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To: long-gone who wrote (17724)	9/5/1998 11:00:00 PM
From: goldsnow	Read Replies (1) \| Respond to of 116764

>>>Rich said turbulence on global financial markets had revived the Swiss franc's ''safe haven'' role as investors rushed to quality investments. The franc has been firm even as the dollar and U.S. stocks fell. >> What are the chances now for Swiss Gold sales? Not that they were serious before... Swiss Nat'l Bank says joint G7 rate cut improbable 08:02 a.m. Sep 05, 1998 Eastern ZURICH, Sept 5 (Reuters) - The Swiss National Bank's (SNB) chief economist said the Group of Seven (G7) leading industrialised countried were unlikely to agree a joint interest rate cut to avoid a global recession. In an interview with the Finanz und Wirtschaft business newspaper on Saturday, Georg Rich reiterated that the SNB saw no reason to change its monetary policy despite sharp falls on stock markets reflecting fears of an economic contraction. He said he did not expect the Swiss franc to strengthen in the long term as markets factor in expectations that the U.S. Federal Reserve will ease monetary policy, adding that the franc's exchange rate depended much more on the euro currency. Asked about prospects for a coordinated G7 rate cut and if the SNB would then take part, Rich said: ''This demand comes from the markets and is not very realistic. In practice things don't work that simply. Central banks look primarily at the needs of their own economies and do not act in a coordinated manner.'' Consumer sentiment was good in Europe and in Switzerland, he said. ''The Asian crisis does not necessarily have to lead to slower growth as long as domestic demand remains strong enough. At this time we cannot safely assume that weakness will actually set in, so central banks do not have to react.'' Rich noted that sharp rises in stock prices had apparently not triggered a similar rise in consumption in Switzerland, although detailed statistics on this were not available. ''It appears stock market gains do not stimulate demand, so we also do not expect the fall on stock markets to have the opposite effect.'' It remained open as to whether the Swiss economy would grow a real two percent in 1998 as expected, he said, and he declined to forecast a growth rate for 1999. The SNB was content for now to wait and see what happened. ''We review the situation regularly and ask ourselves if events have arisen that would prompt a change in course. But at the moment we see no reason for this, so we are sticking to our current monetary policy,'' he said. He declined to say whether share prices had fallen enough in the recent correction that took Swiss blue chips more than 20 percent off their July highs. Rich said turbulence on global financial markets had revived the Swiss franc's ''safe haven'' role as investors rushed to quality investments. The franc has been firm even as the dollar and U.S. stocks fell. Asked why U.S. investments were no longer attractive, Rich said foreign exchange markets expected the Fed not to tighten its monetary policy or even to ease it somewhat. But he added this should not drive the franc higher in the long term. ''I do not expect that. Such influences only last a short while. The franc's exchange rate will be influenced primarily by what happens in the euro zone,'' he said. He said the new European Central Bank had its work cut out for it as it tries to maintain price stability while new financial and capital markets get on their feet in 1999. The SNB would keep an eye on the franc's exchange rate and act if need be, he said. The SNB has said in the past it would loosen monetary policy to counter any undue appreciation in the franc. In extreme conditions, it could even peg the franc to the euro temporaily as a last-resort measure, officials have said. ((Zurich newsroom +41 1 631 73 40, fax +41 1 202 55 38, zurich.newsroom+reuters.com)) Copyright 1998 Reuters Limited. All rights reserved

To: long-gone who wrote (17724)	9/5/1998 11:21:00 PM
From: Ahda	Read Replies (3) \| Respond to of 116764

Richard i am totally perplexed tonight unable to make a call up or dow The US debt is horriffic Japan does not have the same problem her banks might, but she is solvent when you look at us and other nations carry our debt too. We arn't able to start huge infrastructure if we need to as our debts are to high. Kind of like a young company financed to the hilt to grow and that growth appears to be still be telecommunications One true thing we have going for us is the dollar being accepted world wide. The Emu will change that i am sure. The hup to do now means diddly poop when you consider all dollars are tied to each other and if they can find point spread the EMU will be able to too once Europe settles the entrance problems On gold i am thinking Kaplan and waiting Tues , also listening to Searle's techs. Could anyone state pro for market in why form not just you are pro but rationale behind, I would appreciate. I am not at all pro dollar The farms perhaps genetic engineering? Production has been increased elsewhere too due to tech?