With gold, it’s all a matter of perspective. Even if we pull back short term, it’s obvious that gold (and therefore silver and the miners) are still firmly in recovery mode after the steep correction precipitated by the US attack on Iran, advises Brien Lundin, executive editor of Gold Newsletter.
It’s important to note that every asset class was affected by this event, and primarily because the inflationary consequences might prevent central banks from providing the easy money that keeps traders happy.
Just as important: The factors that will drive gold and silver far higher — massive debt loads, the spiraling costs of servicing those debts, and the currency depreciation that will necessarily result — are completely independent of these short-term events. And irreversible.
More to the point of my publication, the junior mining sector (and notably many of the companies in our portfolio) are experiencing strong recoveries.
