Francis Schutte

South African Gold Stocks: No Margin of Safety

In the 1960's and 80's we used to say that "the market capitalization of gold mines was as big as Coca Cola"! [a least Coca Cola has ever since produced something better than the crap sold by JP Morgan!]


On Sep 14 09:16 AM JudeJin wrote:

> the market cap of jp morgan alone equals to all of the gold miners
> listed in the US combined!
>
> try to compare this with where it was in the late 1960s, you'll definitely
> find the opposite answer.
>
> there's too much margin of safety in the gold/silver miners nowadays
> than any time in history!
>

South African Gold Stocks: No Margin of Safety

If the IMF gold is really to be sold, be assured that not 'a single ounce' will see the open market...and it is not difficult to find out who's gonna take the whole lot without blinking.


On Sep 14 09:34 AM JS Partners wrote:

> One caveat.....
>
> The IMF holds $103M ounces of gold and now that they are looking
> to fund bailouts and raise cash there is a chance they might sell
> into the market which could cause a stir and perhaps a downturn in
> gold producers.
>
> I doubt it would be enough to lower the dividend to SA historical
> prices
but I know what I am going to be buying when the IMF releases
> that press release!

South African Gold Stocks: No Margin of Safety

One cannot compare the mismanagement of ABX with this of other Gold mine co's. Not all Goldminers hedged their Gold Production! Having said this, today's yield on goldminers is indeed a lot lower than it was in the 1980's but one should not forget that whatever is written, interest rates are low all over the world and Goldmines = Gold to be mined...and maybe the future has some surprises ready for us.


On Sep 14 09:11 AM JudeJin wrote:

> i think the reason that the dividends are not there this time around
> is because the gold miners were almost detroyed during 1980 until
> recently. abx just lost $5 billion hedging(betting) gold futures.
> had abx simply didn't hedge, abx should have been paying handsome
> dividends in the past 3 years!
>
> before nixon got rid of gold standard, the gold miners had been doing
> far better than they did during 1980-2000

Paulson & Co Hedge Fund Files 13G on AngloGold Ashanti

I think LoveShorting won't be around any more in 3 months from now. Paulson has 1st hand information, is a clever guy and knows 'exactly' what he's doing. Having said this, anybody not understanding Gold, silver and gold and silver equities have no other way but to go up, must just be blind.

Massive Options Trade Signals Gold Miners (GDX) Is Set to Glitter

What we had over the last 3 months, was an UP FLAG (and such a formation has lower highs and lower lows). Note that not only the GLD options are heavily bought. The same occurs with Gold and Silver Comex options...it smells like something is in the make!