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Pastimes : All Clowns Must Be Destroyed -- Ignore unavailable to you. Want to Upgrade?

To: pater tenebrarum who wrote (36197)	5/26/2000 4:45:00 PM
From: re3	Read Replies (1) \| Respond to of 42523

KAPLAN'S CORNER: QUESTION #1: What do you think about this week's performance in the U.S. dollar, and how will that affect the price of gold and gold mining shares? ANSWER: The greenback appears to have established a major top versus all of the important currencies which correlate with the price of gold, including the euro, the Swiss franc, and the Australian dollar. While the U.S. dollar will still have a strong day now and then, the primary direction is likely to continue toward a weaker American currency, accelerating after there is general acknowledgment that a new trend has indeed been established. Investor and analyst sentiment is still strongly bullish toward the U.S. dollar, the reversal of which will be a significant event in the dollar's inevitable slide. Now that commodities have established a new two-year high, while nearly all of the remaining speculative long positions in COMEX gold futures were cleared out by the recent pullback in the yellow metal, a sustained gold rally should commence imminently. It will bring gold to a new two-year high of at least $355 per ounce at some point during the year 2000, and the XAU to at least 100. The fact that so few expect gold to even touch $300 increases the likelihood of a much sharper move higher, as skeptics will be caught completely by surprise. Brokerages will have to scramble to upwardly revise their estimates which they just finished downgrading right at or very close to the bottom.