Loading ...If you are talking about PM stocks, I’m afraid you are in for a great deal of disappointment.
The term ‘gold stocks’ has two words … ‘gold’ and ‘stocks’.
The question then arises, are ‘gold stocks’ more a function of gold, or do they operate more like stocks – subject to macro forces.
Now I am not going to go into all the details here (why should I), but suffice it to say, that in the end, when macro conditions are favorable for the group, they will act consistently with the commodity prices (gold, silver, etc); and when the opposite is true, they can and do more often than not act more like stocks.
Considering ‘stocks’ are just rolling over in a C wave that could be as devastating as that witnessed between 1930 and 1931, I wouldn’t count on much for a while yet.
And as for juniors, which are more a function of credit risk in contracting liquidity conditions than anything else – well – I will leave it to you to fill in the blanks.
Cheers mate