A Simple Question !! - Looks like all the gold miners including EDV is making new all time lows based on the fact that the COMEX Gold price fell from the 1600s into 1300s last week.
Question:
- Why are investors/analysts/media valuing Gold Producers based on the COMEX price when the actual price they are selling at (physical gold) is still in the high 1500s to 1600s (premium of 20-25% over the COMEX, and long waiting preiods for actual delivery) ??.
- Considering that EDV is a producer (fully unhedged) and will be actually selling physical gold to the buyer (NOT COMEX Paper Gold !!), is it reasonable to conclude that the earnings will actually be based on the actual realized price of the "Actual Physical" gold sold, when reported.
-Based on that, why would analysts, investors, media, etc,, be revising price targets based on the "FAKE COMEX Paper" gold prices.
- Which begs an even "Bigger Question":
Why are we using COMEX prices when they do not reflect the "true" price of "Physical, Tangible" gold ??.
I mean..there is actually no useful purpose of COMEX if it cannot fulfill its basic objective as with any exchange.. which is "True Price Discovery" !!
JMHO.