well done. guido gang, page-36

Oracle, with all due respect, I think you will find that the Doc meant that Bernanke's actions auger well for the POG. I certainly didn't read any more into the Doc's message than that.

The Doc wasn't espousing the merits of inflation (as you seem to believe). He was simply commenting that the endless printing of money will undoubtedly be good for the POG. The Doc is correct on this point. For a relatively high cost producer such as SAR, this can only be a good thing.

Like the Doc, I have been a long-term holder of SAR & have been frustrated with its underperformance in 2012 - especially since late-Feb & more recently when it crashed to 34 cents in mid-Aug. SAR has done well to get back on track and the announcement on 3 Dec was extremely positive. Unfortunately, negative sentiment towards the stock still exists, but balance sheets don't lie. The cash bleed has come to a screeching halt, grades are improving due to Red Oct, they are debt free & well-funded for expansion, etc. SAR just needs to convince the market that they are serious about reducing costs. More timely announcements would be helpful. I thought the Doc's idea about a dedicated PR professional was a good one.

Regarding your comment that Bernanke's inflation will ultimately wipe out the middle class, um, I don't think so. The majority of Australian's wealth is tied up in property. So, I would suggest debt-deflation will be more of a factor in coming years.

Hottie - look deeper. If you go down that rabbit hole, I think you will find that the POG has been manipulated of late by such players as Goldman Sachs & JPM. They've shorted the sh#t out of gold in recent times and are now trying to cover their positions. Once they do, expect long bets on the POG. Add their cunning change of heart to Basel III, & gold being reclassified as a tier 1 asset, continuous buying by central banks and the Chinese & BOOM, there goes the POG in 2013. The big producers will do well (think NCM), but it's the mid-caps like SAR that have the biggest potential to double, triple, quadruple in value should (when) the POG rockets.

My thoughts only. As always, DYOR.

GLTA.

Deme