Gold, Should You Own It In 2022

As we continue to roll into the new year and the market volatility appears only to be strengthening by the day, you may be wondering if gold is worth investing in during these turbulent times.

Well, the real question maybe is why are the markets so turbulent today? There are a few reasons, of course, but the big reason is because of the coming higher interest rates and deleveraging of the Federal Reserves balance sheet. But, the why behind the higher interest rates is what's very appealing to some gold investors today; high inflation.

Gold has forever been the hedge against high inflation. The thinking is that the dollar losses value as inflation goes higher, but it will continue to keep up with inflation, and historically it has pretty well. So, the Fed is currently talking about raising interest rates in the coming month in an attempt to slow inflation but not derail the economic recovery due to the negative effects caused by the Covid-19 pandemic.

So, we know that gold is good when there is high inflation, but do we know if it's good when interest rates are rising? Continue reading "Gold, Should You Own It In 2022"

Gold Stocks Are Under Pressure Except For One

Aibek Burabayev - Contributor - Metals

Gold is under pressure after it couldn’t break above the previous major top and the gold stocks couldn’t escape the same fate. Last time I filtered the gold stocks by ROE and in this piece, I would like to make an update on their price performance for you.

To remind you, the top stock tickers are ABX (Barrick Gold), SBGL (Sibanye Gold), IAG (IAMGOLD), GSS (Golden Star) and HMY (Harmony Gold Mining).

Chart 1. Top Gold Stocks Vs. Gold: The Brightest Star Is The Golden Star

Gold vs. Gold Stocks
Chart courtesy of

Gold topped on the 8th of September at the $1357 level, and that’s where I have started the chart. Gold (black) lost more than 4% from that peak. Three of the five stocks lost more in price than gold did: HMY (green) fell for more than 13%, your favorite (see chart #3) ABX (red) dropped almost 21%, and the worst performer is IAG (purple) with -21% drop, which was the top gainer in the previous update. Continue reading "Gold Stocks Are Under Pressure Except For One"

Stocks To Watch Amid Gold's Rise

Aibek Burabayev - Contributor - Metals

Gold broke above both daily and monthly resistances, and we could witness a further strong move to the upside. In this post, I would like to find out if there are gold stocks with upside potential to follow the strengthening metal using my unique selection criteria.

When you buy stocks, you become shareholders of the company participating in the equity. That is why this time I decided to sort the gold stocks by ROE (return on equity) and chose the top 5 (in the table below) to analyze. The range includes stocks with a market cap over $300 million.

Table 1. Top Gold Stocks By Return-On-Equity (ROE)

Gold Stocks
Image courtesy of

These top stocks tickers are ABX (Barrick Gold), SBGL (Sibanye Gold), IAG (IAMGOLD), GSS (Golden Star) and HMY (Harmony Gold Mining). Continue reading "Stocks To Watch Amid Gold's Rise"

Take Advantage of the Volatility in Stocks with This Gold Play

Daniel Cross - Contributor - Equities

The recent Greek crisis and Chinese stock market crash has injected high volatility back into the financial markets and dragged down the broader averages over the past week or so. Before you hit the panic button and start selling though, this news isn't necessarily a bad thing.

There are two big factors working for savvy investors right now. One is a fundamental tenant of investing – no one ever made money by panicking. A market sell-off means plenty of stocks that might not even be exposed to the events occurring overseas are suddenly much cheaper right now. Value investors know that the pickings are good when everyone else is nervous because there are deals to be found in multiple market sectors.

The other factor is that sudden uncertainty usually translates into good news for gold. This safe haven asset is a tried and true resource for investors who want to place to park their gains while the stock market undergoes a correction. Continue reading "Take Advantage of the Volatility in Stocks with This Gold Play"

Oil Might Be Down, But It's Not Out – Here's The Long Term Play

Daniel Cross - Contributor - Equities

The energy market has been a meat grinder for investors during these last nine months. Just look at the nosedive oil prices have taken:

Light Crude Oil (WTIC) - Chart
Chart courtesy of

Oil might have led the way, but it took down energy as a whole as well. A quick look at the Energy Select Sector SPDR ETF (XLE) reveals a couple of interesting notes investors should be paying attention to. Continue reading "Oil Might Be Down, But It's Not Out – Here's The Long Term Play"