Welcome to Money Morning - Only the News You Can Profit From.

Skip to content

Gold Mining - Money Morning - Only the News You Can Proft From.

Money Morning Mailbag: Don't Bank on a Return to the Gold Standard

[Editor's Note: We want to hear from you! Do you have a comment, suggestion, story idea or a question? Let us know at mailbag@moneymappress.com. (**) And be sure to check back for responses to reader questions and comments.]

Gold prices closed above $1,300 an ounce for the third straight day yesterday (Thursday), continuing a record run that's delighted gold bugs everywhere.

The surge shows just how much confidence investors have lost in fiat money, and greater appreciation for what former U.S. Federal Reserve Chairman Alan Greenspan last month called the "ultimate means of payment."

Gold's price surge "is a signal that there is a problem with respect to currency markets globally," Greenspan told the Council on Foreign Relations.

Indeed, Money Morning has repeatedly warned readers about the pitfalls of paper currency. However, it's unlikely that readers hoping for a return to the gold standard will get their wish.

  • About the Author
  • Syndicate

Think Gold Prices Have Peaked? Think Again

If you think gold prices have peaked, think again. Gold may have fallen from its June 18 record high of $1258.30 an ounce, but the yellow metal is in for the long haul.

In fact, Credit Suisse Group AG (NYSE ADR: CS) has increased its long-range forecast for gold, arguing in a new report that prices should remain near current levels for at least the next four years.

CS analysts' 2014 target is now $1,300 and ounce, compared to their previous forecast of $1,120. That may not seem like a very brave forecast since gold is already trading at nearly $1,200 an ounce. But it has profound implications for gold miners, because mining stocks are priced based on expectations of future earnings. Removing the expectation that gold futures prices could slide way back removes an impediment to shares going higher.

The rationale for the change: Credit Suisse believes there is an 80% chance of a renewed quantitative easing – or money printing – due either to a full-blown sovereign debt crisis or a new recession. This enthusiastic and inflationary activity would rev up the safe haven buying that has pushed up gold prices over the past few years. The feeling is that companies and government officials may cheat and lie, but gold is as steady as a rock as an irrefutable, trusted source of value.

  • About the Author
  • Syndicate

The Case for $5,000 Gold: And How to Profit

The gold bug is unstoppable. Prices are up four-fold since 2001… and they're not stopping anytime soon. Could $5,000 per ounce be in our future? Read this report to find out why gold is being pushed through the roof – and four ways to profit from gold's rise.

  • About the Author
  • Syndicate

Three Ways to Profit From the World's Luckiest Country – Australia.

When the late Donald Horne called Australia the " Lucky Country" in 1964, the professor and well-known social critic meant it as an insult: He believed that while other countries were getting rich by developing special skills and embracing new technology, Australia prospered just because it happened to sit on a pile of valuable natural resources.

Well, in the global world of 2010, skill and technology are " two-a-penny" ubiquitous in an emerging-markets world in which billions of industrious people are competing against one another. In this new reality in today's world, natural resources are the key to global wealth.

And Australia is a prime beneficiary of that new reality.

For three ways to profit from this "new reality," please read on…

  • About the Author
  • Syndicate

Get in on the Ground Floor of This Growing Global Profit Machine

I am enamored with Indonesia.

I've never been there. I've never met anyone from there. And it's not a country we hear much about. But it's the world's third-largest democracy (the current president got more votes than U.S. President Barack Obama). And it's one of the few Muslim countries – along with Turkey – that doesn't hate the United States as a matter of public policy.

And those are just a few of the reasons that it's time to invest in Indonesia.

To see why Indonesia is truly a ground-floor economy, continue reading…

  • About the Author
  • Syndicate

It's Time to Invest in Canada

This isn't the first time that I've written about Canada, a well-run country that has avoided many of the mistakes made by the United States. Its budget deficit is moderate, its balance-of-payments deficit is also small, its banking system is in pretty good shape and it faces very little inflation risk, since the country has maintained a reasonable monetary policy.

At this point, you might well be asking: Well, if you've said this all before, why does it bear repeating now?

The answer is simple: As I've hunted for attractive investments recently, I have noticed that a very high percentage of those companies are domiciled north of the border.

In short, it's time to invest in Canada.

To discover the profit opportunities available just north of the border, please read on…

  • About the Author
  • Syndicate

7 Reasons Gold Will Surpass $2,500 - And Inflation Isn't One of Them

Gold's price has quadrupled since 2000, yet this is just the beginning of a historic rise. Seven major forces are set to push gold past $2,500 – and we’re not talking about the tired old inflation story. Read the full report to find out how to play rising gold prices.

  • About the Author
  • Syndicate