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Gold/Mining/Energy : Gold & Gold Stock Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Andrew who wrote (1259)	1/30/2004 1:21:57 PM
From: Yogizuna	Read Replies (1) \| Respond to of 29622

Somebody give the market some Prozac! LOL There is going to be a shortage if this keeps up! HUI may be running out of steam here again.... chart.bigcharts.com

To: Andrew who wrote (1259)	1/31/2004 1:24:14 PM
From: Berry Picker	Read Replies (2) \| Respond to of 29622

Andrew Recent Gold drop of $20 was sparked by fear that the US would take measures to increase interest rates and prop up the $USD The idea that the US can raise interest rates is absurd. They can not do so without racing into a major depression. The economy is not 'growing' even with lower interest rates and heavily relies on even more and more spending by consumers who have no money but only extended credit that is at all time records. Personal debt is out of control in both US and Canada. Raised interest rates would now bankrupt many and send many new and expensive homes crashing in price. New Home Starts is a major economic indicator. New Cars Sales is a major economic indicator in the US Look at these facts: Shocking Economic Facts Numbers on car loan debt, from Feb. 2004 Money magazine, p. 145: -- Nearly 30% of new car buyers are "upside down" on the loans on their trade-ins, meaning they still owe money. -- Upside-down buyers roll an average $3,700 in old debt into new car loans. -- In California, 40% of new car buyers are upside-down, by average of $4,700. -- Nearly 40% of new-car buyers took loans longer than 60 months. -- Almost 30% of buyers took 72-month loans. It used to be that a man bought a car - paid it off in 3 years and drove payment free for a least a couple of years. Now people are not even getting the old one paid for. Buying a new $15,000 car and owing $20,000 for it leave no room for raising either new car prices or interest rates. When the interest rate scare occurred this week.. General Motors stock dropped $2 in one day - another $1 yesterday This proves that interest rate hikes will deal a fatal blow to the US economy - they can not do it for long or much. No interest rate hike - continued weakness in $USD.. Continued dropping in $USD = Higher Gold Prices. Gold may retrace right here - but the trend will continue up. Brian