Don't Worry, Mining Is Filled With Up-And-Comers: Marin Katusa
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(Kitco News) - Despite the draw from hot sectors like crypto and cannabis, the mining sector is attracting some of the best and brightest, said Marin Katusa during an interview on Friday at the Palisade Global Hard Asset Conference on Jekyll Island, Georgia.
Katusa, who runs an eponymous research firm, said markets outside of mining are sucking up a lot of capital, but the intellectual power in mining remains high. Katusa singled out Nolan Watson, the 39-year-old CEO of Sandstorm Gold, as one of the new generation of leaders in the industry.
"You have to be absolutely passionate to suffer the pain you encounter in this industry," said Katusa. "This has been a tough, tough market and everyday [mining leaders] are fighting for shareholder value.”
Katusa’s short-term outlook for gold was bearish, as he noted the strong U.S. dollar appears to be holding its weight.
“We’re in a strong U.S. dollar market, and people hate when I say this, but I don’t see it changing for the next 12 months,” he said. “We’re in mid-2019 here, I think up until the election, the U.S. dollar is going to stay quite strong.”
The result will be increased pressure on commodities, he explained, as countries like Canada and Australia benefit from record gold numbers due to their currency advantage. “These are all factors that the dollar is a cornerstone for,” he said.
For now, Katusa said gold is only appealing as a long-term play.