And how is gold for the
Gold stays on up there close to 400, but is still
ignored by most folks. But what is presently happening with our
“…the latest official figures show
US consumer prices rising at a 4.4% annualized rate in the four
months to April 2004. It is a safe bet that the level over the six
weeks since the end of April will show still bigger US consumer
price increases.” Bill Buckner, The Privateer, 6-18-2004
And again we are reminded by the commentary above
that inflation is real & continues to rear its ugly & all
“The signs are all around us. No matter
how thoroughly the books are being cooked, little signs of economic
reality keep escaping into the light of day. Even official "inflation
measures" (like the CPI and PPI) are now starting to veer out
of control. Treasury yields are rising inexorably, stock indexes
are comatose in spite of the best efforts of "990N" -
see the quote which begins this analysis. And now Gold has had the
temerity to rise $US 10.50 over the last two trading days of the
week.” Bill Buckner, The Privateer, 6-18-2004
Most readers will fail to see the significance in
what we write here. But what the evidence shows clearly is that
gold is staying close to 400 not just on the wings of mere sentiment
but because inflation is establishing a firm & long term pattern
“It will quickly become clear that the Fed
is not raising rates to "damp down" an "overheating
economy", it is doing so to prevent or at least postpone a
wholesale abandonment of the currency.” “The PROOF of
a loss of control will be a Gold breakout. THAT will show the beginning
of the abandonment of the paper markets - any interventionist government's
worst nightmare.” Bill Buckner, The Privateer, 6-18-2004
Our point always is not to prove how high gold may
or may not climb to in the short term. What our goal continues to
be is to show that times & circumstances have changed &
that there is a new kid on the block. And that new kid on the block
is gold & will continue to grow in prominence & importance
as the years unfold on into this new century.
Of course there are many good fundamentals ranging
from Asian trends & demands to depleting mines but I will continue
to believe the most significant positive force for gold will be
a growing trend toward higher & more prominent inflation.
But let’s change the subject & talk about
Paper: Kerry wife worth $1 billion
Analysis shows fortune greater than first thought
RALPH VARTABEDIAN, Los Angeles Times, 6-27-2004
Now before readers think that I am indiscrimananetly
attacking John Kerry let me state that my emphasis here is on the
subject of personal wealth & finances.
“Heinz Kerry's investments, worth an estimated
$500 million in 1995, have grown over the last nine years to $1
billion or more, even accounting for large living expenses and charitable
contributions, according to an analysis of Securities and Exchange
Commission filings, Senate financial disclosure reports, probate
documents and other public records.” RALPH VARTABEDIAN, Los
Angeles Times, 6-27-2004
I thought this would be fun so let’s play with
the numbers here.
Put another way John Kerry’s wife’s personal
fortune has GROWN 55 million a year for the past 9 years. And how
would we like to see our personal wealth even after an opulent life
style & expenses grow by over 1,000,000 a week for 9 solid years?
And our point in relating this bit of trivia?
Well, I guess this just goes on to prove what we have
heard for years & years & that is that the rich definitely
get richer while the poor & middle class just sink deeper into
And the modestly successful businessman who has grown
a business worth a few million dollars worries how he will pass
this inheritance along to his children without the heirs having
to sell & liquidate the business to pay inheritance taxes.
And how much in taxes has John & Teresa paid these
past 9 years? That would be interesting to know.
But we have more interesting trivia to share.
While John & Teresa build their wealth to the
tune of over 1 million dollars a week Senator Clinton informs the
lesser well to do that they must make greater sacrifices.
“…Hillary Clinton told several hundred
supporters -- some of whom had ponied up as much as $10,000 to attend
-- to expect to lose some of the tax cuts passed by President Bush
if Democrats win the White House and control of Congress.
"Many of you are well enough off that ... the
tax cuts may have helped you," Sen. Clinton said. "We're
saying that for America to get back on track, we're probably going
to cut that short and not give it to you. We're going to take things
away from you on behalf of the common good." Matthew Fordahl,
Associated Press, 6-28-2004
Wow! And lets hear again what Hillary wants to do?
“We're going to take things away from you
on behalf of the common good."
And whose good, Hillary? John & Teresa’s
& their super rich friends?
But at least we can count on the Republicans to represent
the nation well while the Democrats preserve the perks of the upper
And where is Bush at the moment?
“BUSH FILMED IN UNDERWEAR...”
“NEWMARKET-ON-FERGUS, Ireland - In his visit
to Ireland, President Bush stayed in a 16th century Renaissance
castle on a 375-acre secluded estate.”
“But it wasn't secluded enough.”
“Bush was spotted by television cameras
as he was standing in a T-shirt at his window at Dromoland Castle.”
Deb Riechmann, Associated Press Writer
Good job, George! Now if you could just bring that
same type of “openness” to the gold market…
But let’s get back to gold before we stray too
Gold May Average $400 in 2nd Half as Dollar Gains,
“Gold will average $400 an ounce through
Dec. 31, compared with about $402 in the first half, according to
the median forecast of 19 respondents from New York to Sydney.”
Laura Humble, Bloomberg, London, 6-25-2005
Sounds like a strong gold forecast to me!
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David N. Vaughn
Gold Letter, Inc.
July 02, 2004
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