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

To: Bobby Yellin who wrote (3193)	11/16/1997 6:46:00 AM
From: Bobby Yellin	Respond to of 116820

just heard on Bloomberg news that average cost for producing gold is about 320... currently furious..why don't these news reporters report that whenever gold has a chance at rallying..some central bank comes out with old news..if more and more investors heard that..that would create a stampede into gold...investors would realize that Central Bankers have to be terrified about their paper ...not terrified about gold.. so eventually there will be massive devaluation of paper among the developed countries...currently we are witnessing how the market short term can devalue something that is fixed in supply (sort of)..and create a bunjee(sp) jump down the road when all the buyers who have been buying..refuse to sell...but I am still afraid it is over a year away ...

To: Bobby Yellin who wrote (3193)	11/16/1997 8:36:00 AM
From: PaulM	Read Replies (2) \| Respond to of 116820

It may take some time for the stampede. One thing we can be fairly certain of over the next 3-6 months: lots of Japanese loans called in, lots of Japanese defaults and therefore lots of Japanese liquidation of assets. Because so many of those assets are American, we can expect direct downward selling pressure on U.S. Stocks, Bonds and Real Estate. As well as indirect pressure on U.S. stocks as lower bond yields result in higer interest rates. Giiven current politcal/market dynamic, all of this may be good for the U.S. dollar and not necessarily so good for gold. However, I see no reason gold should plummet either. I suppose that's up to central banks and possibly various political considerations. Later on however, perhaps in a year, the American economy will slow, fewer capital gains will be reported and with fewer revenues the Federal deficits will again grow quickly. The dollar will weaken, and gold should explode. We'll see.