Loading ...Precious Metals Miners Catching Fire Once Again as Catch-Up Trade Just Beginning & Money Managers Who Missed in 2025 Can’t Afford To Miss Again!
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The rotation is on. After months of watching the precious metals rally while the miners lagged, the script has flipped. Today, gold was largely flat and silver was down over 2%.
But the real story is in the miners. Both the GDX and SIL are up over 2%, and the juniors are absolutely flying, with the GDXJ and SILJ up well over 3%.
This is not a subtle move. This is a signal. The market is broadening, the rotation out of over-owned, over-valued tech and into deep-value, including under-owned miners is not just happening; it’s accelerating.
For months, we have been pounding the table on the historic undervaluation of the miners relative to the metals they produce. Now, we are seeing the beginning of the great catch-up trade.
With gold establishing a new floor around or above $5,000 and silver around or above $85, the cash flows these companies are set to generate are not just good; they are obscene.
The money managers who missed the 150% move in the miners last year because they were clinging to their tech darlings and dismissing gold as a “pet rock” are now being forced to answer for their ignorance.
They will not make that mistake again. The rotation trade is on, and the gold and silver miners are catching a serious bid. This is just the beginning.
You need to know;
- The Rotation Trade Is On: The miners are outperforming the metals.
- The Miners Are Up 2-3.5%: GDX and SIL is up over 2% and GDXJ and SILJ is up over 3%.
- The Market Is Broadening: This is a clear signal that the market is broadening and rotating out of tech into value.
- The Catch-up Trade Is On: The miners are beginning the great catch-up trade after a period of massive undervaluation.
- Floors, Consolidations & Uplegs: New floors for the metals (gold >$5,000 & silver >$85) will lead to massive cash flows for the miners.
- They Won’t Make The Same Mistake Twice: Money managers who missed the 150% move in miners last year are now being forced to chase performance.
And you need to know the “pet rock” and “a relic of a bygone era” narratives are dead, and the miners are catching a serious bid.
Let’s Dig Into The Following:
- Today’s price action, is a textbook example of a market in transition. It is a day when the old leaders begin to hand the baton to the new leaders, whose time it is to emerge. For many years, the narrative has been dominated by a handful of mega-cap tech stocks, a narrow leadership that has masked the underlying weakness in the broader market. Why that narrative is now breaking down and the industries that are poised to benefit from the new macro regime of inflation, resource scarcity, and geopolitical conflict definitely include the miners!
- The outperformance of the miners today is not just a one-day wonder. It is the continuation of a trend that has been building for weeks, despite the recent massive volatility. Why with gold and silver establishing new, higher floors, the operating leverage of these companies is immense and noteworthy!
- The money managers who were underweight or completely out of the sector in 2025 are now in a state of panic. They are being forced to chase performance, to buy into a sector they have long derided, to explain to their clients why they missed the boat on one of the most powerful bull markets of the 21st century. Why now they can’t NOT be in the trade, their pain is becoming our gain, the rotation is on, and it is just getting started!
- The career risk for a money manager is not in being wrong; it is in being wrong alone. For the past decade, the safe trade has been to huddle together in the same handful of tech stocks, to ride the wave of passive inflows, to ignore the fundamentals and focus on the momentum. That game is now over. The 150%+ move in the miners last year was a shot across the bow, a warning to the consensus that the world has changed. Why the money managers who ignored that warning, who clung to their belief that gold is a “pet rock” and a “relic of a bygone era,” are now facing a reckoning!
- And what we are witnessing is not the end of the bull market in precious metals; it is the beginning of the beginning. The rotation out of tech and into the miners is a signal that the market is finally starting to price in the new reality. Why the money managers who missed the first 150% will now be providing the fuel for the next 150%+!
So, let’s go…
The Great Rotation: From Tech Darlings to Mining Behemoths
Today’s price action, is a textbook example of a market in transition. It is a day when the old leaders begin to hand the baton to the new leaders, whose time it is to emerge.
For many years, the narrative has been dominated by a handful of mega-cap tech stocks, a narrow leadership that has masked the underlying weakness in the broader market.
That narrative is now breaking down. As the tech darlings have generally stumbled out of the gate in 2026, capital is flowing into the forgotten corners of the market, the sectors that have been left for dead, the industries that are poised to benefit from the new macro regime of inflation, resource scarcity, and geopolitical conflict.
At the top of that list are the precious metals miners:
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The outperformance of the miners today is not just a one-day wonder. It is the continuation of a trend that has been building for weeks, despite the recent massive volatility.
It is the market finally waking up to the reality that the miners are the most leveraged, most undervalued way to play the bull market in precious metals. With gold and silver establishing new, higher floors, the operating leverage of these companies is immense.
Every dollar increase in the price of the metal flows directly to the bottom line, and the market is just beginning to price in the explosive earnings growth that is coming.
This is the catch-up trade in its purest form. For the past year, the miners have been trading at a massive discount to the metals, a disconnect that has been a source of immense frustration for those of us who understand the fundamentals.
That disconnect is now closing, and it is closing with a vengeance. And it is not just closing with the majors. It is also closing with the juniors, which is a fantastic sign of the evolution and maturation of the bull cycle. Have a look at the action in the juniors today;
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The money managers who were underweight or completely out of the sector are now in a state of panic. They are being forced to chase performance, to buy into a sector they have long derided, to explain to their clients why they missed the boat on one of the most powerful bull markets of the 21st century.
In 2025, they were largely absent from the 150%+ run-up in the miners and their bosses and clients are asking why? Now they can’t not be in the trade. As they begin to dip their toes and enter the market, their pain is becoming our gain. The rotation is on, and it is just getting started.
The Reckoning: Wall Street’s “Pet Rock” Problem
The career risk for a money manager is not in being wrong; it is in being wrong alone. For the past decade, the safe trade has been to huddle together in the same handful of tech stocks, to ride the wave of passive inflows, to ignore the fundamentals and focus on the momentum. That game is now over.
The 150%+ move in the miners last year was a shot across the bow, a warning to the consensus that the world has changed. The money managers who ignored that warning, who clung to their belief that gold is a “pet rock” and a “relic of a bygone era,” are now facing a reckoning.
Imagine the conversations that are happening in the boardrooms of the world’s largest asset managers;
- The performance reports are in, and the numbers are stark. The funds that had zero allocation to precious metals and miners have dramatically underperformed their peers.
- The managers of those funds are now being asked to explain themselves. Why did they have no exposure to the best-performing asset class of the past year? Why did they dismiss the warnings about inflation, debt, and geopolitical risk? Why did they believe that a 5,000-year-old monetary asset was irrelevant in the digital age?
These are not easy questions to answer, and the money managers who are being asked them are not going to make the same mistake twice.
- They are now being forced to buy into the very sector they have long derided.
- They are being forced to chase performance, to allocate capital to the miners not because they have suddenly seen the light, but because their jobs depend on it.
This is the dynamic that will fuel the next leg of the bull market in precious metals. It is a self-reinforcing cycle of under-allocation, performance chasing, and a belated recognition of the new macro reality.
The “pet rock” narrative is dead. The miners are no longer a fringe asset class; they are a core holding in a world of unprecedented risk and uncertainty.
The Beginning of the Beginning
What we are witnessing is not the end of the bull market in precious metals; it is the beginning of the beginning. The rotation out of tech and financialized assets and into the miners is a signal that the market is finally starting to price in the new reality.
The undervaluation of the miners relative to the metals is a massive opportunity, a chance to buy into a sector that is on the cusp of an explosive earnings boom. The money managers who missed the first 150% are now providing the fuel for the next 150%.
We should not be swayed by the day-to-day noise. The trend is clear. The rotation is real. And the miners are just getting started. More days like today are coming and will likely become the norm.
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