Gold

When it drops too much, buyers appear.  In the eighties, Alan Bond was competing with the Japanese for expensive art works.  Japanese had too much money and were spending exorbitant amount of money on anything.

The Chinese hasn't got that kind of money yet but that will come.  Already, it is boasting more than 100 billionaires and that was a few months ago when I read the report.  What they are buying at the moment is gold.  I think the Chinese has overtaken the Indians as the biggest consumer of the precious metal.  Someone is selling a lot of gold but it is being soaked up.

My point is which gold producer to buy?  I wish ABU would allocate some effort and dough to production.  Meanwhile, there have been praises for PRU and BDR.  I have topped up on both but not PRU recently.  Its cost of producing is falling!  Even at USD1540 per oz, it is still making over USD1000 per oz.  And its gold production is rising.  Yet, there are so many idiotic sellers!!!

BDR is starting production in August 2012.  No communist Wayne Swan in Brazil.  Australia would become another Greece if these idiots run the country for much longer.