Gold price attacks the $2,000 mark while silver lags behind - financial expert Markus Bußler analyzes the market situation.

Gold price attacks the $2,000 mark while silver lags behind - financial expert Markus Bußler analyzes the market situation.

According to a report by www.deraktionaer.tv, the price of gold continues to work its way towards the $2,000 mark. However, silver is not showing any major movements at the moment. Mining stocks have risen, but with gold at just under $2,000, investors are certainly expecting prices to be even higher. According to Markus Bußler, a gold expert, there is currently still a lack of market breadth.

One reason for the weak performance of the mining indices is the poor performance of the leading company Newmont. The company is nearing completion of its acquisition of Newcrest Mining. Some Newcrest shareholders may want to take the special $1.10 dividend and then sell the shares. It is also possible that institutional Australian investors are not interested in having an Australian gold producer versus a US producer in the portfolio. With Newmont accounting for nearly 10 percent of GDX and Newcrest having a weighting of around 5 percent, the mining ETF is finding it difficult to gain value due to the weak performance of the two heavyweights.

Although the lithium sector is currently unpopular with investors, takeover activity remains high. After Albemarle failed in its attempt to take over Liontown, Azure has now received a takeover offer from SQM. The markup is almost 50 percent and the board has recommended accepting the offer. This is slowly limiting the choice of lithium projects in Australia. Markus Bußler is of the opinion that the market will then concentrate again on neglected North American projects. The uranium sector also remains interesting as uranium prices are back around $75 per pound and stocks appear poised for consolidation.

Impact on the financial market

The continuation of the gold price rise towards the $2,000 mark is having an impact on the financial market. Investors who have invested in gold can benefit from rising prices. Silver's weak performance, on the other hand, could indicate that investors are not interested in investing in the metal at the moment.

Newmont's poor performance and the possible sale of Newcrest shares could hurt the mining ETF and cause it to struggle to continue gaining value. This could also have an impact on the entire mining sector.

Acquisition activity remains high in the lithium sector, providing investors with the opportunity to benefit from rising share prices. If the choice of lithium projects in Australia becomes limited, North American projects could come into greater focus.

The uranium sector is also exciting as the price of uranium is rising again and stocks are showing signs of consolidation. Investors who have invested in the uranium sector could benefit from a rise in stock prices.

Source: www.deraktionaer.tv