In This Issue
Brilliant rare earth intercepts from Power Minerals in Brazil
The market has been very disappointing over the past six weeks. Despite breaking the six-month downtrend at the end of July, it has been unable to maintain any momentum, and that has led to malaise. Share prices are drifting lower.
It is interesting how many of our resource company share prices are performing similarly to the gold price chart. A short-term, secondary downtrend is in play.
Most people see the gold price as having the potential to rise strongly again, at some point, given the chaos in the world. Until then, the price will continue to fluctuate in the US$4,000-US$4,500/oz range. The implication for company share prices is that they will be subdued in the absence of an alternative thematic. It will remain as a buyer's market until one comes along. Company-specific news flow and corporate activity will be the key motivator.
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