RE: Market is blind to a winner: Whilst I agree with much of what you write, there are a few points in your latest post that I think are inaccurate. For example, it is likely that the export of jobs to low wage economies is largely over: labour costs in markets with significant labour capacity are now similar to those in the major western economies that may have been interested in chasing costs lower, esopecially once you take transport costs and the costs of managing a more complex supply chain into account. My prediction is that the next 20 years will see a massive swing back to the unions in terms of industrial power: western companies will no longer be able to move jobs to other jurisdictions because they will find there is no gain of any sort to be had. This is the biggest threat to price stability. We've all enjoyed the fruits of globalisation over the last 20 years as prices have fallen like a stone. That downward pressure on prices is now well and truly over. It is going to be replaced by huge upward pressure as demand for commodities outstrips supply - and you can include labour as a commodity.
Further, whilst QE is a favourite hobby horse of yours, I suspect if you did a little more homework and looked at overall money supply figures you will find they tell a more benign story. They have clearly increased, but not by anything like the amount required to stoke inflation or undermine an economy. Then do a comparison: compare the amount of QE with the shrinkage in the balance sheets of the banks - the reduction in bank balance sheets is much higher than the amount of QE being pumped into the economy. All QE has done in effect is cushion the economy from the huge downsizing that all of the banks have undertaken.
And consider this: all central banks now possess enormous amounts of assets that they have purchased - this has had the effect of increasing the prices of those assets and therefore reducing the rate of interest. What's going to happen when this process is reversed? The central banks now have a demand-killer that they've never ever owned before. If inflation does begin to show its head, Bernanke, Draghi and your man Carney (about to start) at the BoE will be able to start flogging all of those assets, sucking cash out of the market, driving down prices, driving up interest rates and cooling things down..........
So long as my first point regarding the power of labour doesn't arrive too early, I think we're set for a continued period of price stability - the only threat is commodity prices as the old 3rd world becomes massively richer and want to live in nice houses, eat more protein and processed food, drive (nice) cars and fly away on holiday.
Regarding ANX stockprice - nothing's going to happen whilst there's still an overhang of 8m warrants at 8c. But, come May 6th(expiry date is a Friday) things will be different and if there is any latent demand it will begin to trickle out. At the end of May we'll get confirmation of how much additional debt has been redeemeed. Then around the 19th/20th June Dustin will release flash results for Q4, which should give a proper indication of how grade is improving and how well he's got costs under control across the company.
We should be in for a very interesting couple of months - all we need now is for the shortage in physical gold - there isn't a single gold coin to be bought in Dubai or Singapore and in Shanghai & Calcutta physical gold is now changing hands at a premium to the spot price - to lead to an increase in the spot price. Any price rise will be sweetened by the thought that the boys at Goldman Sachs really won't like it up'em!
Interestingly, a report on the BBC a week or so back was also saying that the world is now a consumer of gold - ie that unlike in the whole of human history to date when gold was endlessly recycled, gold is now benig thrown away: minute amounts of gold is now used in much electronic kit, and this cannot be recycled so is finding its way to landfill.......
We're set really fair economically; ANX is in a very strong position - and hopefully the conjunction of ANX throwing off cash and the world economy really coming out of recession will lead us right back up the hockey stick.
Have a great weekend