|
PureBytes Links
Trading Reference Links
|
I
don't have access to the charts right now as I'm not in the office, but on
vacation.Take a loook at the gold price vs the Japanese Yen since thier top in
1989 and the story is quite telling. Also look at the price of HM in 1929
vs 1933. If memory serves me right, it went up enough so that if you only had 1
1/2 %of your assests in HM, and had lost 100% of your securities except HM, you
would be even with one added bonus' The purchasing power of what you still had
had gone up dramaticlly.
<FONT face=Arial color=#0000ff
size=2>Robin
<SPAN
class=930163719-15032001><FONT face=Arial
color=#0000ff>
<SPAN
class=930163719-15032001>
<SPAN
class=930163719-15032001> -----Original Message-----From:
Gitanshu Buch [mailto:onwingsofeagles@xxxxxxxxxxxxx]Sent: Thursday,
March 15, 2001 1:19 PMTo:
realtraders@xxxxxxxxxxxxxxxSubject: [RT] GEN: Gold &
Deflation
Robin,
Re your comment below - would you mind providing some
historical date ranges for deflation in USA?
The conventional wisdom is that deflation is good
for Bonds because of the downward pressure on interest rates from
the need to reflate one's way out of the spiral, but your statements tell me
that gold competes as an investment choice, in constant currency terms. I
would like to verify that.
Thanks
Gitanshu
><FONT face=Arial
color=#0000ff>I have been in the business for 26 yrs which I believe qualifies
me as an oldtimer. I hope I have learned a few things over the years. One
thing I have learned relates to your question on Gold and can it go up in
deflation. The answer is YES. Gold does not go up BECAUSE of inflation.
Gold goes up because of a LACK OF FAITH OR CONFIDENCE in the
currency. This lack of faith can be expressed by either inflation or
deflation. In an expansion of the economy the lack of faith is expressed in
inflation. In a declining economy it is expressed by holding back, savings,
etc, thus causing deflation. In extreme cases, like at the end of a Super
Cycle or Grand Super Cycle it can cause Gold to go up even more than in
inflationary times, because of the concern for the solvency of nations, ie
Japan today. We are not at that point yet, but the charts will tell us
when we reach it.Hope this helps.
<BLOCKQUOTE
style="PADDING-RIGHT: 0px; PADDING-LEFT: 5px; MARGIN-LEFT: 5px; BORDER-LEFT: #000000 2px solid; MARGIN-RIGHT: 0px">
<FONT face=Arial color=#0000ff
size=2>Robin
<FONT face=Arial color=#0000ff
size=2>
<FONT face=Tahoma
size=2>-----Original Message-----From: Don Ewers
[mailto:dbewers@xxxxxxxxxxxxx]Sent: Wednesday, March 14, 2001
11:18 AMTo: realtraders@xxxxxxxxxxxxxxxSubject: Re:
[RT] Is the end near - Not for GOLDNo I missed
the links (up late doing Sub-S taxes due March 15th), and youare
correct gold stocks are a better choice if so inclined.Also the
parallel to the NASDAQ is humm kind of ok but not the same in
manyways. Many of us saw the flaw there and have been and continue to
be incash. My bond partner has been warning me about deflation for
some time andhas won me over, so I am just not a gold fan in this
environment. But if itgoes up and you and others do well its OK with
me.As far as Yardini is concerned, I may be wrong but he came out
on Friday(CNBC) and said he is now worried about deflation vs.
inflation his previousfear so . . . I don't know. Can gold go up in a
deflationary environment? Iguess so if there is a financial panic at
the same time?Attached are the AGET charts, daily is bullish,
weekly no clear picture.Good luck on your trade.don
ewersTo unsubscribe from this group,
send an email
to:realtraders-unsubscribe@xxxxxxxxxxxxxxxYour
use of Yahoo! Groups is subject to the <A
href="http://docs.yahoo.com/info/terms/";>Yahoo! Terms of Service.
To
unsubscribe from this group, send an email
to:realtraders-unsubscribe@xxxxxxxxxxxxxxxYour
use of Yahoo! Groups is subject to the <A
href="http://docs.yahoo.com/info/terms/";>Yahoo! Terms of Service.
Yahoo! Groups Sponsor
Click here for Classmates.com
To unsubscribe from this group, send an email to:
realtraders-unsubscribe@xxxxxxxxxxxxxxx
Your use of Yahoo! Groups is subject to the Yahoo! Terms of Service.
|