In September 2007, I have already told my subscribers about 1019 GOLD. It exceeded
to 1033. Now I am pondering on the possible scenario, since 1019 was exceeded.
What a week. you have witnessed the forces of the PPT (Plunge Protection Team). The plan was hatched last weekend.
Essentially, it involves investigation into shady deals, e.g. the rumour mongers for Bear Sterns, selling GOLD.
In case the PPT does not work, the other tool would be Capital Control, the tool of last resort. Would seizing all the ETF Gold be a possible instrument ? I dun know.
In terms of holding Gold, physical Gold Bullion is still the best.
(I hope I dun trigger the avalanche of ETF Gold selling on Monday, hahahaah).
Next, we should see the Equities rally like another Bull market is in the making. there are fundamentals for that, b'cos the FED is reflating the bubble.
Would FED stop at 2.25% ? People would seem to think so, soon. with more talks of FED has done enough. Then story of a USD rebound would surface. Champagne bottles open when the Cheques are sent out.
Oil would then be heading back to 90 if not 80. Gold back to 700. EURUSD to 1.4000.
Inflation is tame. Housing picking up. Foreclosure down.
Then people woke up on a Summer morning, thinking that the subprime was just a passing.
The Republican McCain may just have a chance of winning the election.
The Taiwaneese moderate Ma Yin Jiu wins the election. And China and Asia markets cheer.
Now Gates is thinking of slowing down the troops withdrawal in Iraq, beefing up troops in Afganistan. Russia relenting on the missle defence. When the economy improves, US can do more overseas.
AND may be Iran would give up its nuclear program, who knows.
Yes, we are in the eye of the Storm in the next couple of months.
-----------------------------------------------------------------------
DaLai Lama
The Tibet situation is essentially a riot by the Tibetan against the Chinese, b'cos of poor job prospects, high food prices, low income. It has nothing to do with religion.
The Tibetian mob rode into town, burn people alive, raiding the Banks. They are essentially criminals. All China did was to arrest the criminals. It is just like the LA police supressing the rioters years ago. (interestingly, we have not seen any US riots so far, on rising gasoline, food, jobless, etc)
And some political figures are trying to exploit the situation. Like Gordon Brown, Kevin Reed, Pelosi and even the ruling Taiwanese democratic party.
Dalai Lama, himself, is trying to attribute something he did not started to himself, and he has no control, nor influence over the Tibetan mob.
I am pretty sure a true Buddhist would not want to see bloodshed. Buddhism is known for its peaceful methods.
However things are escalating, with Pelosi going to meet Dalai Lama in India soon.
The China central government should instead relook at how it has treated its subjects, the Tibetans.
This is an example of how high food prices, inflation is going to inflame riots, religious conflicts worldwide. This week, Korea annouces to impose price restriction on food staples.
Did the PPT manage to turn back Inflation with one week of action ? Can it lead the world to believe Inflation is defeated with captialist market intervention ? Does US has any more rights to accuse China of currency manipulation ?
As for China, it should realise that all the fanfare on the Strategic Dialogue between China and US for last years (between Wu Yi and Paulson), had made China a loser. In terms of the Blackstone purchase, and its diminishing worth of US Treasuries. It was a stalling tactics by Paulson. China communist is a loser when it comes to the capitalise game.
Instead, China should now double quick, using the current USD rebound, switch its US reserves out into other G7 currencies. Otherwise, President Hu JinTou may oneday kneel infront of Pelosi. (interestingly, EUR held 1.5400 exceedingly well, I had forecasted a run towards 1.5300)
If the Taiwan Xie win in tomorrow Taiwan election, we would have a meltdown in Asia market on Monday with the rising spectre of war across the straits.
Now with Osama re-emerging, threatening Europe.
---------------------------------------------------------------------------
IRAN
Convservative Iranian won in the recent election, i.e. Admadinejeed would have a free hand in his nuclear program.
The Iraqs are warming up to the Iranians.
The Admiral of US Central Command recently stepped down, rumoured that he opposes to Gates plan on Iraq and Iran.
Cheney was in Iraq recently, Rice/Gates were in Russia meeting Putin.
The 3rd Security Council sanction on Iran came and went. Soon the Security Council is going to be a toothless lion.
AND yesterday, Gates say that US would slow down withdrawal, and increase troops in Afghanistan.
My guess is: the Democrats and Republican have reached a consensus that it is better to take out Iran nuclear sites during Bush year than to procrastinate to the the next President.
Moroever, some military activities may just give American a high meanwhile when economy is faltering.
We are going into a chaotic April. US would show hand in April. That explain the urgency of Bush to restrain the rising commodities, and give it a dip.
No comments:
Post a Comment