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To: Haim R. Branisteanu who wrote (209603)	12/14/2002 11:33:04 AM
From: mishedlo	Read Replies (3) \| Respond to of 436258

As the dollar begins to drop, we see gold rise. I became a gold bull early this year as I predicted the drop in the dollar against the euro. I suggested the dollar and the euro would be at parity at the end of 2002. We are now slightly past that point. Given the Fed desire for a lower dollar, our trade deficits, a business desire for a lower dollar and now even a willingness at Treasury for the dollar to decline, it is likely the dollar will drop even more against the euro. Every time we have approached $320 gold in the past, there has been selling on the part of central banks which has knocked it back. Today it seems that those sell orders have been lifted. Are central banks now gold bugs? Hardly. But they are money managers, and are obligated to try and get the best returns for their reserves as possible. The key for the price of gold, in my opinion, is the price of the euro in terms of dollars. In a preview of my 2003 forecast, I will give you my likely prediction on the euro today: I think the euro and dollar will approach the original levels of the euro when it was introduced - $1.17 or so. That is another 15-17% from here, and could easily take gold to $380.