Skip to main content

Gold and Silver Are Setting Up for a “Meteoric” Move, Michael Oliver Warns | Sprott Money

Sprott Money Sep 30, 2026 31:50

Summary

Gold miners broke a 12-year valuation range versus gold; the guest argues big asset managers are rotating in, starting with Newmont and Wheaton.

The guest says silver's 8-month, 50% correction mirrors 2008's, after which silver quintupled while gold merely tripled; this pullback looks exhausted.

Western governments face debt crises with only one exit, printing money, and the guest calls that ongoing debasement the driver of higher gold.

Ratio math puts $8,000 gold at a mere repeat of past 8-fold bull waves, and about $500 silver just matching its old range.

Several major banks sit on momentum structure one weak quarter-end close from breaking down, shades of 2007-08, which would push the Fed to print.

Key points on Newmont

  • Michael Oliver argues Newmont's marginal new high during the August rebound, achieved while gold failed to regain its own high, shows big asset managers have begun rotating into blue-chip gold miners.
  • He says funds that want gold-sector exposure but are not allowed to hold bullion gravitate to the biggest names first, making Newmont an early destination for institutional money entering the miners.
  • He points to Newmont's August rally back to its highs, much stronger than gold's modest bounce, as a technical statement that the depressed miner-versus-gold valuation relationship is starting to normalize.

Key points on Wheaton Precious Metals

  • Oliver notes Wheaton Precious Metals, the comparable silver blue chip, rallied back to its highs in the August rebound even though silver's own price rally was only modest.
  • He cites Wheaton, alongside Newmont, as the blue chips that large funds bought first when they began moving into miners, since many funds cannot buy bullion directly.

Michael Oliver's takeaways

  • Top takeaway Oliver argues the roughly eight-month correction is exhausted, that the summer lows in gold and silver should hold, and that the next move will be far sharper and more vertical than the market expects.
  • He says the miner-versus-gold ratio broke out above a dozen-year range in August and could double relative to gold just to reach the bottom of its pre-2014 valuation range, so miners should now lead the metals complex.
  • He compares the setup to October 2008, when silver's deeper eight-month drop was followed by a quintupling while gold roughly tripled, and expects silver to again outperform gold from here.
  • On monthly log charts he calculates that matching the eight-fold gains of the 1980 and 2011 bull markets puts gold near $8,000, and that the $5-$50 silver range projects $500, levels he treats as minimums rather than formal predictions given the debt crisis.
  • He warns the key risk is shifting to major bank stocks: a quarter-end close near current levels would break long-term momentum structure and point heavily lower, which would only add to the Fed's need to print money.

Scott Bessent's takeaways

  • Top takeaway Hemke says Treasury Secretary Bessent has started applying yield curve control in the long bond, but the market is overwhelming the Treasury bid and driving yields higher anyway.
  • Oliver notes Bessent declared 'I'm in charge here' about a month earlier, yet bonds kept selling off, which he says shows authorities will ultimately have to print money, the driver behind gold.

Craig Hemke's takeaways

  • Top takeaway Hemke lays out a fundamental case that Washington is moving toward dramatic measures to control interest rates, which he argues will be extraordinarily bullish for the metals.
  • He frames the quarter-end backdrop: a September rate hike with possibly two more ahead, a sharp bond selloff, metals giving back most of August's gains, yet gold down only about 5% year to date after a 63% gain in 2025.