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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: Haim R. Branisteanu who wrote (71829)	12/23/2009 7:10:34 PM
From: shades	Respond to of 74559

oiltradersblog.blogspot.com

To: Haim R. Branisteanu who wrote (71829)	12/23/2009 8:37:07 PM
From: Maurice Winn	1 Recommendation Read Replies (1) \| Respond to of 74559

The main reason for gold to rise in price is because the cost of production is increasing. The other reason is speculation fever. Speculation fever will evaporate as panic thoughts ameliorate as time marches on and the end of the world is again deferred. <With governments around the globe printing confetti with abandon there is justification for gold and other commodities to rise - > Mq gold predictions here: Message 26194580 It doesn't cost $1100 an ounce [in 2009 dollars] to dig gold so gold is too expensive. But because of the bung currency and political ideology, there is a good chance that US$ will continue to suffer financial relativity theory effects causing gold to rise further with $1400 per ounce predicted for 31 December 2010 by Mqurice the Marvelous [having got the $1100 per ounce spot on for 31 December 2009 as predicted a year ago]. Mqurice

To: Haim R. Branisteanu who wrote (71829)	12/24/2009 2:57:46 PM
From: RJA_	Respond to of 74559

>>With governments around the globe printing confetti with abandon there is justification for gold and other commodities to rise - I do see agricultural commodities as more attractive Pros: Everyone has to eat. Storage numbers are low. Population continues to rise. Therefore value will go up. Cons: Ag products produced every season, sometimes, twice a season, sometimes in green houses, all year round. Only scarce in relation to possible demand. In deep recession/depression demand has historically shrunk. Many factors contribute to daily price changes, supply, demand, weather (hail, rain, drought), fertilizer, bugs, etc, etc. Can not store in undisclosed location (like Chenney). Must buy with a contract, which, has broker risk, and counter party risk Does not store well, and takes too much volume. Re broker and counter party risk: It was recently disclosed this week in Madoff congressional hearings, that until last April, even the biggest brokerage firms only had to pay US$150 to "insure" all their accounts with SIPC. That is not a typo. That is not $150/account. $150 to insure all the accounts of the entire firm. What kind of insurance on billions in assets can be bought for USD 150? I recon not much. Of course since April, that has now changed. Its $150 and some very small percentage of the assets insured. So, pardon me if I am not enamored with paper.