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Non-Tech : Invest / LTD -- Ignore unavailable to you. Want to Upgrade?

To: Broken_Clock who wrote (2566)	9/4/1998 4:55:00 PM
From: Lucretius	Read Replies (2) \| Respond to of 14427

THREAD: expect one LAST sucker rally early next week to suck in a few more dumb bulls and cause the weak shorts to cover.... then we begin the fun part..... THE CRASH. BTW- I think oil services may rally a bit here before making the final leg down. If you haven't picked up gold shares yet, wait till the crash when they will pull back w/ everything else and then load up. This will be your last chance to get in on the gold bull before significantly higher prices. Have a great holiday!!! Thean: below best describes my thoughts on gold and its relation to the Malaysian news... for your reading pleasure: Gold, Silver Price Jump Helped by Malaysian Events >New York-Sept. 3-FWN--Gold and silver futures got a big lift here Thursday when buying set into the market in the aftermath of news that Malaysia has imposed strict capital controls, sources said. > >Platinum futures ended the session little changed following overseas selling during the night. Palladium managed to end up higher, however. > >December gold settled with a gain of $4.90 to $288.30, while December silver added 11 cents to $4.95. > >"The move is quite important," said Leonard Kaplan, chief bullion dealer with LFG Bullion Services. "You have the dollar weaker, which is helping them tremendously." > >The Malaysian government has said all ringgits must be repatriated within one month or become valueless. During this period, they will be exchangeable for dollars at a rate of Ri3.8. Malaysia also banned the trading of offshore ringgit instruments and stopped any Malaysian institutions from offering domestic credit facilities to non-resident banks and stockbroking companies. > >"The trade houses have been the biggest buyers on the floor all day," said Kaplan. "These may be the trade houses subject to huge losses from Malaysia and the currency controls they have imposed." > >He also commented: "As the stock market drops and the fears grow about lower interest rates in (the United States), you're seeing some flight of quality into gold and silver. That has been quite significant." > >Some investors are starting to conclude that, if the dollar and stock market are on the defensive and "there are currency troubles the world over, there is nowhere else to go except for gold," said Kaplan. He added that some are starting to wonder "what is going to happen to all of the dollars in Malaysia" if the country has currency controls. > >"They're going to get converted into gold," he said. "The populace there is not going to deposit their dollars in the bank. They're going to buy gold. Gold can be smuggled into the country easily." > >If other countries follow Malaysia and opt not to follow guidelines agreed upon with the International Monetary Fund, "where can the money go?" Kaplan asked rhetorically. "So you're seeing a tremendous influx into gold and silver at this point in time. The money is big money, not little money. You're seeing large trades occur." >