P.J.Cooper: Hold on to gold for systemic protection

"Massive currency intervention ahead of the US presidential election explains the dollar rally that has depressed precious metal prices over the past two weeks.

But all the intervention in the world can not compensate for a monetary system that is fundamentally flawed with huge counterparty risk in derivative products and diving into a recession. Consider the logic of the dollar rally, there is none really.

We hear that the EU was in negative GDP territory in Q2 and Q3 is looking worse, so the EU might beat the US into declaring a technical recession. The dollar rises, US exports become more expensive for sale into a declining EU market."...

Please click HERE for P.J.Cooper's post

Time is running out to buy junior exploration stocks

Peter J. Cooper, a Dubai based economic journalist, has recently posted an excellent analysis of why and how to make the best of the coming (and rather overdue) junior mining shares price explosion.

Here's some appetising excerpts.

"The big gold and silver producers are preparing to unleash a round of bidding for junior exploration companies that will bid up the value of the whole sector, and stocks that are good, bad and indifferent will jump in value. You have been warned. Now is the time to buy. It is so obvious with gold and silver prices on the march…"

"Gold and silver equities have been disappointing performers over the past couple of years. Cost inflation has dented profit margins for the big producers, and capacity expansion has been subject to delays. But these fears may have been overdone, and rising precious metal prices will now begin to feed straight through to the bottom line."

"Market anomalies are how investors make big profits. The price of silver is another example of a market anomaly, as this column argued last week. Silver has underperformed every other metal, except gold in this commodity price boom and yet its supply and demand situation is arguably the weakest of all.

So if you want to hedge your position in the junior explorers with a second opportunity to achieve leveraged performance to the rise in price of the underlying metals, then again silver stocks are to be recommended. The smaller companies might well deliver the best performance but unless you want to deeply diversify you could stick to the bigger names."

Please click HERE to read P.J. Cooper's analysis titled "Time is running out to buy junior exploration stocks" while the junior shopping season still lasts...

Junior Mining summer shopping spree?

According to Financial Journalist Peter J. Cooper writing from Dubai, this coming summer may be just hot enough to ignite an aquisitions rush for promising and undervalued junior miners.

You can read P.J. Cooper's post called "Stalking the best gold and silver juniors a profitable summer sport" at his blog HERE