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Technology Stocks : Altaba Inc. (formerly Yahoo) -- Ignore unavailable to you. Want to Upgrade?

To: Bill Harmond who wrote (14166)	10/2/1998 1:21:00 AM
From: Michael Collings	Respond to of 27307

>>their liquidation is bullish<< Maybe its playing a part although I think that it is still very early in its rise. Maybe a better explanation is that as the price of paper money drops, ie. a drop in interest rates, it reaches a point where it loses its appeal as an investment. Basically it is free and backed only by promises. It has no intrinsic value. Gold, on the other hand, as a currency is a store of value. As faith in monetary systems erode, people look for a safe haven for their wealth. Since gold is also portable, it may well become the investment of choice. Since gold, like oil, trades in US dollars, its value has risen substantially in countries where currencies have eroded. As the fed continues to lower interest rates it does so at the expense of the dollar and as the dollar starts dropping the rise in gold should be spectacular. At the height of the dollar we saw gold at its low. As the dollar has come off its highs. gold has risen. We saw something similar in 86 and 87. When the dollar bottomed gold reached its peak; if I remember correctly it was around $500 an ounce. So I disagree that it has no fundamentals.