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

To: Enigma who wrote (34152)	5/19/1999 9:52:00 AM
From: Ken Benes	Read Replies (1) \| Respond to of 116815

Alex: I think he has it just about right. Unfortunately, not only have the producers become a conduit for central bank gold to hit the market, but they also are active financial supporters of GATA. It appears this participation is designed more to deflect the producers complicity in the low gold price rather than to be outraged victims of the low gold price. The mantra has always been buy the seniors, you have more leverage than you do with the metal. It may be time to consider investing in the bullion rather than the miners if you think gold has a chance to rise. This will increase demand and undermine the share value of the producers. When Barrick's stock price begins to lag, there will be a change. Either way, the producers are the main problem. Now here is a strategy, dump the mining shares and let the producers lead the price of gold down to 250.00. As mines close and the cb's are forced to sell physical gold rather than derivatives, step up to the plate and start buying the bullion at prices that are below the cost to mine. As the gold leaves the cb's balance sheet, and the mining shares plummet, we will be snatching up the bullion ready to run up the prices as the market searches for supply. Ken Ken