Gold price is down; reasons to feel good about that

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Gold futures have declined, trading near the bottom of their recent price range, which is $1240 an ounce. (The spot price, which is what Kamaaina Loan uses to buy or lend on gold, is a little higher, about $1253 this morning; silver is below $19, which is the low end of its range, too.)

Thank goodness somebody is buying this stuff

Thank goodness somebody is buying this stuff

When the futures price is lower than the spot price, that suggests the big traders are expecting the price to continue to decline, according to Kitco.

So why should anyone feel good about that? Well, as pawnbrokers dealing in gold, we don’t feel especially good about it; but there is a bigger world out there, and falling gold prices generally (but maybe not always) suggest that people feel pretty good about the future. Despite bad news — fighting in Ukraine and Iraq and Syria, disease wrecking the already not-too-good economies of west Africa, nervousness about elections in America and Scotland, apparently “people” are feeling pretty chipper.

Well, what people? People who control the bulk of the world’s gold exchanges.

And why should we think they have an especially good handle on the future? Now, that is a complicated question. The short answer is that studies have shown that among people who make predictions (which is what futures trading is all about), the trend among the many tends (but only tends) to make a better forecast than any one particular guru.

In the Financial Times, Tim Harford reports (“How to see into the future”) on a study that supposedly supports that idea. Of course, for every trader who offered a pessimistic price, there was another who disagreed with him, but the trend is supposed to be the thing. And the price trend is down.

(There are some real problems with the study, the main one being that its time frame is so short, with participants being asked to make predictions one year out. As we know too painfully, someone who forecast in 2006 that the stock market would crash [and there were such people] was only too right, but he would have looked wrong for the next year and more.)

Anyhow, so the theory goes, precious metals are a refuge in times of trouble, and so when people are expecting trouble, they should be bidding the price up. Instead, the big money is bidding it down, which ought to forecast rosy dawns and blue skies ahead.

#mauipawn #mauiloan #mauigold #gold

 

 

Save those receipts

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A customer came in today with a Niihau shell necklace she was interested in selling.  We, of course, were interested in buying.

Niihau shell jewelry is particularly tricky because without documentation  there is no direct way to tell whether it is authentic. Fortunately, she had retained the Certificate of Authenticity that came with the necklace when she bought it.

 

American_Express_Shipping_Receipt_1853

Certificates can be copied, however, so a sales receipt helps add value. The more documentation , the better. A sales receipt, by itself, proves little, but a collection of papers for an item adds value. This is also true of designer bags and similar items.

The receipt might seem like clutter, but if you paid hundreds of dollars for an item, and someday you might want to sell it (or use it to raise a pawn loan),  that slip of paper might add many dollars to the amount you realize.

How would you use old Maui High?

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The county has published a bid notice seeking ideas to “use and repurpose” the old Maui High campus in Hamakuapoko. And please don’t call it H’poko.

What do you think?

For decades after the school closed, it housed the NifTAL agricultural; research project, and the old gymnasium was used as a community dance rehearsal hall until some creep burned it down.

#Mauihigh #mauiland

 

 

‘Pawn Stars Live!’ is dying

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The attempt to parody the uber-popular reality show and sell tickets on the Las Vegas Strip has failed.

The Las Vegas Review-Journal reports the show will close Aug. 24. (And who knew that denizens of n City call themselves Las Vegans? What kind of vegans are they?)

Even a complete rewrite and a move to another theater failed to resuscitate the show, which most critics said had misfired. It was probably a mistake to think of parodying a reality show anyway. Isn’t “Keeping Up with the Kardashians” already a parody? Satire might have fared better, but they say satire is what closes on Saturday.

Warning to the west side

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Have you been following Eileen Chao’s coverage in The Maui News of the plan to close Molokini II, the child/adolescent psychiatric ward at Maui Memorial Medical Center? You should, especially if you live on the west side and fantasize about having an emergency room there, so you won’t have to lose that “golden hour” riding an  ambulance to Wailuku if you have a stroke.

It ain’t ever going to happen, and the reasons are right there in today’s story:

1. Molokini II had 124 patients last year. Considering that psychiatric admissions last only for the acute attack and seldom last more than a few days, that means that much of the time the unit was empty.

Yet it still had to have staff ready around the clock.

There is no adolescent psychiatrist practicing on the island, and not likely to be any time soon either.

2. No other hospital on the Neighbor Islands has an adolescent psych unit.

Now, consider an emergency room. It requires, at the barest minimum, 5 ER physicians, one for each 8-hour shift each weekday and 2 more to cover weekends, vacations etc.

Plus nurses and other helpers.

Most of these cannot be used on other tasks whenever there isn’t an emergency case, because they have to be ready to respond STAT as you have seen so often on the TV doc shows.

But there won’t be many patients from the west side, and if you have been around ER physicians you’ll have noticed that they are not shrinking violets. They are not going to sit around playing hanafuda waiting for the next big car crash (and how many of those does Lahaina generate? not even one a day).

If you have a condition requiring Level 3 care, you’ll have to leave Maui anyway.

As medical care gets more complicated and equipment becomes more specialized and expensive, economic factors force concentration. Health treatment is not immune to the same forces that have closed down full-service gas stations in favor of gasoline0-dispensing stations one place and car repair shops somewhere else.

There are other reasons the west side (or South Maui) will never have an ER but those are sufficient; we don’t need to go any further.

#mauihospital #westmauihospital #mauimedical

 

 

Old bugbears

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wind

It is amusing to watch Mauians, even newcomers, rushing to stock up on rice and toilet paper in anticipation of storms Iselle and Julio.

Buying bottled water makes no sense either.

Batteries, yes. Tank of gas? Half a tank ought to be plenty for most people. Cash? Maybe, where are you going that you will be spending money? If it really does rain 4 to 8 inches Thursday and maybe again Sunday, I am not going anywhere except in an emergency. Nor will I be calling for pizza delivery.

It’s been over 20 years since we’ve experienced a big storm and nearly that long since even a moderately big one. With a population turnover in the neighborhood of 4% a year, probably half the people on Maui (not counting the tourists) have never been through even the outliers of a hurricane.

Stocking up on TP has more to do with memories — second hand at that for most people — of dock strikes over 60 years ago. Distribution methods have changed a lot since, and a TP or rice famine is hard to take seriously now.

But rushing to the stores to stock up doesn’t hurt anybody and probably has more to do with socializing than real preparedness. It gives people a chance to ask each other if they are being prudent and to reassure themselves that, 1) it won’t be that bad; and 2) they’ve done what they can (short of offering a bed indoors to a homeless person, something I haven’t seen or heard any concern about, although the shelterless are one group that could have a rough time even if Iselle arrives as nothing much more than a winter windstorm).

Sustained winds of 55 mph, if that’s what we are going to get, are no scarier than the usual winter nights, where 60 is common.

Should either storm turn out much worse than current forecasts (always possible, remember that the Butterfly Effect means that forecasts more than 5 days out are pretty much imaginary), or if you have the rotten luck to have a tree fall on your car in even a moderate blow, make sure your insurer will honor its contract.

After Iniki, a lot of people on Kauai and Oahu got stiffed. Amongst all the precautions I have seen being passed around, no one has mentioned that one.

And bottled water. Fill a jug from the faucet. County water is just fine.

Why make a police report?

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Here’s an unusual story from Wyoming and South Dakota which reinforces the notion that you should always make a police report when you experience a theft, even though statistics show that the vast majority of burglaries are never solved; and with sneak thefts, the clearance rate must be even smaller.

(One in 8 burglaries are cleared, according to the FBI.)

burglar

It is not unusual for someone to come into our Maui pawn shop and alert us to something that was stolen, in case someone brings it in and tries to cash in. And when we say,”‘Have you filed a police report?” very often they say, “No, it’s not worth it.”

Well, yeah, burglaries are hard crimes to solve (see link above), but without the palapala, how are we to know the item was stolen?

In the Wyoming case, the item — a World War I gas mask — was lost or stolen from a museum display back in the ’20s. In this case, if there was a police report, it has long since disappeared, but the item did have a label saying it came from the “Pennewill Collection.”

Hardly anybody has heard of the Pennewill Collection, but there’s always somebody, and he’s on the Internet.  The label was nearly as good as a serial number, and the mask was restored to the Wyoming State Museum.

Chris Johnson,  the Rapid City pawnbroker who bought the mask — almost certainly not from somebody who realized it was stolen property — said the right thing afterward:

“Any time we hear that something has been stolen, it gives us a little bit of a sinking feeling,” Johnson said. But he added that he was pleased to be able to donate it to the Cheyenne museum.

“You can’t put a price tag on giving something back to the rightful owners,” Johnson said.

The AP story does not make it clear, but apparently the museum had both a record and somebody on the staff who was aware of the theft from 90 or so years ago.

Feel like Chinese tonight?

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chrysanthemum

So, we were talking about places to eat on Maui, and one among us said, “Do you realize that since Dragon Dragon closed, there are no Chinese restaurants on Maui?”

At least, not outside West Maui and Kihei. China Boat has been around nearly 25 years, serving a fairly limited menu of Chinese Mandarin dishes, like Mongolian Beef and Mu Shu Pork. But it is remarkable that on a tourist island like Maui, one with a long local Chinese tradition to boot, that there are so few Chinese restaurants and such a limited cuisine among the few that remain.

In a similar sized tourist mecca on the Mainland, you’d likely have to choose among Hunan, Sichuan, Canton and maybe Fujian styles. Here, ever since Golden Jade closed, it’s been all downhill.

In Central Maui, there are a couple of “Chinese” restaurants, including a new one, Dragonfly on Lower Main, which has a few dishes, like Mu Shu Pork, and, unusually and from the opposite end of the scale, Egg Fu Young.

So, yes you can sort of get Chinese food on Maui. But what about the rest of the tourism business?

Stella Blues is gone. The Sugar Cane Train is going. Yet tourism headcounts are supposed to be high if not growing. This is not the economic atmosphere in which you expect old-established businesses like Stella’s or the LK&P to be shutting down.

#mauitourism #mauidining

chrysanthemum

Anti-scam for Internet sales

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Another insight from this year’s National Pawnbrokers Association convention. This one came during the roundtable on Police Confiscations, but the speaker did not identify himself, so I don’t know whose good advice this is.

When selling electronics, like a laptop, over the Internet, he said he puts an identifier somewhere hidden on the item. He uses Whiteout or a scratch tool.

He also photographs — not just writes down — the serial number.

That way, if a “buyer” has a broken laptop, then buys a good one from you, then “returns” the broken one for credit, you are in a strong position to defend yourself when Paypal or eBay starts a dispute.

burglar

This won’t protect you from someone sophisticated enough to swap the good memory module in your machine for the bad one in  his, then return a “broken” machine to you, but it will screen out the less akamai scamsters, and that’s most of them.

Good to know.

#mauipawn #mauiretail

 

Anti-scam for Internet sales

/in

Another insight from this year’s National Pawnbrokers Association convention. This one came during the roundtable on Police Confiscations, but the speaker did not identify himself, so I don’t know whose good advice this is.

When selling electronics, like a laptop, over the Internet, he said he puts an identifier somewhere hidden on the item. He uses Whiteout or a scratch tool.

He also photographs — not just writes down — the serial number.

That way, if a “buyer” has a broken laptop, then buys a good one from you, then “returns” the broken one for credit, you are in a strong position to defend yourself when Paypal or eBay starts a dispute.

burglar

This won’t protect you from someone sophisticated enough to swap the good memory module in your machine for the bad one in  his, then return a “broken” machine to you, but it will screen out the less akamai scamsters, and that’s most of them.

Good to know.

#mauipawn #mauiretail