Everybody loves gold, even as commodities silver prices plot a comeback. Nowadays, gold is so ubiquitous that the closing spot price is routinely quoted in ordinary newscasts aimed at the average citizen who only has gold in his teeth, or in his wife’s jewelry box. That same person would be surprised to know how much silver lurking around his house.
The mainstream financial media is like a couple of eight-year-olds. We hear arguments from both sides -- corporate earnings are beating records, but at the same time joblessness could jump to 10% again.
Which is it? And how do you plan an investment strategy against such bipolar predictions?
These violent market swings can be devastating for the short-term investor. But Jon Herring says market volatility is handing long-term investors a once-in-a-generation chance to buy world-dominating companies at bargain prices.
Eric Roseman in The Sovereign Society says, “until the deflation […] ceases, commodities will remain vulnerable. Never in the history of capitalism have commodity prices rallied during a severe contraction in bank credit.”
Russell McDougal at Investor’s Daily Edge says there are extraordinary investment opportunities in the resource sector now.
There is a huge disconnect between commodities prices and resource-sector stocks. Even though the price of oil, gold and other resources have risen sharply in the last year, mining stocks are in turmoil.
