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

To: GST who wrote (48446)	2/7/2000 6:22:00 PM
From: russwinter	Read Replies (1) \| Respond to of 116770

I think the bottom line is that in six months we have seen two major boogie men (what John Hathaway calls the Golden Pyramid) dealt with. First, is the threat of rampant central bank selling, and second, excessive hedging (self inflicted by the gold industry). The last (short sellers) will probably be the easiest to take to slaughter. The game is up for the gold bears. The so called Washington agreement makes CB sales more predictable and also recognizes that gold is still a monetary reserve. The PDG and ABX announcement represent important fundamental policy shifts for two major producers who have been aggressive hedgers. The initial reaction to ABX appears to have been disappointment. But, to me it is clear we have progressed light years from where we were last year on this. The analogy to use for the big hedgers is of the heroin addict. Surely nobody seriously thought ABX would (or could) just quit cold turkey? But, they are now in recovery, and as shrewd and capable as they are as a corporate culture, I'm hopeful that they will stay there. These gold boogie men are a bit like Arnold S's "The Terminator". Once in awhile they will raise their ugly heads. But we all know the end of that story. Gold investors, thank our lucky stars. A new day has come.