tag:blogger.com,1999:blog-2182962435875556601.post7733395846041132590..comments2023-09-24T08:04:06.909-04:00Comments on FSK's Guide to Reality: Is a Gold Short Squeeze Coming?FSKhttp://www.blogger.com/profile/11903396202330950362noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-2182962435875556601.post-33207468682459962782008-11-20T12:42:00.000-05:002008-11-20T12:42:00.000-05:00Elsewhere in the news on Nov 20 2008: - "...While ...Elsewhere in the news on Nov 20 2008: - "...While many gold and silver stock investors have had enough and want out at any price, those buying in this selloff are picking up stocks of companies trading at less than ONE! times earnings or cash flow and as little as 30% of the cash companies have in the bank. I don’t know if there has ever been a time in history where a group of stocks has traded so cheaply while their operations have performed so strongly ..."<BR/><BR/>I ask you, gentlemen, what is it that the market knows that we fail to realize? I see only two outcomes, in which the price for gold goes higher and higher but the benefits of owning shares of a gold mine diminish further and further.<BR/><BR/>1. Government declares central plan for economy (communism), and nationalizes gold mines so as to stop the windfall profits to greedy capitalists.<BR/><BR/>2. US is forced to accept new world reserve currency, which is tied to gold. US is confiscating it's citizens' gold and nationalizes its gold mines in an effort to stave-off revolts (keep imports flowing by any means necessary) and keep it's government rich and alive.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2182962435875556601.post-63286762511344577372008-11-14T21:44:00.000-05:002008-11-14T21:44:00.000-05:00-The reason for PM stocks not going up is this: Ca...-The reason for PM stocks not going up is this: Calculate the worth of your mine stock after the nationalization of that mine. So, facing collapse, one expects revolutions and nationalizations from a commie government. This isn't a favorable forecast to buy paper ownership!<BR/><BR/><BR/><BR/>-December Futures Gold price would be equal to a January futures price, ONLY assuming that real inflation is accounted for. Therefore, within a fraudulent system that is using fiat paper for money, far away price is expected to be higher than a closer one.<BR/><BR/>Absent deflation in money, which isn't possible under fiat system, backwardation then signals a vanishing trust in the system, as you correctly noticed.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2182962435875556601.post-30127234636164502142008-11-14T14:17:00.000-05:002008-11-14T14:17:00.000-05:00As an alternative to GLD, what do you think of the...As an alternative to GLD, what do you think of the Central Fund of Canada (CEF)?Anonymousnoreply@blogger.com