Brien Lundin, Editor of the Gold Newsletter, joins us to share his thoughts on the recent move higher in the precious metals sector based on the war premium coming out of news from Ukraine, and the fleeting effects of geopolitical news to gold. We also balance the discussion by noting that the gold price movements are complex and also reflects all the different macroeconomic factors like the reduction of Fed tapering, upcoming rate hikes, higher inflation, and weak general equities markets. One other observation made is that silver and the mining stocks have not really outperformed gold recently, so we review what the ideal scenario would be moving forward.
We then shift over to the action in the mining stocks and outline that there are some green shoots, but that many companies from producers all the way down to explorers have not participated in a substantial way yet, and it has not been a rising tide lifting all boats. Next we get into how effects from inflation causing input costs to rise might be holding back some of the development stage projects and advanced exploration projects, as well as directly impacting the producers. We wrap up with finding out what kinds of moves Brien is making in his portfolio, and that he sees some special situation stocks he’ll be recommending soon in The Gold Newsletter.