Desperately Seeking the Gold Investor
Editor's Note: Gold and silver have been, at best, a frustrating trade. Exclusive to Kitco News, expert trader, Todd "Bubba" Horwitz, chief market strategist and founder of 'Bubba Trading provides a strategy investors can use in a range-bound gold price environment. Sign up before March 10 for the Kitco News Weekly Rundown newsletter to receive Horwitz's exclusive report and trading strategy.
(Kitco News) - Wow what a ride. Three back-to-back-to-back conferences folks; it's been a whirlwind, to say the least. So what is the number one message I kept hearing over and over? No one is really caring about gold and silver right now -- from mining legend Pierre Lassonde, to analysts over at the BMO conference.
With gold not breaking through its current range, it's difficult for investors to get excited about $1,300 gold – or as Lassonde summed up, over the last seven years, gold has not moved more than $100.
On the flipside we have bitcoin…enough said.
A survey conducted among 800 survey responses at the BMO Metals and Mining Conference found that the outlook was overwhelmingly more positive for the industrial metals versus the precious metals. More than 83% of investors and 76% of corporates indicated that industrial metals have a better investment case.
The exemption to the neutral view on the gold may just be Sprott's Rick Rule – who told me that while the metal might not have an "explosive up move" this year, gold has done exactly what he's wanted – preserve his purchasing power . "The idea that there is no money around is preposterous, the mining industry loves dumb money…but there is lots of focused money around," he said during the PDAC, in one of the realest interviews right now on gold…if you have to pick one interview, watch this one alongside GoldMining Chairman, Amir Adnani.
More from PDAC: Auryn's Ivan Bebek noted that, "investors are looking for every reason but the gold price to buy into other commodities, such as battery metals, tech, or marijuana," he said. The yellow metal would have to break above $1,380 an ounce. "Once the retail public sees $1,400 gold, you'll see an onslaught of investors coming back to the space, and I think from there, it's a pretty big springboard that's been pushed down in the last six years," he said.
And if you want some of the best insights on the mining space, John Doody of the Gold Stock Analyst (GSA) is offering Kitco Readers Only a special offer today. Subscribe to the GSA newsletter and get all the presentations from their GSA Investor Day, with the management from John's Top10 gold and Fave 5 silver companies – a $195 value. Click here
Ok…I'm going to enjoy this weekend and catch up on sleep!
See you next week, back in studio!