The messages posted here of late by some astute people do not give credit to yourself. Most posters seem to be unsatisfied with the merger and therefore vent their anger on HC. Please be very wary and do not let your emotions take over. The real reason you are seeing a drop in the price of BSG and CDA and other gold shares is the drop in the POG and POS. Silver is now down nearly 10% since last week.
A recent report summed up Mondays activity and this is before last nights slump.
It seems as if gold is being weighed down by economic uncertainty and concerns that the economy is slowing amid rising price pressures that could keep interest rates relatively high and make it a poor environment for gold. In fact, with the Bank for International Settlements warning of global inflation pressures and advising central banks to keep on raising rates was likely another factor dampening investor's appetite for gold. Continued fallout from the sub-prime mortgage sector and weaker existing home sales kept the stock market on the defensive and with that action reflecting more of an economic slowing threat ahead, it's not too surprising to see gold under pressure. More key economic data is due out later this week and some traders may be moving out of metals and to the sidelines until a clearer economic picture emerges. The Fed policy meeting mid-week is another limiting factor for the gold market since the Fed's focus on inflation has some in the trade raising the odds the bias is shifting toward a tightening stance. With several commodities coming under pressure, it looked as if the action in gold was part of a liquidation move in a broad range of physical commodity markets. News of negotiations between union representatives and management of a South African gold mine may have also pressured gold on ideas supplies may not be disrupted by a strike.
Posters should be aware that it is possible that the merger deal is keeping the BSG price at current levels preventing it from falling further. In August there will be a shareholders meeting ask your questions there, and if you do not like the answers then vote against the merger. That is your right as a shareholder.
BSG
bolnisi gold nl
