Clifton Star Res Inc CFMSF

RE:RE:Where is the Price of Gold Going?

[rborhi]

If the price of gold goes lower, it will cause the shutdown of some higher priced mines where the cost of producing an ounce is close to the value of an ounce.  That has already been happening.

So, gold production will decrease, and when demand picks up again there won't be enough gold, and the price will shoot up again.

Simple supply and demand.  Right now we are in the bottom of the cycle, and the fact that many are throwing in the towel, or considering it, should be a good sign of a reversal.  True, no one knows when the reversal will happen but it's a good time to bottom feed and wait it out.