RE:RE:The Basis For Scoping Updated FS NPVI think the article has some good points. And the uncertainty in world economies is not going to go away anywhere soon. That should be helpful in supporting the price of gold. There might be a bigger correction than today... gold is up 40% in the last year.
Junior mining companies are speculative money. Just like bitcoin.
It's interesting to compare the GDXJ (a fund of junior mining companies), and bitcoin.
They both plunged with the announcement of covid. People wanted out of speculative bets. 3 months later, the price of the GDXJ was up almost 300%. Gold price did not have the correction or decline of bitcoin or junior miners. it increased with the uncertainty.
If you look there is some correlation between the ups and downs of gdxj and bitcoins in the last 5 years.
If uncertaintly in the economies continue, the price of junior gold stocks could take off in months.
Gold producers have gone up since 2020, but not to the degree that one would expect looking at the increase in the price of gold. it's up 40% in a year. But the miners profits are not going up as much as I would expect. Because their costs to mine have gone way up as well.
If the main markets are doing good, I think investors will feel a little riskier in their investments. Trump might be good for the major indices in north america. And those are the people who invest in canadian and us junior stocks.
I guess time will tell... but any major selloff in the big indices will affect juniors more when people want to flee to safety. jmo
Good luck