Monday, June 16, 2008

One Kitten, Two Kitten--that's enough Kittens!

Today I took delivery of two kittens. Here is one of them. You can see some black fur in the back.

I've got them set up in my office (food, sleep and potty).

No names yet. I'm not even sure what the sex is!

1 comment:

nice said...

Egypt was fascinated by cats.

I recall reading that at one point in ancient Egyptian history that killing a cat (even if it was an accident) was punishable by death.

A lot of Egyptian art was feline based and often crafted in sold Gold.

Speaking of Gold...



There are so many opinions on why gold goes up or down - it makes my head spin...

"Gold is an inflation hedge"
"Buy Gold when the USD is weak"
"Gold does well in deflation as it protects your wealth"
"Gold is a currency"
"Buy gold when the money supply is accelerating"

Where does the truth lie?

Not in these old saws, not in what the Gold bugs say BUT what the past says:

Taking a look at a chart of Gold going back decades and decades,

Gold is a Buy when:

(A) There is a Crisis:
People buy gold when they are looking for somewhere safe to hide their assets.

The crisis can be financial (like recently)

The crisis can be political

The crises can be warlike (North Korean firing missiles, Terrible bombings in Iraq)

Once the crisis fades - gold goes back down.

(B) HyperInflation.
All the experts that say to buy gold during times of Inflation - are not correct.

When inflation is creeping up - gold can go up or down or sideways- it depends - no correlation.

When prices start going up - people do not immediately think - I gotta go get me some gold....

Instead they begin hoarding what is going up or invest in things like art etc...

It is AFTER prices begin spiraling up after several years that people finally begin to see their wealth begin to evaporate - and then run out to buy gold.

Recall 1979/1980

So BUY gold during hyperinflation -not during your plain old run of the mill inflation.

(C) HyperDeflation.
Despite what the experts say - deflation is bad for gold.

The 1990's had benign deflation- increasing money supply - and gold went down... down .... down....

However, if things begin spiraling downward - paper money is not wanted.

Then people run out and buy gold.

So asssuming the governments don't confiscate it, then during times of depression or times where the printing presses are printing money left and right (Weimer Republic) - Gold is a BUY

So BUY gold during very bad deflation.