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Strategies & Market Trends : Technology Stocks & Market Talk With Don Wolanchuk -- Ignore unavailable to you. Want to Upgrade?

To: dvdw© who wrote (15763)	5/19/2004 9:29:45 AM
From: Michael Watkins	Read Replies (2) \| Respond to of 206964

One of the issues I have with gold PM stock ownership is that monetizing the reward will be in ... paper for most. Yet the many gold supporters believe the paper will be worthless. So where's the advantage? Sure, some have the metal itself. But very few relatively speaking will have access to the real metal - very few, unless we count the rings on our fingers which I assume will be used up quickly for the first bag of potatoes. So if a tiny percentage of the population have access to the real metal in anything but the smallest of quantities, then what good will it be as a store of value in a global melt down? It won't, because revolt will see to that. If instead the future holds not a global melt down, but merely a meteoric rise in the value of gold, its difficult to imagine a situation where that value holds. That will be a rise to trade in, and then out of. Every parabolic we've ever seen has met the same end. Land, energy, water, resources - in the big picture this is what people are willing to fight for, not the dreaded yellow metal. Ultimately the POG is based on sentiment now - I think that conversion is too far down the track now to turn around. Since I first saw the alien gleam in the eyes of some folks in Northern Alberta in the heady Bre*X days, I have actively avoided getting caught up in the gold culture. Perhaps I am not learned enough on the subject?