There has been a change, though subtle, with money flowing into gold, silver and short-term treasuries. This is typically a defensive maneuver by Institutional Investors to lighten up on risk-on positions and move some funds to risk-off positions.
My coming to this conclusion isn’t universally accepted but LOTM has long had a Risk-off attitude with a 30% to 40% position in precious metals. It is where the value is in this market if you look at cash flows. Nat Gas is also a high cash flow risk off position in October / November 2020. It is still a high cash flow generating sector though not nearly as inexpensive as it was a year ago. We have risk-on positions in Blockchain and Crypto. Continue reading
