Predictions for 2009

We don't like to make predictions. We feel it is a fool's game. We buy that which is going up, and step aside of sell short that which is going down.

What we are stating is obvious and should serve as a simple reminder to our readers.

1) We have been extremely negative on housing for years. Our basic premise is unchanged. Housing will continue to collapse. Hold outs such as DC (especially far out exurbs) and NYC in the U.S. will come under great pressure.

2) London and Moscow are tremendously overvalued. If we owned there, we would be selling as quick as possible.

3) We like gold and silver. We believe that both will be much higher in the coming years. We continue to accumulate both. We are wildy bullish on 1921 an earlir Morgan Silver dollars. Either raw BU/UNC or graded NGC or PCGS Mint State 64s.

4) Palladium which is given to boom and bust cycles, is looking attractive to us in the high 170s per ounce, after rallying to over $560 in the year. We will gently dip a toe in this market at reasonable prices. We are unwilling to pay $100 over spot for the bullion at this time, so we shall be selective.

5) Platinum - We are not yet buying, but watching for a basing pattern and then an uptrend. We will purchase more platinum in the next year or two. At what price ? We don't know.