"I've just said he can't be referring to gold shares, or any...

"I've just said he can't be referring to gold shares, or any resources for that matter..."


Anyone wondering why gold shares have under-performed bullion for so long, consider this from the HighGrade publication today...


"WE LIKE to think that 'market sentiment' has turned against the mining industry.

However, the low valuation ascribed to mining companies is largely attributable to their dismal profit performance.

For example, in the period since 2006 the price of gold in A$ has risen about $900 per ounce but the real cash margin (operating cash costs + cost of finding and/or acquiring deposits + the cost of bringing them into production) has only risen about A$100/oz."