Nobody besides NIA believes that gold is going to new all-time highs in the upcoming weeks, which will result in the highest quality gold explorers getting revalued massively higher. One reason is this so-called "war premium" that people believe is in the price of gold. They believe gold is only $2,012 per oz because of the Israel–Hamas war, and the war will soon go away causing gold prices to fall.
Our response to the "war premium" argument is:
Gold is up today to a new 6-month high. This means gold prices were higher six months ago before the Israel–Hamas war began. Nobody was talking about a "war premium" six months ago, so it makes no sense that gold suddenly has a "war premium" today.
The terrorist attack in Israel can be best compared to the terrorist attack of 9/11. It will likely result in increased U.S. military spending over a period of many years similar to after 9/11, which means worsening budget deficits and much higher prices for gold and gold mining/exploration stocks.
On September 10, 2001, the HUI Gold Miner Index was 63.71.
On September 10, 2002, the HUI Gold Miner Index was 131.43 for a one-year gain of 106.29%.
On September 10, 2003, the HUI Gold Miner Index was 200.38 for a two-year gain of 214.52%.
On September 9, 2011, the HUI Gold Miner Index was 628.34 for a ten-year gain of 886.25%.
Rising budget deficits from increased military spending will cause gold and gold mining/exploration stocks to rise for many years.
NIA's gold stock suggestions are positioned to increase the most.
Preparing Americans for Hyperinflation
