Tough times ahead....

[dreilly]

http://www.theage.com.au/news/Busin...de-say-analysts/2006/06/11/1149964402660.html

Looks like we're in for a rough ride. I thought to start this thread to see what people will be looking closely at in the coming weeks/months with a view to getting some bargains.

 

[Sean K]

No tough times ahead for gold, oil and uranium.

 

[dreilly]

Agreed, im liking MTN.

But surely some segments will be hit hard? could be a good time to get some good prices soon?

anyone liking any companies/segments in particular?

 

[Sean K]

When (or if) gold turns around and is heading back to $700+ then the gold companies that performed well up to May will do well again.

For eg, LHG went from $1.50 to $3.60 in the space of a few months. It's probably one that will run again once the situation with gold is confirmed as a technical correction in a long term bull run. BDG also came off a bit and is about to start if first poor of gold. If gold turns at the same time they come out with news of their first poor then it'll probably do well too. SGX also got hit hard. NCM has been punished but has the best mine in the country. However, their management is yet to prove they can tie their shoelaces let alone run a company.

 

[lewstherin]

If we're talking gold, I like TRY at the moment given that it is has one of the lowest cash costs of production in Aus and is in full production. TRY also has some interesting prospects in Africa.
I currently hold BMO as well (and suffering for it at the mo).
For me the BIG question is whether gold is gonna turn back upward.

 

[Sean K]

Most 'experts' seem to think it will. Of course, depends which 'experts' you read. Gold seems to have gone up over the past 3 years with the prospect and real weakness of the $US. I haven't read anything that says the $US is going to strengthen in the medium term, so gold should still go up. Unless you believe the $US and gold have decoupled. There's some evidence of that short term, but not proven long term yet I think.

 

[Smurf1976]

Gold rising against a broad range of currencies (not just USD) is one of the things that would happen in a genuine secular bull market IMO. This seems to have started happening over the past year or so.

 

[nizar]

Gold rising against a broad range of currencies (not just USD) is one of the things that would happen in a genuine secular bull market IMO. This seems to have started happening over the past year or so.

smurf do u mean a bullmarket for commodities or a bullmarket for stocks? (since normally these are inverse)