Better than expected US jobs data from Friday morning has pushed the precious metal further south to $1,215.80, triggering a sell-off of many of the world's largest gold miners ' shares.
Barrick: down 5.3%
Goldcorp: down 8.1%
Kinross: down 8.3%
Newmont: down 5.7%
Randgold: down 5.8%
The gold price decline is said to be " feeding on itself ." As each new technical barriers is swiftly breached, significant new lows quickly become possible. All of a sudden, gold has retraced 50% from its 2011 highs, and seems headed for $1,000.
Slowed bullion demand in China and India, and life signs from the US and Japanese economies are two drivers of anti-gold sentiment, which has reached new heights.
Economist Nouriel Roubini, "Dr. Doom," who is among the preeminent gold bears, says "gold prices are likely to move much lower, towards $1,000 by 2015 …unlike other assets, gold does not provide any income…gold remains John Maynard Keynes’s ‘barbarous relic,’ with no intrinsic value and used mainly as a hedge against irrational fear and panic.”
