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.

Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: ild who wrote (11313)	4/4/2004 3:20:34 PM
From: russwinter	Read Replies (1) \| Respond to of 110194

This is a current development: 65.54.186.250 Some legitimate comments from GATA on this eregreous policy. Isn't it ironic that the only people who speak out on the obvious implications of this nonsense, are the so called crackpots? Right out of the MOP, Orwellian script. As you'll see from the news story and press release appended here, last week some U.S. senators renewed efforts to subject OPEC, the international oil cartel, to U.S. antitrust law, and thereby attempt to break up the cartel and reduce oil prices. Ordinarily advocates of free markets might endorse the legislation's intent, apart from any impracticality in its enforcement. The problem with attacks on OPEC like this is that the oil cartel itself is a response to a sort of antitrust offense -- the imposition of the U.S. dollar as the world's reserve currency. When one big buyer can just print as much money as he wants for his purchases, sellers may try to offset that power by combining to fix prices. But the oil price increases being felt in the United States involve more than this and more than is being reported: the sharp devaluation of the dollar. Oil prices aren't rising as much as the dollar is falling. Indeed, as has been reported by James Turk, editor of The Freemarket Gold & Money Report, proprietor of GoldMoney.com, and consultant to GATA, for three years OPEC seems to have been holding oil prices STEADY -- in EUROS, that is: goldmoney.com In any case friends of gold and silver may hope for enactment of the anti-OPEC legislation in the United States if only because it probably could be enforced only by freezing or confiscating assets of OPEC countries and their citizens held in the United States or kept on deposit with U.S.-based financial institutions. That is, the closer the anti-OPEC legislation gets to enactment, the more foreign investment may flee the United States, U.S. treasury bonds, and the dollar generally. As the dollar falls, precious metals may rise, and the money fleeing the United States and the dollar will have to go somewhere else. Those very same metals maybe? CHRIS POWELL, Secretary/Treasurer Gold Anti-Trust Action Committee Inc.