McCullough: Why We Like Gold Miners

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Includes: ASA, DUST, GDX, GDXS, GDXX, GGN, GOAU, GOEX, NUGT, PSAU, RING, SGDM, TGLDX
by: Hedgeye
Summary

We are bullish on Gold miners.

“These companies need to consolidate and reduce their cost structure…and what it should do is unleash a round of further M&A,” explains Hedgeye CEO Keith McCullough.

“If you’re a gold miner, and you spent all that time building capacity, and you’re like us and you think real bond yields continue to fall as growth slows, you’re.

In this video, Hedgeye CEO Keith McCullough explains why he thinks gold miners are in a “bullish setup.”

“I like them all,” McCullough explains about the Gold Miners ETF (GDX).

“These companies need to consolidate and reduce their cost structure…and what it should do is unleash a round of further M&A.”

“If you’re a gold miner, and you spent all that time building capacity, and you’re like us and you think real bond yields continue to fall as growth slows, you’re probably in hurry-up offense to be buying companies.”

Watch the full video above for more.

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.