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

To: LLCF who wrote (52648)	5/13/2000 10:54:00 AM
From: Hawkmoon	Read Replies (1) \| Respond to of 116912

<But higher prices in energy are not true inflation, but only a display of price manipulation by monopolist producers.> Yes, assuming the price of something else went down... NASD? I would worry more about the NYSE stocks. They are, BY FAR, the greatest users of petroleum products. Things like the airlines, railroads, plastics manufacturers, chemical industry... etc. The bulk of the Nasdaq stocks are technology based, offering products or services that permit the old economy stocks to increase efficiency and profitability. And the pressure to increase productivity rises in a high-interest rate environment. And increased interest rates also hurt old economy companies with commoditized product lines, far worse than the IT stocks. So AG is using a chain saw when he should be using a scalpel. And the scapel is increasing margin requirements to squeeze out the excess leverage when asset prices grow too speculative. No different than increasing collateral requirements on a home purchase when the price of the property is above sustainable market values. Regards, Ron