Whereas most speculators keep tabs on the gold and silver prices, there are other options to explore. Stocks of mining companies, for examples, are turning incredibly bullish in recent months.
The Mining Stocks Game
The year 2020 has been incredibly brutal for all markets and industries. This is primarily due to the COVID-19 pandemic, which continues to take its toll globally. Even mining companies were hit badly by the crisis, as many operations were forced to shut down. Maintaining social distancing guidelines in these locations is often difficult, although things are returning to normal as of late.
The excitement surrounding mining stocks has created ample bullish sentiment. More specifically, as mining operations are resumed, the stock prices of these companies are moving up rapidly. Combined with fears over stocks, treasuries, and so forth, it is not hard to see why this investment option becomes so appealing.
Ongoing rises in the gold and silver prices have helped validate this momentum. Mining stocks tend to do well if the demand for their produced metals picks up. Investors have earned significant returns over the past few months. It seems unlikely that this momentum will come to an end in the foreseeable future.
Performance of Different Companies
This trend affecting mining stocks is not tied to one or two companies either. All of the companies involved in mining precious metals have seen a significant boost since March of 2020. All of the indexes tracking these investment options note the same sharp uptrend in recent months and, barring some volatility, show no signs of slowing down.
Seeing such trends materialize among gold and silver companies is very intriguing. Those who paid close attention to the gold and silver markets will have seen this coming from miles away. Others who are only now taking note of these developments may want to keep closer tabs on mining stocks altogether. This has proven to be a rather lucrative industry for years now.
Continuing the Trend
Growth like this would not be sustainable if gold and silver stop moving up. Based on some recent predictions by analysts and experts, the uptrend of both precious metals may not come to an end just yet. In fact, there is a good chance that things will keep trending higher throughout the second half of 2020.
Assuming those visions come true, the price of mining stocks is likely to receive the same bullish treatment. Which stocks to keep an eye on, is a matter of preference and doing the appropriate research. Many companies have publicly traded stocks, but not every operation is up and running – or close to it – as of yet.