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To: Box-By-The-Riviera™ who wrote (347671)	11/6/2007 7:11:45 PM
From: Secret_Agent_Man	Read Replies (1) \| Respond to of 436258

"The financial imbalances right now are just incredible. The 10 year bond yields 4.34%, as oil approaches $100. Fannie Mae stock fetches $54 a share, while a trillion dollars of mortgages go sour. General Motors stock is $34, with gas barreling to $4 a gallon. Goldman-Sachs shares are $218 as the banking panic unfolds. Google is $733 as Pakistan descends into chaos. The notional value of all derivatives on the planet is a number so big we're unsure how much it is, let alone what to call it. It's something like 2 or 3 times a quadrillion, which puts the dollar's true value in perspective. All the while the Dow and S-P act oblivious to it all. You could go on and on about the surreal dichotomy between reality and Wall Street. One thing is for certain, imbalances never last forever. We are entering a financial twilight zone with endless sign posts up ahead leading to gold ownership. It is asinine for the media to focus solely on geo-political tensions with so many other bullish reasons to own gold. The days of speculating whether the dollar can get stronger are over. Housing is toast, along with the American consumer. The daily collapse of derivatives continues unabated. Central Banks are running out of available gold suppression ammo. All that's left are endless bailouts, banking disasters, and military budgets etched in granite. Of course the U.S. must inflate or die. No market would have ignored these sign posts unless it wasn't being allowed to react. If the gold market were freely traded it would have already looked far forward and factored $3,000 or more. The difference between the current $820 and $3,000 is the suppression factor. Gold is filling that suppression gap in an accelerated manner. The Fed now will watch the train wreck they created. With no apparent tongue in cheek the Fed noted in last week's meeting that high oil prices were a problem that could "increase inflationary pressures". Hopefully a few of their cigars got spit out when that sentence was approved. Even a doublespeaking Fed can't hide the fact that the one product they were entrusted to protect, the dollar, is close to last rites. Gold is now once again pointing its finger (I'll leave it to you to choose which one) at the culprits. Finally, after seeing numerous reports of dwindling gold production maybe the government will need to reclassify its gold again to "really, really deep storage gold, subject to derivatives, strikes, and social unrest." It is doubtful too you will ever see any Fed reference to dwindling dollar production. James Mc"