Good Morning!

Gold broke out from a 13-year cup and handle pattern earlier this year to a new all-time high and advanced to $2800/oz.

Silver broke out from 4-year resistance and recently reached an 11-year high, touching $35/oz.

However, something does not feel right.

The ongoing secular bull market in US Stocks and the emerging bubble in cryptocurrency have stolen its shine.

In nominal terms, Gold and Silver have made higher highs and are in a bull market.

But in real terms, Gold and Silver have barely moved off the ground floor. 

Gold & Silver vs. 60/40 Portfolio

Gold and Silver have yet to make progress against the conventional investment portfolio (the 60/40 portfolio) in the last 6 years. 

They have yet to make a higher high since the secular bear market began at the end of 2011. 

Gold ETFs as Percentage of All ETFs

Near the end of 2011, the share of Gold ETFs against all ETF assets was 8%.

A few months ago, the share was barely 1%. 

Gold Backing of the Monetary Base

The last two secular bull markets in Gold peaked with Gold backing well over 100% of the monetary base. 

The legal mandate under the Federal Reserve Act of 1913 was 40% backing. 

Backing has increased from an all-time low of 7% a few years ago to 12.4% today. Reaching the 2008 peak of nearly 30% would put the Gold price at almost $6,500/oz. 

In TheDailyGold Premium...

In TDG #909 we provided a complete update of our Top 10 Table.

In two pages you can quickly see company market cap, cash/debt position and ~200 words of notes.

In TDG #910 we updated our Top 10 Watch List, which contains 7 companies. 

We updated market cap, cash/debt and ~200 words of notes.

This is current analysis on 17 companies, that can be digested very quickly.

Subscribe and you can download TDG #909 & TDG #910 immediately.

We aim to find the companies that are undervalued now and have significant potential to add more value in the future. And that can be turbo-charged by a real bull market in the sector.  

I am scouring the junior universe to find future Top 10 Companies and other companies that are undervalued with 5x to 10x potential. 

Thank you for reading.

I wish you all the best in 2024 and beyond.