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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: goldsnow who wrote (2888)	11/6/1997 6:09:00 PM
From: PaulM	Read Replies (2) \| Respond to of 116825

Nevertheless, I think the short term outlook for Gold remains grim. There's nothing to stop Central Banks from selling and they have 3400 tons. Gold will only up when it becomes clear that what the CB's are trying to do (i.e., support paper currency) must ultimately fail and/or when govts are forced to inflation.

To: goldsnow who wrote (2888)	11/6/1997 6:21:00 PM
From: PaulM	Read Replies (2) \| Respond to of 116825

Has anyone thought about the legality/constitutionality of the CB sales? In the western democracies, govt is supposed to be of the people, by the people, for the people. That also means all that Central Bank gold belongs to the people. Boiled down to their essense, the CB transactions amount to the exchange of large quantities of a permanent, rare and precious metal, with many industrial and aesthetic uses, alll belonging to the citezenry--for paper. The current market value of paper approaches that of the metal only because of: (1) the legal tender laws and (2) a relatively stable, non-inflationary monetary policy. If either one of these is missing, the paper becomes paper again. And of course, laws and monetary policy are made to be changed.