankrers -- continental Europeans -- have just pulled the rug out from under the Anglo-Americans: the Bank of England and the Federal Reaserve System. I think the old boy international banking network has just developed a major split. Some of them finally saw what Y2K is going to do with promises to pay dollars, and they decided to stop playing the gold loan game. They figured it out: holding gold bullion is safer than holding promises to pay dollars. Americans will not figure this out in time to save their own financial futures. Even if they did figure it out, they could do nothing about it. The supply lines of gold coins are too thin. Tell me, have you traded in promises to pay dollars for gold coins? Are you wiser than your neighbors? Or are you still playing the "wait and see" game? Are you still playing the "in December, I will" game? Gold got to $255. It will not get back there again. Coulda, woulda, shoulda. Somebody will take huge losses over the next 81 days. Then comes Jan. 1. More losses will follow. The millennium bug is about to create a new monetary system. Money as a promise to pay is about to be replaced by money as cash in hand. There won't be much of it, but those who have some will have buying opportunities as never before in history.

To: Giraffe who wrote (42955)	10/14/1999 10:06:00 AM
From: Tunica Albuginea	Read Replies (1) \| Respond to of 116764

Giraffe, " they " can't keep the " Gold story " buried for long. Very little said on CNBC the past week. This AM Maria is trying hard to keep the dancers swinging andÿ the music " of the new paradigm ", " the New Economy " going. An initial enthusiasm from Apple is quickly being smoldered by hard realities. Dow is down and Naz is turning negative. CNBC is going to have a very hard time continuing to support this market and it's perceived architect, Bill Clinton. Clinton did his best to perpetuate aggravate inflation by vetoing everyÿ spending bill. It is only through sheer persistence of some Republicans as well as Reagan's cuts in taxes etc. that produced our current buoyant market. We now have to reach " critical implosion mass " for this market. The numbers coming out tomorrow and the next days / weeksÿ will do it. Bond yield up to 6.33, highest in 3 years tells the story, TA