On Wednesday, gold vacillated between $740 and $750 all through the Far East and early European trading. Gold struggled to tack on about $20 within two hours of the Comex open in New York, but then it was lights out for the rest of the regular trading session.

It was selloff across the board for the Canadian Markets during Tuesday trading as investors grew skittish on the future of commodity prices.

In the summer of 2007, I traveled to the gold-rich plains of Nevada… I flew into the tiny Elko, Nevada, airport, which is ground zero for the most prolific gold producing area in the U.S., the Carlin Trend.

Commodities are governed by supply and demand - more than any other variable. Just take a look at the precious metals bull market we’ve enjoyed since 2001.

The current “battle” in the gold market is around the $900 level, a fairly steep retrenchment from the recent highs of $1,011.

Today, I’d like you to imagine a hot-dog business. After buying your cart, permits, insurance, hot dogs, buns, and condiments, you hit the street. You sell hot dogs people will happily pay $2 for. Let’s say it costs you about $1.50 to produce a hot dog, so you’re making a gross profit of $0.50 per unit.

It was another rough day on the resource-rich Canadian markets during Thursday trading as the cooling down of commodity prices continued for the second straight day.

Seymour Schulich probably saved Newmont Mining with a single stock trade. In October 2004, Schulich came to the simple realization that even though prices had already doubled over the preceding two years, oil’s cost had to rise much higher since demand continued to outstrip supply.