excellent posts by Sydneyguy. POG could easily go much lower...

excellent posts by Sydneyguy.

POG could easily go much lower yet, though I think only temporary. Price is gettiing down to everybody's production costs and below....availability of physical gold in quantity must be getting difficult if global production is being sucked up, and production falls on the back of mine closures.

Only asset I know where heavy increased demand over a long period leads to a lower price.....

My fear is that a recoverying gold price may be accompanied by a strengthening AUD as is often the case. Need POG to get ahead of the dollar in its recovery...whenever that occurs.

But the situation with Lihir....means I cant touch NCM until there is a sold change in POG or AUD...or the SP falls much lower than this.


Need to consider some 'healthier' gold stocks in the meantime, that can survive current POG.