Brien Lundin – Making Sense Of The Macroeconomic Trends In The Markets Today
Brien Lundin, Editor of the Gold Newsletter, joins us to overview the upcoming New Orleans Investment Conference Oct 12-15, and provides his take on the macroeconomic trends and key catalysts in the general markets and gold and silver sector. Brien reviews the impressive who’s who list of key note speakers and 100 companies being showcased in a few weeks in New Orleans, and also points out that it is a chance to network with well-informed serious investors in the resource space. Cory and I will also be attending next month in person, so check out the event lineup and information in the link below.
We discuss gold’s recent outperformance over other assets classes by falling less, but that for some time the trend has been lower due to the central bank tightening and the rising US dollar. This leads to a discussion on the weakened global currencies continuing to push the greenback higher, and also how the recent actions and pivot by the Bank of England may be a hint of the potential future pivot that the Fed will also need to make. The other key driver in the markets and commodities lately has been interest rates pushing higher and higher, and we review the inverted yield curve, and ponder what would happen if there are not enough buyers of bonds and the Fed loses control of that market.
We wrap up with some reasons that Brien is still optimistic that when the precious metals sector does bounce and get more inflows for its safe haven appeal, that the gold and silver mining stocks will respond by moving up faster than many are expecting. While the mining stocks have definitely been under pressure the last 2 years, they are much closer to bottoming at these very low valuations and Brien notes that there are some amazing opportunities being presented to investors at this time.