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

To: Hawkmoon who wrote (51530)	4/15/2000 1:34:00 PM
From: GST	Read Replies (2) \| Respond to of 116764

Ron: <Investment equates to savings for the mere reason that it involves using income for something other than pure consumption. It is putting your money to work in a manner that you hope will cause it to appreciate.> By that standard, if I buy 100 lottery tickets a week I am "saving". The same could apply to any speculative use of funds-- including buying gold. Gold in my view is dominated by supply and demand -- and not used primarily as a currency. I would not view buying gold as saving any more than I would include buying stocks or buying land. These may or may not be good investments -- there are no "good" or "bad" investments, no sure things. People are finding out now what others knew before us -- when you buy stocks you hope to make money and at the same time you risk losing money. This is a shock for people who thought it was a one way street. The stock market could erase 5 trillion in market cap and not come back for years -- not a prediction but a real risk. That is why it is not "savings". Anybody close to retirement would get the idea pretty quick.

To: Hawkmoon who wrote (51530)	4/16/2000 4:01:00 PM
From: LLCF	Respond to of 116764

<Btw, that "erased" market cap is merely an unrealized gain or loss for whomever have not yet sold their stocks.> There are also lots of statistics out based on turnover of stocks as to where the average person is "in" the market. Others know better than I, but if memory serves me correctly the price isn't pretty. And it isn't true to say that value is being wiped out on down days... it is, just like it was 'created' during the run up. You are correct on one thing of your savings assumptions though... it's just that a lot of it are being transfered from tech mutual funds to CEO's of companies going public! Jeff Baboz saving account is doing great! DAK