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

To: Ken Benes who wrote (84224)	4/5/2002 12:19:59 PM
From: Horgad	Respond to of 117069

We all know that the supply/demand fundamentals of gold as a commodity suck. There is enough gold available above and below ground to keep the jewelry business and other manufacturers supplied in cheap gold for a long, long time. As such, I don't think there are any gold bugs who have based their position on supply/demand fundamentals. In general, the bugs believe that the dollar is overvalued and that when it corrects gold demand and price will increase. Either you believe in gold as money or you don't Either you believe in the dollar as money or you don't. Arguing supply/demand fundamentals with those that believe that gold is money is pointless. First try and convince them that gold is not money and that the dollar is not overvalued, but don't hold your breath...

To: Ken Benes who wrote (84224)	4/5/2002 1:53:47 PM
From: long-gone	Respond to of 117069

It couldn't be any more near breaking down or up, $299.80X$300.30. This be the type action which tells the stuff of which one is made.

To: Ken Benes who wrote (84224)	4/5/2002 7:51:01 PM
From: E. Charters	Respond to of 117069

What you see of the demand is what they want you to see. (BOL/Comex) Most buying is private and is not on the COMEX or BOL map. i.e. jewelry, industrial. Why is it suspect if gold rises, but not if it falls? When the price was lowest, the Italian jewelers (who are a bigger player than the banks in actual buying) - were looking for supplies from producers. The other part of the equation that wilful gold blindness may not let you see, is the demand from investment. Investment dollars chasing better opportunity in production may let the price of the metal rise, that indirectly it invests in. One would think at first glance that this is counterintuitive, as the supply must increase but this increase is not seen as the gold has not yet hit market. Their investment dollars are chasing gold that is not yet produced, so the price rises. What we may be seeing as well is the weakness in the dollar. Interest rates being low, and going lower cannot sustain the value against the dubious economic benefits of a better investment climate with looser cash. I disagree with the new saw that "gold no longer has a monetary component." As long as banks hold it, buy it or divest it, as long as it is a feature of COMEX or BOL, it obviously has a monetary component. Think of it. Let us say you are an oil producer with some uncertainty concerning US foreign policy. What currency would you want for your product? US dollars? Food? ---- Gold? How would you feel about script in the president's handwriting? Cigars from the Oval office?