Monday, July 18, 2011
The HUI has bottomed out in late June and has been on a significant rally which has followed the price action of Gold. With the S&P volatile, traders seem to be finding value with the miners as their earnings should be very solid compared to the average company within the S&P500.
The HUI may crossover Gold sometime this year and may lead, so the total return for the year may be higher with the miners. ETF's like the GDX (senior miners) and GDXJ (junior miners) are an easy way to invest in a mutual fund of miners. Global X also has a exploration ETF named GLDX.
Disclosure: I do not have any investments in the above mentioned ETF's.
Labels: GLD GLDX Gold HUI