The article focuses on gold but that is a bit simplistic. It also focuses on Russia. It does not mention that Saudi Arabia now uses the Euro for oil transactions vice the dollar. If that switch from the dollar to Euro becomses widespread in OPEC, there could be real problems for the dollar.
As an aside, the worst shortage of a precious metal (and thus the tendency for a large price increase) is not in gold demand but in silver. This is because of its growing industrial demand that now outstrips world production and is drawing down world reserves rapidly. So far, silver traders have been able to keep prices depressed. But, as the growing shortage results in unsatisfied demand at current prices, the value of silver will be under increasing upward price pressure. Regardless of what happens to the dollar; or gold. There are offshore silver repositories with value denominated in Euros. I am using one as a hedge against a drop in the value of my dollar savings. Better safe than sorry... David Bier http://www.vheadline.com/readnews.asp?id=28665 Published: Tuesday, March 29, 2005 Bylined to: Bob Chapman Collapse of the dollar ... gold is the only real currency in the world THE INTERNATIONAL FORECASTER editor Bob Chapman writes: Gold is a store of value and the only real currency in the world and it will always be that way. It is not just another commodity. It is much more than that. It is an island of stability and safety in periods of financial crisis like we have today. * Gold and silver to a lesser degree are ideal insurance against the ravages of fiat money. Everyone on this planet will soon need gold as we face slowing economic growth; rising interest rates; falling stock, bond and real estate prices; rising oil and gas prices; ongoing war in Iraq and Afghanistan; the possible invasion of Iran, Syria and Venezuela; a move by China against Taiwan; the possibility of nuclear war and terrorism; a political crisis; a collapse of the dollar or the imposition of Martial law in the US. Our guess is it won't be long before Russia has jettisoned most of its remaining dollar reserves ... President Putin has been prematurely paying off debt and not adding any new debt, plus they have been increasing their gold position and the economy is doing decently due to oil prices. Still, Russian exports are not competitive. Another plus though is the lack of personal debt ... Russia is flowing arms into the Middle East and will continue to do so. We would expect ... if the US begins to move toward invading Syria or Iran, that Russia, China and Venezuela would be dollar sellers. Maybe that would tempt other Asian nations to be sellers. No matter what, soon somewhere along the way Russia and others will hit the dollar and the aftermath will be frightening. THE INTERNATIONAL FORECASTER P. O. Box 510518, Punta Gorda, FL 33951, USA Bob Chapman [EMAIL PROTECTED] ------------------------ Yahoo! Groups Sponsor --------------------~--> DonorsChoose. A simple way to provide underprivileged children resources often lacking in public schools. Fund a student project in NYC/NC today! http://us.click.yahoo.com/EHLuJD/.WnJAA/cUmLAA/TySplB/TM --------------------------------------------------------------------~-> -------------------------- Want to discuss this topic? Head on over to our discussion list, [EMAIL PROTECTED] -------------------------- Brooks Isoldi, editor [EMAIL PROTECTED] http://www.intellnet.org Post message: osint@yahoogroups.com Subscribe: [EMAIL PROTECTED] Unsubscribe: [EMAIL PROTECTED] *** FAIR USE NOTICE. This message contains copyrighted material whose use has not been specifically authorized by the copyright owner. OSINT, as a part of The Intelligence Network, is making it available without profit to OSINT YahooGroups members who have expressed a prior interest in receiving the included information in their efforts to advance the understanding of intelligence and law enforcement organizations, their activities, methods, techniques, human rights, civil liberties, social justice and other intelligence related issues, for non-profit research and educational purposes only. We believe that this constitutes a 'fair use' of the copyrighted material as provided for in section 107 of the U.S. Copyright Law. If you wish to use this copyrighted material for purposes of your own that go beyond 'fair use,' you must obtain permission from the copyright owner. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml Yahoo! Groups Links <*> To visit your group on the web, go to: http://groups.yahoo.com/group/osint/ <*> To unsubscribe from this group, send an email to: [EMAIL PROTECTED] <*> Your use of Yahoo! Groups is subject to: http://docs.yahoo.com/info/terms/
