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Sandstorm Gold Ltd T.SSL

Alternate Symbol(s):  SAND

Sandstorm Gold Ltd. is a Canada-based precious metals-focused streaming and royalty company. The Company is focused on acquiring royalties and gold and other metals. The Company holds a portfolio of over 230 royalties, of which 41 of the underlying mines are producing. Its segments include Antamina, Aurizona, Blyvoor, Bonikro, Caserones, Cerro Moro, Chapada, Fruta del Norte, Hounde, Mercedes, Vale Royalties, and others. Antamina open-pit copper mine located in the Andes Mountain range of Peru, approximately 270 kilometers (km) north of Lima. Aurizona mine is in Brazil. The Blyvoor gold mine is located on the Witwatersrand gold belt, South Africa. The Bonikro gold mine is located in Cote d’Ivoire. Caserones open pit mine is in the Atacama region of Chile. Chapada mine is located 270 km northwest of Brasilia in Goias State, Brazil. Mercedes gold-silver mine in Sonora, Mexico. Black Fox mine and Froome mine are located in Ontario, Canada.


TSX:SSL - Post by User

Bullboard Posts
Comment by metylman2000on Oct 29, 2012 5:28pm
293 Views
Post# 20536888

RE: ? on owning SAND in USD and Hyperinflation

RE: ? on owning SAND in USD and Hyperinflation

hyperinflation in the environment we're talking about will be due to a currency crisis....a failing of faith in the US dollar.

this currency crisis will extend to all debtor nations (Europe, Japan, etc). The worse the country's debt, the worse the crisis will be in that particular country.

The creditor nations exports will be hit by the dropoff in demand from debtor nations imports, but they will stabilize much more quickly (and begin trading much more with other creditor nations), and will actually benefit in the long run by eliminating competition form the debtor nation's exports.

I assume you're talking about gold/silver stocks in the U.S.? If so, you must remember that confidence among debtor nations populace will be extremely poor (especially the U.S.). They may just hunker down, avoiding all "risky" trades, including the general stock market. Gold & silver stocks MAY initially get hit with selling as they could get lumped in with the general stock market as they did in 2008, but this will be quickly overcome buy people looking to park their cash in "things" that keep their value (ie gold & silver bullion). The fact that the gold/silver equities produce these soon-to-be-sought-after things will quickly cause huge demand for them. So any short-term pain will most likely be just that....short-term.

As for US-listed gold/silver stocks, I would much rather own Aussie & Canadian-listed equities. If you can buy them denominated in the host-country currency (ex., converting US dollars to loonies, then buying Canadian-listed equity with those loonies), you will benefit from any further disparity that arises between that currency and the US-dollar.

But I would venture to guess that most VIABLE gold/silver stocks (ie SSL, SAND) will deliver much much better returns than any other investment can in this era or currency debasement chaos. US-denominated or no, the equity returns should be good. But equities purchased in stronger currencies mentioned should do much better.

Of course, nothing is absolute. Good luck to you.

Bullboard Posts