Will mining costs create a floor for gold prices? This is a popular argument that gold bugs (bulls) cling to, with the idea that if gold continues to be below the cost of mining, then miners will stop mining and tighten the supply forcing gold prices up.
Here is what, Jim Rogers (Chairman of Rogers Holdings) has to say regarding this during his interview with Business Insider:
"I've been in the investment world a long time and I know that things can stay below the cost of production for years. It takes a long time for people to believe they have to close their mines. It cost money to close a mine, it costs money to re-open a mine, so people are reluctant to close mines. So you can see any commodity staying below the cost of production for a while, especially if it's something like a mine which is expensive to close, and expensive to open."
ORIGINAL SOURCE
Tuesday, July 9, 2013
Saturday, July 6, 2013
Wednesday, July 3, 2013
Tuesday, July 2, 2013
Jim Rickards on CNBC. Have 10-20% of gold in your portfolio!
Jim Rickards is an American lawyer, economist, and investment banker with 35 years of experience working in capital markets on Wall Street. (Wikipedia)
Monday, July 1, 2013
Gold oversold? Ready for a rebound? You decide
Investors dumping Gold, Where's the Bottom?
According to technician Carley Garner of DeCarley Trading, right now the large speculators are holding their smallest net long position in gold futures since 2009.
Thursday, June 27, 2013
HSBC: Positioned for a modest rebound in gold
"Record Chinese imports of gold, continued strong interest in gold in India, central bank buying, and muted new supply all support our thesis that the current gold price weakness will not last."
Patrick Chidley, CFA, senior vice president of global metals and mining research at HSBC Securities USA
Source: Bloomberg June 27, 2013
Patrick Chidley, CFA, senior vice president of global metals and mining research at HSBC Securities USA
Source: Bloomberg June 27, 2013
Fed's Dudley: QE Could Increase If Labor Market Doesn't Improve [Reuters, Published: Thursday, 27 Jun 2013 | 10:12 AM ET]
"if labor market conditions and the economy's growth momentum were to be less favorable than in the FOMC's outlook - and this is what has happened in recent years - I would expect that the asset purchases would continue at a high pace for longer." William Dudley (head of the New York Fed)
Source: http://www.cnbc.com/id/100830969
Source: http://www.cnbc.com/id/100830969
Wednesday, June 26, 2013
Case For Silver Simple: Industry Insider [Jun 25, 2013 Kitco News]
http://www.kitco.com/news/video/show/IPMI-2013/345/2013-06-25/Case-For-Silver-Simple-Industry-Insider
Kitco News talks with Michael DiRienzo of The Silver Institute at the IPMI Conference in Phoenix. Watch now to see what he has to say about silver. Kitco News, June 25, 2013
Kitco News talks with Michael DiRienzo of The Silver Institute at the IPMI Conference in Phoenix. Watch now to see what he has to say about silver. Kitco News, June 25, 2013
Monday, June 24, 2013
Thursday, June 20, 2013
Gold under-performed relative to both the STI index and the DOW since Jan 2013
Looks like Gold is ready to flip from being an under-performer to an out-performer again? Time will tell...
Wednesday, June 19, 2013
Tuesday, June 18, 2013
Jim Rogers: “Thank Goodness” For Gold’s Correction - June 17, 2013 Kitco News
"Kitco News asks Jim Rogers his take of current events like Deutsche Bank's new gold depository in Singapore and the two new Chinese ETPs. Rogers also talks about how India's Finance Minister Chidambaram repeatedly urges the public to stop buying gold, stating heavy gold imports hurt the Indian economy. Finally, Rogers says that the gold correction in April was necessary for gold to avoid an even worse crash. Despite the April sell off, Rogers is still purchasing gold (and silver)....In regards to Roubini's bearish comments on gold earlier this month, Rogers says he'll ignore those predictions." Kitco News, June 17, 2013.
Original source:
http://www.kitco.com/news/video/show/on-the-spot/336/2013-06-17/Jim-Rogers-8220Thank-Goodness8221-For-Gold8217s-Correction----June-17-2013
Original source:
http://www.kitco.com/news/video/show/on-the-spot/336/2013-06-17/Jim-Rogers-8220Thank-Goodness8221-For-Gold8217s-Correction----June-17-2013
Eric Sprott: Physical Demand for Gold and Silver is Draining Supplies, New Highs and More [Eric Sprott, President and CEO of Sprott Asset Management]
Eric Sprott discusses why he thinks gold and silver will make new highs in late 2013 or early 2014!! Doesn't mean he will be right, but it is certainly worth listening to why he holds this view.
Friday, June 14, 2013
24 Hour Spot Silver (Bid)- Source: www.kitco.com
Spot silver price sky rocketed up vertically after the PPI news release. The Produce Price Index for finished goods rose 0.5 percent in May, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. Prices for finished goods fell 0.7 percent in April and 0.6 percent in March.
What Japan Means for Gold? [CNBC Video THU 13 JUN 13 | 01:05 PM ET]
"Japan jolts gold. What's the outlook for the precious metal, with Andrew Busch, The Busch Update, CNBC's Jackie DeAngelis and the Futures Now Traders."
"Billionaire John Paulson has no intention of closing down his gold fund" -June 11 (Bloomberg)
--Billionaire John Paulson, the hedge-fund manager trying to recover from losses related to bullion this year, posted a 13 percent decline in his Gold Fund last month, according to a letter to investors. Su Keenan reports on Bloomberg Television's "Bottom Line" (Source: June 11 Bloomberg)
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