GREY:MPRXF - Post by User
Post by
hope21on Aug 17, 2011 10:22pm
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Post# 18954429
The catch up game.
The catch up game.I agree with most folks here that the Gold mining companies have not been increasing at the same level as the price of gold.
One of the main reasons I believe has to with market confidence.
The market tend lean toward Gold metal for safety more than the Gold mining companies for some reason.
Most of the speculation is done on Gold futures or buying physical Gold ounces?
When the Gold shot up to over 1800 dollars per ounce the mining companies did not move in the same proportion.
I believe that the price of Gold is only going to go much higher in the next couple of years until the world economies get
back on track and eventually the price of Gold will reach its top which could be in range of 4-5 thousands dollar per ounce.Hard to believe but it could easily go there.
The shift toward the mining companies will most likely start when market realizes that the mining companies are undervalued in proportion to the price of Gold and I believe that the market is slowly moving toward that direction.
We will most likely see more take overs by some of the major mining companies of small to medium exploration companies with decent Gold discoveries that are mostly trading a discounted values which is perfect opportunity for take over my the majors.
The excitement is just starting. Mega maybe one of them.