Why We Know Gold Prices Are Headed Higher
Source: William Pantalon, Money Morning (9/23/11)
"Powerful trends are in place to steady gold prices in the near term—and to send prices higher in the longer term."
If I got your attention with that statement, I'm gladthat was precisely my intent.
You see, our global-investing experts here at Money Morning believe the worries about a major decline in gold prices are overblown.
In fact, we see two strong profit plays in this realmin gold itself, and in gold-mining stocks.
Up to now, gold-mining stocks have lagged gold prices. That's been a puzzle to gold bugs and institutional investors alike: After all, profits have been strongand with gold prices still not far below their record highs, that doesn't figure to change.
Indeed, institutional investors are even speculating (amongst themselves, of course) that a takeover frenzy is about to sweep the industry.
For that to happen, however, gold prices have to remain above the $1,500-an-ounce levelsomething most investors have grown increasingly fearful isn't going to happen.
We know differently.
We Know Gold Prices Are Headed Higher
Powerful trends are in place to steady gold prices in the near termand to send prices higher in the longer term. And that means gold remains a solid long-term profit play. And the same is true for gold-mining stocksprovided you pick the right ones.
In today's (Tuesday's) issue of Private Briefing in a report entitled "A 'Tidal Wave' of Takeovers is Headed Our Way"we'll show you how we know gold prices are headed higher.
In fact, they have to - and we can prove it.
And while you're there, check out Monday's Private Briefing report "The Brewing 'Takeover Mania' in Gold-Mining Stocks," in which global-resources expert Peter Krauth spotlights two mining companies that are prime takeover candidates.