Given the stock market crash of the past couple of weeks, PEM held it's own, showing strength compared to the general stock markets. Similarly, GDX and to a lessor degree GDXJ (ETF's for majors and juniors respectively), held up much better than the stock markets.

Meanwhile, over the past 2 weeks people fled the general stock markets for safer havens including gold. The airwaves were filled with comments about gold rising during this period. If the general stock markets stabilize soon and rise I believe more equity investors will return to the stock markets with gold mining companies more on their mind than previously. They have been sensitized to gold and their miners, as have large fund employees and managers. They have been hearing that the miners are under priced and poised for higher prices. The stage may have been set for the miners to rise as the stock markets recover either now or perhaps this Fall.

With PEM having held it's price through the past 2 brutal weeks in the stock markets, perhaps we have indeed seen it's lows and with a better investing environment and some continued good news PEM's doldrums days will soon be behind us.

marwal