Soaring Markets

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...this bull market rise is still lacking investor and Wall Street enthusiasm. That's still to come and we think that'll probably happen once gold hits a new record high above $850...

Huge moves have been taking place this year. It's a big deal but, with the exception of oil, not many people are paying attention. In fact, it seems like most people don't really care, and that's good for us.

At the New Orleans Investment conference in October, for example, attendance was lower than last year. Several of the speakers also commented on a general lack of enthusiasm.

Considering that these attendees are mostly gold investors, and gold was more than $200 higher than it was last year, this is quite strange. But this nonchalance tells us that gold's bull market still has a lot further to go. In other words, the normal psychological steps, which happen in any bull market, have barely gotten started.

...Normally, for instance, you'll see the so-called smart money go into a developing bull market first. This includes investors who understand the markets and the big picture, some professionals and so on.

As prices rise, more gold bugs will move in, usually followed by some early-bird Wall Street types.

This is basically where we are now, in the second phase. But as New Orleans illustrated, this bull market rise is still lacking investor and Wall Street enthusiasm. That's still to come and we think that'll probably happen once gold hits a new record high above $850...

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