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Politics : Dutch Central Bank Sale Announcement Imminent? -- Ignore unavailable to you. Want to Upgrade?

To: Zardoz who wrote (11206)	5/28/2001 8:18:57 AM
From: sea_urchin	Respond to of 81913

Hutch: Thanks for all that. You have forced me to take another look at my own stuff. You are right about the Yen and Euro. They are both very weak and both look like further falls are most likely, especially Yen. So, therefore, I have to concur there is more upside potential in the USD. Gold, IMO, is/was trying valiantly to rise, as I have suggested earlier possibly for reasons other than its investment or jewellery use (whatever they could be). Certainly, as a hedge against a strong USD, there is now a very limited requirement. In fact, as I implied to Paul, if the dollar doesn't weaken soon and even though the gold price has hardly risen, gold could find itself technically in an 'overbought' situation in respect of its relative strength as a currency. Gold shares, both on your charts and on the ones I, myself, have shown, are 'blowing off'. Notwithstanding this, from other analysis which I do, I am optimistic that, despite a non-performing gold price, there is still upside potential in gold shares. In fact, in January when I bought some, I mentioned that it was not because I was particularly hopeful for much of a rise in the gold price. I appreciate this seems like bullshit, after all why should gold share prices rise when the gold price doesn't?! However, trusting in what my regression model tells me, I have put 'my money where my graph is'. Believe it or not.