Homestead mailing list

[Don Bowen <don.bowen AT earthlink.net>]

At 12/1/2004, you wrote:
> > > > The dollar is now down about 50% against the euro since October 2000 
> > > > and recently hit its lowest level since 1995 against a basket of 
> > > > foreign currencies.
> > >
> > > And the price of gold is at 16 year highs at around $450.
> I've been watching gold since it was around $275...$315...$350...and 
> dipped back to $375 from a high of $425 just this fall.  Hindsight is 
> 20/20.  We didn't have money to invest, but wish we would have scrounged 
> some.  It's probably still a good bet, many analysts predict gold to go 
> much higher.

The real issue is why is it climbing.  Typically it climbs when there is 
unrest somewhere and people want to invest in something of supposed real 
value.  Gold is a hedge against severely unsettling times for some 
people.  They think that wilt a pile of gold or junk silver they can buy 
their way through problems.

Don Bowen
Awl Knotted Up Woodworking
Valley Center, CA             http://www.braingarage.com