Contrary to the sentiment of some, this may very well be a very good move as it appears market capitulation may be drawing to a close.

If Canadian Banks are approaching the regulated cash position they must hold, liquidity will dry up and not being able to go about the day to day business of providing consumers with legitimate credit for legitimate business, the economy will grind to a greater halt.

The US policies I discussed in my last posting are clearly impossible to control or influence in Canada .... the best our government can do is react accordingly.

Allowing our banks to operate in a business as usual approach will maintain Canada's reputation for a sound banking system and is a proactive move.

At risk of course is foreclosures if payments are not made at which time the CMHC insurance would kick in. Of course not sure that people who are generally afraid of government that are now holding their mortgages are as likely to default.

Gold's correct price range may very well be 800 - 1200. Those companies who can produce for 600ish or less will do well and the marginal companies will not be rewarded for jumping on the gold band wagon.

Given the production costs of CSG ... we are well positioned for prosperity despite the recent correction and the prospect that gold doesn't skyrocket.

Keep the faith remain liquid ... and buy low. (yes I did buy CSG this week and I will keep a stink bid around for those who do not believe)

Orgy