Re: view on gold funds

Don wrote:

>  
>   Does anyone feel gold has reached it's peak at $400 oz.?  

Not quite.
I think once gold penetrates the psychological $400/oz level, it will 
continue to rise a bit further on momentum.  I'm looking for a peak 
around $415-420 before it levels off.

> Can kick myself for 
> not investing in it quite awhile back...see a couple good funds in gold/precious
> metals;  usagx  goldx

Last May, I had put about 10% of my portfolio into GOLDX and TGLDX.
Once gold reaches $415/ounce, then I'll have a decision to make.  If I 
see signs that the dollar is stabilizing and/or that Greenspan is 
raising interest rates, I'll bail out.  If not, then I might stay in and 
wait for another rise in 2004.

the only thing that can kill gold is a very sharp rise in interest rates 
(that's what eventually killed the gold rally of 1993).  but that would 
sink the stock market and economy right in the middle of an election 
year.  Not gonna happen.


-- Steven L.