If you want a broad stake in precious metals miners, consider the Market Vectors Gold Miners ETF (GDX). The fund tracks the Amex Gold Miners Index, which contains silver miners as well. It’s a great way to ride strength in the industry. Hey, gold is trading well above $900 an ounce … and the Fed will probably cut interest rates again today, which should boost inflation and gold prices even higher. Meanwhile, South African gold mines have shut down due to a power crisis. So this is looking like a great time to target precious metals.

You might also consider buying a gold exchange-traded fund such as the streetTRACKS Gold Trust (GLD) or the iShares Comex Gold Trust (IA).

These funds are easier than buying physical bars because you can trade in and out of them as you see fit. You don’t have to store the bars or carry them back and forth to your local gold dealer to buy and sell them.

And if you’re more bullish on the global economy, think about silver — it’s more of an industrial metal than gold, and strength in the global economy could help silver prices catapult higher. The iShares Silver Trust ETF (SLV) is a pure-play on silver.

Just remember to do your due diligence, and be prepared for volatile moves in this wild market.

Good luck and good trades,

Peter

Don’t Miss A Single Email Alert From DoublingStocks!

Popularity: 1% [?]