This is the Kitco chart from 9/10/01.
I wonder how many spikes like this there have been since then...
Posted on 10/24/2004 5:25:33 PM PDT by shrinkermd
The dollar is taking a beating in overseas trading. Rumor has it one or more Asian countries are in process of selling dollars and buying gold. The extraordinary number of commercial gold shorts must be the most alarmed of all.
How likely is that to happen?
This will be a VERY long week.
The sky isn't falling. Don't worry, stay calm, the adults are in charge.
Resistance for gold is about $430. If it holds above that for a few days it might be significant.
Go to Kitco.com for gold prices and FX rates.
"Like Britain a century ago, the United States has greatly over-borrowed in an effort to control access to the world's energy supply and at the same keep its domestic economy firing on all cylinders. As competition for diminishing oil resources threatens U.S. dollar hegemony over world oil transactions, expect to see increased Chinese political and military presence in the Middle East. The presence of Chinese PLA troops in Sudan, in our opinion, marks the middle kingdom's entrance into the great game. China's next move could come in the form of massive dollar devaluation when they decide to unload their supply of accumulated greenbacks.
"China just recently released six billion of those greenbacks for its purchase of Noranda Mining - Canada's biggest mining company. Keep your eyes open for stepped-up greenback dumping by China in exchange for natural resources such as oil-bearing properties or perhaps more mines. We predict that in the near future, Saudi princes will decide to denominate some of their oil transactions in Yuan (or at least something other than dollars) and invest their profits into shares of China Mobile or PetroChina instead of Citigroup.
If this becomes a big problem, it will be a long term big problem.
We should hoard what? Gold,bread,milk,firewood,ammo?
It's $428.60.
Congratulations! You are making an average of 3.5%/annum. That sure beats Social Insecurity at 0.5%!
Look for gold much higher, maybe $460-480 range soon according to some analysts. It's testing it's highs now and ready for an upward breakout. With the lousy dollar and the high price of oil, it's a lead pipe cinch, IMHO. Hold on!
I'll try sir/ma'am... thanks for the reassurance...
I believe gold went up right before
most freepers think free trade with china is the greatest thing since sliced bread.
thanks for the post. i agree with you that our social spending is out of control.
i am rooting for what the united states did to holders of world war one "war bonds".
Basically they have all their ammo still in the can.
On a side note, it seems the "Gold Bugs" are predominantly Kerry backing wackos. They are banking on a Kerry win and have been screwing around with the market.
I don't know how all this will work out, but someone is in for a disappointment. If the market soars after Tuesday, the Goldie's will lose their butts.
What you will see in gold in the next 10 months will be breathtaking. Gold will go above the high of 1980 above $840 per ounce. The dollar has declined substantially for the past 8 weeks and especially the past 2 weeks. Nothing can stop the inevitible. The dollar has been weakened by Fed Policy of easy money. Whether or not Alan Greenspan admits it, we have substantial inflationary pressures that can only be combated by printing money. There seems to be no government intervention at this time which can reverse this move. It may vascillate, but the trend is gold will go up. There is a direct inverse relationship between the dollar and gold. If possible get physical gold, after getting rid of your debts. The next few years are going to be hell. If Kerry is elected, it will be 100 times worse. But, cometh the piper and all bills will be paid. Some will give up their house, their retirement, their investments. It will not be 1929, but will be much worse that October 1987. Your dollar will be worth about 50 cents on todays dollar. I hope you can prepare. Godspeed.
Anytime I see Hegemony I barf!
Take a small leaky boat someplace safe............
This is the Kitco chart from 9/10/01.
I wonder how many spikes like this there have been since then...
(428.60 - 400) / 400 = 0.0715 or 7.15%. Divide that by 8 years for the per annum calc, and you get 0.89375%.
You're right....Soros....don't think our administration is not aware of these activities.
while i do not doubt your sincerity, i have a different opinion -- although i do own gold (the metal, not paper) as part of my portfolio. if what you say is even close to true, the price of gold is not the problem. it is merely a leading indicator. the problem is with the fiscal side of the scale, not the monetary side. monetary solutions are short term solutions; fiscal solutions are long term solutions. bottom line is that we need to cut fiscal spending -- big time.
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