The collapse of Gold stocks on Friday in the US indicates investors expect more falls in the POG. Have a look at some of the falls
HUI down 8.1%
GDX down 8.8%
GDXJ down 12.1%
Further falls in the POG will mean many mines will be forced to close and you can expect more bloodbaths for Gold miners in the future. Even though many Gold miners have already fallen by 90-95% from their bubble highs there is still further to go. It will be like a rerun of the internet bubble bursting in 2000 where most internet companies ceased to exist the same will happen to many Gold miners.
