Thursday, 8 September 2011

Gold Stocks...fuel waiting for a spark

http://www.safehaven.com/article/21388/will-gold-equity-investors-strike-gold

Gold stocks are cheap by many measures. The article above sets out the story well. If not as cheap as 2001, then very close. Gold at $1,800 per ounce will send rivers of "fiat dollars" through the cashflow statement.

Are you listening to Mr Market? Or are you happy to buy bank stocks yielding a healthy 9% dividend, with tepid growth prospects?

The stocks have started a move already...those in the know have been buying into the sell-off. The many will come soon enough. Keep an eye on the 600 plus level on the HUI (US index).

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