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

To: Chispas who wrote (56284)	7/15/2000 5:09:14 AM
From: d:oug	Respond to of 116764

Chispas, This thread had a discussion a while back that seemed to generate views that conflicted with each other. The topic I believe was buying an ounce or its fraction of physical gold in coin or bar shape for a few dollars over what the price of gold was at purchase time. Not the collection of coins like Bob Johnson has on his web site. If I remember correctly some stated that you are better off in a purchase of USA saving bonds and other paper stuff that I am not up to speed on. Eventhought I do not own an physical gold, if I did I would not view it like money in a savings bank account and want to know if I am confortable with the lost in value thru the difference between interest obtained and inflation, or if I should leave the FDIC protection and try to have this money atleast retain its full value or even increase in value and be worth more. This I would not be concerned with as to me a one ounce piece of physical gold is like storing bottles of water and beans in a 1950's bomb shelter. There is a big oops present I realize, as holding physical gold has had a long history as being a store of value along with its history as representing money that is not dependent on the health of a backer like paper currency does. Seems that after a hundred or 2 or more years, that those events I hear spoken but do not stick with my memory, about when the usa government elected to create laws that restricted the holding and flow of gold, that since then the price of gold does not represent a value that one would expect a store of value item would reflect. But then if GATA's talking becomes the Golden Rule, then one who has held an ounce of physical gold for the last 10 years from a purchase price of $300 or whatever it was then, might in a days explosion of shorter than shorts and derivates crises see the price go where no gold has gone before, like $3,000 and represent a good 10 year investment. But back to earth thoughts, I think most on this thread agree than even if the GATA man on the new york city street corner retires at the end of this year for lack of interest, that in the future of 2-5 years or 5-10 years that someday as cycles repeat themselves and someday there will be another 1929 crash, that someday gold will return to what it can be, as a real good store of value. Better a 10 years early than a day late is reallllly pushing it tho. So paper money for silver and gold to me is a good thing. The following I read on the Le Metropole Cafe was an opinion of the author's article, but its general knowledge already knowned, but not spoken in a couple weeks on this thread. I bring it up only because I wish to hear other opinions, and also to mention that my view that Russia will very soon explode to the up side in it's growth and health of its economy, and in 3 years the signs will appear that in the near future Russia will become a powerhouse through it wealth and its military might will go back to first class with modern updates obtained thru technology to some day rival the usa. China will always have military might in numbers of soilders and rockets and nuclear bombs, but Russia will out shine China in regards to technology spreading throughout its population and the old Russia will soon fade into the history books as the citizens of Russia will become consumers like those of the West, and if so, then Russia's currency will become powerful and do that 180 degrees from worthless outside Russia. From these thoughts, the following for present wondering, and wondering about those who say inflation is zero or low and under control. [start] "... he thinks raw materials still make the world go around, and that the fall of the Soviet Union left the world awash in cheap commodities. Now, however, Russia is beginning to develop again. It will consume much of the commodities it has dumped on the world market --and this at a time when demand from Japan and other commodities-hungry Asian countries is on the rise again." [end]

To: Chispas who wrote (56284)	9/30/2000 8:56:42 PM
From: Chispas	Read Replies (3) \| Respond to of 116764

"GoldRisk.com", something new reported by the GLOBE AND MAIL.... Scotiabank eyes stake in gold-hedging Internet site ALLAN ROBINSON MINING REPORTER Friday, September 29, 2000 TORONTO -- Bank of Nova Scotia is one of two banks planning to take a stake in an Internet service that will specialize in evaluating gold hedging strategies, an official with the Web site says. The bank's metals trading arm, ScotiaMocatta, and Société Générale SA of France are the first two banks to invest in GoldRisk Ltd., said Paul Walker, its chief executive officer. Negotiations are under way with other banks active in gold trading. GoldRisk puts a value on the gold hedging strategies used by mining companies, banks, hedge funds and commodity traders. Subscribers to GoldRisk.com will gain access to data, such as the average gold lease rates, which is the cost of borrowing gold, obtained from various participating banks. The system will allow mining companies to stress-test their trading positions by evaluating the risks of their option strategies given changes to the price of gold and lease rates. A recent study commissioned by the World Gold Council estimates the gold derivative market at the end of 1999 involved the lending and swapping of about 5,230 tonnes of gold. Gold is trading at about $276 (U.S.) an ounce. New accounting rules in the United States require gold mining companies to regularly report the current value of their hedge trading positions. Next week, the Australian Gold Council will reveal rules that require gold producers to disclose sufficient information to allow analysts to value their hedge positions, Greg Barns, its chief executive officer, told a gold seminar in Toronto yesterday. GoldRisk said it intends to start with a gold valuation service, and plans to expand into valuing silver, platinum and palladium. The company is controlled by London-based Gold Fields Mineral Services Ltd., a precious metals consulting group, and Brady Ltd.