Too many forces at play here for a positive NR to cause a spike.

First of all, it's no secret San is continuing to find gold. That situation is about the same as this time last year. The real question is whether San can make a profit mining it.

Secondly, I recently took some gold off the table (although NOT San Gold!) because it allowed me to realize 130% gains against tax losses incurred in 2008. We are entering into tax season. This means tax loss selling, traditionally some low valuations, and the opportunities that come with them. It makes a lot of sense to take some profits and move to cash. I did it last year and moved in at the market bottom (when I bought my San Gold!)

I'm a die hard gold bug, so don't get me wrong. But I wouldn't be surprised to see gold correct for a little while.

MR