calm.....

Wow - the temperature's getting hot in here! In retrospect maybe it's a pity that the share price moved up with so much haste during March in the first place....

Let's review the last month.

On the 11th March UMC closed at $1.01 - 3 cents below today.

We reached a local high of $1.47 on 27 March on no news whatsoever in the previous fortnight. At the time I thought this was partly on the back of expectation about Railway results, and also some residual excitement from the BRM rise. (It's interesting to note how the volume of traffic here has increased since BRM went berserk...)

We had to wait until 2 April until we received the latest drill results from Railway - and the UI201 figure of 12.6m at 60.6% Fe was a slight downer compared to visual expectations. But it did show us that 100Mt was well on the cards. UMC also reiterated that there were quite a few other high priority targets - but we had known about Jumbo Junction since 6 March.

We were then told about a second RC rig 3 days ago.

AND THAT'S ALL THAT'S HAPPENED! No-one was complaining when the SP went up in expectation of the Railway results, and no-one can be surprised that the SP has come down in the short term. It's obviously disappointing by how much it's descended - but that's the share market.

Maybe I'm naive or lazy - but I'm not one for conspiracy or manipulation theories. I used to be the exec director of a listed company, and we would often shake our heads at board meets when the SP had gone up or down by 20% for no reason. We often joked that the public seemed to know even less about our business than we did.

So - my view for what it's worth... SP will eventually look after itself. If you believe the long term UMC story then all will be well. If you're a short term trader then goodness knows what will happen. I'm a long term believer, but appreciate that UMC has risks...