Key REVERSAL Movementin Progress. When a Gold Producer Which Just Raised BIg Money Above $1 and Has more Annual Revenue than its Market Cap Takes a Quick Fall 40% in a matter of 5 trading sessions....I suspect a decent Bounce will follow. CEntral Banks around the World are Loading Up on Gold and I mean Loading Up.....If Gold Goes to $2500 in next few months....CRK is a $2.00 Stock.
Official net purchases of gold exploded in the third quarter, totalling 148.8 tonnes, more than double the entire amount of government buying in 2010, the World Gold Council, a London-based industry association, said in new report Thursday.
The surge is startling because until last year, central banks had been net sellers of gold for two decades. But this year they are adding to stockpiles at what the Gold Council reckons is a record pace, reflecting deep concern about the longer-term viability of the U.S. dollar and the euro as stores of value.
The result: net gold purchases by central banks of about 350 tonnes over the first nine months of the year, compared with 76 tonnes in 2010. In 1988, the last year governments bought more gold than they sold, net purchases were 180 tonnes.
“We are seeing what now looks like unprecedented levels of central bank buying,” said Marcus Grubb, managing director, investment, at the Gold Council. “We do believe this is a long-term trend. This is not just short-term, tactical buying.”
Anyone Who Sells a Gold Producing Outfit like CRK is not Smart. They are Very Leveraged to the Price of Gold as it rises .....CENTRAL Banks are Now Scrambling to Hoard and Not sell this Asset. With Crock the Potential for Big Production Numbers and a Higher POG in the Near Future is there......This is a very decent Entry point for Some Smart Speculators to Take Control. Gold is under owned and will continue to be Hoarded....Watch what soon Happens and the Yellow Metal Gains it's True Luster.....Gold Producing Juniors will outperform everything around them....Gains of several Hundred % if $2500 per ounce is Realized soon....not to mention calls for $5000 per oz.