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


To: Tommaso who wrote (58609)4/18/2006 4:18:23 PM
From: shades  Read Replies (2) | Respond to of 110194
 
Gold could go to $2,000 an ounce and oil could go to $250 a barrel in a matter of weeks.

Morgan fairchild could show up at my door tomorrow - fantasyland is fuN!

The stocks of the producers could rise astronomically. There would have to be some kind of government intervention to put an end to the insanity. The owners of futures contracts would be forced to settle for a partial share of the actual commodity.

Right - they have the tanks - you are beginning to understand the prison you live in.



To: Tommaso who wrote (58609)4/18/2006 7:17:45 PM
From: ild  Read Replies (2) | Respond to of 110194
 
<<<But what about the effect of these ETFs in gold and oil? The money that goes into them HAS to be put into futures contracts,>>>

Oil ETF is just a bunch of future contracts, but gold ETFs are collections of physical gold bars.

<<<Usually you have longs and shorts engaged in a zero-sum game, but the injection of ever-larger amounts of cash via the ETFs will quickly bankrupt all the shorts and there won't be any additional contracts for sale.>>>

Futures are still zero sum game.