The fallout From Victoria Gold and SSR mining is damaging this sector as did the BRE-X scam many years ago. In talking with several dealers there has been a cascade effect as margin calls take place and many other explorers are lumped into the same basket due to investors in those 2 companies holding stocks in many others. A few weeks back there was a mass selloff in over 160 mining and exploration stocks that remains unexplained.
Don't know what the answer is but could take a while for this dust to settle. The only silver lining is for the majors that can now pick up gold per Oz in the ground for peanuts. I'm sure the M and A activity will only increase as Dec Gold nears $2.500.
Yes solid drill results from IAU again, will the market bite or will debt and margin calls continue to rule the day ?