Gold & Silver

We have been following analyst predictions for gold & silver mining stocks and precious metals streaming companies on Yahoo.com for some time now. In this article we document their current consensus price targets and take note of recent target changes where applicable.

While for the time being gold has bounced off long-term support, the XAU has signalled that there are still lower prices ahead for gold mining stocks.

Gold miners have been an embarrassment. A dollar put in gold five years ago would be worth about a $1.70 today; that same dollar in Market Vectors Gold Miners ETF (GDX) would be worth only $0.80. What explains this sorry performance?

Measuring market data using fiat currencies can be misleading. Even though an asset may rise in dollars, it may be because of declining currency value rather than true economic process. With central banks devaluing currency at record rates, gold’s steady purchasing power makes it an ideal alternative pricing mechanism.

Changes in economic indicators, copper and other commodity prices and stock market trends are covered in this month's market intelligence infographic.

To believe that governments...[won't confiscate your] gold to help support their national finances... would be naïve, especially in light of past and recent events. That's why it is now incumbent on all investors to look at the meaning of ownership in investing and investors' vulnerability to government confiscation as well as vulnerability to exchange and capital controls. We do this below.

It is possible that Bitcoins are starting to steal some of gold's historic role as a safe haven asset, and if that comes to pass it will be a headwind for the metal and the miners of it going forward....

Both Gold Futures and Gold Stocks (HUI) remain on their respective steep rising 10-year support lines. The question now is whether or not support and oversold sentiment conditions keep Gold and the HUI from falling any further. [Let's hope not!]

The funds you have placed on deposit and the property you thought was secured in your safe deposit box may not be safe under certain circumstances. They may, in fact, all end up belonging to the bank and not to you.

While gold remains a smart move, there’s much to be said for silver. Why? Because, unlike gold, silver has an inherent value that goes well beyond scarcity. Without silver the world as we know it would literally stop. The computer screen on which you are reading these words, has silver in it. The TV you watch, has silver in it…and the list goes on and on.