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""Dig away, boys," said Silver with the coolest insolence; "you'll find some pig-nuts and I shouldn't wonder.""
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You can't pump so much money into the economy and not have significant inflation. It'll catch up eventually. I'm not one of those "GOLD TO $3,000" people, but I certainly think we'll see a couple big jumps in the next year or so.
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This precious metals fund is a hedge against both a down market and a poor performing dollar
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Gold and silver are beginning to turn back aroung and go higher. Many speculators are claiming that there is a commodity bubble". I don't think so. If you look at the fundamental reason behind the last 6 months rise in precious metals, you have to ask yourself....has anything changed? I don't think so. The Fed continues to pump liquidity into the market, the interest rate continues to decline, inflation continues to increase and the dollar continues to fall. That being said....if due to demand decreases oil drops sharply from here...there is a possibility that precious metals will follow. Precious metals will experience quite a bit of volatility and the gyrations may be tough to handle but I think due to the fundamentals that I mentioned above that a year from now precious metals will be much higher.
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i need money
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Precious metals and commodities will continue to outperform the market given the FEDs sudden love for inflation producing measures. The weakening economy, lower interest rates, and the billions the FED is flooding onto the market will continue to devalue the dollar and drive prices higher on everything.
Another item to note is that the ETF funds (SLV, GLD) and other investment vehicles (deposit accounts, pooled accounts) have added to the demand as well.
DBP gives a nice cross exposure to both silver and gold.
~X~
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Commodities shall rule the Day, Week, Year ... possibly the Decade!!!
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We buy gold with dollars -- on this theory alone gold should have surpassed its all-time high months ago. This fund eliminates company inefficiencies and simply tracks the metal -- it also trades options making a leveraged profit opportunity very likely. All lights for this one are green -- gold next barrier $1,000 -- it'll drag silver for the ride -- until it can gain enough steem of its own.
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inflation hedge
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Gold and silver should go up due to a declining dollar as well as supply/demand issues, especially in the case of silver.
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This Deutsche Bank PowerShares ETF targets both the Gold and Silver markets. You'll see from the rest of my holdings here that I'm narrowly targeting the Precious Metals markets and this fund which targets both should remain a core holding while I will occasionally shift emphasis from Silver to Gold or vice versa depending upon my allocation system and refinements to it. Due to the relatively small number of ETF's and "pure" instruments traded as "stocks" and focused soley on the metals, I've added a few core holdings like this one to help me achieve the CAPS 7 pick minimum at all times. Actually having this one as a core holding, given its balance on the two metals, this ETF shouldn't interfere with my developing system.
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