These markets are geared for total success in the Iraqi war. The PTB are well able to fine tune the markets under predictable circumstances.
Not only COULD something go wrong, something will! The attempt to control every potential variable is very well advertised. Tune to any of the oil cartel controlled media outlets, (all of them, in the U.S.).
There is absolutely no excuse for the SM, PM, or oil to be at present levels. Market extremes present extreme opportunity.
Have you heard the news that Osama is dead? No? I haven't either. Have you heard the news that Khadaffi is dead? I haven't either. Have you heard the news that Arafat is dead? I haven't either. Have you heard that So Damn Insane is dead? The rumors of his demise have been greatly exagerrated. If this war isn't controlled to perfection, it will be Bush & Blair that are exiled.
The terror that So Damn has prepared for America is so beyond the pale, that the PTB dares not discuss the probabilities. When was the last time your plans worked to perfection? Did your DROOY plan work to perfection? The PTB cannot control the situation, much as they would like you to believe. What to do about it?
Unfortunately the halcion days when America ruled the world are over. Have you scheduled a vacation to Beirut lately? Bet on a continued slide into world chaos. In fact, bet on DROOY. At these levels DROOY is like a call option that never expires. Potential downside? Ha! If you think there's some downside left in DROOY, I have a bridge I want to talk to you about.
The upside in gold & oil will be explosive & prolonged (a decade or more). It's not that I don't believe in the capability of our commanders & troops, it's that I know they're only human.
Ever heard of the Prince of Persia? You can read all about him in the text supplied in your local motel room's nightstand.
Gold a measure of fear... well lets add in the following wild cards:
Saudi Arabia - royal family barely hanging on, the whole country and the rest of the powerful family would love to mass murder the whole lot of them Nepal style (remember that chap? walked into a meeting of his whole extended family and succeeded in killing most of them very bloodily). IMHO only, the USA probably had to guarantee them special forces protection to get their political ok to move through their territory.
Turkey - rather than wanting to deal with half the Kurd problem with the rest coming in from the Iraqi mountains would prefer to have the whole problem in its own new conquered territory. They still are waiting to move in and bite off their own piece of Iraq...
Iran - well now who's been rather quiet recently. Considering they fought an eight year war of hatred against the Iraqis wouldn't it be nice to stroll in and extend their borders a bit
Why didn't Sadaam get it in the last 12 years? Well the consequences of merely assassinating him would have been outright civil war between the Sunnis, Kurds and Shias... and the Baath party members would have been hunted and murdered. Middle East descending into war.
Its a delicately balanced game. And the government here in the US hasn't managed to balance the budget or the economy. How can they possibly balance world peace? They plan to try to balance the Middle East with attempted assassinations, precision guided weapons, and many many ground troops. I wish them luck and pray that somehow they manage it. But does that sound like a balanced confident attempt at anything?
I am disappointed at the dire performance of these shares. But irrationally oversold stocks occur during bad news periods, especially in globally bad situations. I am not confident enough to buy more, in fact I can name some better gold stocks in my opinion (RIC and perhaps FCX) which I will be purchasing some of.
My argument for Gold itself is as well valued insurance against anything going wrong. I already own several ounces and am going to pick up more.
Personally I am happy and blessed that I am earning the Federal reserve's promissaries without facing the sandstormed desert filled with dark thoughts of chemical weapons and nerve gasses.
let's not forget the PPT, everything they're doing is legal. bernanke and greenspan gave fair warning they would use all means necessary for an economy prop. flooding the system with money is one definite way to cause the Crash of the Ages and it's building to orgasmic proportions. once the blowoff erupts, the consumer will be even more depressed and want to roll over and go back to sleep. four seconds of fun with 2 decades of pain...with nothing to show but the "drip", the "clap" and an empty wallet.
Khadaffi Duck he's a dangerous tricky fella doing the political liberal standard. Straddle the fence and hope you don't get splinters in your rear.