“Gold investors are faced with two scenarios -- Either the mining shares have already priced in a massive reduction in the price of gold, and in that case they are fairly valued here, or they have priced in a correction in gold that is simply not going to materialize. In the latter case, mining shares are severely undervalued.

If the mining shares are correct in what they are forecasting, gold would have to experience a correction. If that takes place, the mining companies would be forced to shut down operations across the globe.

Precious metals companies are now pricing in the notion that central bankers will fiddle while the global economy burns to the ground, and that would be an unprecedented occurrence in the history of fiat money. In my opinion, these shares need to be accumulated on this panic selling....