Gold Mining Stocks?

[squarepusher]

any opinions of this? Could be good investments?

 

[squarepusher]

adding notification

 

[XxNeXuSxX]

Note the word "stock"

 

[squarepusher]

well considering gold and stock will raise faster than inflation prices, it could be a good 1-2 year play.

 

[XxNeXuSxX]

well considering gold and stock will raise faster than inflation prices, it could be a good 1-2 year play.

Absolutely, but with stocks come unpredictability: they are driven by factors other than capitalism. Anyone's advice to you on this would be nothing more than a guess. Most people are advocating to stay out of gld and other gold stocks and buy physical gold.

But hey, try and play it if you want; I personally have no idea how it will play out.

 

[Arklatex]

BUY GOLD STOCKS


Gold miners are leveraged toward gold, just a 10% increase in gold spot could mean a 50% increase in a gold miners profits. It may be the best time to buy in our lifetime, shares of miners are very incredibly cheap.

I own these two:

AUY
IAG


added to them both just yesterday matter of fact =) I'm really proud I got IAG shares at $2.78 =) go me

 

[Arklatex]

By Richard Russell
Dow Theory Letters
Thursday, November 20, 2008

http://ww1.dowtheoryletters.com

Question -- Russell, I see December gold is up 12.80 this morning before the opening. But gold has been up every morning by $10-$15, yet it closes up only $2 or $3 if it's up at all. What's going on?

Answer -- I have to think that one way or another gold is being manipulated by certain sources. What group would least want to see gold heading higher? My immediate answer is the Fed. The Fed is now exploding the money supply. This would ordinarily foment inflation. Surging gold is a red flag that the public understands. The Fed is doing everything it can to hide the fact that it is devaluing the dollar via its current massive production of dollars.

Question -- How will this all play out?

Answer -- I believe gold is in primary bull market. When the kettle is boiling, you can seal off the kettle. But eventually sealing off the kettle will lead to an explosion, as the expanding steam builds up more and more internal pressure. This is what I think is happening to gold. The longer gold is artificially bottled up, the greater the bull forces within gold will struggle to express themselves.