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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Lucretius who wrote (58872)	5/8/1999 12:19:00 PM
From: re3	Respond to of 132070

I believe you LUC... p.s. you crack me up... H

To: Lucretius who wrote (58872)	5/8/1999 3:44:00 PM
From: Tommaso	Read Replies (2) \| Respond to of 132070

I keep thinking of the French banker during one of the classic bubbles who said, in effect, "When everyone is crazy you have to behave more or less the same way"--and bought into it. I think people consider it boorish to say that there is risk in the market. Like talking about cirrhosis of the liver in the middle of a cocktail party. Which I have done, come to think of it.

To: Lucretius who wrote (58872)	5/8/1999 4:40:00 PM
From: baystock	Respond to of 132070

<you believe me now about what is going on in the gold mkt.... I expect that England's act of desperation on Fri will signal to some heavy hitters that the blood is in the water.....> Bingo! The bureaucratic central bankers don't know how to swim with the sharks or they wouldn't tip their hand like this. Or maybe they are just plain desperate...

To: Lucretius who wrote (58872)	5/9/1999 9:35:00 AM
From: Freedom Fighter	Read Replies (2) \| Respond to of 132070

LT, Regarding Gold. >>I expect that England's act of desperation on Fri will signal to some heavy hitters that the blood is in the water..... >> I haven't been following your views on gold other than a handful of posts. Do you think that all the gold leasing, forward sales, etc... have reached critical mass? From what I understand of the situation, (and I do not know any of this to be fact) it's an unsustainable situation because physical demand is higher than production and the gap is being filled by central bank sales and leases. Those that are leasing the gold are then selling it and using the proceeds to invest elsewhere and earn a spread. It's sort of like the yen carry. But there is no way they can make good on all their outstanding loans at current production/demand levels without causing chaos in the gold market. So eventually the whole thing is going to blow up to the upside for gold. The problem I have with this is that no one really knows how much gold has been leased out or how much is still left "to be leased out". So it may take a long time to reach that critical point. Second, there is an "appearance" that governments, central bankers, dealers, IMF, etc.. will do or say anything to keep the price of gold down and advance the agenda of fiat money. It's either that or they really believe gold is useless as a reserve asset. Third, the rumors suggest that some very important people/firms/hedge funds are on the short end of this eventual disaster. Evidence from last fall's financial market breakdown, the Asian crisis bailouts, the Mexican crisis bailouts, etc... all suggest that we do not have free markets (at least not in my view of what that means). The Fed, IMF, Treasury, and Federal government can be counted on to throw their full support behind the "connected" minority at the expense of the rest of us. So even if the "gold bugs" are right about the fundamentals and current state of affairs, they are bucking enormous vested interests who are all geared towards either discrediting gold or bailing out the "connected" at the expense of people who are thinking in terms of "free markets". Being a big fan of free markets and hard money I kind of view the anti-gold guys as a bunch of "black hat wearing" public rustlers. But it remains a tough bet even if all the stories are true. Wayne