Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : GOLD-XAU -- Ignore unavailable to you. Want to Upgrade?

To: paul ross who wrote (803)	12/22/1997 10:00:00 AM
From: Michael	Respond to of 1756

Paul/Larry, There are a couple of things to remember about Homestakes performance during the periods quoted here. 1. During 1929 period. The price of gold was fixed at something like $20.98. So Homestake benefited because it had a fixed price when all its other costs were falling due to deflation. 2. In 1973 we had just had the oil shock which was obviously inflationary plus we had just come off the gold standard a few years previously so gold really had nowhere to go but up. I believe in 1987 HM tanked 55% just like the rest of the market. FWIW Michael