Triple Waterfall Crash

The triple waterfall crash in equities presumed to occur starting yr. 2000 is visible in nominal terms in some sectors, but not in the equity indeces.

You have to look at the bear market in inflation-adjusted terms. In order that you adjust for inflation and currency depreciation at the same time, the simple method would be to divide by the gold price.

We are in a modern day depression, which can be characterized as a long-term major inflationary recession with a deflationary credit cycle and inflationary monetary policy.

http://advisorperspectives.com/dshort/updates/Real-Mega-Bears.php

Pretium

Your quintessential high-grade gold discovery has been made. The common assumption is that this will set alight the junior market. To their credit, Pretium has made a high grade discovery in what was considered a low grade, bulk tonnage deposit. You have two mining scenarios here.

The scale of the deposit will not bail out the majors seeking to acquire a major gold discovery. This is why they have all tried to acquire massive copper deposits. Its just not large enough. But in terms of size and geological disposition, this deposit is an historical discovery of the type you would have expected in the turn-of-the-century era after the Rich Man's Panic in 1907. Dome mines was founded on a discovery in 1908. Lamaque was discovered not long after.

For GBN.V shareholders its a bit of a godsend, since the acquisition of a bulk tonnage deposit and re-discovery of the narrow vein portion will focus investors on narrow-vein deposits with high cut-off grades, rather than bulk-tonnage deposits with undefined cut off grades in the range of 0.3g/t.

So you can see why there is a definite interest in the combined scenario of an underground narrow-vein deposit with surface bulk-tonnage potential.

http://business.financialpost.com/2012/03/05/quartermain-strikes-gold-again-30-years-later/

-F6