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Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: Real Man who wrote (17383)	2/6/2009 12:59:38 PM
From: Secret_Agent_Man	Read Replies (1) \| Respond to of 71454

"cause I'm not riding the gold bull"????

To: Real Man who wrote (17383)	2/6/2009 1:17:14 PM
From: oldirtybastard	Read Replies (1) \| Respond to of 71454

you still long FNM and FRE looking for a few hundred %?

To: Real Man who wrote (17383)	2/6/2009 1:19:58 PM
From: $Mogul	Read Replies (1) \| Respond to of 71454

Gold is very correlated to equiteis now unfortunatly...a new paridgm shift has happend and most will nto realize it. I fear you will be caring much more in the months ahead.

To: Real Man who wrote (17383)	2/6/2009 8:28:34 PM
From: axial	Read Replies (1) \| Respond to of 71454

Vi, this is another example where market action is feeding back into commodity supply/demand/price equation. We saw this happen last year, as hedge funds piled into commodities, and oil rose to $147/bbl. The problem is that the transactions are not a simple reflection of business (supply, demand, trading, price) in the underlying. Instead, they become large enough to affect the underlying themselves. They become part of the picture they're supposed to be tracking. --- Dollar inflow into Gold ETFs at $16.4 billion MUMBAI: There is no end to the world’s appetite for gold. If you want proof for that just check out the details on gold Exchange Traded Funds (ETFs). Following the new found status of gold as a safe haven for investors, the prices of the yellow metal soared and the demand for gold ETFs too skyrocketed. According to data available, last year the total net dollar inflow into the major ETFs was $16.4 billion, while in 2009 in just 24 trading days, the major ETFs have taken up some $3.1 billion in 111 tonnes of gold. Since the start of the year the amount of gold in these funds’ vaults has increased from 1,121 tonnes to 1,231 tonnes. Just compare this with the fact that 111 tonnes gold bought in just over one month compared with 316 tonnes in the whole of 2008, 250 tonnes in 2007 and 257 tonnes in 2006. Mainly these funds are used by retail investors and pension funds and they are in normal circumstances long term holders. Retail investors, especially in the United States and New Zealand also have an affinity for gold coins and some western investors have been expressing a specific preference for coins even over the allocated metal in an ETF because they are concerned about counter party risk. The fact that, as a holder of an ETF the investor has an investment in allocated gold and is therefore effectively a secured creditor of the holding bank is carrying little water with some frightened investors and they have been choosing coins or small bars as their referred means of investment. The US Mint has so far sold Gold Eagles containing 94,500 ounces of gold (2.9 tonnes), of which 92,000 ounces were sold in January. World Gold Council said that investment bar demand in the first quarter of 2008 was 79 tonnes, and was 232 tonnes in the third quarter of the year. In the first quarter of last year, world jewellery demand was 444 tonnes, rising to 624 tonnes in the third quarter of the year. However, in the beginning of 2009, jewellery demand is not that high because of the recession. This year’s ETF demand is clearly competitive in tonnage terms with investment bars. commodityonline.com Jim