RE:RE:RE:RE:RE:RE:RE:THO vs. USA
The problem USA has is not just that the market has lost faith in management ( I have not forgotten that free 30% dilution either). More importantly, it does not see USA making any money at these metals prices. That is what this all comes down to. Yesterday, gold broke through its 50 day moving average and this time it was to the upside for a change. What I noticed on that was the PM stocks that jumped the most were the high cost producers like USA. The technical analysts are assuming that that means that this recent gold rally has more legs to it. obviously, all miners benefit from a rise in the price of gold but the marginal producers benefit more so. At $20 per oz, we are probably just below break even on an operational level. If the price goes up to $23, that should put us at a slight profit. Anything above that starts bringing in real cash into the company coffers which would see our shares jump up to a price closer to what I paid for them. Bob