LAKE SHORE GOLD CORP 6.25 PCT DEBS T.LSG.DB

RE:RE:The reason I'm expecting drill results tomorow

[Goldhound3]

ECB’s QE Will Eventually Hurt Gold – Morgan Stanley Monday January 26, 2015 10:34 AM Although gold prices have seen a rise of almost 8% since the start of the year, Morgan Stanley says the metal’s rally lacks support. However, despite the downside risk to the metal, they expect this to take time before materializing. “The U.S. economy is increasingly active, and there’s little evidence of serious inflation anywhere, particularly with oil prices being so low. Downside risk is building for gold’s price, but we recognize that such anomalous trades may take weeks to play out,” they say in a report Sunday. They note the inverse relationship between gold prices and the U.S. dollar has not held since the beginning of the year, but they expect the dollar to win out in the end. “Since universally subdued inflation is now being undercut by a low and weak oil price, the backdrop favors further growth in US economic activity, while gold’s principal use as an inflation-hedge is fading.” They add that although last week’s European Central Bank easing announcement helped boost gold prices, the stimulus package’s ultimate goal is to create a low inflation growth environment in the region, which is ultimately bearish for gold. “Our gold price forecast for a CY15 is US$1,180/oz,” they say