Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: long-gone who wrote (14443)	6/20/2002 10:50:55 AM
From: sea_urchin	Read Replies (3) \| Respond to of 82271

I must say that I, too, considered that there would have been a far greater period of consolidation in the gold price. Just look how weak the stochastics in the weekly chart are.... treasurestatefutures.com ....and yet the POG is just powering ahead. There must really be a lot of underlying strength.

To: long-gone who wrote (14443)	6/20/2002 11:27:16 AM
From: Ahda	Read Replies (1) \| Respond to of 82271

I think that what you are not seeing is that there is a very big question about the dollars ability to create value. I sometimes wonder if what has happened is there are far too many counterfeit dollars that have somehow entered into our economy. What happens then is what you see in CA housing prices have exploded and wages for the lower income and middle income are not keeping up. HP stated they reduced consultants these reductions of labor are not showing up in the unemployment figures. It is not difficult to understand why our economy has become one of many consultants and we must not forget they are self employed. One could say we have inflation in land value. There is absolutely no plus in exaggerated values in housing and real estate it is a total negative for growth. The only plus of this has been in the finance area where there has been continued growth. How in blazes do you expect these costs to translate to value for your dollar when that have only done one thing which is create inflation in property. What value is there when you have a high amount of sub prime loans? If our nation as a whole was doing well we would not see the increase need of sub prime but a decrease as the income level of our people would be substantiated by their tax returns and you would find their ability to repay debt would be rated as prime. This to me has all the makings of an Enron. Debt is necessary but debt that is total creative paper work does little to enhance the continued respect of the US dollar. You have to excuse me i find it absolutely appalling due to creative methods of finance we have now put a larger percentage of our populous as well as our nation in the area of high risk. When you have high costs accompanied with a lower employment tax base and global economy there is no way in gods green earth that combined you have an ideal set of circumstances for continued growth, continued high debt yes. The larger that debt becomes the higher the costs to service it. The tax structure relies on the moderate income for funds. You are in affect reducing possibilities of a strong dollar by implementing a system which is advocating a far too high risk environment for the whole.