-> Gold soars on tepid jobs growth, dollar fall
-> Stocks get knocked -CNNfn
-> NY/NJ/DC Put on `Orange' Terror Alert, Ridge Says
-> Bush Wants to Create National Intelligence Director

-> AL QAEDA'S #1 TARGET: U.S. FINANCIAL SYSTEM -CRS
-> THE CURRENCY OF TERRORISM -Thomas Kostigen, CBS
-> GOLD: THE RED CROSS OF INVESTMENT ASSETS
-> TERRORISM IN SAUDI ARABIA - The Statesman
-> Not Living in Terror in the Face of Terrorism -Doug Giles

"Jealousy, and local policy mix too much in all our public councils for the good government of the Union. In a words, the confederation appears to me to be little more than a shadow without the substance...."

-GEORGE WASHINGTON

MARKET NEWS DIGEST

Gold soars on tepid jobs growth, dollar fall

Friday August 6, 2004

NEW YORK, Aug 6 (Reuters) - New York gold futures jumped above $400 an ounce for the first time in more than two weeks on Friday after a paltry increase in July U.S. payrolls fanned worries about the U.S. economic recovery and weakened the dollar.

At the COMEX division of the New York Mercantile Exchange, benchmark December gold rose to $404.00 an ounce to mark its highest since July 21 in the aftermath of the Labor Department report that non-farm payrolls rose just 32,000 last month. That was far below the 228,000 increase forecast by economists, who had been expecting that the economy was coming out of a soft patch in the first quarter.

"Two dog numbers in a row. They revised last months down," said James Pogoda, a vice president of precious metals at Mitsubishi International Corp. "Thats why were higher. The euro just scooted higher."

At 9:19 a.m. EDT (1319 GMT), December delivery was up $7.20 or 1.8 percent at $402.00 which was almost $8 above the overnight low of $394.10.

The one bright spot in the jobs figures was a fall in the unemployment rate to 5.5 percent from 5.6 percent, though this report was based on a household survey rather than the more-reliable poll of businesses.

Dealers said the Federal Reserve would probably take a very cautious approach to tightening further, after lifting interest rates in late June for the first time in four years.

Since starting its battle against recession in January 2001, the Fed brought U.S. deposit rates down to levels not seen since the late 1950s around 1 percent. This drove investors out of the dollar and was a catalyst for golds rally to 15-year highs early this year.

Those peaks above $430 seem distant, but with the dollar and stock market looking shaky, and markets nervous about al Qaeda attacks before the U.S. presidential election in November, they are on the radar screen.

Policy makers meet again next week and traders had been expecting another quarter percentage point hike.

"It seems like they will probably go ahead with an increase on Tuesday, but it certainly throws into jeopardy whats going to happen at the meetings later in the year," Pogoda said, adding that gold will take its direction from the dollar.

http://www.reuters.com

Stocks get knocked -CNNfn
Major indexes hit hard in early going after weak July payrolls report; crude touches all-time high.
Aug. 6, 2004

NEW YORK (CNN/Money) - A surprisingly weak July payrolls report sent U.S. stock markets reeling early Friday.

After ten minutes of trading, the Dow Jones industrial average (down 163.48 to 9,963.03, Charts), the Standard & Poor's 500 (down 17.93 to 1,080.70, Charts) index and the Nasdaq composite (down 33.43 to 1,821.63, Charts) all tumbled.

Employers added 32,000 new jobs to their payrolls last month, the government said, after adding a downwardly revised 78,000 in June. Economists surveyed by Briefing.com were expecting 243,000 new jobs. On the upside, the unemployment rate fell to 5.5 percent from 5.6 percent, when economists weren't expecting it to budge.

After weak reads on the economy in June and some mixed reports in July, investors and analysts alike were looking for a strong July payrolls report to buck the trend. That was not the case.

Not helping matters was yet another new all-time high for crude oil prices, a dubious accomplishment the commodity has managed every day this week. Light crude oil futures hit $44.77 a barrel in electronic trading, before pulling back. Brent crude oil prices fell 20 cents to $40.92 a barrel in London.

Among other commodities, COMEX gold rallied $6.70 to $401.50 an ounce.

http://www.cnnfn.com

8/4/04 NEWS FLASH: Terror attack to be in early September -NewsDay
BY KNUT ROYCE, WASHINGTON BUREAU, New York NewsDay

WASHINGTON -- More financial institutions than previously disclosed may be at risk of attack, and an al-Qaida operative has told British intelligence that the group's target date is early September, intelligence sources said yesterday. The operative, described as "credible" by British intelligence, told his debriefers that the attack would take place "60 days before the presidential election" on Nov. 2, according to a former senior National Security Council official. On Sept. 2 President George W. Bush is expected to address the Republican National Convention at Madison Square Garden. FULL STORY
8/4/04 -- New Qaeda Activity Is Said to Be Major Factor in Alert -NYT

Aug. 1 (Bloomberg) -- The Department of Homeland Security is raising the terrorism risk status for the financial services sectors in New York, Washington and northern New Jersey, Secretary Tom Ridge said.

``We do have new and unusually specific information about where al-Qaeda would like to attack,'' Ridge said at a news conference in Washington.

He said the al-Qaeda terrorist organization was targeting the International Monetary Fund and the World Bank in Washington, Citigroup Inc. and the New York Stock Exchange in New York, and Prudential Financial in northern New Jersey.

The New York Police Department said earlier today it has received intelligence reports that al-Qaeda, the terrorist group that attacked the World Trade Center, ``continues to target commercial and financial institutions, as well as international organizations.''

"The preferred means of attack would be car or truck bombs," Homeland Security Secretary Tom Ridge said in a briefing with journalists. That would be a primary means of attack."

The government said the new intelligence indicated the meticulous planning of al-Qaida. He identified explosives as the likely mode of attack, as opposed to a chemical or biological attack or a radiological "dirty" bomb.

Ridge said the government's threat level for financial institutions would be raised to orange, or high alert, but would remain at yellow, or elevated, elsewhere.

Ridge said it would be up to New York City officials to decide whether to move to the highest level, red. The city has remained on orange since the attacks of Sept. 11, 2001.

The threat potential remains through the Nov. 2 elections, Ridge said.

The secretary said the government took the unprecedented step of naming specific buildings because of the level of specificity of the intelligence. "This is not the usual chatter. This is multiple sources that involve extraordinary detail," Ridge said. He said the government decided to notify the public because of the specificity of detail it had obtained.

Ridge acknowledged that protecting these buildings, located in heavily populated areas, would require additional security measures, especially because thousands of cars and trucks travel through these cities daily.

"Car and truck bombs are one of the most difficult tasks we have in the war on terror," Ridge said.

Local and state officials were notified earlier in the day and Ridge said new security procedures were already being implemented.

The government provided a wealth of detail that it had picked up in the past 36 hours, but a senior intelligence official described it only on condition of anonymity. The official described "excruciating detail" and meticulous planning "indicative of al-Qaida."

The official said the intelligence included security in and around these buildings; the flow of pedestrians; the best places for reconnaissance; how to make contact with employees who work in the buildings; the construction of the buildings; traffic patterns; locations of hospitals and police departments; and which days of the week present less security at these buildings.

To illustrate the level of detail obtained, the official cited these examples: midweek pedestrian traffic of 14 people per minute on each side of the street for a total of 28 people; that some explosives might not be hot enough to melt steel; and that the construction of some buildings might prevent them from falling down.

The official said he had not seen such extraordinary detail in his 24 years in intelligence work.

A White House spokeswoman, Erin Healy, said the intelligence on the threat is "very new, coming in during the last 72 hours."

"The president made the final decision today agreeing with the recommendation of Secretary Ridge to go ahead and raise the threat level in these select areas," Healy said.

This was the first time the color-coded warning system had been used in such a narrow, targeted way, Ridge said at a news conference at department headquarters.

"With this kind of information comes action," Ridge said. "This is sobering news."

This step will "bring protective resources to an even higher level" and alert industry employees to be extra vigilant, he said. Actions to tighten security around the five buildings he specifically named are under way, Ridge said.

He said workers at those buildings should get guidance from security officers at each site and remain alert as they go to work.

http://www.bloomberg.com

**Terrorism: America's Response - Special Report/DVD Offer

Bush Wants to Create National Intelligence Director

WASHINGTON (AP) - President Bush on Monday endorsed creation of a national intelligence czar and counterterrorism center - his first steps in revamping the nation's intelligence-gathering system to help prevent a repeat of the Sept. 11 terrorist attacks.

"We are a nation in danger," Bush said as he announced his position during an appearance with top administration national security figures in the White House Rose Garden.

Bush thus embraced, with some changes, two key recommendations of the Sept. 11 commission, which outlined lapses in intelligence that left America vulnerable to the attacks.

Homeland security has taken center stage on the presidential campaign with both Bush and Democratic presidential nominee John Kerry dueling over their national security credentials.

Kerry, who has given a blanket endorsement to all the commission's recommendations, applauded Bush for embracing some commission proposals. But he said the president wasn't moving with sufficient urgency. "The time to act is now, not later," the senator declared, saying Bush should call Congress back from its summer recess to begin working on the changes.

The bipartisan panel's most overarching recommendations in a 567-page report were for creation of a counterterrorism center, which the commission envisions as a joint operational planning and intelligence center staffed by personnel from all the spy agencies, and a national intelligence czar.

The chairman of the Sept. 11 commission, former New Jersey Gov. Thomas Kean, and former Rep. Lee Hamilton have insisted that the center and the national intelligence director position be placed in the executive office of the president to give the White House clout in dealing with all intelligence agencies. Bush said he wants them outside the White House.

"I don't think the person should be a member of my Cabinet," he said. "I will hire the person and I can fire the person. ... I don't think that the office should be in the White House, however, I think it should be a stand-alone group to better coordinate."

The new intelligence czar would oversee all intelligence functions.

Kerry criticized the president for ignoring the panel's recommendation to put the director in the White House.

"You give greater power and leverage to the person who is the national director if they are seen as speaking directly for the president within the White House," Kerry said. "You also coordinate more effectively with the other agencies that you need to coordinate in order to summon the greatest possible response to protect Americans."

FULL STORY

COMMENTARY

Al Qaeda's #1 Target: The U.S. Financial System -Craig R. Smith, SATC
Aug 2, 2004

Ever since the first terrorist attack on the World Trade Center back in 1993, I believe it has become clear that al-Qaeda has set their sites on striking America's financial jugular vein: Wall Street.

Last April, Condoleeza Rice made it clear to the 9-11 Commission that terrorists "tried to shut down our financial system" when they attacked the World Trade Center.

Yesterday, the Department of Homeland Security raised the terrorism risk status for the financial services sectors in New York, Washington and northern New Jersey, Secretary Tom Ridge said. He said they have credible evidence that the al-Qaeda has targeted the International Monetary Fund and the World Bank in Washington DC, Citigroup Inc. and the New York Stock Exchange in New York, and Prudential Financial in northern New Jersey.

This announcement came as no surprise to my readers and listeners. I have been warning Americans about the growing threat of financial terrorism all year in media interviews and in articles posted at swissamerica.com.

Al Qaeda will not stop until they bring America to its knees – if not militarily, then financially -- by causing a major disruption in our economy. Today, with oil prices at all time highs (over $43 per barrel) any new terrorist attack upon the fragile U.S. financial system or oil distribution chain could be devastating upon public confidence and the financial markets.

U.S. stocks, already down 9% YTD, could experience a fresh sell-off starting this week, while safe havens, like gold, silver and the energy sectors will likely continue to rise.

Al Qaeda's insurgency campaign against Saudi Arabia has already increased the price of crude oil by up to $10 a barrel and poses a serious threat to the world economy, especially to poorer countries that cannot afford higher oil prices.

Remember, the U.S. stock markets were closed for six business days during the 9-11 attack, causing financial gridlock worldwide and preventing investors from buying or selling any stock. It’s interesting to note that the international gold market did not close.

Osama Bin Laden, together with other Islamic leaders are now calling Muslims (1.5 billion worldwide) to step up attacks against the U.S. economy by abandoning the use of dollars and returning to the “Gold Dinar.” The Dinar is a the form of money which is 100% backed by gold and conforms to the Islamic religious requirements for money.

To help our readers understand the growing terrorist threat we have two new FREE educational resources...

"TERRORISM: AMERICA'S RESPONSE - A Guide to Preparation." A new educational DVD that covers how to prepare for five major types of terrorism that America now faces and recommends; a family communications plan, basic steps of emergency planning and financial terrorism preparedness.

“RESTORING THE STANDAND: A TRIBUTE TO REAGANOMICS” DISCOVER WHY... Islamic Terrorists are targeting Mid-East oil and U.S. dollar … Ronald Reagan fought to restore the gold standard … A Gold Standard will restore morality to our money.

Call our offices toll-free at 800-289-2646 between 8am to 6pm PT Monday-Friday to request these new resources.

The Bottom line; Al-Qaeda’s latest strategy is to "toy" with America -- in an attempt to "terrorize" the financial markets and prompt investors to overreact. Therefore, the best way to fight this new financial terrorism is to stick with the time-tested strategy of asset diversification and make sure you stock up on gold, the Red Cross of investment assets.

THE CURRENCY OF TERRORISM -Thomas Kostigen, CBSMW
Threats are financial information, war a medium of exchange
July 26, 2004

SANTA MONICA, Calif. (CBS.MW) -- A story on WomensWallStreet.com chronicles the compelling first-hand account of a woman who may have been caught up in a failed terrorist act aboard an airplane. The account is getting bounced around the Internet -- especially among Wall Street firms -- and is generating much needed debate over what constitutes racial profiling as well as the more ominous question of how safe are we from a new terrorist attack.

The letter is rife with frightening security-breach prospects, and the writer, Annie Jacobsen, provides details of feedback and responses she's received from pilots, airlines and national security agencies. In short, it seems, there have been numerous, failed terrorist attacks aboard airlines since September 11, 2001. Moreover, "dry runs," where terrorists practice their intended act, also reportedly occur with regularity.

Jacobsen quotes two airline pilots who confirm this. One of the pilots claims that aborted terrorist acts on airplanes "occur more than you'd like to think," and are a "dirty little secret" in the airline industry.

In the context of the past week, which saw the release of the 9/11 Commission Report, and claims by numerous government officials that another terrorist attack on U.S. soil is imminent -- Jacobsen's account is harrowing. Indeed, we can feel the tension build as she boards a Northwest airplane with her husband and young son, and begins to notice the curious actions of 14 Syrian men on board.

We can understand her attempts to brush off the conspiring looks and glances she sees between the men. We can empathize with her questioning whether or not she is "racially profiling." And we can certainly react with just as much alarm when the flight crew informs her that they are aware of what's going on -- indeed, they believe something is going on -- and federal marshals are surrounding her.

The full account of the story can be found at www.womenswallstreet.com, as well as feedback and opinions. Read both Part I and II.

The article begins with an editor's note discussing how the story was handled, and the debate of it even being published. It ends with the tag line, "What does it have to do with finances? Nothing, and everything."

I say the story has "everything" to with finance and investing. The capital markets react on news of a terror threat. And terrorism is a new variable that must be plugged into any investment scenario today. Wall Street is a different place, literally and figuratively, after 9/11. New threats and dangers need to be exposed, not hidden -- as the basic tenet of the 9/11 commission report makes clear.

When the Federal Air Marshal Services appear to lack proper follow up, it bears scrutiny. When it's revealed that it's "policy today to fine airlines if they have more than two young Arab males in secondary questioning because that's discriminatory," it bears serious questioning. Logic, it seems, has failed to enter the preventive equation of thwarting terror.

Lessons in capitalism

In the bigger picture, terrorism is a hard lesson in globalism. What tools do we have to deal with people of an unfamiliar culture who are acting in unfamiliar ways (e.g. blowing up innocent people -- and themselves -- as a form of communication?)

It's also a lesson in capitalism, since in many ways money is what terrorists are attacking. Money, as an equation itself, is defined as trust, information and medium of exchange. Those are the requirements for trade.

FULL STORY
READ MORE ABOUT FINANCIAL TERRORISM THREAT

GOLD: THE RED CROSS OF INVESTMENT ASSETS

Let's do a quick mid-year checkup on the financial markets … let's see, so far it's been a violent year for stocks and bonds, which are both down.

Meanwhile inflation, real estate and interest rates are all up.

As for gold coins, well folks, some are up, and some are down -- depending upon the QUALITY.

For 22 years, Swiss America has made built a reputation on offering the BEST QUALITY gold and silver coins to their clients at a fair price. AND, because NO ONE KNOWS which way the markets will blow as we head into the election, YOU NEED TO OWN GOLD: The Red Cross of investment assets -especially during times of WAR!

Call Swiss America now at 800-289-2646, which spells 800-B-U-Y-C-O-I-N. Ask for our latest newsletter, CD or DVD on family preparedness. OR, visit online at swissamerica.com Speak to Swiss America about GOLD, THE RED CROSS OF INVESTMENT ASSETS!

TERRORISM IN SAUDI ARABIA - The Statesman
Serious Repercussions On World Economy
By SANKAR SEN, Former Director, National Police Academy
July 30, 2004

The sharp rise in violent terrorist attacks on foreigners climaxed by the decapitation of American engineer Johnson marks a sinister phase in the upsurge of terrorism in the Saudi kingdom. US secretary of state Collin Powell has warned of a dangerous situation and said that the killing of foreigners was a direct attack on the Saudi regime. This is the first time the Bush administration has acknowledged publicly a dramatic upsurge in terrorist violence threatening the very survival of the Saudi regime.

On 29 May, the terrorists attacked a building in Saudi Arabia’s seaside resort Khobar and butchered foreign workers who even vaguely looked western. The official toll at Khobar was 22 killed and 25 injured and most of them were blue-collar non-Muslim Asian workers. A group calling itself “Quaida Organisation in the Arabian Peninsula” claimed responsibility. One of the attackers, perhaps their ringleader, was captured by the Saudi police and three others were allowed to escape in return for lives of a further 40 hostages.

BBC Cameraman

The terrorists followed up the Khobar attack by killing the BBC cameraman Simon Chambers who was filming a report on fear among the expatriates after the Khobar incident. They also critically injured his colleague Frank Gardener. Al-Quida terrorists again killed one American engineer and kidnapped another. The Al-Qaida issued a statement that it “reserved the right to deal with the Americans in the same way to avenge what the Americans did to our brothers in Abu Gharib prison and Guantanamo”.

It seems that Saudi kingdom is unable to halt the wave of violence. During 2003-04 there were 20 violent terrorist incidents in different parts of Saudi Arabia and this brings into focus the question of stability of the present regime in Saudi Arabia, which contains a quarter of world’s known oil reserve. Terrorism in Saudi Arabia not only targets westerners who are viewed as the “enemy of Islam” but also aims at overthrow of the Saudi royal family who are looked upon as stooges of western imperialism. The terrorists enjoy a large measure of public support. Many impoverished Saudi young men are imbued with a spirit of revenge against infidels for atrocities perpetrated against the Muslims and the ruling establishment for its profligacy and unaccountability.

Among many Saudis, bin Laden is becoming a popular romantic folk-hero. His message of xenophobic fundamentalism resonates well with the growing number of have-nots in Saudi Arabia who detest lack of accountability of many of the 7,000-odd Saudi princes. Though Saudi officials claim that the militants have no support, a recent government poll showed 49 per cent of the respondents support Osama bin Laden’s ideas.

The terrorist attacks have generated fear and panic among 8.8 million expatriates who constitute the backbone of the kingdom’s workforce. Some experts are leaving, despite good pay and perks. Many western firms in Saudi Arabia are taking security in their own hands. Private security firms have reported a sharp increase in the demand for armed guards. The BBC joined the media groups that hire armed guards to protect their correspondents in troubled areas. Many expatriates are of the view that authorities are not doing enough for their protection.

Direct election

The domestic scenario in Saudi Arabia is also not encouraging. King Fahd remains an invalid. The de facto ruler, Crown Prince Abdullah is trying not with great success to introduce reforms. He has ordered direct election for the local council and also given more influence to Mazlis-i-Sura, the closest thing Saudi Arabia has to a Parliament. But his reformist efforts are offset by the growing influence of the interior minister, Prince Nayef who is in favour of the status quo and wants to revive the harsh old regime. But for winning the battle against terror it is necessary to reform the outmoded institutions of the country and involve the people in decision-making processes.

Upheavals in Saudi Arabia will have serious and unforeseen repercussions on the world economy and may cause oil shocks. Today one quarter of world’s oil reserves lie in Saudi Arabia. Saudis not only export oil more than anyone else but also have oil reserves more than anyone else. But far more important is Saudi Arabia’s role as a swing producer. Unlike other oil producing countries Saudis keep several billion barrels per day of idle capacity on hand to meet emergencies. Saudi Arabia is the only OPEC country with considerable spare capacity available and this buffer capacity enables Saudi Arabia to moderate oil prices.

This they had done earlier during Iran-Iraq war when supplies from both the countries were disrupted and also during the First Gulf War. During the present oil crisis also, Saudi Arabia moved unilaterally when some of the OPEC ministers rebuffed the Saudi proposal to raise their output quota. However, Saudi Arabia no longer remains a very safe source of oil because its oil installations and pipelines are targeted by terrorists. The Saudi Arabian government has taken a number of preventive measures to fortify its oil installations and pipelines. They have made arrangements for high technology surveillance and aircraft patrolling for their important oil installations and facilities. But well-known security experts like James Woolsey (a former head of CIA) is of the view that a well coordinated attack by terrorists, some of whom may have infiltrated into the Saudi oil infrastructure, may cripple the system and substantially reduce the flow of oil. This will create a terrible oil shock with unforeseen consequences.

The recent spate of shooting of foreigners follows threats held out by Al-Qaeda to “cleanse Arabian peninsula of infidels”. It seems for the present there is a change of tactics of the terrorists. Instead of Saudi oil installations, Al-Qaeda is targeting foreigners particularly westerners. This change in Al-Qaeda tactics is due to various reasons. First, the expatriates are far more vulnerable. The oil field refinery and ports that comprise the Saudi energy industry are heavily guarded, while the compound where the expatriates live are not. Second, an attack on oil installations will provoke far stronger reactions from the authorities and the population.

Expatriates

A major attack would result in a state of emergency making movements of terrorists far more difficult. Third, attacking expatriates appear to be broadly popular with the Saudi population. There is little love lost between the expatriates and the government, which has never made great efforts to integrate the expatriates or to make them feel secure. Fourth, Al-Qaeda also intends to keep the Saudi oil infrastructure in place. Osama bin Laden has referred to Saudi oil as a “birthright of all Muslims and an instrument for resurrection of Islamic Caliphate”.

After the beheading of the American hostage Paul Johnson, Saudi security forces have shot dead the Al-Qaeda leader Abulahaziz-Al-Muqrin and three of his associates. Though Al-Qaeda has confirmed the killing of Al-Muqrin, it has voiced defiance. The terrorists feel that time is on their side and an increasingly unstable Saudi Arabia will remain fertile ground for recruitment of volunteers, collection of arms and preparation of full-scale uprising.

There is also fear among Saudi liberals that increase of jihadi violence will further strengthen the conservative forces in the country and the royal princes will block any further reform. Stifling conservatism will ultimately strengthen the hands of the terrorists.

FULL STORY

Not Living in Terror in the Face of Terrorism -Doug Giles
Townhall.com
July 10, 2004

“Freedom is a fragile thing and is never more than one generation away from extinction. It is ours by inheritance; it must be fought for and defended constantly by each generation, for it comes only once to a people.” - Ronald Reagan

It’s approaching three years since 19 Arab Muslim hijackers took box cutters and commandeered four huge passenger jets loaded with thousands of pounds of jet fuel and stuck two of them into the World Trade Center, another into the Pentagon and crashed a fourth, intended for the Capitol Building, into a field in western Pennsylvania.

Thousands of moms and dads, sons and daughters, policemen and firemen from the United-don’t-mess-with-me-States of America, as well as from 80 other nations, were annihilated in one bloody morning of terror.

On September 11, 2001, the world changed … forever.

The terrorists would love nothing more than to keep us trembling before their heavily bearded, wild-eyed, non-prophetic, violent maledictions. They would love to upset our lifestyle and freedoms and have us paralyzed into passivity while waiting for Al Qaeda’s next move.

As patriotic Americans, our response should be threefold.

1. Live in “No Fear” of them. We cannot bow to their threats. We cannot be crippled in terror of the terrorists and subsequently be reduced to timidity, slavery and isolation. It’s time “We the People” embrace the motto of the Xtreme sport junkies with respect to their radical pursuits, and make it part of the posture of how we live our lives in the face of danger: “No Fear.”

I thank God that we are sending and will continue to send a thunderous message to our would-be destroyers that if they really want to play the intimidation game … then we will send a multigenerational, first-world military shockwave through their quaint, archaic culture.

Come on, America: we’ve got to stay on the offensive. Play as smart and hard as Michael Jordan did, and do it until we’ve thoroughly outfaced the brow of their bragging horror.

2. Live Constructively in Fear. I’m not talking about the fear they wish to induce, but a righteous caution, a heightened sense of discernment that will assist us tremendously and reduce their success rates drastically. We should live with a healthy dose of suspicion. We should walk in wisdom and in caution, and pay attention to someone or something that alarms us.

Healthy fear makes you cautious. It takes the rose-colored glasses off your nose, and it could save your life.

If the terrorists want us to live in fear, then we will fear … our way.

We’ll suspect all 18-40 year old Middle Eastern males who live in the U.S.. How’s that? We’ll help our intelligence agencies know their whereabouts. And we’ll be especially concerned about the more than 114 thousand illegal Middle Eastern male immigrants. We’ll make it ridiculously difficult to immigrate from nations that support terrorism.

So they want us to fear? Then we’ll choose the object of our fears. Our fears will serve our purposes and our nation’s safety, and not their agenda. They will lead us to report anything that remotely smells bogus, and to report it immediately. We will listen to our newfound friend called fear.

3. Live in Dread. If our terror inducers really want us to live in fear, then let’s go the second mile and live in dread. Namely, the dread of the loss of our freedoms, the dread of loss of truth and the dread of our nation’s loss of God.

My ClashPoint is this, terrorists: You want fear? Okay. You’ve got it. We’ll fear, but we will fear what we want to fear and not what you tell us to fear.

We will not live in dread of terrorists, but of things that are holy, just and good … and that we dare not lose. We will be on the look out and we’ll wail like a stuck hog when we see something awry. And terrorists, you can bet your last camel that we will let this new fear serve the purpose of ridding our nation and other freedom-loving nations — yes, the entire planet — from fearing you!

Doug Giles’ latest book, “Ruling in Babylon”, is available via Amazon.com . He pastors a church in Miami and hosts two award winning radio programs [www.clashradio.com].

http://www.townhall.com

ABOUT THE EDITOR

David M. Bradshaw is Editor of Real Money Perspectives, publisher of Rediscovering Gold in the 21st Century: The Complete Guide to the Next Gold Rush (7/01) and has been an economic commentator since 1987, when he produced the World Economic Perspectives radio show. In 1997, he produced a one-hour TV documentary, "Preparing Wisely for the Next Millennium," which was distributed free of charge at Blockbuster Video nationally. In 1999, he produced a one-hour radio special, "The Big Picture: The Shape of Things to Come" discussing geopolitical, economic and spiritual trends in the 21st Century. ...MORE NOTE: Youngest daughter Braida Zoe (5 months) is learning the importance of wearing a crash helmet -- a valuable habit for us all to remember... just in case!