Model mining portfolio: in a buying mood

The mining sector now resembles a Civil War battlefield with a few wounded...

The mining sector now resembles a Civil War battlefield with a few wounded staggering around amongst the corpses, the shell holes and burnt out weaponry. It’s grim out there. Valuations are off much more than the metals that underlie the various stock stories. If we take the admittedly deficient Gold Shares ETF (GDX) it is off 24.3% from its highs while the Gold SPDR ETF (the Physical Gold ETF) is off only 18.4%.  This is made all the more poignant when one considers that the GLD had massively outperformed the GDX over recent years.