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Politics : Dutch Central Bank Sale Announcement Imminent? -- Ignore unavailable to you. Want to Upgrade?

To: sea_urchin who wrote (2378)	11/29/1998 9:18:00 AM
From: Zeev Hed	Read Replies (1) \| Respond to of 81003

Searle, I agree that $280 spot and 60 XAU are very strong support areas, but if they break ...? If you watch the recent CRB action, it surely shows the possibility of a break under recent lows. I think that another run above 130 yen/dollar sometime in the next six months could indeed bring about such a break. I just no longer put a high degree of probability in that happening because of the steady increases in the US trade deficit. If, however, you see some shrinking in the trade deficit back to about $11 to $12 billions monthly (just a wild guess, mind you) you could see that move in the dollar and with it a resumption of the major bear in gold, IMHO. I believe we have been delivered only the first dose of a multi year "mild deflationary" period, and some additional ratcheting down may follow. Zeev