The downside potential in precious metals discussed last week is playing out as Gold and gold stocks have broken down technically. The global economy appears to be firming and that is evidenced by a sustained rebound in global equity markets. As a result, the potential for a rate cut which pushed precious metals higher is now unwinding. That has caused the breakdown in precious metals and there is more unwinding to go. We have trumpeted the need (in precious metals) for a rate cut as a fundamental catalyst for the next bull market. But there is another scenario that plays well for Gold. Let’s step back for a second ... (full story)