POG tumbled

Anything over USD1700 per oz is an extremely profitable rate for most of my gold producers. Gold stocks might pull back a bit more if the Dow continues to improve. Strange how when the POG falls, gold stocks fall too! Yet the reverse is not always applicable but it provides opportunity to top up for me.

But sensible people will realize that "the Feds will help" is no long term solution to the problem in the USA. Printing USD by pumping money into the economy is a stupid approach. If you continue to print money to pay off your debt, eventually your money will have Zimbabwe value.

Hence, I doubt POG will drop below USD1600 per oz for the near future. Some of the gold producers were talking about profit based on USD1500 per oz.