To: stockman_scott who wrote (51983 ) 5/23/2002 9:26:17 PM From: Jim Willie CB Respond to Droke notes war-related patterns on gold, steel, healthcareThe gold and silver markets are even more bullish now than they were one year ago when we first warned of the threat of violence to America. This shows how these [gold] important (and militarily-sensitive) markets are potentially discounting in advance another devastating event or series of events, not the least of which will be financial in scope. Crude oil is flaring up as well. And even the steel market is perking up again and looking to break out this year to higher highs. Last year, Bethlehem Steel (BS) was the stock we used as a leading indicator for a military threat in this sector. Today, old Bess is about to go under and could easily be subsumed into another steel produce like say U.S. Steel (X). The chart for U.S. Steel reveals some interesting inside accumulation taking place and it would not be surprising if some sort of take-over were in the works. Rumor has it that U.S. Steel has an important government contract sale (war-related) in the works and something of this magnitude is clearly being reflected in the chart. The steels have a history of discounting war and other military activity in advance. perhaps the insiders see something negative on the horizon that would possibly be a boon for the hospitals and healthcare services, like domestic terrorism or major natural disasters, for instance. In any event, the healthcare providers are on a solid technical - and from the looks of things, fundamental - footing in the intermediate-term and will benefit (unfortunately) from any bloodshed and violence that may erupt on U.S. soil, God forbid.
