Gold

[Skol]

Egypt has 6.7Moz of gold in 100 mining sites? Average of 67,000 oz per mine? That's not enough to get excited about Skol. Glass Earth has shares in a permit above Waihi that might contain 3-5Moz, and no-one is rushing to buy them out, even though it is the biggest NZ find in 20 years. To mine for gold, you need very large concentrated patches for larger firms to get keen.

Did you watch/read that video I posted the other day? Scary stuff. I'm sitting here in my fortress in the back of beyond (Hamilton), ready to ride it out.

How do you/they know what's under the ground? A while back a moron from Greenpeace by the name of Simon Boxer announced in the NZ Herald there was only 60 years of uranium left on the planet.
HTF would he know that?

Yeah I watched the doomsday scenario --- yawn. It's all been said before. Stupid people with too much debt. Gummints too.

I know people a couple of Ks away who bought property big before the crash. They've sold one, less than they paid for it, can't rent others now they're moving into their garage so they can rent their house.

It ain't gonna happen, but let me know how hunkering down out the back of Hamilton goes.

Personally I've got no debt because I saw it all coming, sold property and unloaded the debt, I've said here before I converted my super scheme to 50% cash 18 months before the GFC. I don't count myself as some kind of genius, you look at all the other sheeple, see what they're doing and do the opposite. I sat an IQ test in school in 1966 and was told my IQ was 109, so I'm not a member of Mensa.

In fact I was in Te Rapa Rd the other day at Porters looking at buying a new digger while times are bad because it won't last forever.

[elZorro]

Fair enough Skol, I've never bought property I couldn't use myself, so never been worried there. It's not as rosy as it looks. I like buying/owning stuff with an edge, not too many others will have it. Like a digger maybe. I can't believe how many they have over at Porters, but at least some get leased out. It's like a huge expensive car yard over there.

Are you digging some gold up of your own maybe? Or is it a duck pond you're after? BTW I think your IQ must be OK .

[Skol]

John Paulson's gold fund has taken a major hit and with his punters probably less than impressed with his performance they have until the end of the month to redeem their investments. Paulson may have to sell billions of dollars in assets including gold, so a major sell-off is on the cards.

Other hedge funds have been combing through Paulson's assets trying to anticipate what he might need to sell if he returns cash to investors.

Apparently Paulson's Gold fund is the biggest shareholder in the SPDR Gold Fund, assets $65,202,519,502 and 12 cents.

That's about 1/4 of the value of what's in Fort Knox (if it's there LOL) so if Paulson has to start selling it won't be pretty. Paulson's stake in the SPDR Gold Fund is $4.5 billion about 15% of its value.

[elZorro]

Gold has made it back to $1700/oz in the last four hours. Got there fairly fast, along with silver increasing. No change to the US$ much, so this could be a change in sentiment to more bullish behaviour.

http://singstock.com/gold/gold-stock...urges-to-1700/

[Skol]

Economist Noriel Roubini says China is in for a hard landing. If that's the case all those millions of chinese will be selling their gold, because food's a lot more important.

[elZorro]

Economist Noriel Roubini says China is in for a hard landing. If that's the case all those millions of chinese will be selling their gold, because food's a lot more important.

Not this week Skol, I think they'll be congratulating themselves on being smarter than many investors worldwide, by staying away from standard stocks and bonds. The flight to safety.


http://news.xinhuanet.com/english201..._122197854.htm

A good day if you have exposure in the gold/silver sector. This recent web post implies that on a day when US$ basket and US$gold goes up, it's a fear trade. All eyes are on the EU meeting(s), to see if anything is resolved.

http://www.fxempire.com/technical/te...tober-26-2011/

[Skol]

Gold has made it back to $1700/oz in the last four hours. Got there fairly fast, along with silver increasing. No change to the US$ much, so this could be a change in sentiment to more bullish behaviour.

Are you sure about that, taking a big dive ATM.

[elZorro]

Are you sure about that, taking a big dive ATM.

Hi Skol, the USD has been clobbered for most of a month, see below. Adam Hewison is bearish on the European situation (from yesterday).

What is gold telling us?
Do you think there is going to be a resolution to the crisis that continues to fester and grow in Europe?
I think everyone is pondering if the European problem is ever going to be fixed. I for one, don’t believe it is going to be fixed. Now we hear that Italy is going to up the retirement age from 65 to 67, but it won’t be going into effect until 2026. Who are they kidding?
If you think Greece was bad, Italy is going to be another big problem waiting to happen. Then we have Spain, Ireland and who knows who else is going to bite the dust…
These are interesting times, and they do lend themselves really well to making money. If you are watching the markets and are nimble in your choice of markets to trade, both from the long and short side, you will do very well.

[Skol]

Adam Hewison, whoever he is, said in Reuters, 13/10/2011, that "gold has topped out for the year".

Another snakeoil salesman covering his tracks just in case.

[elZorro]

Adam Hewison, whoever he is, said in Reuters, 13/10/2011, that "gold has topped out for the year".

Another snakeoil salesman covering his tracks just in case.

I read the posts attached to that INO.com USD index. They generally make sense, you have to be a member to get more details. Yes, Adam has been a bit down on gold, saying a couple of weeks ago that only those with long trade horizons should stay long on gold. But who does know the whole story? Now the trade triangles say medium and long-term punts on an increasing gold price are suitable. There is a crunch line for gold at 1725, widely predicted and seems to be the case today. If it breaks past there, it could go a bit higher to 1750, most say.

If silver would just keep going up, I might get back to the buy price on my bar of silver. Should have bought a smaller amount of gold. But there you go, I'm happier with gold miners or explorers.

By 7am in NZ 28th Oct, US$gold at near 1750 - I'm surprised, since the EU summit produced a way forward and general stocks rallied. But on 25th October, when gold started its climb, this article came out: http://www.goldalert.com/2011/10/fed...e-says-dudley/

QE3 for USA looking more likely, and this would be inflationary.