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Technology Stocks : Discuss Year 2000 Issues -- Ignore unavailable to you. Want to Upgrade?

To: Ken who wrote (5087)	3/27/1999 6:59:00 PM
From: Hawkmoon	Respond to of 9818

Ken, Personally, I would love to see people buy gold. I would love to see the Federal Reserve and other CBs sell some of the 14 years worth of annual gold production they have stashed away to help meet the current and potential demand for physical gold. Why?? Because if people held gold, they wouldn't necessarily feel so compelled to require hard paper currency which could potentially become short in supply. As for overall banking liquidity, think about this scenario. What if people from overseas opted to utilize the US market and currecy as their last safe haven before gold? You will have a movement of assets from the periphery of the global economy to the center. (by the way, we're the center..:0) So you may actually see liquidity of US banks increase due to the flow of capital seeking a safe-haven from a Y2K storm that will likely hit harder in Asia and Europe, then here in the US. We will certainly see the Federal Reserve lower rates even more so that any cash withdrawals will not have a detrimental effect on the overall liquidity of US banks. Btw, gold-eagle is certainly biased toward gold (they have been predicting the POG will sky-rocket for several years now, completely ignoring the deflation we are seeing from currency devaluations, excess commodity production, and surprisingly, the cost efficiencies of direct selling via the Internet. Btw, you forgot to incorporate Russian and Chinese users of US dollars as well as other nations that peg their currency to the dollar in your reserve model. They likely will be looking for greenbacks also. Also, those reserve amounts, according to my sources are a bit shy. The hard currency portion that makes up M1 is something like $250 billion in cash in circulation, 150 billion in emergency reserves, with the Fed only printing $50 billion more on top of that (I wish they had printed more, personally), for a total of $500 billion on hand. Oh and Ken.. those reserves are cash reserves available to the general public for withdrawal, not reserves meant for determining liquidity and soundness of the bank itself. It would be when people take EVERYTHING out that we face SERIOUS problems. Electronic money that stays put or is bulstered by inflows from overseas could assist in insuring liquidity (who really knows?) But then again, it would only take a errant nuke taking out NYC, or a massive cyberterroist attack on US infrastructure, to have the same effect. So we must ask ourselves "why do we keep our money in banks in the first place?" Regards, Ron

To: Ken who wrote (5087)	3/28/1999 12:35:00 AM
From: issme	Read Replies (5) \| Respond to of 9818

Where in the world do you find this idiotic information you have been pasting on this board? The Y2K problem is simply, mediated hype. There will be no devastating effects, any one that has any computer savvy has to realize this... Sure there are going to be some shut downs, there are going to be places that will have to close because of computer failure, but most problems have already been resolved, and the ones that have not will be with in 1 week of the breakdown. Any one that knows anything about computer writing language will tell you this. To fix the Y2K problem the only thing that must be done is to change the date codes in the program from a 2 digit year to a 4 digit year, that is it, nothing else... I have heard of people that are buying canned goods, buying bottled water, taking their money out of banks, investing in precious metals, this is exactaly what the businesses want you to do, buy ,buy ,buy, it makes them profit. When y2k is here and people realize there are no major effects, there are going to be a vast amount of people that have lost a considerable amount of their life savings, simply because of the Y2K FARCE, that is created by the media. This event {Y2K} reminds me much of the "War Of the Worlds" scenario, it will have basically the same effect on the people that are less blessed with brains, and simple common sense... If you want a hot tip on how to make a quick buck here it is, buy Silver or Gold, it will increase drastically in the coming months, but you better dump it right before the year 2000 or you will lose your arse!!! >>>ISSME<<<