Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Enigma who wrote (27569)	2/2/1999 2:37:00 PM
From: Zardoz	Read Replies (4) \| Respond to of 116791

Where were you in August when I said that a Gold reserve can HURT a currency more then help a currency.... Fiat money as you call it is a better form of currency stability then Gold reserves. And holding foreign bonds such as Canada does is even more better. Especially if the bonds are backed by a loose gold reserve such as the US FED. Your so called rally reversal is based on a weak fundamental and shows it's instability. I would be very concerened with it. Look at the large move down, and then back up. Very thin market. Possible sign of over bought status. Downside risk is VERY large. XAU index and GOX index are suggesting this. Your analysis of this as a rally IS WRONG! Beware the shorts that are adding on Aprils delivery, and being bought in the spot. How do you know it's shorts. The seperation between the future and the spot has shrunk rapidly today. Spot is trading nearer to futures. kitco.ca This is not a good rally.

To: Enigma who wrote (27569)	2/2/1999 2:37:00 PM
From: John Hunt	Read Replies (1) \| Respond to of 116791

How's This For Market Timing? - CPP eyes market to stave off ruin Eroding assets force move into risky new area << The strategic move to rescue the Canada Pension Plan from the brink of bankruptcy will begin in the next couple of weeks with a modest flutter of $150 million in the stock market, the first gambit of an investment that will total $2 billion this year and eventually increase to $200 billion. -- cont'd -- >> ottawacitizen.com I believe it's called Buy High - Sell Low or Buy High - Hold Lower. Hi D2, YIKES! I'm taking the reduced early pension in a couple of years while there is still some there. :-((

To: Enigma who wrote (27569)	2/3/1999 12:45:00 AM
From: Hawkmoon	Read Replies (1) \| Respond to of 116791

Hutch - so you admit that gold in the reserves keeps a currency strong? << This is why other resource countries have sold {Canada, Australia}>> DD, You forget that there are two reasons for CB's to hold gold. One is for the purpose of maintaining psychological support for those who think gold supports Fiat paper in inflationary times. The second is so the CB's can control and influence the price of gold versus its currency. If gold gets to high versus their Fiat paper, they have the reserves to sell in order to pressure the market. A weighty hammer indeed. Second would be as a means of preventing their Fiat paper from growing too strong in order to create the perception of weakness in their currency and thus decreasing fears of deflation. However, it it is far more efficient to print more money and inflate the supply in order to boost economic output so that struggling economies have ready marketplaces for their goods as they try and drag themselves out of recession/depression. Holding large quantities of a commodity that might compete with your currency is the best insurance a CB can have. Regards, Ron