ALWAYS CONSULT YOUR INVESTMENT PROFESSIONAL BEFORE MAKING ANY INVESTMENT DECISION
April 5, 2024 | Gold Porn, Part 1: Gold Bugs Are Suddenly Cool
John Rubino
Suddenly the rest of the world is “gold curious.”
With the current spot price piercing $2300/oz this morning …
… we long-suffering stackers (and gold/silver mining stock investors!) can be forgiven for wanting to enjoy the moment. So let’s survey the headlines. Start by Googling “gold price” and note that even CBS’s audience is wondering whether this strange atavistic rock is worth owning:
Over at Kitco, where many recent headlines have been of the “Will precious metals ever do anything interesting?” variety, the tone is now way more upbeat. The top seven articles from Kitco’s current home page:
Junior gold and silver stock trains are leaving the station
Is gold becoming a global battlefield? BRICS looks to bullion to challenge dollar dominance
Bitcoin spikes above $69k while stocks, gold, and Treasury yields trend lower
It’s only a matter of time before the gold price hits $3,000 – Mind Money CEO Julia Khandoshko
Mining stock portfolios, while still beaten down, are starting to act like today is a normal day:
How to behave when your bets start paying off
We now have the problem everyone wants: whether to cash out in a rising market or just sit back and let the good times roll. The first and most important answer is that there is no one-size-fits-all approach. Each of us bought at different times and different prices and thus have different embedded gains and losses. And everyone has their own risk tolerance and general financial goals. In any event, we’ll only know the perfect strategy in retrospect.
Three suggestions:
Do consider taking a bit off the table. Selling into a bull market is one of the hardest things in the world of money. But being round-tripped is one of the worst feelings, so balance the greed and fear with some pre-programmed sell orders. The resulting cash might come in handy.
But DO NOT touch your core physical gold/silver. This is your bedrock generational wealth and should be immune to market fluctuations. For perspective, envision it saving your grandkids’ lives someday.
Don’t stress; enjoy. Big wins on large bets happen very infrequently, and though they require a response and, therefore, create stress, be sure to savor the win. The future is unknowable, but today, at least, we are very smart.
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John Rubino April 5th, 2024
Posted In: John Rubino Substack