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

To: AreWeThereYet who wrote (20746)	9/19/2003 10:40:01 AM
From: austrieconomist	Read Replies (1) \| Respond to of 39344

Casual Techwatcher. I think he was too casual in analyzing and listing GM's "refinancing" as an illustration of the corporate savings that he believes will fall through to the bottom line. Perhaps there were two $15 billion debt offerings but the one of which I am aware was a new offering and was completely unproductive, brings nothing to the GM bottom line but new interest expense because at least $13 billion of the proceeds was sent to the GM pension plan to reduce the massive underfunded pension liability, which had hit $51 billion by the end of last year. I tend not to project how long an investment climate will remain favorable or unfavorable (a la Hussman), but I agree that the current climate for U.S. equities is favorable (even though they are horrendously overvalued, IMHO). On gold I worry about the 4 month cycle top.