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

To: d:oug who wrote (63754)	2/15/2001 7:27:19 AM
From: russwinter	Read Replies (1) \| Respond to of 116753

When it's midnight, do you know where your gold is? Excerpted from miningweb.com: What is not getting much serious attention – outside of conspiracy circles – is the short position, said to exceed 10,000 tonnes (four years of production or one third of all official book holdings) that is irretrievable. The short position has built up as a result of central bank gold loans where the metal remains on the books but which has in reality been consumed and is not readily available to be returned. This has created an effective "double-claim" on every ounce lent. Where speculative derivatives are layered on top of this paper gold, the double claim can multiply logarithmically. This is the heart of the excess supply problem. The short position has been easy to manufacture and keep puffing up, but cannot be deflate without violence. The central banks appear, on paper, to be in a position to cover the short position in an emergency, but the fact is a large portion of the holdings are entirely notional and paper committments written over long exited metal probably exceeds liquid supplies many, many times over. Milling Stanley agrees that current gold reporting is a Sword of Damocles. "We would like to see [official] gold holdings qualitatively separated." A recent WGC commissioned study by Jessica Cross concluded that the central banks have lent at least 5,000 tonnes which is still reported as "on hand" when it should be accounted for as gold receivables. In an outstanding commentary on the subject by Douglas Pollitt, of his namesake Toronto broking firm, he says: "An ever-larger supply of lent gold is needed to fill the widening supply-demand gap and to ensure that the market remains depressed and investors remain disinclined to call in existing gold loans." He highlights three conditions that could turn a "tinderbox" market into a raging gold inferno - a drought of official sector lending; faster reductions of new supply; and US dollar instability. One is sufficient for ignition, three would cause a wildfire that turns 1980 into an amateur stage production. There's no middle ground in the debate on gold, but Pollitt leaves the sage advice for last. "Precious metal companies are...valued like options on the gold price, like portfolio insurance. Be positioned or be left out." Milling Stanley says it another, more eloquent way: "When it's midnight, do you know where your gold is?"

To: d:oug who wrote (63754)	2/16/2001 7:12:05 AM
From: d:oug	Read Replies (1) \| Respond to of 116753

GATA News - South Africa, Don't Worry, Inclined Against Bailouts. New treasury secretary seems inclined against bailouts. Criticism of GATA in South Africa Business Report, but don't worry. GATA chairman's full report on his visit to South Africa. To keep interested parties advised of developments involving GATA and the lawsuit it has brought, and others it may bring, against those it accuses of illegal collusion to control the price and supply of gold, other commodities, and related securities, the email group located at groups.yahoo.com was created to supplement the Gold Anti-Trust Action Committee's informational web site of gata.org Membership in groups.yahoo.com is free, this is a mailing list. Members: 1300 GATA is a civil rights and educational organization under the U.S. Internal Revenue Code and contributions to it hath deductible in the United States. [Start of Warning.] Gata's email group messages contain items which you the viewer could interpret as inappropriate for distribution using the thread posting feature of Silicon Investor. This Gold Price Monitor thread on Silicon Investor has no other item more on-topic in the gold markets that the activities of GATA. GATA hopes that it will be successful and contribute to the undoing of those hardships inflicted onto the people of Africa as a direct result of the collapse of their gold mining industry as the price of gold has been manipulated in a criminal manner to remain under a price to allow their nation to care for itself. A perception of the forest while ignoring certain trees may allow people interested in learning current status of GATA to obtain specifically that information while ignoring the person Bill Murphy attempts to shake rattle and roll from you any loose change you may have. To put this into more direct words, a solicitation for funds to facilitate the execution of the Reg Howe's (Howe/GATA) Complaint which was filed at the Federal District Court of Bostin Massachusetts. Please exit this post with concerns generated from above. [End of Warning.] New treasury secretary seems inclined against bailouts. groups.yahoo.com Criticism of GATA in South Africa Business Report, but don't worry. groups.yahoo.com GATA chairman's full report on his visit to South Africa. groups.yahoo.com DALLAS--(BUSINESS WIRE)--Dec. 11, 2000--A lawsuit filed in U.S. District Court in Boston with the support of the Gold Anti-Trust Action Committee accuses five investment houses, the Bank for International Settlements, and top officials of the U.S. Treasury Department and U.S. Federal Reserve Board of conspiring to suppress the price of gold. The lawsuit gata.org charges the defendants with price fixing, securities fraud, and breach of fiduciary duty. U.S. government officials are accused of exceeding their constitutional authority.