The POG dropped in AUD BUT the outlook in AUD is bullish.
Speculation that POO will be repriced into a basket of currencies (and possibly gold) is a driving factor.
The other linked issue is speculation of a major USD crash stop sort of thing. Debt holders are not happy that the US could simply print the debts away. A trigger event for the dollar to crash could be sequence of failed Treasury sales DRIVEN by a view in China, Japan, Russia and elsewhere that the global economy is not longer too fragile to pull the rug on the US.
IF the USD did fall off a cliff there would be a very new deep and flat bottom to the GFC. How this would impact my energy gold holds or my super funds (still in the cash allocation) is anyones guess.
Pundits are today saying that prediced inflation is not driving things .......... but it sits in the background as context. In current circumsatances LT interest rates of 15%+ are inevitable.
What does all of this mean for CTO? Perhaps a belated upside that has nothing to do with the management of the company or the extractability of the resource. As I've posted before the key risk is cash and if they need it they had better get their hands on it NOW!
Cheers
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