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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: RJA_ who wrote (42159)	11/2/2008 5:45:03 AM
From: elmatador	Respond to of 217862

Were oil to fall toward the $15-a-barrel low last seen at the start of the decade, the most indebted Gulf sheiks might default on their loans,” writes Andrew Critchlow in The Wall Street Journal. “Foreign direct investment would shrink. The $2.2 trillion capital spending binge that has underpinned the region’s real-estate boom would end.” findingdulcinea.com

To: RJA_ who wrote (42159)	11/2/2008 10:40:06 AM
From: KyrosL	1 Recommendation Read Replies (3) \| Respond to of 217862

>>Also, why would gold do well in deflation<< This is a myth, whose basis is the excellent performance of gold during the Great Depression. But during that deflation, gold was official money, so by definition it performed excellently, since everything else deflated compared to money. Now gold is not money, other than in the imagination of gold bugs, so it will deflate during deflation, like any other commodity.

To: RJA_ who wrote (42159)	11/2/2008 6:29:37 PM
From: TobagoJack	2 Recommendations Read Replies (2) \| Respond to of 217862

(1998-2007) inflation = money supply and credit expansion at substantially faster pace than intrinsic and real economic growth when all items rise in price, i.e. iron, homes, ... energy (2008-?) deflation = money supply and credit contraction, and previous valued stuff gets crushed, as in everything, when folks must pay down loans, and money rises in worth (1982-1998) disinflation = in between state, where inflation and expectation of inflation tames, and nominl interest rate gets crushed from 18% back down to 5% over time question 1: is gold money or not? if not, why has the lease rate been rising, and why can people convert it to paper money with little effort and without causing a crash relative to all the other stuff, be they real estate or metals or shares if gold is not money, then it will rise only if the authorities succeed with their helicopters, infrastructure spending, etc to combat deflation if gold is money, it will rise / fall depending on whether people want money to pay down loans or wish for money that they ca carry while travelling through time, navigating the darker interregnum my contention is that gold is money, and gold is the best kind of money for surplus capital, excess savings, and spare worth the bad money will first drive out the good money, making it scarce, and then the bad money will blow up right now, folks who are rushing into usd have little choice, and people who are hoarding gold because they must afford to one of the two groups is making a mistake, long and/or short term, depending on interpretation i remain a buyer of gold all the way to 500 if necessary, and should platinumbecome available, i will add that as well because i believe in the power of officialdom to inflate, and to bring on successive deflationary opportunities we will be done with deflation one way or another, hard or soft i am sure we are not disinflating (1982 -1998) the fed / treasury of the usa is borrowing on everyone's behalf even as everyone is trying to pay down loans, and so THEY are certainly trying to inflate should they fail, empire done for, and gold become interesting hedge against a Carthage outcome should they succeed, then by travelling the Japan way, to Zimbabwe, we will eventually end up in Argentina recommendation: buygold, and if you already have it, donotsellgold btw, gold has done fine so far, what is the fuss finance.yahoo.com^gspc;range=1y;compare=gld;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined ? how many folks would trade their ytd performance for that of gold? 6.9 billion folks ?