Gold equities remain inexpensive relative to bullion, with companies now holding strong net cash positions, generating robust free cash flow, and likely to increase capital returns.
Stocks are faltering and August/September is noted as a poor period for stocks. Meanwhile, gold, silver, and gold stocks appear to be under accumulation despite another sell-off. The August/September period is usually good for gold.
To close, we remain mindful of the S&P “Casino” 500’s excessive (understatement) overvaluation, the price/earnings ratio at this writing (per the opening Scoreboard) at 44.9x, (i.e. double, indeed triple, as was taught in portfolio theory).
Gold and its miners’ stocks are heading into their strong season. That’s kicked off by their robust autumn rally, which tends to run from late June to late September.
Ira Epstein discusses the current state of the metal markets, highlighting significant declines, particularly in silver, while noting that platinum remains relatively stable.
Ira Epstein discusses the current state of the metal markets, highlighting copper as the strongest performer while gold shows signs of revival and silver struggles to maintain its position.
It’s possible that the recent CPI and PPI reports have put gold precisely at or slightly below $3900. Having said that, it doesn’t matter what price a “final low” ultimately ends up being.
Ira Epstein discusses the geopolitical tensions involving Iran, particularly the U.S. policy changes regarding the Strait of Hormuz and the enforcement of blockades on Iranian shipping.
A crash or sell-off in spot gold will occur if spot gold does not break $4260 by the first week of August. If you have a gold investment in any form, you need not worry.
