hedge not so bad now, page-2

and movement in exchange rates for $A and Kina will compensate for lower $US gold price.

This will be a short term drop in the gold price. The curent rally in the $US dollar will not last. It is creating the last good buying opportunity for gold fabricators and physical investors. With the Indian buying season around the corner, supply will be stretched and we will see a bounce back to $1000 plus in a couple of months.

While base metals are low and possible interest rate cuts we will not see the Aussie dollar recovering much. All good news for current gold producers.