Why $5000 Gold Could Soon Become A Reality

FN Media Group Presents Oilprice.com Market Commentary

LONDON, Aug. 27, 2020 /PRNewswire/ -- A post-COVID new normal and a flood wave of stimulus from the Federal Reserve have crushed the dollar and pushed gold to record heights. And with the real economy in a precarious situation, gold prices could soon hit $3000, $4000 or even $5,000 dollars per ounce.   Mentioned in today's commentary includes:  Newmont Corporation (NYSE: NEM), Barrick Gold Corporation (NYSE: GOLD), Kinross Gold Corporation (NYSE: KGC), Agnico Eagle Mines Limited (NYSE: AEM), Eldorado Gold Corporation (NYSE: EGO).

Investors of all types are piling into safe haven assets in unprecedented numbers, and when even the most gold skeptic investors are starting to bet big on bullion, one may conclude that things have fundamentally changed.

Last week, The Oracle of Omaha himself, Warren Buffett, disclosed Berkshire Hathaway's recent investment in gold miner Barrick Gold Corp. This is the first time he has bought gold, and it is a sign that the legendary investor places significant value in the yellow metal.

One thing Buffett knows is that gold mining stocks have historically always performed better than physical gold. Currently, the best indicators such as the popular Gold Miner ETFs are outdoing physical gold by 50% ...

VanEck Vectors Gold Miners ETF (GDX) has surged over 53% in the past 52 weeks. 

VanEck Vectors Junior Gold Miners ETF has surged over 52%.

And for even bigger gains, Canadian junior Amex Exploration (AMX.V) is up a staggering 7,000% over the past 12 months … 

That's because AMEX has hit very high-grade gold in three distinct zones including its iconic 100% owned Perron Gold Project located in the mining-friendly jurisdiction of Quebec. But if investors missed out on the mad Amex rally, don't worry…it could happen again.  One possible junior company called Starr Peak Exploration (STE; LSGEF) is very well positioned for a potential gold strike. 

It's sitting on the same gold region. And Amex management believes this is the next major runner. In fact, they are so confident that the founders of Amex Exploration were some of the early investors in Starr Peak. 

Now, Starr Peak is gearing up for its first drilling campaign, and it has little exposure--yet. 

Junior Gold Mining Stocks Are Major Multipliers