SBL

Dow is up a little. That is how it should behave, not wild gyrations.

In the meantime, POG has gone further up, getting very close to USD1900 per oz. This kind of rapid climb feels very bubbly. But there is no economic standard for valuation better than gold, based on its economics and its history. When an investor buys, it is in oz or kilo. When a central bank buys, it is in tons. There is only that much gold produced. You cannot print gold like the USD.

SBL has just started to produce gold last quarter and is ramping up production by improving its gold processing plant. Meanwhile, it is exploring to increase its JORC resource. Why it is falling in market cap, I have no idea how you explain the idiotic selling other than idiots selling.

I read SBL's presentation recently and saw a chart on EV/ozAu for various West African miners. Again, it showed VKA as the cheapest. http://imagesignal.comsec.com.au/asxdata/20110817/pdf/01208076.pdf Yet since I bought VKA, it has fallen by more than 50%. So from cheapest to cheaper cheapest!

And also in ABU's presentation, I bought PXG. Now a profit. I also bought MOY using the same strategy and it has fallen just a little. I like cheap stocks.... with good values. http://imagesignal.comsec.com.au/asxdata/20110810/pdf/01205897.pdf

But none of these cheap gold stocks are producers. However, if the explorer-but-non-producers continue to fall while POG continues to rise, you can be sure a big gold company (producer) will pounce on the golden cygnets that will soon lay the golden eggs.