garry from Yahoo board...
Gary1 hour ago
My post is getting deleted, maybe it's too large, so I'm going to split it into 2 parts:
Here's my answer to Bill who complained that he missed gold bull run while getting tricked by a "clown show" in TRQ. Here's my answer that explains to all new investors what is happening here and why:
Bill, the largest gold run in history (so far) is only going to start running next year, so relax, you haven't even seen what a gold bull run looks like and how, from prior history, it ends in fireworks that in 2-3 days shoot POG (price of gold) up a thousand dollars or more per day in steep hyperbolic curve, and generate more profits than the whole preceding profits of the bull run. And there's also even more enormous profits to be had on the short side once the rules get changed and bull run abruptly ends. Interestingly, you'll see that sp of gold mining will stop rising as much as gold, so the enormous profits will be made on the commodity itself, and its proxies and derivatives. The most $ will probably be made on futures calls if the move will be unanticipated. Imagine trillions of risk-averse $ invested in bonds will suddenly realize that their value had collapsed 30,60,90% and USD is collapsing around them? To put things into perspective, in those 2-3 days $1 investment will turn into a $1M or more on the long side and more on the short side if the collapse is going to be sudden (change of rules decreed by the president, US Treasury Secretary, etc.). These fireworks will explode when USD's status as international currency will be severely challenged or USD will abruptly fall on Asian markets while we're sleeping. That, actually, can happen rather soon if US keeps angering China to the point where they will decide to dump all their Treasuries and cut or threaten to cut trade with US. Also a military conflict with large loss of life between US and China will also set it off.
For now Au is reacting to Fed $ creation out of thin air to prop up economy from collapsing and causing an even worse financial shock to the country.
I will argue that TRQ is the most undervalued publicly traded gold mining company that is producing gold, so you're in the right place and at the right time.
The "clown show" is what a hostage situation looks like from the outside. Rio is holding TRQ as a hostage entity in negotiations with GOM and uses it as a shield that will take the hits with any construction delays and overruns, even though they're due to Rio Tinto's mistakes. However, since Rio owns a majority of TRQ - they put their "former" people at the TRQ wheel, but Rio Tinto make the rules. They don't care that they paid $21/share for shares that now cost under a $1 because they know they'll acquire all of it, and they know the value of OT. Their aim is to pull the wool over hapless TRQ investors' eyes and turn everybody off from investing in TRQ. However, they will have a problem buying minority shareholder interest on the cheap because lawsuits will be filed that will detail the real value of our shares.
So... Have patience, sit tight, get as much of TRQ as you can stomach to sit on, and wait for the buyout drama or, potentially, if the value gets great enough - we'll have a battle of titans with another miner taking a huge stake in TRQ or offering to buy out TRQ and GOM interest and then kick Rio out. Everything is possible once the deal with GOM is signed.
The hardest thing is to sit tight when your investment is not moving as it should, or worse, gets destroyed by manipulation