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Gold/Mining/Energy : Precious and Base Metal Investing -- Ignore unavailable to you. Want to Upgrade?

To: dara who wrote (19645)	9/8/2003 10:13:25 AM
From: dara	Respond to of 39344

An excerpt from Marc Faber's web site: "...I continue to believe that commodities including gold, silver as well as industrial commodities are the place to be. I would, therefore, buy mining companies (Newmont Mining, Placer Dome, Inco, etc), oil and oil servicing stocks (Exxon, Royal Dutch, Diamond Offshore), and even some basic stocks (International Paper, Dow Chemical). Rising commodity prices will also be favorable for countries like Indonesia, Malaysia, Thailand, Russia, Brazil and Argentina. All these purchases could be hedged to some extend by shorting the sectors, which will suffer from rising interest rates and commodity prices. These sectors include the interest rate sensitive financial sectors (banks, sub-prime lenders, consumer finance companies) and US homebuilding stocks, which are up fivefold since 2000! " "A word of caution: The September to November period is seasonally a weak period. Expectations in the US are now an extreme and reflect a very optimistic sentiment about an economic recovery and higher stock prices directly ahead. Any disappointment could lead to a sharp sell-off or even a crash, which would temporary strengthen the bond market. A new high in the bond market appears, however, to be most unlikely." gloomboomdoom.com