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


To: kris b who wrote (50879)1/23/2006 1:07:15 AM
From: shades  Respond to of 110194
 
paper money/credit when confidence in it collapses.

Hookers used to take the money - now they only take the rock - they have no confidence they will be able to take that green paper they worked for and get to thier dealer before all his supply is gone - I am not gonna do thier dirty work for them and get charged for possession of crack - so my sex life has suffered - hehe. Trade has broken down and needs no longer get met - econ 101.

"You guys just legalize group sex"

Where, where, where???

You got to spend more of your life in SI land NEO.

Message 21995608



To: kris b who wrote (50879)1/23/2006 1:10:22 AM
From: regli  Read Replies (1) | Respond to of 110194
 
"As a matter of fact I am in Mish's camp. Gold is going down in depression/deflation. How low? I don't know. It all depends how bad it is going to get. $ 200/oz, $ 100, $ 50 ??"

I don't think Mish is saying that at all. I seem to remember Mish saying that gold does well at extremes, both extremes. Something I completely agree with.

Oh, here it is:

Message 22079198

"There is overlap but I think for the wrong reasons. GOLD does well at EXTREMES. I think we are at that deflation extreme NOT a hyperinflation extreme."



To: kris b who wrote (50879)1/23/2006 5:06:31 AM
From: mishedlo  Respond to of 110194
 
As a matter of fact I am in Mish's camp. Gold is going down in depression/deflation. How low?

Careful.
I expect gold to hold its own and perhaps rise dramatically depending on how hard the FED fights it. Money is likely to flow into gold if the FED starts printing.

I think there might be an initial decline as all of those buying gold for a hedge against "inflation" realize there is no inflation.

Gold is a reasonable place to be in this downturn.

Mish