The bursting of the tech bubble and the more recent break-down of the Dow have caused investors of all stripes to question the way they view investing, it is conceivable that the Central Banks are doing the same. In another matter, the January 29 Gold Market Update presented the idea that the U.S. economy may be unable to reach its potential in the future due to an infrastructure that is rapidly becoming inadequate, resulting ultimately in a prolonged period of U.S. Dollar weakness. While such problems are certainly fixable, two recent court cases in New York demonstrate why solutions will be difficult to attain. Last Thursday a state judge ordered the Power Authority to stop building on two of the sites. Then in a separate case on Friday, another judge ruled the Authority could continue building on the other five sites.
Appeals are likely in both cases.
Local community groups are opposing these projects on the grounds that the Power Authority violated state environmental review laws. Unfortunately, this causes one to wonder whether the bankruptcy declaration by California s largest utility last Friday is the tip of the iceberg. This material has not been reviewed by the National Association of Securities Dealers. It was prepared by Van Eck Global solely for investment dealers to explain certain aspects of the Van Eck Family of Funds and not for distribution to the general public. If any information contained herein is used in oral or written form by an investment dealer or any representative with the general public, they must assure themselves that such use complies with the filing and other requirements of applicable federal and state securities laws, and that a current prospectus of the appropriate fund and current supporting data are furnished where required.