Hey Deathstare,I take all broker reports with a huge grain of...

Hey Deathstare,
I take all broker reports with a huge grain of salt. They don't really have any extra information than retail (except perhaps when cap raisings occur).
Fair point about the gold price prediction (though USD $2500 would not surprise me much at all, because the AUD could be back to parity, if commodities go ballistic).

@AverageJoe - yep, POG is struggling. particularly the AUD price, but then... it ran harder to the upside, due to the weakness during the initial pandemic. There is of course a little irony in the current situation many producers find themselves in. After years of careful hedging, investors wanted unhedged, so they have all tried hard to run through their hedges, without taking on more... now we have AUD producers with hedging, looking quite good (RMS is still quite heavily hedged, so downside is protected quite well over the next 12-18 months. Whilst USD (but ASX based) producers are also going to be relatively fine, because even at the current USD POG, they are making very good margins.

At this particular moment, I think low cost producers will start to really rise from the ashes of the now 7+ month long POG slide. I don't necessarily think they will outperform, more just hold steady, whilst higher cost (and perhaps more 'risky') will continue to struggle. In a lot of ways, this is going to be a good period for those who have built up large cash positions, to utilize it. I doubt there will be any rush, as most boards (of producers) continue to remember the mistakes made by the likes of SLR back in 2007-2012. MZ will be very careful with the chest of cash (even though it will continue to grow substantially, even with a AUD $2000.

I will be totally honest, I did not take a lot of profit back in August last year (hindsight is a wonderful thing, perhaps if I lived in one of the European countries which have ZERO capital gains tax, I would have... the joys of holding for longer than 12 months). I have continued to sweat my stocks, and rotate out of anything that is not going to do well at a POG around these prices (heavily focused on gold stocks, particularly producers). Simple thesis still stands for me though. POG will stay 'high' relatively speaking for a long time to come, and good companies are going to do well. The world has just debased the hell out of every single major currency, and that trend won't be changing in the near term.