Gold is now down almost $100 from its recent peak of $1575.10 (which occurred earlier this week).
This is still a VERY HIGH gold price.
Gold is doing fine. The miners will do exceedingly well anywhere within a couple hundred dollars of here - either way - and make no assumptions about which way!
Take Goldcorp, for example, who just released first quarter earnings - what a quarter!
Anything is possible.
Half hour before market close. Still falling. Down about $115 from the recent top.
This is OK too. There is nothing wrong with the gold price.
In a year or two, brief $100 moves will not be unusual, as gold will be much higher than it is today. I guess we'd better get used to it now!
The gold miners are doing wonderfully. Their stocks are selling at incongruously low prices. Though anything can go lower on a short-term basis, long-term, they can only go MUCH higher.
Nothing has changed.
Gold mining is the best business on the planet.
23 September 2011: Hmmm. Gold has fallen off sharply this week, recently trading in the $1720 range, and down $200 from its early September (2011) high of $1923.70.
As time has passed, I hope my point has become evident.
$1920 is a high gold price. $1720 is a high gold price. $1520 is a high gold price.
The fundamentals are entirely in gold's favour, and it will continue to be worth a lot for at least the next decade (by then we'll know if our leaders have been able to do anything mature and responsible in managing the economy - for example, by encouraging saving and reducing debt.
I will paraphrase Jeff Berwick at The Dollar Vigilante. If gold retraces to $1500, go out and collect cans by the roadside and borrow money from all of your relatives to buy gold and gold stocks.
The major trend is up, not down. The volatility is just noise - plain and simple.