AngloGold Ashanti Ltd. (AU)

All Comments on AU

  • commenter
    pseudoym
    Apr 09 11:09 AM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    for poet 1:
    I did just want to mention that a little research before posting information would be nice. I know that most people stand on one side of the fence or the other, but don't just stand on the side your buddy is standing on, if you don't know why he's there...I will explain.
    The timber industry is not "hacking" down more trees than they put back. Actually production rates are down, because the value of timber is falling right now. My entire family is in the logging and forestry industry in Oregon And Washington. Timber isn't the quality it used to be, because of re-logging, and seeds that are made to make trees grow faster. But there are actually more trees planted when they lof an area. Infact there are laws requiring that all logging outfits must replant an area, BEFORE they move to the next.
    It's really not as bad as people make it sound. And he is right. Timber does "keep growing back." Check into the markets right now. Good time to buy, because prices are down.     Reply
  • commenter
    geofotos
    Apr 08 06:08 PM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    chicken conclusion. if we didn't have to import our life's blood items I might take a neutral stance. weak leadership and fearfull citizens have the almighty dollar turning into a spit ball. Reply
  • commenter
    Lawrence
    Apr 07 11:22 AM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    I beg to differ paultaut. Gold is, suppressed as it is, still a measure of inflation or more specifically a measure of inflation of the world reserve toilet paper i.e. the dollar.
    Gold is money, gold is a real true store of wealth (god knows why but it is and has been since recordable history began) and gold is the anti dollar. Therefore what we are seeing is not the rise in gold price but the decline in real value of the dollar (and all other fiat currencies). This is due to one simple fact and one alone - the rampant flood of global money, credit and liquidity into the global financial sytem. all other inflationary aspects including speculatory investments, market volatility, financial abuses such as cheap homeloans, bubbles etc etc are all symptoms of this one disease.

    the chickens are coming home to roost however as market forces overide anything the puny Fed tries to do. Over the next two years you will witness massive monetary and price inflation as they struggle to keep the wheels from coming off the financial machine. Hyperflationary depression is the only frseeable outcome i am afraid to say. They have pushed inflation and financial leverage too far and the picture is there plain and clear for anyone with the guts and honesty to see     Reply
  • commenter
    SeekingAlpha
    Editors
    Apr 06 05:17 AM
    My Website
    General Discussion on AU
    Is this a buy or a sell? Reply
  • commenter
    paultaut
    Apr 05 01:49 AM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    hey whiteowl...are you by any chance involved in the miner which just go the Memorandum of Understanding form the tribe in canada? Reply
  • commenter
    paultaut
    Apr 05 01:45 AM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    Give me a break...the miners to invest in are not the low cost producers and gold is not an inflation barometer.....

    Gold has been a currency far longer than every civilization on the planet...Cromags,Neand... wandering the earth...shiney stone, I give for club...I club take stone.

    The incremental rise in gold prices is just that to the low cost producers meanwhile the high cost producers will finally show profits and that is where Analysts will go and raise targets.

    You want free cash flow good but the real value will be in Miners who will generate free cash flow for the first time in their histories.

    Gold shot up in the 70's not because of inflation but because it was no longer pegged at $35.00 and just followed suit as oil went from $3 to $40. Who knows where Gold would have started from had it not been artificially subdued.
    Reply
  • commenter
    whiteowl
    Apr 04 08:04 PM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    An article by a person who feeds seven stocks into someone's computerized valuation program and makes a sector call? Whooee!

    By the way, Newmont and Barrick (especially Newmont) are not "leaders"; they are only "large". There's only one company on this list that I would only consider for purchase (KGC), and I don't own it anymore because I can do better with a gold stock not on his list.     Reply
  • commenter
    User 173148
    Apr 04 03:32 PM
    Is it Finally Time to Sell Gold and Related Mining Stocks? [view article]
    GaryD & jt - Enjoyed reading both of your comments very much.

    Re-negative gold lease rate - The normal 1% gold lease rate which the Fed usually lends gold to the bullion banks has gone negative. On the surface it appears that the Fed is paying the gold bullion banks to lease gold. However one probably needs to dig a little deeper to understand what is really happening. Back in the 1990s the Fed likely leased a large amount of it's gold to the gold bullion banks (such as JP Morgan) in order to surpress the price of gold (The Great Gold Fiddle) to hide the fact that Greenspan was busy printing money and creating more credit. After leasing the gold from the Fed, the bullion banks then turned around and sold the gold for cash. With the cash the bullion banks then bought U.S. treasuries paying say 5% for a net profit of 5% - 1% = 4%.

    First you need to understand that the so called gold leased by the Fed to the bullion banks has been phyically sold by the bullion banks at prices (say at $500/oz.) which are much lower than today's $900/oz. prices. That means neither the Fed or the bullion banks phyically have this gold in their vaults. Second, under current accounting rules, an IOU from the bullion banks can be counted as gold and entered on the books as gold held in the Fed's vaults. This allows the Fed's to issue accounting statements "implying" that they still phyically have the leased gold their vaults. In reality this gold left the barn a long time ago.

    One can also probably assume the bullion banks are underwater on these gold lease transactions. Since these same bullion banks are likely underwater on a whole bunch of other stuff (subprime, etc.), then likely they are technically insolvent. The only thing keeping these banks solvent (probably with the Fed's blessings) is not "marking to market" the true value of their assets.

    I think you can now see that the Fed has a problem. If it lets these bullion banks go under, then it would have to fess up that it no longer phyically owns all the gold that it claims to have in its vaults. That would expose the Fed's accounting lie and result in a considerable lost of confidence. The Fed probably figures it is cheaper to pay the bullion banks for leasing the gold so they can keep the game going for a while longer!

    Regards, Au     Reply
  • commenter
    Banuwati
    Apr 04 09:46 AM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    Precious metals, in general, go up during inflationary periods and with world energy prices high and the world energy supply and demand curves crossing, it seems that inflation will be the next norm. Unlike the 1970-1980 inflation/stagflation period (when metals prices skyrocketed), the world energy supply vs demand is close to balanced (supply was artificially held back in during 1970's by OPEC). Any increase in demand or decrease in supply tends to be exaggerated when near the tipping point. We are there. Inflation and the prices of precious metals are probably in the early stages of a bull market....unless we experience a worldwide recession...which doesn't seem likely at this point. I'm betting on higher energy and higher inflationary pressures. Even if the world economy were to go into recession, it would be a short-term event and energy demand would continue to increase while supply grows slowly (if at all). All commodities are being gamed and China/India are on the prowl to obtain the resources to maintain their rapidly growing economies.

    To confess, I am a geologist in the energy industry with 28 years of experience, and my observations/conclusio... are based upon my professional experience.
    Reply
  • commenter
    Mongoose
    Apr 04 09:34 AM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    Does anyone know what the value difference is between .999fine and .9999 is? Reply
  • commenter
    john2
    Apr 04 04:55 AM
    My Website
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    Okay i could have sworn on my life that gold was said to be respected becuase of its non volatile nature? so that yes in bad times it goes up and in good times it stays stable. despite being supressed by many human factors *cough federal banks. yet your saying that a) its speculative (high growth wise yes maybe) and b) its volatile. sorry thats not how it is. if you invest in gold then you invest for stability that is the point. oh and the way you invest seems to be soley on tools by the way. it doesnt seem to me like you have a clear understanding as to why anyone of your statistics are the way they are. one reason is that all those companies are growing companies that are funded through debt they arent concerned with capital but rather growing. Gas and merley the cost of producing higher quality gold is also affecting its prices. Reply
  • commenter
    SD CDL
    Apr 03 06:50 PM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    Rereading his last paragraph...how is gold more volatile then any other asset class? Real Estate doubled or tripled, then crashed. Financials exploded...then went (Bear Sterns) bankrupt. ALL asset classes are volatile these days, just as a inflationary cycle predict...money sloshes around from asset to asset. You can predict the price of gold in two questions: What is world M3 growing by and will congress continue to spend us into oblivion.
    Note: I also don't think gold will rise forever, but we're only in the 2 or 3rd inning people.     Reply
  • commenter
    poet1
    Apr 03 05:51 PM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    re: the authors comment on timber; - trees, 'they just keep on growing' , says a lot about the authors lack of reasoning. they may keep on growing, but, not fast enough to compensate for the amount being hacked down. i could go on, but, why bother Reply
  • commenter
    DONTKNOWMUCH
    Apr 03 05:02 PM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    I DON'T KNOW MUCH, BUT; I WONDER WHY HE FORGOT TO MENTION THAT KINROSS GOLD DID PAY A DIVIDEND, ABOUT 2 WEEKS AGO? Reply
  • commenter
    jimmy46
    Apr 03 02:58 PM
    Gold Stocks: Too Much Speculative Risk for My Taste [view article]
    gold stocks are very difficult to analyse,
    All mines practice "yield management"

    All ore bodies are variable in the amount of metal in a ton of ore.
    when prices are low they mine the "rich" ore,
    when prices go up they mine the lower grade ore.

    The idea is to maximise the value of metal mined
    OVER THE LIFE OF THE MINE.

    Mining companies tend not to be transparent about
    what their plan for the year is,
    and I haven't seen an analyst who has the info
    or smarts to figure this out.
     Reply
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