Marin Katusa suggested in 2013 that gold has seen a considerable decrease in price, dropping almost 15% since the beginning of May. If this trend continues, gold will have its first losing year since 2000. This has led many investors, from the housewives of China to the bankers on Wall Street, looking for a bargain in gold prices. However, what they do not realize is that there is already a bargain available in uranium. Despite being the source of 20% of electricity in the United States and 35% in the EU, its price remains at multi-year lows.
Gold has dropped in the past month, but an ounce of gold can still buy almost 35 pounds of uranium at current prices that is much more than the historical average of 22 pounds. In fact, in 2007, an ounce of gold would only net you about five pounds of uranium. If one considers paper fiat money to be worthless and gold as real money, then the fact that one can buy more of uranium with gold means that uranium is cheap. Since these types of ratios have a way of going back to their historical averages, this means that in a gold-bull environment, uranium is set to increase even more.
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