GM or "the squid" as they are known should never be...

GM or "the squid" as they are known should never be trusted...

Certainly the ASX200 looks mighty sus in particular our big 4 banks - no doubt a sell algo/short algo is in play with NCM hence NCM trades hand in hand with the general market despite the rising gold price....But while the outlook for our big 4 banks is highly questionable due to rising funding costs/ softening local residential/commercial property markets/rising delinquencies the outlook for NCM is getting brighter by the day - in aud terms gold now at $1450 and looks like it will challenge $1500 by the end of next month. Agree that a softening copper price adds to rising cash costs but silver will continue to rise and now much of the short term speculation is out of this market & it should rise together with gold.

So whilst I'm 100% locked in with the negative outlook for our general equity markets in particular the Big 4 banks I see fundamentals improving for NCM - therefore I am still of the opinion that any short term price weakness in NCM represents an excellent buying opportunity.

Finally respected mainstream gold analyst John Bridges from JPM has a 12 month price target of $89 for Newmont (which is 80% above its current share price )- I would argue that Newcrest's fundamentals are every bit as good as Newmonts....http://online.barrons.com/article/SB50001424052970204038504576329570794106008.html#articleTabs_panel_article%3D1