[smallpoxgirl]

How in the bloody h--l is the dollar regaining strength? If the fed cuts rates anymore, they're going to be paying people to borrow money. Low interest rates are supposed to drive a country's currency down. I'm baffled by this.

Is this just all about people that thought TS was going to HTF over Bear Sterns?

[Cashmere]

The dollar is "gaining strength" because . . .

1. Several prominent figures, including the treasury secretary, have said in the last 48 hours that the credit crisis is over or near over.

2. The Fed has suggested that the rate cutting is over for a bit.

3. People will eat any ole donkey shit they're fed.

Combine the 3, money - previously seeking the inflation protection of metals, oil, and other commodities, flows back into equities where it is perceived that,

A. There will be a bull run up . . . and,
B. There is some protection from a commodity bubble pop.


To each his or her own -

Me? I look at this as an opportunity.

I hope the donkey shit eaters drop oil to 80 and gold to 500.

I've got the truck ready, idling, and in reverse.

[seahorse]

If you're interested in gold and you have not heard of Jim Sinclair, I think you might find his website interesting. He doesn't sell anything. He's got a million dollar bet going that gold will reach $1,600 by the first week in Jan 2011. Lately, he has opined that by the end of the first week in May, gold will have reached its low.

Any rate, here's the link:

Jim Sinclair

[smallpoxgirl]

$this->bbcode_second_pass_quote('Cashmere', 'I') hope the donkey shit eaters drop oil to 80 and gold to 500.

[eastbay]

$this->bbcode_second_pass_quote('smallpoxgirl', 'H')ow in the bloody h--l is the dollar regaining strength? If the fed cuts rates anymore, they're going to be paying people to borrow money. Low interest rates are supposed to drive a country's currency down. I'm baffled by this.

Is this just all about people that thought TS was going to HTF over Bear Sterns?

[threadbear]

$this->bbcode_second_pass_quote('smallpoxgirl', '')$this->bbcode_second_pass_quote('Cashmere', 'I') hope the donkey shit eaters drop oil to 80 and gold to 500.

[Micki]

Professor Krassimir Petrov (finencialsense) did a good gold market & investment 101 seminar at Tavex in Sweden.
It is avaialble on video here:
Tavex

Approx 2.5hrs in total.

[alokin]

oups.. my post got lost somehow...

For me it's highly irrational. nothing has changed and the dollar rebounds. And the oil price slumped. It's as well as the strike in Nigeria stopped, but everyone knew that a strike won't last for ages.

Only one remark: I'm watching the oil price for several month now. And it's always the same: price rallies are Monday to Wednesday and the slump always occur in the second half of the week. Strange?

I really do not understand why the dollar gained strength, nothing has changed.

[FreedomSlave]

We are no where close to the bottom of the housing market, and have yet to peak in foreclosures, not to mention food and energy price ripple effects going through an already declining economy.

This is a buying opportunity.

Here's a bit of historical perspective regarding the official prognisticators (I.E., Believe the paid propaganda pushers at your peril...):

http://www.gold-eagle.com/editorials_01 ... 62001.html

[Micki]

Markets don't make much sense now. Why? INTERVENTION.
It will however give many players a chance to get out of bad positions or get into new ones at better prices before trends re-insert them selves.

Personally I hope Sinclair is right about the timing, not just becasue I am long gold, but I find the most recent development so infuriating. Is there just a handful of us to see what is going on?


- Just say NO

[evilgenius]

You guys don't listen to anything. I have been trying to tell you that this was going to happen for a while and giving you the reasons why and still you won't, can't seem to listen. Go ahead, buy as much gold as you can since you seem to want to lose everything anyway. You have to think about the strength of the dollar in terms of the money supply. There is a whole lot less money out there. Less money means that the dollar gains value. They are trying to hyper-inflate like crazy and they can't keep up with the demand destruction that is resultant from the crippling of the money supply.

The time to buy gold will be when its price comes down to the price of extraction. I reckon that price is somewhere around $575 an ounce. Start to buy in there and keep buying because at those levels there is some kind of floor based on reasonable equilibrium. When the next invasion happens (the Hillary Chronicles) you will be in the perfect position to double, perhaps triple your money. Of course you would probably be better served before the next invasion by shorting the S&P 500 at the lowest level you can find a put for. The powers that be are so arrogant that they really believe they can swing what they have up their sleeve, but they are not going to be able to pull it off. When the dust settles from a US military loss in the Middle East who knows how much financial destruction will also reveal itself. No Fed action will save them from that.

Of course, you don't have to listen to me, I don't know anything!

[CrudeAwakening]

$this->bbcode_second_pass_quote('evilgenius', 'T')here is a whole lot less money out there.

[Micki]

I think trading a portion is a good idea. No problem there. But a core position should be held for the simple reason that when it takes off it can do so quickly.

$this->bbcode_second_pass_quote('', 'I') reckon that price is somewhere around $575 an ounce.

[evilgenius]

Look, you can choose to look at it that way, but don't leave your reasoning with Milton Freidman, in the grave. Monetarism as a means of figuring this one out is dead because it does not explain the lack of demand brought about on the only level that counts, that of demand. It seems to explain it, but really it only begins and has no answers once it enter the cul de sac that is the poverty of the Neo-Cons and the Neo-Classisists.

[Micki]

That doesn't really answer where $575 is coming from

[evilgenius]

As far as $575 goes, that number is actually high, but I don't think (maybe I am hoping) that the route in the mining industry won't be like it was the last time gold collapsed. See, it is true that gold does have a certain value simply because people love it so and they will run to it even when it makes no sense for them to do so. So I figure that with peak oil driving up the energy side of the extraction costs and workers complaining that their F-150's are costing so much to fill up that the miners will be under a lot of pressure not to accept any less at around $625 or $600, but that they will until a few players screw themselves with their workers and wind up in a position where they can't compete with the other companies that have managed costs better. Once that happens there should be a bounce off of the low point that happens when prices seek equilibrium. If it happens like last time watch out for $375.

[cube]

$this->bbcode_second_pass_quote('evilgenius', 'Y')ou guys don't listen to anything. I have been trying to tell you that this was going to happen for a while and giving you the reasons why and still you won't, can't seem to listen. Go ahead, buy as much gold as you can since you seem to want to lose everything anyway.

[dorlomin]

If you are investing in gold it is always worth keeping an eye one Southern African politics. Over the Jan Feb period South Africa had power problems. These were eventualy found due to a kind of affirmitive action contract to supply coal to the power stations that had gone 'tits up' when the price of oil went up as the suppliers were being priced out of the market. Much lower inventories of coal stocks at powerstations also played a part. So the South African gold mines were experiancing outages, the new leader of the ANC seems to be determined to get this sorted. Also in April something rather momentus happened to increase investor confidence in the region. A ship load of arm for Robert Mugabwe was turned back from South Africa inspite of the leaders wanting him to get them, by local goverment officials applying national law and the local trade unions refusing to touch the weapons. Even as the leaders of Africa give comrade Bob a free reign the people of Africa are standing up for the people of Zimbabwe. Mozambique, Tanzania and Namibia also embargo'd the carge, although Angola let it through. Some investors see a stronger union as a bulkwark against the worst excesses of the leadership. Natuarly alot of people will argue with this but there is some confidence returning to the region.

This can have a major impact on peoples expectations of gold exports.

Obviously bussiness does not like strong unions on the whole but this time many see it as a major step away from post colonialism being the dominant political force in the region.

But be aware Jacob Zuma goes on trial for corruption later this year. That will surly play on the gold price. How it will pan out will depend on whether investors see him as a strong leader to stabilise the region or as a dangerous loose cannon.

[Heineken]

$this->bbcode_second_pass_quote('smallpoxgirl', 'O')il was down $0.94 today to close at $112.52. Not exactly what I would call a plunge. PM's OTOH, are definitely taking a beating over the last six weeks.


$this->bbcode_second_pass_quote('Twilight', 'G')old is just a metal. A useful tool for traders but not a great store for personal wealth. The people who think gold is money are little people who are probably going to get trampled.

[cube]

cube's how to get rich plan

You "only" need to know 4 things:
1) what to buy
2) when to buy it
3) what to sell
4) when to sell it