Mostly: Classical

[amarksp]

Martin M sighting...
http://www.resourceinvestor.com/pebble.asp?relid=25248
Bullish Outlook

Martin Murenbeeld, Chief Economist of Dundee Group of Companies, gave a more bullish outlook in the latest edition of “The Gold Monitor.”

According to Murenbeeld, mine supply should not rise for the next few years, due to the lagged effects of the low price of gold in the late 1990s and the “lag effect is 8-12 years!”

“My point is, mine output should not threaten the gold price going forward,” he said.

Murenbeeld said the other major category of supply is central bank supply, noting that “central banks appear to have a more gold-friendly attitude these days.”

Central banks in the European Gold Agreement fell short of the 500-tonne quota in the last CBGA2 year by about 100 tonnes. The Bundesbank, which held out on gold sales last year, announced on October 5 it would not sell any gold this year either.

“My point is, central bank gold sales are very unlikely to threaten the gold price going forward through 2009,” said Murenbeeld.

He reaffirmed that his long-term bias remains quite bullish, but said “I’m inclined to suggest that the gold price is poised to do somewhat better over the near term as some of the fundamental forces mentioned above play out.”