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Originally Posted by aka123
Selling below cost of production at 1170 $ per oz?
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Yes - some have lower all in cash costs and some higher but the average cost of getting 1 oz gold out of the ground across the mining industry is around $1200 USD. Of course, it varies but most analysts use this figure in their assumptions:
The Scary Number for Gold Investors: $1,200
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As gold is highly speculative commodity, there is always market risk.
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You have a bad habit of stating the obvious. I said there was a serious limit to downside risk and that applies if you buy below or around the cost of production. That does not mean there is no risk.
Can gold fall below $1000/oz? Sure it's possible but I doubt it would stay there for very long as it means many mining companies go bust, projects shelved, mines get closed as explained in the above link and that all means lower supply. Prices then have to go back up again.