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Strategies & Market Trends : Strictly: Drilling II -- Ignore unavailable to you. Want to Upgrade?

To: t4texas who wrote (50)	8/16/2001 9:07:57 PM
From: Charles Macdonald	Read Replies (2) \| Respond to of 36161

Bank America to take $1Billion+ dollar charge in Q3 Don't have the hyperlink, but heard on the local news Bank America will take a $1Billion+ charge in Q3 as they write-off and sell the auto leasing and high risk home mort. businesses. Folks, I don't know about you, but I expect to see more to follow. BTW, this is exactly what Slider has been calling attention to for the last several months. High risk loans. This is also why I agree with T4Texas in that Gold will serve as the lowest common denominator here shortly. Will try and find the hyperlink and add. Great idea on the moderated thread. Holding GOLD, KGC, DROOY, CDE, HGMCY, and MIDSX in the GOLDS. Sold RGLD way to early and still losing sleep over it.

To: t4texas who wrote (50)	8/16/2001 11:00:03 PM
From: Tommaso	Read Replies (1) \| Respond to of 36161

What Kasriel said about gold is very mild and indirect. He says that it may begin to take on the quality of a currency of last resort if the ECU countries mismanage money and credit so as to make the euro uselsss as currency. I certainly agree with that. But so far, it hasn't happened. I think I will stick with the simple perception: "Is the dollar overpriced? Will it decline? As measured by what?" The measure is other, better-managed currencies. Of course I hold gold and gold mining stocks, just as I have fire insurance and liability insurance. But I don't expect my house to burn down or to be sued for $2,000,000. But I recognize that it could happen. To buy more gold than I own would be like buying multiple insurance policies that I don't need. Or worse: like buying multiple health insurance policies and hoping to get sick and get rich. In that case, the insurance companies would collaborate and refuse to pay more than the actual costs. To deal with hypothetical circumstances, consider this: the United State government confiscated all gold money from its citizens in the 1930s and in the 1960s made it illegal for American citizens to own gold anywhere. Seems strange now, but true. Bonds denominated in euros, and other currencies, pay interest and appreciate as the dollar declines. I feel quite comfortbale recommending BEGBX, the euro bond mutual fund. I would also recommend owning some gold, but no more than 20% of one's net worth, probably less, and in an easily tradeable form like the Central Fund of Canada.