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 : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: TobagoJack who wrote (41590)	11/22/2005 5:07:57 PM
From: Chispas	Read Replies (1) \| Respond to of 116555

Dubai staked its claim as a major gold futures market on Tuesday with an exchange designed to help the Gulf emirate cash in on the metal's growing allure for investors. As gold closed in on a new 18-year peak of $500 an ounce, Dubai's key February contract <0#DDG:> closed its first trading session at $496.30 an ounce, just off an earlier high of $496.9 an ounce in trading on the exchange, which officials hope will soon become one of the top three in the world. In total, 126 lots were traded across all contracts, with the most active February contract trading in volume of 112 lots. Dubai is a hub for the physical gold industry in the Middle East and India, the world's largest consumer. Officials say the Dubai Gold and Commodities Exchange (DGCX), set up with Indian partners, will play to these strengths. "We're thinking big with this one and it's going to be even bigger," said Sultan bin Sulayem, head of the Dubai Metals and Commodities Center, a co-owner of the exchange. The exchange opened at 10 a.m. local time (0600 GMT) and the 13-hour trading day spans the gap between business hours in Tokyo and London, something traders said would open arbitrage opportunities. The DGCX closed its first session at approximately 11:05 p.m. local time (1905 GMT). "I can see arbitrage opportunities between other futures markets and the DGCX," said Jeff Rhodes, general manager of Standard Bank Plc's Dubai representative office. "There could also be currency arbitrage opportunities between other regional exchanges." Physical traders said improved hedging opportunities offered by locally traded derivatives would let them devote more time to their main operations. "It can't take out price risk completely, but it will help reduce it. That will allow us to concentrate on our core business, which is jewelry," said Karim Merchant, managing director of Pure Gold, one of Dubai's leading retailers. New York and Tokyo are the world's biggest gold futures markets, with London the center for spot, but other players are muscling in on their business. Electronically traded gold at the Chicago Board of Trade captured a monthly market share of 7.5 percent of U.S.-listed exchange-traded precious metals futures after just one year of trading. The three-year-old Shanghai Gold Exchange plans to launch evening trade in Southern China to allow domestic firms to trade the precious metal when London and U.S. markets are open. Dubai, commercial hub of the United Arab Emirates, has signed a technical agreement with CBOT and set its sights on eclipsing Tokyo as the No. 2 gold futures market behind New York in two to three years. PHYSICAL TRADE What sets the DGCX apart is that buyers are more likely to take advantage of Dubai's "City of Gold" reputation and actually take delivery of the underlying physical gold. Although traditional demand for gold in the jewelry market has eased, the metal is rapidly gaining a reputation as an investment. Global "identifiable" investment demand for gold -- either bullion or instruments backed by physical metal -- surged 56 percent in the third quarter of this year, to 118 tonnes, the World Gold Council said last week. In the UAE, investment in bullion rose 33 percent to two tonnes, the council said. In 2004, Dubai imported 503.5 tonnes of gold and is expected to import 525-540 tonnes by year end. Jewelers buy wholesale gold but often face a delay of several weeks before selling it to the public. "It could assist gold traders to protect and hedge their positions in this volatile market," said Firoz Merchant, chairman of Pure Gold. The Indian gold futures market is restricted to local individuals and domestic corporates. Non-resident Indians, banks and foreign institutions are not allowed to take part. "Most major Indian gold and jewelry traders are represented at the DGCX," said a trader at the city's biggest bullion dealer. "There are more arbitrage options open to the people here." The exchange will initially be open Monday to Friday with a 1 kg gold futures contract. Seven-day trading will start in the first quarter of 2006. The electronic exchange will operate on a T+1 settlement basis with a subsidiary, the Dubai Commodities Clearing Corporation, acting as the clearing house. Contracts are identical in format to those on the London Metals Exchange and New York's NYMEX, traders said. The DGCX already has 50 members but many cautioned that it would take time for trading volumes to pick up. "This will create a lot of activity in the gold market and we are expecting substantial buying volumes," said Yavuz Karadag of metals traders Capital Assets. (Important point - "Seven-day trading will start in the first quarter of 2006." Chispas) ................................................... Registration required : boston.com

To: TobagoJack who wrote (41590)	11/28/2005 4:35:02 AM
From: shades	Read Replies (1) \| Respond to of 116555

Hello General - yes PC gaming still best for me - I can do stereoscopic VR - makes the racing games and such feel more real - but the consoles are catching up - hehe. Our gaming worlds are more entertaining than polishing coins eh? Is coconut eating lots of good sweet cookies? See you don't really want the GOLD, you want the computer, the kidney, the assistant - what does the computer maker want? THe kidney donor - the assistant - I bet they don't want or NEED the gold either - it is just an exchange facilitator. Gold is money - money is an exchange facilitator to get me the goods and services I really want and NEED. Smartcards, credit cards, banking systems, databases, cryptography - etc etc they can all do this exchange facilitation for me in a much lighter package than gold! You know what is even better - tooearly could hit me over the head and take my gold and I would be SOL - but if he takes my VISA I think I only have to worry about losing 50 bucks of wealth. So lets see General - let me put you in touch with my mexican neighbors mom who has just moved in - when she goes to linen n things she can pay by 500 dollars worth of gold coins or her credit card - I bet she would feel SAFER carrying her credit card to the store to make the purchase - not COINS that tooearly could steal from her - why is that General? She can take her credit card or check and wire transfer some wealth to her sister in mexico - why does she do this instead of buying gold coins and mailing them to mexico? Perhaps because that while gold was MONEY - the REAL THING - it is too unsecure and inconvenient for REAL WORLD modern technology application - she uses the virtual money system of banks and credit cards and smart cards and such - what is she not getting? Tell me so I can explain it to her - it is very important she gets the GOLD MEME so she can pass it on to other immigrants. I just watched Aeon Flux on the MTV2 marathon - my geeky slashdot friends tried to get this marathon for almost 4 years now - it took HOLLYWOOD releasing a live action movie to get MTV to comply. Aeon and Trevor wanted food and sex and neat gadgets - but I don't recall one episode where GOLD was important to thier life - I must contact Peter Chung and explain to him that his visionary series includes so many details of what humans want and NEED but his lack of GOLD in the series is sad. 321gold.com Ship's log, Stardate 652, mark 42 Richard Daughty Look one of gold's greatest knights and champion of shiny metal galore is making star trek references - has Mogambo Guru really gone MAD? Star Trek was a society without GOLD coins being exchanged back and forth to buy goods and services eh? Is he NUTS?? He says about inflation: The main reason why is because energy prices have been soaring and worldwide monetary policies have been loose." Well General, cant make the XBOX 360 go without ENERGY - I remember a star trek episode - MIRROR MIRROR - where the federation had to get some dilithium crystals - starships don't go without energy. Someone gives the GURU some free SILVER - wow - I gave away some FREE ties too - I had too many - hehe: Have a silver eagle on me!!" Which included two, count 'em, two, exclamation points! And he also enclosed a shiny new silver dollar, too, which I kept and have on my desk right now, which I like very much because it is nice and shiny and bright, providing that essential artistic contrast, (he likes looking at shiny bright lumps of metal - but I like shiny bright HDTV monitors with lots of general chens on deathmatch blowing up) His thunderous reply? "Damn! There isn't anything else worth owning, but gold!" Strange General, I saw people lined up for black friday for linens, and gadgets, I bought a new USB hard drive and some hot cocoa to keep me warm and a three stooges DVD - why aren't all these idiots lining up for GOLD? What secret does this friend of the GURU's know that xbox and HDTV are no where near as rewarding to a little human as shiny GOLD?!? "We face a demographic tsunami" that "will never recede." Mr. Wolff, taking my ideas and twisting them around until they finally make sense, paraphrases Mr. Walker as saying that the United States is like "Rome before the fall of the empire." Well I have childless women on SI telling me they don't want to squirt bowling ball babies - it hurts you know - I don't wish pain on anyone - so I guess the decline of our civilization and the demographic tsunami is preferrable to a few hours of pain in childbirth - we don't want our western women bearing a few hours pain now do we? - how did you talk your wife into all that horrendous personal self sacrifice?? 321energy.com Hoye likes Uranium stocks over OIL - I hear talk of new nuclear reactors - more ENERGY - hmmm - goes with the plan - prices going up most in everything you NEED - I need ENERGY. x-static.com campmor.com I bought these silver socks for my dad - he was getting sores on his feet because he was diabetic - these socks not only made his feet less stinky - they claim to kill all bad germs too - not just smelly ones - silver has USE that I can see he NEEDS - but I still don't see any medical evidence that GOLD is going to do much for him. In the future perhaps you will receive more of what you want and need by being a facilitator for business transactions as you do now - not a horder of shiny golden metal. Don't lose your charming demeanor General - your gold out in the back yard may not be as valuable to people as the entertainment you give them. If you invited me over to watch aeon or the stooges on your new HDTV - I would value that more than coming over to see you polish some gold coins. Playing you on deathmatch would be more enriching too - I worry the new immigrants coming to america are not learning this gold MEME you and too early share - we must fix them - they are broken - pink floyd wants for thier thought control.