Gold and macro environment, page-419

POG gradually inching closer to $A4,000. Should be a good day on Monday for gold stocks.

POG a has increased from $A3,000 to $3,737 in 12 months. Consider this - industry average AISC is around $A2,000 so margins above AISC have almost doubled in 1 year but has the SP of gold producers in Australia doubled?

But also consider that AIC are higher - eg if its $2,500 then gold producer profits will have increased by close to 3 times. no idea if AIC is that high.

Gold shares should be flying but GDX has only increased by 41% and GDXJ by 48% in the past year. That is pathetic performance relative to at least an increase of probably 133% to 150% in gold producers profits.