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June 8, 2006

The happy metal men of Zug, Thurs., June 8, 2006, 9:46 AM

Détente in St. Petersburg Russia will be impossible unless the talk moves quickly from energy to currency markets.

With so much international trade at stake, what governments need to do now is to agree on a currency exchange structure that makes sense. As it stands today, governments are content to drop the value of their currencies to help out their exporters.

One does it, and the others retaliate.

The other side of that coin is called inflation, and inflation's brother is interest rates, which when they rise in tandem serve to stagnate economic growth, which in turn leads to a sell-off of stocks and bonds.

In other words, nobody is happy except the gold traders in Zug.


btw, I am looking for a few good traders to join me in Freeport Bahamas, where I intend to establish some competition to those in Zug. I figure it's Better in Bahamas for weather and taxes, and the trading will be pretty good too.

Posted by Posted by Bill Cara on June 8, 2006 09:46:51 AM | Category: Bullion , Economics

Discourse

Is Marc Rich long on gold ? Copetas book on Rich is a pretty good read.

Posted by: TheAdonis [TypeKey Profile Page] at June 8, 2006 9:59 AM [link]