Color me a believer in price.
Let’s face it, gold is a useless metal in North America. Silver less so. Obviously, there is something bigger going on. It is not just speculation, nor is it inflation and a weak US Dollar alone.
In the past, gold stocks were hammered during market corrections. Not recently.
I am not chasing the metal or stocks here. I am actually considering some sales in SLW and PAAS. In fact, I will sell some of both on the open. In the past, major price spikes have been great times to sell.
It’s a major bull market so major price declines would be a good time to add. I will rebuy some leaders on the next major decline. It will come.
Update – Eddy Agrees. A great post about commodities in general as a historically awful investment . That said, what would the markets look like with Gold at an inflation adjusted all-time high of $2300/ounce? Would Twitter or Facebook matter much :) .