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Gold/Mining/Energy : Newmont Mining(NEM) & Newmont Gold(NGC) -- Ignore unavailable to you. Want to Upgrade?

To: Exsrch who wrote (279)	7/8/1999 12:52:00 PM
From: ahhaha	Respond to of 587

The long winded hedging discussion on Gold Price Monitor thread missed one point and that is hedging assumes that the cost to deliver is the mining cost assessed today. What if rapid inflation causes miners to strike for exceedingly higher wages and equipment costs soar? Suddenly the assumption of delivering gold at a locked presumed lower cost goes out the window and the implications of rapid inflation imply a mad scramble in to deliver paper with paper rather than bullion. That isn't the only bogey completely missed by the cognosensi over there or at ABX. That's the problem with in-depth comprehension. Where there is knowledge, there is ignorance. ABX is so sure and smug about how clever they are to manufacture the price of gold. The dividend is paid with the blood of other mining companies. ABX has rolled up quite a pile of this silent debt and they will pay big time.