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

To: Crimson Ghost who wrote (53950)	6/8/2000 3:17:00 PM
From: Rarebird	Read Replies (2) \| Respond to of 116763

<, longer term, we expect an economic slowdown, which should break this link with gold: weaker growth will end the cyclical inflation threat and undermine, not boost, gold prices even as the dollar softens and rate worries fade.> George, it sounds like they are assuming a soft landing will be brought about by Fed tightening, because a recession, accompanied by deflation, is bullish for gold and its shares.

To: Crimson Ghost who wrote (53950)	6/8/2000 3:39:00 PM
From: pater tenebrarum	Read Replies (1) \| Respond to of 116763

George, this line of reasoning simply makes no sense. if it did, bull market conditions for gold could never possibly have existed. and yet we have had quite a few sizeable gold bull markets. to be bearish at the tail end of an aging trend is the majority position however, so i'm not surprised to hear it is espoused by these dudes as well. the last gold bull market coincided with sharply rising rates...whether gold prices rise or not, is not only a function of credit market or economic conditions, but of intermarket relationships. a falling dollar almost assuredly means rising gold prices...but also a weak stock market will inspire investor interest in gold. the gold market is so small in relation to other financial markets (and the gobs of fiat money that have been printed) that even a minuscule increase in investment demand would suffice to generate an enormous rally in prices. not to mention all the other peculiarities the gold market is beset by, which we all are well aware of that would serve to magnify a rally once it gets underway.