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Gold/Mining/Energy : At a bottom now for gold? -- Ignore unavailable to you. Want to Upgrade?

To: Bo Bob Brain who wrote (1007)	12/19/1997 6:39:00 PM
From: Bobby Yellin	Respond to of 1911

Hi- your thinking is razor sharp..sorry if I am going to repeat some of what I have said on the gold monitor. I read an article by Martin Armstrong of PEI..Some people really respect him..other people think his ideas are off the wall. In the article he said a no brainer is to trade currencies on the downside..if nothing happens one is safe.. if Hong Kong currency collapses(doesn't it have to go along with the Chinese currency to even the playing fields)it will be easy money. He thinks there will be one world currency down the road..He knows a great deal more than I but human nature says no...too much country pride. I see the world split into three..North American/south America, Europe, and the far east. According to him, the Japanese kept interest rates ultra low to help their banks clean up their balance sheets..(that would also explain their reasoning to impose higher taxes on their consumers which obviously blew up in their faces)..I thought they had very low interest rates to make the yen cheap and depend on exports to bail out their economy..which didn't seem to work. Another wise person said that the US has been exporting inflation to Asia by sending all that money over there. I agree with you about our importing deflation(using their factories and cheap labor). I really question about the feel good factor since a lot of people are benefiting in their retirement funds since the average american hasn't been spending that much on consumer goods.(the average credit card holder owes 6500. They have bought homes,refinanced mortages which does save them money and they have bought cars although 1/3 lease them. I don't call those discretionary spending since shelter and transportation are necessities. Maybe because I live in the northeast and still see a lot of businesses closing and just national chains moving in.(.especially drug chains)my view may be bias since NY has higher unemployment than the rest of the country and the divergence between the rich and poor is especially striking. That is also why I especially like asking questions to have a clearer and broader view of what is occuring. Also didn't realize until today that the collapse in South East Asia will probably have severe consequences in California's recovery possibly and possibly a lot of economists were counting on California's late recovery to help continue the economic recovery in the states..everything seems so very fragile now.. The fun and games haven't even started yet in Europe..can't wait to see what happens to the market there as we get closer to their Central Banks' fun and games.. bobby

To: Bo Bob Brain who wrote (1007)	12/20/1997 6:49:00 AM
From: Bobby Yellin	Read Replies (2) \| Respond to of 1911

One other most important comment..about the feel good factor..I have never seen the statistics on how many people live on fixed income. As interest rates head lower(and with the raise in the life's necessities which have been eliminated in the government's inflation funny numbers calculator because I guess politics)and as social benefits dry up(to help those funny numbers and reduce spending where people don't have any money to buy lobbyists or to support campaign coffers)those people on fixed income will be feeling more and more pain. I don't know how pensions work..Are they also tied into living increases. If so, it would seem that corporate America is also happy for the way the government measures inflation as it would keep their costs down in this area also.