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: Mark Bartlett who wrote (34560)	5/27/1999 2:20:00 PM
From: Zardoz	Read Replies (3) \| Respond to of 116770

"Canada sold its gold, because it was desperate for cash ..... a key sign that we were in trouble." Except that while their were selling their gold, they bought US long bonds. And those bonds purchases werre in excess of the Gold sales. So from 1990-now they have reaped a good return. "This premise (that you seem to support) that countries are better off without gold is not sound. Countries that have sold their gold have been the ones in trouble and the ones that have seen their currencies hurt. It is already happening in the UK - 2 weeks after they announced their gold sales." Ahhh Britain. What is Britains main export, main industries? Most of Britian is into retail stores. Is this why USA markets are in a bubble?: "Every little bright spot in Britain's dismal economic outlook is to do with non-national operations. Britain's strongest companies generate most of their profits abroad. For example, the pharmaceutical giant Glaxo Wellcome makes about 90 per cent of its sales and profits outside Britain. On the other hand, Britain's few successful manufacturing export sectors, notably motor cars and colour televisions, rely on the competitiveness of foreign-owned plants such as Nissan, Samsung and Sony. Britain's biggest export earner is financial services, responsible for about a fifth of national output and still based around the City of London." informinc.co.uk Point is, Britain is over weighted into the service sector. And any slowdown is multiplied as in a feed back system. Britains problem has been around for years, long before 80s when I lived there. And are less likely to geet better soon. "As the 'globalisation' of Britain demonstrates, the rapid growth of international economic activity over recent decades is an indication and expression of capitalist stagnation. It represents decay not dynamism." You said:" Forget about the Asian recovery it ain't happening." I agree with this, I've been saying much the same for ohh so long. also you:"The US trade deficit is very high now. As the US dollar increases (as it is) it will get worse." The trade deficit is very huge, I agree, but if the growth rate of the GDP stays as large as it is, you can surely expect the trade deficit to continue to climb. And there in lies the problem for USA, and when it does break down, should cause gold to climb... UNLESS the FED is onto this already; which I suspect. I think the US Fed was hoping that Y2K would be more deflationary then what it is shaping up to. I suspect you'll see the FED now dramtically lower M2 rates till the end of the year. This suggests that Gold can go much lower: #reply-9796716