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Gold/Mining/Energy : Barrick Gold (ABX) -- Ignore unavailable to you. Want to Upgrade?

To: d:oug who wrote (1255)	6/6/1999 3:16:00 AM
From: Zardoz	Read Replies (2) \| Respond to of 3558

Subject: Dutch Central Bank Sale Announcement Imminent? To: Ron Everest From: Doug A K Jun 5 1999 5:13AM EST Ron, I followed the url and read many posts using it as a jumping off point. This thread {Dutch thread} was started by the now president of GATA and to me it would be on-topic to pick any of the items being addressed by GATA and have a discussion here. First, the Dutch thread mandate is VERY unclear. Subject 21259 You could say it's anything to due with conspiracies, gold, banks or what Papal Murhpy wants to post. But neither are of true importance, cause gold is not based on long-term collusion, conspiracies, or even secret handshakes. The world of CB selling CAN'T be a conspiracy, as even the sweet Hedge Funds know that unstable positions CAN'T be supported for long. They would be jumping on the long side just as quick. This is how Soros claimed his fame in 92 with respect to the Pound {short the hell out of it}. But there are always people, and they seem to live primarily in the USA, that believe that the best solution to anything is to sue your way out. I've often wondered if Papal Murphy has a loss that he is attempting to regain? No... Papal Murphy has decided over many occasions to avoid certain people, most who disagree with him; most who ask the tougher questions. Am I biased, you bet. I have believed that the bias in the gold market manipulation is on the positive side. But rest assured that much of the volatility of gold has been diminished over the last 13 years. Ask yourself this. Has GATA gave any empirical evidence of why gold should be higher... I'm not talking of this alleged short positions, as even GATA, Hedgers, Producers, CB can't prove whether that is a net short, covered short, or just a bad guess. What I want shown is an economical reason as to why if gold is a currency, that GATA can show it should be higher? Gold has no GROWTH associated with it. IT is a default-valued asset. Even the supply and demand equations are in questioned. Over the last 6 months we have seen much biased comments from both the World Gold Council, and Gold-Eagle {both say the demand is increasing, yet Eagles amount is doubled WGC. But what of the demand... is it an institutions, commercial, private, public, CB demand? This is the data that NOONE has. Has he considered that there is many private and public corporations that have been selling gold futures that have never been executed, and they still hold the same position for YEARS? Making a very nice profit all the way down. Makes me wonder how much is being reported as a short position, when it truly aint? Gata, and Mr Murphy are wrong. They are wrong to USE & ABUSE SI with their biased subliminal request for donations. And I don't understand why other continues to do the work of this group. He makes comments on price ranges for gold and silver without any bases for such subjugated reasons. If the short positions are his only defense for his acrid prediction for precious metals, then he has sadly misled his readers. He's neglected economics of producers/hedgers and the cost of extraction. Has he considered that many costs of extraction are limited to reasons of economics? What are the limiting costs on mining? If we consider fuel, machinery, and wages versus that of profits of gold hedgers/producers then how does the price vary? How do these companies fair. Have not the cost continued in a deflationary style pricing since well before 1987? Consider that MOST of the gold is dug up outside of the USA, surely the wages of others countries have not kept pace. Ever time a currency gets devalued just a little more, then the price spread between profits, and production widens. Under any devaluation, wages always suffer.