FINITE RESOURCES

IMHO the eventual ROCKET SHOT of gold could come down to the correctness, and or realization of MASSES, lemmings and all that there are FINITE resources of what we hold dear.

WE can turn toilet paper into paper currency, but at some point ALL commodities are in FINITE amounts, and that includes gold and silver.

BUT, too many playa's, it is only seen as hedge against inflation, REAL MONEY, a vehicle to trade, something jewelry is made out of and body piercings. (gold tooth market too)

Water is precious but what isn’t polluted. Maybe our fields have finite ability to produce food.

But once you dig it up, the metals, it doesn’t disappear, but as money is old as our planet. THAT will never change. Asking the HERD of lemmings to hop on at end of ride so you can sell out, maybe has only happened once (in the 70's) WE DON’T have THAT kind of INFLATION NOW, nor is it likely, GOLD now is a DEBT HEDGE Not an inflation hedge IMHO

To make trade easier, paper currency was invented, it was TOO hard to roll the stone wheel for a goat, or break an ounce of gold for sexual favor, and the scales back then weren’t too reliable....the world needs paper, but one that has FINITE AMOUNT NOT at will produced.

It's all a game, not much bartering for skills going on, life is more a game now. Who can collect a bigger piece of pie, what is accepted as tradable. It could be broken Roman glass....if we all agreed.

The US is LOSING the game first to Arabs for oil, now again and to ASIANS for manufacturing, and our GOV thinks the printing of worthless paper to trade will continuer to be accepted? WHEN IT ISN'T, when THEY realize they don't like that game, we are sunk.

BUT, can you take gold to buy bread? To buy land? To buy stuff at WMT? For shoes?. NO, BAGS of the glittering stuff can be stored away for insurance....it may be easy to buy, how easy to sell?

So a lot of you and I as well will buy shares of the mines, or ETF (CEF etc) but at some point gains will be cashed in for?....PAPER ??? COUNTRIES MAY EXCHANGE GOLD, individuals will not....they won't allow it, the system would DIE.

WHATEVER THE VALUE of ass wiping fiat, it will ALWAYS readily purchase something, and in REAL INFLATION what you hold today won't buy tomorrow, is true for many things, as other things fall in price. A WORLD competitive stage and over capacity do not breed RUNAWAY inflation, the FED has bred another kind....who knows maybe as deadly, but not the kind that causes $850 gold IMHO.

A destruction of capacity or demand which outstrips it with TOO MANY $$$$$ would cause prices to skyrocket, and we aren’t talking about the kind SPECULATION breeds.

NO my friends, we live in a world in DEBT 2nd largest economy Japan is swamped with it, we are right behind them. CONSUMERS have LESS money to spend as wages have not grown, and so living the life of Rieley is done with PLASTIC. A Trojan horse and panacea.

ALL this stuff going on Katrina, IRAQ etc, and that is just when the $$ decided to rally. Its ultimate fate we all know is down the tubes, but not just yet.

If PEAK OIL or OIL Crisis gets in full bloom, MORE attention will go to....FINITE RESOURCES, and they will soar...could be tomorrow, could be months or years...it will come.......and gold's catapult will go hand in hand with that event IMHO.

Think of what caused the 70's inflation, and you won't see it now.

What we are headed to is a debt implosion of worldly proportions, there is no more, or should I say being able to run away from it, sweep it under the rug is running out.......the day of reckoning will cause ripples throughout the modern world. OH and the Chinese, their banking system is worse off than Japan's at its worst. Maybe 50% of loans uncollectible.

OUR data from BLS and our GDP purposefully manipulated and fraudulently presented. CPI and PPI all of it a total fabrication.

And we just go from asset inflation to asset inflation and the world's real problems go unaddressed as NO BID CONTRACTS get handed out to BUSH INSIDERS.

It's a mixed up bungled up world except for Lola!

RECORD debt and credit expansion has never seen the likes of what we now have, so far surpassing existing historic data to be unbelievable.

With savings at NEGATIVE values, with a world used to pay me tomorrow, I pray hell to pay just a tired cliché', but I would prepare just in case.

And as cycles go, we will survive and endure and maybe it will take us another 60 years to forget how we got into this mess before it happens again.

Its easy to think I got mine, but with a lot of have not's growing, it will be hard to side step.

KNOWING a simple MANDATE which was VETO'D by Bush to INCREASE MPG if instituted even 5 years ago of just a FEW MPG more per fleet, could have averted our present crisis of consumption. VYING for oil is also the stuff wars are made of, as our $$ go to outfit the Chinese military.

I said it and again, what we saw in 1980 is upside down on its head now. The Bear Market is lurking, and when it returns, it's going to get ugly.

Duratek