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Re: newuser post# 67000

Thursday, 07/21/2011 6:20:31 PM

Thursday, July 21, 2011 6:20:31 PM

Post# of 173216
i used to be more concerned about how the global economy might affect things, but the real weak spot is europe, and they are going to have to print their way out of that mess. restructuring debt just means some get haircuts while the newcomers get a sweet deal, so it won't be hard for them to find a helping hand imo.

US equities ought to benefit as the lesser of most evils. cash will seek assets, not the insolvency of banks.

add to this the fact that so much of what we view as "wrong" (structurally with our economy) is just going to be the new normal, at least for a while. take US jobs -- i doubt we'll see higher employment data for years, but there's not much reason to think it will get a lot worse, either. same goes for housing. after the bubble, this is the likely norm, and prices could probably stand to correct another 30%.

the silver lining? suddenly we may see houses priced for struggling families again, nothing wrong with that.

and meanwhile, china, india, and the rest of asia are using resources like copper at a breakneck pace. it's all spoken for, everything above ground, and new deposits will need to be discovered (enter LBSR) in order for the developed world to get their piece imo.

so even if there's a double dip, US equities look stronger than europe's, and with central banks printing a lot of $$$, look for metals to at least outperform cash stuck in a bank account.

i can't think of a better place to put my money than an explorer with potentially high asset values. i get the leverage of owning an undiscovered gold (and copper) mine, plus the rewards of all that metal during inflationary times.

win-win. chances are MLV, and the bankers they work with, see it this way, too.

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