Let's say that these miners are getting the cheap gold out of the ground just like cheap oil. what happens when the amount of gold actually drops? share price might drop due to earnngs dropping but won't gold skyrocket to say 5K an oz as supply is diminishing (and earnings actually go up due to higher cost of gold)???? Granted, once all gold is mined, the miners go to zero (hope I'm out by then) but what happens when it's harder to get gold out? price of gold should go up (as well as costs though to get it out so it might be a wash). Anyone have thoughts on this?
In a mid-long run, gold certianly will go up a lot as good gold mines are depleting, this is why china and russia have been buying gold continuously.
But for a short-mid time, a bunch of forces want to take gold down so that they can buy at cheap. U.S. Fed has likely leased their gold to some banks like GS, who have sold the gold and will have to buy it back and then return to Fed, so that Fed can let Germany to take its gold back.
Chinese and Russia also hope gold go down so that they can accumulate at cheap.