The U.S. Fed may be tapering or altering bond purchase stimulus is the main reason for drops in equity markets, but they hinted at months back. For Canada that with next to 0.00 percent interest rates inflation (or lack of) the main driver for gold bugs (like myself) will be the missing driver in the price of gold. However if you look back over the year gold has dropped anyway as I pointed out numerous tines.
Major gold producers with the lower gold prices will continue to nip investments and will continue to cut costs and limit M&A activity or low ball at the very least. still mega dumping of gold on the markets but we may be seeing a bottom. Silver who usually rides the coat tails of gold is usually mined incidentally along with base metals or gold will continue to parallel gold. My advice is to buy oversold producers and avoid explorers.
I still see gold sideways at best for the remainder of 2013 as gold and gold stocks will continue to be sold to cover margin calls and other market losses. Not to mention summer doldrums as I pointed the pullout from the Venture trading stats I posted but also an earlier tax loss season, and those wanting their money back on any blip in stock prices. 2014 may look promising though but there are still too many variables for analysis.
Gold 1 year