Gold Stocks to Play Catch Up to Gold Price During 2008
Commodities / Gold & Silver Stocks Jan 22, 2008 - 08:28 PM GMTGold continues to perform quite beautifully.
And these are not simply short term rallies. These are real highs and very real price gains. Right now there appears to be a great disconnect between the gold price and the price of gold stocks. But I am here to remind you that this disconnect is slowly evaporating away. The following individual below is an individual worth listening to. I like the wise predictions he has put together for 2008. Let's hear a couple of these sound predictions.
Jason Hamlin – “ Gold will post its highest gain yet during 2008, outpacing the 31% gain of 2007. Investors will start to take more interest in gold as it becomes hard to ignore the massive advances from lower rates, the lower dollar and higher oil Gold equities will catch up to the metal and return to offering impressive leverage. Junior miners will outpace the majors…” Kitco .com
What else does Jason say that I am in complete agreement with for 2008?
Jason Hamlin – “ The U.S. will enter another country and start another war…” Kitco .com
Jason is a wise man and I'll close with his most astute observation for 2008.
Jason Hamlin – “ 2008 will be a difficult year for many investors, but I don't intend to be one of them. There are opportunities in the markets at all times. I will continue to be long gold and silver, picking up quality juniors along the way.” Kitco .com
Let's hear another status on the gold stocks from an astute analyst.
Greg Silberman - “ Thirdly, whilst the index is at new highs, the gains have mostly come from large cap miners and has yet to filter down to the smaller caps. Most exploration and junior producers are still down in the dumps. Point is, there is definitely still time to climb onboard but the spectacular gains will most likely come from the juniors where valuations are still low . When the first announcement of a takeover hits the junior market it will be like a match to the flame as speculation over who will be next causes rapid upward revaluations – the good investor will be buying now in anticipation of this.” Kitco .com
The point that we are driving home is that the sluggish junior sector will eventually be playing catch up to the wild price gains of the physical gold price.
“Hi David, You keep warning people bush and the neocons are going to attack Iran . He has about 11 months left to do this and he and his buddies are doing everything possible to find a pretense. I can't understand why anyone would criticize you for saying this. Every day on the news we hear more war mongering talk about attacking Iran for no good reason. Keep telling people the facts. We are going to attack Iran at any time. You're doing good Dave. Best, Roger in Wilmington , NC ”
And let's remind ourselves the future role of silver and gold.
Kenneth J. Gerbino - “The future of gold and silver as an inflation hedge is definitely going global.” Kitco .com
And what is the signal trigger we are waiting for to send share prices higher?
Boris Sobolev - “A takeover frenzy is coming and it will push exploration and development stocks much higher.” Kitco .com
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By David Vaughn
Gold Letter, Inc.
David4054@charter.net
© Copyright 2008, Gold Letter Inc.
“The Worldwatch Institute, an organization that focuses on environmental, social and economic trends, says the current rate of global demand for resources is unsustainable.”
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