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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: energyplay who wrote (42302)12/1/2003 4:48:08 PM
From: Condor  Read Replies (1) of 74559
 
Tieing to gold would only slow things down - over $500, many more deposits become profitable.

Absolutely correct but several of the producers would make so much money they would go nuts like a junior. Identify them and position now if you believe. At $ 1000, grandmas rings are going to be smelted. :o)

EG: The last thing big producers want is Nickel at $ 12.00/lb. There will be many orebodies brought on line and they will be very efficient and modern and indebted and be an overhang on the producers market for years even as Nickel drops to $ 5.00. The upstarts owners will need to produce for cash flow and surrender a profit model in order not to forfeit the entire investment.
The big producers know that there is a fine line in price that should not be crossed. They will produce wildly into an expanding price market not only for profit but for market balance.

cheers
C
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