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

To: Mike McFarland who wrote (7369)	2/8/1998 4:53:00 PM
From: Francois H. Gaston	Read Replies (1) \| Respond to of 116752

Mike: inflation will make POG really take off. I agree. We have no real inflation in the US... that is right...BUT there are today very important (IMHO) factors that could do a job of the psyche of many and trigger some to take delivery of gold, right now: (a) from a TA perpective, gold has placed a double bottom (a rare pattern and one difficult to fight against... it HAS been placed, (IMHO) and the low for gold has been placed for good. (b) countries that like gold (South Korea, Indonesia, India and many others are seeing the devastation of devaluation and the benefit of possessing gold) (c) European monetary union will not be able to completely discard gold and CBs in Germany and France have not sold and probably will not sell (or their EMU will be very weak, a political disaster!). (d) French, German and Swiss population like gold in their banks AND at home. They will probably not allow their government to sell their gold, and if the CBs do, it is quite likely that the poulation there will buy it, because of the ongoing terrible world economic environment we are in. (e) and Buffett fooled around with a precious metal!. That is big!. In conclusion, I do not think that "smart" investors will wait for inflation to slowly accumulate gold. They might not chase a rally but they are slowly buying right now (IMHO) when pessimism is still high about gold. (f) equities are getting expensive (h) most countries are starting to like gold again... hopefully the individual investors in the USA will not be last. Better to buy slowly right now and have time to take delivery of a significant amount of gold. Good luck Gaston NOTE: in Figaro Magazine, February 7, 1998, Paris, France.... there is an interview of mega bear Kurt Richebacher, depicting his classic 1929 scenario. He says that a repeat will unfold soon. Nothing better to get France out of the US equities and into gold. I know: a small country... but Thailand was very small... and look what happened. Big ripples. Therefore, IMHO, you do not need inflation anymore to have gold being hoarded by individual investors here and there and squeeze the market. Buffett nailed the coffin... his foxy move will go beyong silver, IMHO...

To: Mike McFarland who wrote (7369)	2/8/1998 5:07:00 PM
From: IngotWeTrust	Read Replies (1) \| Respond to of 116752

Hear where Ur coming from, Mike, & altho' those aren't my sentiments, I do agree with a concept I felt you were trying to express. I don't think anyone was trying to say money expansion is going to sop up Au, but to give it another underpinning for their hope for gold's price advance, ok? Granted, the other dude didn't say it all that well, but I do believe that is what he was trying to express. Re: gold deflating some more in a deflation, I don't believe that is a big concern at this time by most on this thread either. Gold is a store of value in inflation and in deflation. Remember to invest based on your analysis of fundamentals of supply and demand as best you are able to ferret out the facts. Buy lo, and sell higher. Forget what Buffet's doing. Forget what India is "doing" forget what your neighber is doing. Good Investing. O/49r

To: Mike McFarland who wrote (7369)	2/8/1998 5:54:00 PM
From: Eashoa' M'sheekha	Respond to of 116752

No One Is Trying To Win A Popularity Contest Here Mike. This thread has only become a little more bullish lately due to the fact a number of indicators are turning positive for bulls.It's been a long and painfull decent from this time last year for many here.Many were astute and observant enough and in a position to trade themselves out of the carnage,and some may even have capitalized on the volitile nature of the market.What does appear consistant is that the bulls always tend to outnumber the bears.I guess this is normal,unless you wish to start a thread indicating a bearish theme.This gold story is fairly complex,and you have missed many crucial points.I suggest maybe you take a little time and read the many posts here and elsewhere that pertain to the Central Banks role in this charade etc...... What I have found consistant thus far is that gold is truly hated by those who fail understand the necessity to hold physical metals or other commodities in their portfolio.Take this Silver purchase by an acclaimed guru,Mr.Warren Buffett.The press and analysts are falling over themselves trying to discredit this purchase as foolhardy and the biggest mistake the man has ever made.Yet any other move by him or his company has been seen as profetic.You get the picture?They are running around like chickens with their heads cut off trying to figure out what he has " up his sleve ".They cannot accept the idea that BH has recognized and acted upon a very simple portfolio strategy.Its called ...................................DIVERSIFICATION STUPID!! They now are rambling and musing..." When will he sell "? bla bla bla but forget quickly or chose to forget WB is a buy and hold value type investor.Why should this be any different?Its quite amusing really. Your statement " everybody is talking deflation " has been discussed at length here and elsewhere.At this point,it is only talk.There are no real indicators yet to verify this position and with the money supply growing and labour markets tight with wage increases becoming more likely,deflation may never be seen in the US. Your statement " equities finally end their bull run " has also been discussed here and elsewhere at length.It is the opinion of many that the equities bull run was finished this summer past,yet the market mavins continue to tout their wares to Mom and Pop Moo Fund buyers.It is to be noted,albiet much delayed,that many financial advisors are much more reluctant to weight their funds heavily in equities these days,and advise diversification into bonds and other " quality " instruments...but not gold!!No No No No...not that barbaric relic. What does confuse me through all of this is this............. The good ole US of A is only a small consumer of gold,yet much attention is given to US economic conditions to measure the value of gold in USD that is being consumed largely in India and SEA,not to mention all of Europe.Can someone please explain to me why the US dictates the price of a global commodity when they are a minority consumer of that commodity,if in fact it is a commodity? Good on ya that you caught the bounce.A real no-brainer but there was a degree of risk still at that time.With regard to missing the next bull run in PMs,I say what they say in the Lotto games......you can't win if you don't have a ticket.<GGG> Regards And Keep Posting. All Are Welcome Here!! Taurus PS: I see you have received some excellent responses.See what a nice thread this is even if you don't tow the party line?<g>