Crude Surges -- Gold and Silver follow
Crude Oil enjoyed its biggest rally in six months today.
Yes, it's still way down from its highs. And the big driver (that I can find) is that a bunch of bears suddenly jumped to the other side, because oil didn't sink on the bearish inventory news. It's something I talked about in my post yesterday -- sentiment had become so extremely bearish that it was actually bullish for oil.
The good news is the move in crude propelled gold, silver, and precious metals stocks higher (gold is used as a hedge against higher oil prices). A position I recommended in Red-Hot Canadian Small Caps last week when I spotted a bottom in gold jumped 13% on the day! Nice!
I can't wait to see what happens in Australia overnight.
Yes, it's still way down from its highs. And the big driver (that I can find) is that a bunch of bears suddenly jumped to the other side, because oil didn't sink on the bearish inventory news. It's something I talked about in my post yesterday -- sentiment had become so extremely bearish that it was actually bullish for oil.
The good news is the move in crude propelled gold, silver, and precious metals stocks higher (gold is used as a hedge against higher oil prices). A position I recommended in Red-Hot Canadian Small Caps last week when I spotted a bottom in gold jumped 13% on the day! Nice!
I can't wait to see what happens in Australia overnight.
Check out my new gold and energy blog at MoneyAndMarkets.com
posted by Sean Brodrick @ 6:02 PM
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