Recently the US stock market has rebounded to highs not seen since the 2008 economic collapse. In the interim silver and gold valuations have gyrated wildly, hitting new highs as the rest of the market hit new lows. Since the beginning of March 2012, gold has not rebounded from its recent dips, with the one exception of larger cap gold stocks. Now, as March draws to a close, the S & P 500 is being met with resistance, while gold reaches its lowest valuation in the last year. Silver has taken its own track, diverging sharply from the broader market since October 2011.
Analysts believe that this “decoupling” of precious metals, if it continues through market peak levels of 2007-2008, may be a positive sign for gold and silver. A contrarian precious metals investing philosophy could be the right one as speculation often displays new lows well ahead of gains in precious metals.
