Gold miners broadly weaker, as gold futures plunge nearly $30

Miners trade notably lower, with the Market Vectors Gold Miners ETF (GDX -2.2%) down sharply, as gold futures slid $28.70/oz. to $1268.20 after dropping nearly $25 in about a minute earlier this morning.

ABX -3.5%, FNV -3.6%, GG -3.1%, GFI -3.1%, EGO -3.5%, NGD -3.5%, AUQ -3.3%, AUY -2.8%, RGLD -2.9%, NEM -2.1%.


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Comments (20)
  • Taiko
    , contributor
    Comments (12) | Send Message
    Awful it is.
    11 Oct 2013, 03:04 PM Reply Like
  • PalmDesertRat
    , contributor
    Comments (3839) | Send Message
    I guess this means nobody will ever want to buy gold ever again. Bot some gdx this morning at 23.22
    11 Oct 2013, 03:27 PM Reply Like
  • Drumstar
    , contributor
    Comments (27) | Send Message
    The quick drops are pure market manipulation. Unfortunately, I can't deny what's been obvious to those who called it in April. The bull run is over for now. I wish I had a compelling reason to stay long; but, I will certainly be selling into strength starting next year.
    11 Oct 2013, 03:31 PM Reply Like
  • DeepValueLover
    , contributor
    Comments (11355) | Send Message
    Gold is in a pretty fierce bear market here.


    Best to ride out the storm and prepare for the moonshot on the other side.
    11 Oct 2013, 03:32 PM Reply Like
  • brucerappaport
    , contributor
    Comments (8) | Send Message
    Wish I knew what was going on. Are these paper gold sales?
    11 Oct 2013, 03:42 PM Reply Like
  • sinedo
    , contributor
    Comments (501) | Send Message
    I heard a discussion on CNBC that it was suggested that Congress sell some of its Gold hoard to raise cash because of the debt limit.
    Later, it was reported that some trader put a Sell order in for 100,000 oz. ? Something like that spurred the market to short gold and scare small holders.
    I bought the Junior Gold ETF (GDXJ) in two trades at $35 and $35.03, 15 and 20 min. before the close. If I waited another 10 minutes, until just before the close, I could have got it cheaper. They always bail out at the last minute on Fridays, esp. on long weekends.
    Don't sweat it. I'm betting it will recover on Tuesday.
    11 Oct 2013, 04:09 PM Reply Like
  • brucerappaport
    , contributor
    Comments (8) | Send Message
    Is this the result of paper gold ETF sales? By whom?
    11 Oct 2013, 03:42 PM Reply Like
  • wdwright
    , contributor
    Comments (4) | Send Message
    Gold is a hedge against the results of the antics of Obama. The dollar cannot hold its own vs printing presses forever. Hard assets will eventually rule.
    11 Oct 2013, 03:42 PM Reply Like
  • Hendershott
    , contributor
    Comments (1842) | Send Message
    Slam dunked.
    11 Oct 2013, 03:48 PM Reply Like
  • Jason Burack
    , contributor
    Comments (2155) | Send Message
    Yes a 5,000 contracts HFT dump bomb.
    11 Oct 2013, 04:12 PM Reply Like
  • Chris Lau
    , contributor
    Comments (4245) | Send Message
    These dark days for gold reminds me of the 1991/5, 2000/2003 time frame, when gold was out of favor and tech, speculation was in. There is no way to tell when gold will stop declining, but at some point in time it will reverse.


    It's like a rubber band. Overdone selling for one asset class (Gold) and over-buying in another (tech, solar, general markets, small caps).
    11 Oct 2013, 04:18 PM Reply Like
  • Optionable
    , contributor
    Comments (36) | Send Message
    This reminds me of the extreme bear market in the solar panel industry in 2012. Vast over production by Chinese firms crashed the market and many solar companies saw their stock prices go from the $10-$20 range to under $1. Today? Many are up several hundred percent since Jan. 1. (one example HSOL, under 86 cents in March 2013-now $5.50.)


    Many juniors will probably not survive this, but ones that are close to production could see similar jumps that solar is having now, once the gold price is allowed to recover. (RBY is one that comes to mind. They should be producing next year, are in Canada so geo risk is low. Now a measly $1.16) These prices are created by panic, which will eventually pass.


    I'm astounded by how extreme miner prices have become. But in the stock market anything can happen as fear takes over. Keep in mind this bear market in miners is almost 3 years old at this point. All things come to an end eventually.
    11 Oct 2013, 04:18 PM Reply Like
  • d.chavo
    , contributor
    Comments (123) | Send Message
    This is market manipulation from Goldman Sachs commodity traders. There was just one sell order which caused the price to drop $30 today. Goldman Sachs just wants to buy cheap as they know the price will rebound shortly. QE will not end and the deficit will be higher. That is already a known. Janet Yellen will more than likely increase QE which should weaken the dollar. Just read what mosts of the analyst are saying and you will see all this manipulation is coming from none other than Goldman Sachs.
    12 Oct 2013, 04:07 AM Reply Like
  • skyzer
    , contributor
    Comments (335) | Send Message
    Miners should stand up and stop supplying GOLD to all bullion banks, which are involved in Manipulation of Paper Spot, close your mines for 1-2 month and use saved $$$ to blow up COMEX, the mother of all manipulation. COMEX Registered GOLD inventory eligible for delivery is 760,000oz at 1270/oz that's only
    $965,200,000 It's a less than 1b Dollars in total. Corner those criminals
    Who else will? All those 3rd party manipulators should die. Price for GOLD must be set by Physical Gold and not by Paper Crooks.
    This manipulation is so obvious at this point, it's simply killing miner business. OIL does have OPEC, Miners have Crooked banks which set the price, instead they (miners) should set the price based on production costs + supply and demand. US Under default threat and GOLD falling like a rock, DOW drunk sailor rally
    and Dollar is rising. What the heck is going on here? Is this even reality? Looks like banksters freak show. Rigged Casino.
    12 Oct 2013, 08:37 AM Reply Like
  • mjrcme
    , contributor
    Comments (105) | Send Message
    A big problem is it's so difficult to arbitrage the cash to futures market in gold because of shipping, storage, protection, of the physical gold. And the actual physical market kind of vague. The product, Gold, is not required consistently like food or energy. So futures are thinly traded and just get pushed around. Regarding the miners: Costs to mine have risen way beyond the economics of the original mining plans. But that is just poor management planning, I think. For instance that Barrick Pascua-Lama mine is at 2-3 times the original
    cost plan and not even in production. Plus the miners are wasting assets once they get to mining. They mine then sell the gold and if they can't achieve exploration successes they have nothing but maybe some cash.
    12 Oct 2013, 06:27 PM Reply Like
  • Flod
    , contributor
    Comments (190) | Send Message
    Aurico Gold. This Canadian Company looks pretty good. In the balance sheet there are enough assets to compensate debth. Ratio's current assets/current liabilities in Q2 and Q1 2013 are in the order of 3.5-4.3.
    However net-income statement Q2 (108,857) and Q1 18,592 are below adequate above statements.
    We should folow further AUQ news on november 8, 2013 for the details of Q3 2013 results.!
    13 Oct 2013, 08:39 AM Reply Like
  • thx1104
    , contributor
    Comments (8) | Send Message
    These unholy market manipulators are making everyone question the financial system. In the end, they will undermine confidence in the dollar -- even while trying to prop it up.
    13 Oct 2013, 08:54 AM Reply Like
  • brucerappaport
    , contributor
    Comments (8) | Send Message
    Wish I could just hold and forget instead of this steady personal selling until nothing is left right before the shot to the moon again.
    13 Oct 2013, 09:21 AM Reply Like
  • brucerappaport
    , contributor
    Comments (8) | Send Message
    Wish I didn't have to keep selling to pay for stuff that comes up unexpectedly for my family. Hope I have anything left when it goes back up. Being a pessimist I think when I have nothing left it will shoot to the moon.
    13 Oct 2013, 09:22 AM Reply Like
  • sinedo
    , contributor
    Comments (501) | Send Message
    Bruce; what you're doing is cashing in the "insurance" to pay for unforeseen expenses. You need "savings" for that, Gold is too emotional an asset to act as "savings" that will be reasonably stable until you need it. I think savings of about 3 months income is enough to hold for routine emergencies. Everybody's different.
    It seems that gold is down when you need cash and up when you don't need any.
    13 Oct 2013, 11:05 AM Reply Like
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