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Gold's correction may be about over, says Deutsche Bank, noting the metal is off more than 30%...

Gold's correction may be about over, says Deutsche Bank, noting the metal is off more than 30% from its Sept. 2011 peak. This is significantly less than the declines from 1980-81, but interest rates then were 20% (with real rates rapidly rising as well). Tighter Fed policy ahead is still a headwind for gold, but could be priced in at this point. GLD +1% premarket.
Comments (2)
  • Investor Talkroom
    , contributor
    Comments (473) | Send Message
     
    Well, that was quick. I am prepared for the rebound: Long mining stocks - a lot.
    8 Jul 2013, 09:29 AM Reply Like
  • sikkabooyah
    , contributor
    Comments (473) | Send Message
     
    GLD is one thing, gold mining stocks are quite another.

     

    GLD doesn't pay dividends, but at least it isn't dependent upon government attitudes toward mining companies (and the prospect of nationalization), worker unrest, mining accidents, increasing costs to get the stuff out of the ground and to transport and store it, environmental protection regulations, liability insurance (if it's even available to mining companies at any cost!).

     

    Did I forget anything?

     

    So, I'm watching carefully as a bottom in GLD begins to assert itself. At the same time I'm carefully avoiding mining stocks.

     

    Cramer tells us to buy gold coins - he's even wary of GLD.

     

    Of course, there always are bank CDs....
    8 Jul 2013, 12:18 PM Reply Like
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