Don't let yourself see the forest because of the trees.
Posted on 01/04/2006 1:57:01 AM PST by BlackVeil
Australian gold stocks continued to rally today as the gold price raced back towards a 24-year high.
At 1245 AEDT the spot price of gold in Sydney was US$533.20 per fine ounce, up US$13.20 on last night's close.
This comes on the back of a US$6 rise yesterday, with gold moving back towards the 24 year record high of US$540.90 set in December.
Australia's biggest gold producer Newcrest Mining Ltd (ASX:NCM) led the pack in early trade today, racing up A$1.45 or 5.88 per cent to A$26.13 by 1240 AEDT.
Papua New Guinea miner Lihir Gold Ltd (ASX:LHG) also shot up 10 cents or 4.46 per cent to A$2.34 and the world's biggest gold miner Newmont Mining (ASX:NEM) raced up 40 cents or 5.49 per cent to A$7.69.
At 1243 AEDT Kingsgate Consolidated (ASX:KCN) had risen 15 cents to A$5.02 and Emperor Mines (ASX:EMP) was up two cents to 43 cents.
Daiwa Securities resources analyst Mark Pervan said it was hard to pin down what factors were driving the latest gold price rise.
"I think underlying it is concern that at some stage the US dollar will weaken and the market is pricing it in now," he said.
Mr Pervan said the outlook for the gold price for the next 12 months was strong with factors like the rising oil price, a potentially weakening US dollar and big gold purchases by reserve banks all playing their part.
Newcrest Mining is rising very fast. But the gold stocks could go much higher, with prices moving up.
Be nice to be on Newcrest. Are you winning?
Yes, I did buy into Newcrest, now wish of course that I got more. Also, got some CSR, because of the ethanol thing. Bio-fuels are promising.
Keep going! I might hit you for a loan :)
That's a damn good joke, yet I don't feel like laughing when I read it. Of course, they exclude food and fuel from the "inflation" figures. That's fine - just don't eat or leave home.
What is Bernanke's inherited dilemma ?
The U.S. can either:
1) Repudiate their massive debt
2) Work with other central banks for a controlled devaluation of the $US
3) Simply print their way out of it.
Any/all are good for Gold!
Only 3 is possible. Therefore, that's what we are doing.
And bad for the liberal establishment which can no longer expand the welfare state with their funny money.
This is very understandable with the systematic devaluation of the dollar by the Fed perpetuated by the verbage in yesterday's minutes that the interest rate rise was nearing its end. By the end of March they'll be able to devalue it as much as they want without anyone knowing since M3 will no longer be reported.
Bad for the empire in general, cause we can't make war everywhere either.
,,, I'm way out of touch with gold. Like the saying goes, "one day my ship will come in, but with my luck I'll be at the airport." I'm about to pick up some NZ Refining shares though.
Gold news was markedly silent when the price backed off somewhat the past month. Interesting that we hear of gold when it has risen in price today, but hardly ever otherwise, and hardly ever the day before it rises, which would be when the news might do some actual good.
"Gold ready to crash?"
http://www.freerepublic.com/focus/f-news/1641771/posts?q=1&&page=251
Liberal, Conservative? That's a debate, but the fact is the funny money will catch up with us.
Don't let yourself see the forest because of the trees.
bump
Thanks for the bump.
With gold now at $765, the gold miners continue to climb, although the rest of the market is tending down.
Nobody is getting suddenly rich on that. It’s moving too small and too slow for that big one.
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