Blog

August 25, 1997 – In the last letter I discussed some basic tenets and related misconceptions about the supply and demand of Gold. Most importantly, I noted that Gold is accumulated and not consumed. Therefore Gold stands in marked contrast to soybeans, crude oil and other commodities, all of which disappear once used. These non-accumulatedRead more

August 11, 2010 – At current Gold prices many of the mining companies are taking a drubbing. Clearly, the worst hit are those with the highest operating costs. Many of the more marginal mines (i.e., those mines now at or below break-even) have a cash operating cost above $300 per ounce. In other words, itRead more

June 9, 1997 – Anyone who has been around Gold for any length of time knows that this precious metal has the uncanny ability to lead events. For example, Gold was in a well established downtrend in the months leading up to the Gulf War. However, sensing trouble on the horizon, Gold hit bottom twoRead more

February 10, 1997 – The past few weeks have been rough ones for Gold. Can we expect more of the same, or is the bloodletting nearing an end? No one knows the answer, nor is it useful to try guessing what lies in the future. But it will be helpful to understand what is happeningRead more