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.

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

To: isopatch who wrote (20204)	9/11/2003 2:33:45 PM
From: Box-By-The-Riviera™	Respond to of 39344

that's not at all what you recently told your friends.. shall i look for the posts? you dude are FOS

To: isopatch who wrote (20204)	9/11/2003 6:56:27 PM
From: austrieconomist	Read Replies (2) \| Respond to of 39344

isopatch, I think that you and I are much closer to being on the same wavelength than either of us are to Russ. The rate of MZM growth the past 5 months, about 14-15% annualized research.stlouisfed.org is not near the 20%+ rate annualized beginning November, 2000 and continuing 14-15 months through January, 2002 research.stlouisfed.org As you say, and to my mind not near enough to set off an inflationary spiral. Gold price appreciation can occur in deflationary environment through competitive currency environment and this has been predicted for years by Comstock Partners in their wonderfully predictive model, "Cycle of Deflation" comstockfunds.com Notice that we are now approaching the protectionism and tariffs segment, exemplified by Bush's recent speech in Cleveland. Senatorial and House talk about the heinous Chinese policy in keeping its currency value pegged to the dollar and threats if China does rectify that "unfair trade policy" is another. I believe the outcome cannot be known as between inflation and deflation at this stage. The evidence is now mixed. While these "traditional" monetary measures are decidedly inadequate to support inflationary expansion, Russ and others believe non-banking channels can expand both credit and inflation. My present belief is that non-Fed credit can be expanded but not created; that is, it is only Fed created credit that doesn't simultaneously create a debit. That said, "dollar based liquidity" is the best predictive or coincident indicator of the movement in the gold price that I have seen.