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With the Russian Central Bank buying gold at 5,000 Roubles p/gram, & the current $:Rouble exchange rate at 1:72, that means an effective gold price of $2,160, & yet gold cannot even hold $1,900.

The gold:Rouble peg is fixed (at 5,000 Roubles p/g) until 30th June. Can you imagine the carnage in the gold market if, due to the Rouble appreciation since the peg, the Russian Central Bank adjusts the price paid to, say, 4,000 Roubles p/gram?

It fails to move on the way up, but you can bet it'll go down like Devine Brown on the way down. It would be a very handy way for TPTB to suppress the gold price, as fiat currencies the world over hyperinflate.

With the Russian Central Bank buying gold at 5,000 Roubles p/gram, & the current $:Rouble exchange rate at 1:72, that means an effective gold price of $2,160, & yet gold cannot even hold $1,900.

The gold:Rouble peg is fixed (at 5,000 Roubles p/g) until 30th June. Can you imagine the carnage in the gold market if, due to the Rouble appreciation since the peg, the Russian Central Bank adjusts the price paid to, say, 4,000 Roubles p/gram?

It fails to move on the way up, but you can bet it'll go down like Devine Brown on the way down. It would be a very handy way for TPTB to suppress the gold price, as fiat currencies the world over hyperinflate.

https://www.zerohedge.com/markets/yen-craters-20-year-low-boj-stuns-markets-daily-fixed-rate-operations-defend-ycc

Explains the spike in the metals this-morning

https://www.zerohedge.com/markets/yen-craters-20-year-low-boj-stuns-markets-daily-fixed-rate-operations-defend-ycc

Explains the spike in the metals this-morning.

The strong Dollar will kill emerging markets. Those that have borrowed heavily in USD are going to really struggle to pay back those debts in $ that now cost an awful lot more than they did just three months ago. Everything goes down from here. Cash isn't usually a good place to be in a double-digit inflationary environment, but it'll be tolerable for three to six months when you can then hoover up assets for pennies on the Dollar.

We've been sliding for a long time, way before China's "Covid outbreak". Go to cash. Things will get VERY ugly before they turn around.

Not enough for me. O'Dea is still there and we could be back at square one in six months time. There's still FAR too much risk involved for me. We could very easily see the mine survive but the shareholders get wiped-out.

As someone who bought at £1 in May 2020, I'll let (what remains of) my current holding ride and am chalking this one off to bad experience. Too much risk with little chance of (admittedly large) reward. There are better opportunities out there.

GLA.

The end is near.

So with the "soft pegging" of the Rouble to gold (at 5,000 per gram), & the current Dollar:Rouble exchange rate of less than 1:77, gold should be (you could argue) around $2,035 right now.

The linking of the Rouble to gold (whilst not a "backing") certainly saw an immediate appreciation of the Rouble, which then tracked the gold / Rouble / Dollar exchange rate very closely for weeks, but now seems to have broken down over recent days, with the gold price diverging (lower) from what the gold/Rouble peg would suggest.

Anyone want to speculate why? You'd have thought that arbitrage opportunities would prevent any significant divergence. For example, right now you could buy gold at $1,955 p/oz, sell it to the Russian Central Bank for (approx) 155,500 Roubles, which you could then exchange for (approx) $2,035, or your currency of choice) & pocket the difference.

Granted, not really practical for most here, but surely this is a playground that the big boys want to play games in.

Just to follow on from my own comment about the inaccuracy of analysts (bad etiquette, I know),
just yesterday three top US banks all had buy ratings on Netflix with a target price of over $600. Today Netflix dropped over 30% and is over 70% down from November. A monkey can pick stocks better.

Holding up nicely, though, considering.

If the broker forecasts are only half right (& I'll admit I put ZERO faith in the predictions of analysts) then we'll all be very happy here. Even me...after buying back in at £2.40.

Are we on the way back to £20? Hope so.

The "experts" are not there to make correct predictions: they're there to shape public opinion.

The "pandemic" is another good example of this. Professor Neil Ferguson is an "expert", but check his track record. Man...I wish I could play poker against him. I wouldn't need to play in this casino to make money.

Raises inflation forecast.
Gold gets smashed.
Makes perfect sense...in ******* clown world.

But still down over 70% on the month.
Place your bets...

And yet they won't ban The Coof Juice, despite what the VAERS DB says. Makes perfect sense /s.

Putin's "soft peg" (pardon the expression) of the Rouble to Gold has essentially put a floor under the gold price. Any fall below that level will provide arbitrage opportunities too good to miss, & I'd suggest they'd be bought heavily.

On the other side of the coin, one thing we must consider is that, if the west wants to hurt Russia, the only REAL way they can do it is to attack the price of gold. We all know they do that anyway, but will we now see a Blitzkrieg type event in an effort to make that happen?

They were already supposed to have SFCF & yet here we are.

I appreciate they're trying to rescue the company, & they've got no chance of doing that if they paint a realistic picture, but I can't help but think that even with this utter debacle, it's still sugar-coated.

The PUR story has been horse5h17 with the promise of chocolate.
Over the last 12 months we've seen that there is no chocolate.
All that's happening now is, they're making the shareholders eat it.

And I would strongly suggest they'll need another fund raise in Q4. They need $50M for the next six months, but what are their expected cash needs over the next 12 months???

As I see it, your best bet for any kind of return is to buy shares in PUR debt holders: they're about to inherit a gold mine on the cheap.

It's clearly going to zero. Yes, the mine itself will probably survive but PUR, the company we're all "invested" in, is going to zero.