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John Rubino – Gold And Silver Breaking Higher, Geopolitics, Q4 Earnings Expectations In PM Miners, Improving Margins, And Trends In Inflation

Shad Marquitz
December 9, 2024

John Rubino, [Follow John on his Substack https://rubino.substack.com/],  joins us to discuss the recent break higher in both gold and silver, the contrasting moves within the PM mining stocks versus juniors, looking ahead to Q4 earnings, the improving margins in the gold and silver producers, and the macroeconomic trends behind inflation.

 

We start off discussing some of the geopolitical factors like China buying more gold as they stimulate their economy, the conflict in Syria, and parts of Europe, and how this is bringing in a steady amount of safe haven buying.  There are a number of factors underlying the robust gold and silver metals prices, and it was encouraging to see silver catching up and rallying in a bigger way to kick off this week.

 

Next we shift over to the precious metals mining stocks, noting the cost creep this year eating into some of the gains in the underlying metals from a margins perspective, but that over the last 3 quarters many producers did finally start seeing margin expansion and share price appreciation.  Looking ahead to Q4 earnings, we may finally see some upside surprises as costs have moderated.  This leads into a larger discussion on labor costs as a key driver of inflation both in the mining sector and across the broad economy.

 

 

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Click here to visit John’s Substack to keep up to date on his market and economic commentary.

Discussion
3 Comments
    Dec 10, 2024 10:58 AM

    This is a nice hit in a great location, (Oregon) Provenance Gold (PAU) hits 3.07 g/t AU over 175.26 m @ Eldorado. DT 😉https://money.tmx.com/quote/PAU:CNX/news/7770846543702696/Provenance_Gold_Drills_307_gt_Gold_over_17526m_Including_217_gt_Gold_over_610m_at_Eldorado

    Reply
    Dec 10, 2024 10:45 AM

    The economies of The World are going to see a financial derangement caused by China through The Peoples Bank of China buying up huge quantities of gold. Canada and Britain sold all their gold reserves at ridiculously low prices many years ago. When the countries who hold no gold or very little realize that they have missed the boat and must catch up the price of gold will rise much faster than we are now seeing. China is holding all the cards these days in almost every metal you can imagine, they have been allowed to make all the right chess moves while The West has believed it is dominant. Our media never talks about this or the fact that The US stock market is in a huge mother of all bubbles. The West has shot itself in both feet. DT

    Reply
      Dec 11, 2024 11:26 AM

      Fort Knox hasn’t been audited since 1953 and then it was only a partial audit, that’s more than 70 years ago.

      Like Egon von Greyerz says, ” FORT KNOX HOLDS NOTHING BUT MOTHS AND HALF EATEN IOU’S”. The Bankers they have now are totally incompetent bureaucrats, now that the gold in Fort Knox is gone it will never come back. The Chinese will never sell their gold holdings, only The West that prides itself on being an exceptional society would dispose of their gold reserves, and give away their industry, so they can become a service-oriented society that consumes what others produce in the misguided belief that this will go on forever. DT

      Reply

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