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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: Maurice Winn who wrote (24109)	10/11/2002 10:09:33 PM
From: Don Lloyd	Read Replies (1) \| Respond to of 74559

Maurice, There are now 6 billion of us, worth something like $3000 per year [as a wild guess] = $18 trillion per year production value. Total gold value is only $180 billion at $300 per ounce. We can't run a $20 trillion economy with $180 billion in money. ... The value of money in a modern economy is entirely determined by its demand in use as a store of future purchasing power, along with QCOM stock. As such, the quantity of money in no way places any limit on the number or size of economic transactions that may occur. When CDMA3000 is fully implemented, electronic and optical quantum monetary transactions will all be over in a femtosecond, if in fact they cannot be completed before they are begun. Regards, Don

To: Maurice Winn who wrote (24109)	10/12/2002 12:25:59 AM
From: TobagoJack	Read Replies (2) \| Respond to of 74559

Hello Maurice, <<re Aztecs vs Cyberspace. Today, Q made it to 31.8 while Gold was around 316 meaning that the Q pulled ahead of the G from the 1:10 ratio. They are neck and neck.>> It may mean what you say, but it also means I need to start replenishing my paper gold inventory soon, stretching out the intended buying power (5% of NAV) until April. Message 17803351 "I never considered my physical hoard to be for trading. The paper stuff is for hoarding, trading and later, spending." Message 17845701 "I think of on-line banking with paper gold option as my interactive entertainment while reading the news:0) " Message 17860876 "Over the past two weeks, I had taken advantage of the gold correction to buy more paper gold by the tael-ful. I am doing my contribution in the global democratic movement of investor electorates. My candidate may meet an untimely monetary death, but as the big picture events are shaping up, moving at speed along their unalterable path towards what will presumably be, my paper gold may be traded later at a gain. I have stopped adding to my physical metals, and will now learn to trade paper gold … I treat on-line paper gold trading as my interactive entertainment while reading on-line news about the big awful picture and the vivid crimson tapestry." Message 17874496 "paper gold, in unit of tael, as in pieces of paper representing taels of gold supposed held in the bank vault, because they are more gold than stock, and easier to store and trade than physical. Sort of like a stock in a gold mining company with a rich vein of pure refined 9999 gold bars as reserve. " Message 17888598 "General intention is to add more paper gold at each correction breaching USD 310 per oz level until 10% asset allocation to precious metal, casting a monetary vote of no-confidence." Message 17897189 "Just bought more taels of paper gold at 0.6% markup to spot, which seems fair" Message 17976325 "As far as trades go for the remainder of the year, I am simply buying huge quantities of paper gold at one price and selling enormous quantities at another price. The water is warm, perfectly safe, fun, and no annual reports to read, no marketing and technology developments to consider. Just bet against Uncle Al Maestro at USD 312, and bet with him at USD 320:0)" Message 18036505 September 25th, 2002 "Hello Pezz, I got to the office early today, pondered the same thoughts as you here <<Don't wanna hafta go back to work>>, and sold half of my taels of paper gold at 4% gain from 1 month average holding period. I will buy the paper gold back when spot price hits below USD 311. <<Duzn't sound too exciting>> ... you are correct, my machinations are boring, but effective under the circumstances. I rationalize by believing I serve a social function in providing liquidity to a paper derivative of a useless metal that has the same status as the stone disks on the island of Yap;0) Message 17980716 You can trade paper gold as well, at kitco.com Pretty soon, at the rate we are going with interest rate, stock and real estate prices, we will revert to a world of gold trading, as in "daddy daddy, what do you do?" and "er, eh, I trade gold". " Message 18036538 September 25th, 2002 "Hi Pezz, after posting my immediate preceding post to you, I tapped a few keys on the PC and sold the other half of my paper gold position. My physical gold (Big Financial Reset Button) is not for trading, and is not for selling unless there is a real need, as opposed to dictated by price action. My paper gold is for trading, today's sale is my first ever, and the 'action' feels good:0) " Chugs, Jay

To: Maurice Winn who wrote (24109)	10/12/2002 4:39:59 AM
From: maceng2	Read Replies (1) \| Respond to of 74559

Gold has no monetary monopoly, never had and never will. Worse for gold, the total value of all gold compared with the total value of all existing humans has dwindled and dwindled over the decades. A most persuasive argument in my favor -lol- I have read a few of your replies. I would agree that a fiat currency could work in theory. The human race already has enough experience and ability to control a fiat currency to meet the needs of it's economy. In theory. Trouble is, in practice, the human race acts irresponsibly when it comes to printing fiat currencies. Banks loan too much money. Why can't you and I print money too? Fact is, only certain cult figures have been ordained with the miraculous ability to print fiat currency. (so we are told to believe) The USA is in a special position where, if it prints money with abandon, the value of the dollar still not does go down. There are few other currencies that could do that. Not only that but there would be a sanctimonious lecture from the IMF if a country acted so "irresponsibly". -lol- The trouble with generating easy money is that the human race can get hoodwinked into thinking demand outstrips supply instead of the other way around. Result is that there is overinvestment in enterprise that causes an excess capacity. The excess in capacity has to be used up somehow, and that is the painful part of the experience. The "smoke and mirrors" trick with the USA dollar is just an act of faith. Nothing else. To improve the religious dedication of the human race towards the almighty dollar, gold price is deliberately manipulated downwards, along with silver. All this would be OK if the financial "super beings" controlled the economy in a sensible fashion. Trouble is they don't. Uncontrolled greed, political manipulation, all sorts of human imperfections creep into their acts. Gold and silver have a long history of being used as financial currencies. Why can they not exist alongside our fiat currencies without central banks trashing them downwards??? Yes, the USA is (or was?) a powerful economy. The irresponsible actions of human beings has pushed the credibility of the USA dollar to the point where doubt can set in. If the doubt is allowed to settle in, big changes will occur. Gold and silver will appreciate imho. I like QCOM. I have actually bought some calls. I hope to accumulate the stock too. Exuse me if I am not "a believer" in fiat currency. I would rather go fishing -g-