If we are headed for deflation, if only temporary, then cashed up juniors with little to almost no fixed costs and high margin producers with little debt would be the best choices.

The cash will go up in purchasing power and the higher margin producers will hopefully stay afloat.

Furthermore, one should probably assume that capital markets are closed for majority of juniors right now, so regardless if we continue to see chaotic markets along with either inflation or deflation, the juniors backed by mid- to major producers might have an easier time getting funds if needed.

Ps. I love silver. The silver miners are however still grossly overvalued relative to gold miners in my humble opinion. More so today than ever I would say. It seems there is a high speculative beta premium included in the price of the silver miners/juniors, which is why I think the risk/reward in gold miners is way better.

That is all.

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