major risk now to MYG is macro ie the continued devaluation of the USD relative to the increase in POG given MYGs profits are anchored in POG/AUD. Given the issues in the US, one would expect more weakness in USD which will put further downward pressure on POG/AUD. I don't know what the magic POG/AUD level is to make deflector economical - I suspect current price of 1480 AUD still has massive contingency but with all signs pointing to further USD weakness, I think the market is worried which is reflecive of the dissapointing buying support for MYG. I know production is at least a year off - I wonder whether we can/should be hedging POG/AUD now to future customers (assuming they would want to) to provide some certainty when production begins.
MYG Price at posting:
9.8¢ Sentiment: Hold Disclosure: Held
