interesting article, page-15

aftenoon all,

well, I go to lunch and you have us with gold at $10k and life in meltdown. Boy, I better not take the day off :)

"If gold gets to $10,000 what will life be like for us all?"

Hmmm, well if I am still holding about half the fml I am holding at the moment and just sold the other half yesterday, I would think I wouldn't be able to write this, I wouldn't be able to get to the computer over the Krug/Dom empties.

Seriously - even if a fiat system collapsed - we all survive. The average life of a fiat currency is 27 years. The US $ is about 40 years old and the english pound is the oldest in the world - over 300 years I think.

I do agree with marcos that for the price of gold to reach big numbers has more to do with fiat at present than otherwise - ie. bearish fiat.
However, I still think that you cannot discount 2 Billion Chinese who love gold and have NEVER been in the market for it before en mass. Ditto India - with a difference that they have festival season and have been buyers for quite a while - BUT, both of these nations are beginning to get disposable money -------------- these two nations will change fundamentally the market for physical gold, much more so than all of the west together imo.

This or the combined effect of demand and fiat trouble will have a huge effect on producers.

FML is as near as damm it to the 5th top producer in Australia - one of not many politically, geographically stable areas for gold production.

fml is aquisitive, we just proved that, goal orientated and almost always comes in on time and on budget.
What a time in history to do that trick.


lockitt, fyi, I don't hold eft's. I do hold physical, in several banks throughout australia. Mostly in small nuggest with several big uglies and specs.

also fyi, gold isn't all that hard to use for day to day living. I have had many meals paying for it with gold, have bought boats and equipment with it and traded for other stores of value.
It certainly is easier to pay for a meal and a few wines with half grammars/grammers than to hand over an ounce piece and expect change though :) - you are right on that one.

I don't wish for gold at $10k as I think that fml will be fine just where gold is at present - higher will give us an enormous return of course, but I think we will find the ship is sailing along cash flow wise very nicely - right now.
If, however, we do get a massive rise in pog and goldies fly and most other things stay static or go south - I won't feel guilty about taking my dividend cheque or selling a few off (hopefully won't have to) to partake in a little asset redistribution. Such is the reward for investing in mining stocks.
Anyway, at 71 there is no superyacht yet and no Dom today, but this time next year??

have a great arvo

Pinto