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Politics : Welcome to Slider's Dugout -- Ignore unavailable to you. Want to Upgrade?

To: redfrecknj who wrote (4042)	12/10/2006 1:53:07 PM
From: roguedolphin	Read Replies (1) \| Respond to of 50324

**"Short Rates above or below the Inflation Rate"** One thing to keep in mind is the "spread" between the "real inflation rate" that we everyday real people must deal with and the bogus inflation rate the government provides with their ridiculous idealic numbers that may not be even be remotely close to reality.... Rogue

To: redfrecknj who wrote (4042)	12/10/2006 3:36:10 PM
From: SliderOnTheBlack	Respond to of 50324

re: ["Short Rates above or below the Inflation Rate"] Redfrecknj, you get a reco for making an excellent point and for posting an interesting chart. But, that's not it, because neither the majority of hedge funds, or individual gold bug investors believe the inflation rate numbers. They both believe that short rates are still below the REAL rate of inflation... as do I. Why then hasn't gold gone on to new highs? Simply because hedge funds (unlike the individual investor gold bugs) also feel that the present gold price more than adequately reflects the real rate of inflation. Another factor that may come as a shock to the perma-bugs and the gold-newsletter writers... is that they will NOT be "re-pricing" gold in "1980-dollars" because gold in and of itself -- is the pricing mechanism and the barometer for inflation. There's an even more important issue that's capping gold. It's another one of the Big Lies that's been told by the perma-bulls. ....and you'll discover what it is later tonight. It's the reason why the "straddle trade" was so predictable and is so profitable. For gold to go to significant new highs and to hold those new highs..."it" must change. It never lies. It is what separates a secular bull from a speculative bull. It and it alone, is the truth, the way and the light for Gold. Without "it"...there will just be more pain. ... more whipsaw's. ... more false breakouts. ... and more broken dreams. SOTB