Thursday, 26 April 2012

Gold stocks - deeply sold off

The markets have a habit of teaching us things.

Who would have thought that gold could be at $1,650 and gold stocks would have fallen over 30% in the last 9 months.  Many measures say they are cheap as they have been for a decade.

Cashflows are better, but everyone hates them. Their time is coming. But beware the liars as Charles Dickens called the miners.

http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2012/4/22_John_Hathaway_-_8_Key_Charts,_Gold,_Fed_%26_The_Big_Picture.html

Meanwhile the Central Banks are buyers of the barbarous relic...

Mexico added 16.8 metric tons of gold valued at about $906.4 million to its reserves in March as nations including Turkey, Russia and Kazakhstan increased their holdings of the metal, International Monetary Fund data show.
 http://www.bloomberg.com/news/2012-04-24/mexico-raised-gold-reserves-in-march-imf-data-shows.html

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