RE:wowYou sure wonder though, what happens if gold goes to $700-800 like some goldophobes believe is going to happen. I think that unlikely but you never know what is going to happen with these commodities. They have gone to prices well below the cost of production before so it's not like it couldn't happen again.
What happens to stocks like SBB? They have already dropped a bunch just on gold dropping $100 an ounce. What if gold dropped $300-400 more? I guess a stock like SBB would probably wind up around 0.20-0.30. Now THAT would be a good chance to double down on the hail mary. If gold went to $700-800, gold mines around the world would go belly up, and that would set the stage for one whopping rally as gold buyers would find the cupboard bare.