Wednesday March 05, 2008
"Gold is the only true hedge against the falling dollar, the credit crisis, inflation, and geopolitical turmoil," notes Larry Edelson. In Real Wealth, he eyes Yamana Gold (NYSE: AUY).
"I’ve been saying for a long time that gold could hit $1,000. Many called me crazy. Now, all of the market fundamentals -- from the beleaguered U.S. economy that faces imminent inflation spikes to a battered dollar and global economic uncertainty -- point to gold taking off to well above $1,000 an ounce.
"This is great news for our the gold positions in your portfolio, including our newest recommendation, Yamana Gold. Yamana is aToronto-based miner that has operations in both North and South America.
"Last year, the company produced 773,000 ounces of gold. This year, the company expects to boost production to 1.3 million ounces.That’s a 68% increase!
"On top of that, if AUY’s quarterly profits come in at the expected 22 cents a share when they report earnings on March 25, that would put full-year profits at 77 cents a share -- 1,000% higher than last year! If this happens, and it looks like it will, these shares are primed for a nice upward move."
