I reduced my MML position by a third today and switched it into...

I reduced my MML position by a third today and switched it into a couple of other ASX listed gold miners.

I was underwhelmed by the oz produced (I was expecting 27,500+) and to see the AISC remain as high as it was even though an extra 2500 oz were produced this quarter was disappointing.

The most disappointing thing for me was that cash and bullion on hand actually reduced by $1M!

This worried me given that they received US$1197 an oz for their gold this quarter, yet couldn't add to their cash pile, which doesn't bode well given that PoG at present is sitting about $100 below that level...

Whilst I feel that gold is oversold at the moment and may find some support in the coming weeks, given it broke through $1085, my sense is that gold has not yet bottomed, but will now bottom sometime in 2015 or 2016 and having now hit $1085, I'd be surprised if the market didn't attempt to push the price to $1000 before a true bottom is found.

So given the rising AISC, falling cash pile and a PoG that has $1000 in its sights, there may be some better buying opportunities for MML in coming quarters and I'm now tempted to wait for MML to actually reduce their AISC before buying more...