Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Barrick Gold (ABX) -- Ignore unavailable to you. Want to Upgrade?

To: nickel61 who wrote (2633)	5/13/2002 2:09:31 AM
From: russet	Respond to of 3558

So Barrick's value added is due to the fact that they hope they can accurately predict where the gold price will be when their calls expire. How would they know that? They are either purely speculating or they have a reason why they think they can guess the gold price better then the buyer of the calls. Correct? Wrong again!!! Barrick is doing one simple thing,...trying to lock in revenues and some costs by hedging. All your unhedged producers are speculating on the POG,...not Barrick.