New European leadership could ultimately help boost resource stocks

Ad blocking detected

Thank you for visiting We have detected you cannot see ads being served on our site due to blocking. Unfortunately, due to the high cost of data, we cannot serve the requested page without the accompanied ads.

If you have installed ad-blocking software, please disable it (sometimes a complete uninstall is necessary). Private browsing Firefox users should be able to disable tracking protection while visiting our website. Visit Mozilla support for more information. If you do not believe you have any ad-blocking software on your browser, you may want to try another browser, computer or internet service provider. Alternatively, you may consider the following if you want an ad-free experience.

Canadian Insider Club
$299/ year*
Daily Morning INK newsletter
+3 months archive
Canadian Market INK weekly newsletter
+3 months archive
30 publication downloads per month from the PDF store
Top 20 Gold, Top 30 Energy, Top 40 Stock downloads from the PDF store
All benefits of basic registration
No 3rd party display ads

* Price is subject to applicable taxes.

Paid subscriptions and memberships are auto-renewing unless cancelled (easily done via the Account Settings Membership Status page after logging in). Once cancelled, a subscription or membership will terminate at the end of the current term.

I appeared on's This Week in Money on Saturday where I focused on the surprising developments out of Europe. I make the case that with the announced nominees for EU leadership positions, Europe is paving the way for significantly more fiscal stimulus for its economy. I also make the case that the risks of eurozone disintegration have fallen given the nominations of pro-integration German cabinet minister Ursula von der Leyen as head of the EU Commission and former politician and IMF head Chris Lagarde to lead the ECB. Lagarde will likely spearhead the move for the ability of the EU to issue more bonds to increase government spending, particularly in the area of infrastructure. I also point out that the Lagarde nomination came the same week that Italy was let off the hook for going over its deficit limits.

In terms of investment strategy, I suggest that markets have not factored in the pro-growth dimensions of the new leadership. Over the next few years, we could see Europe trailblazing in the area of infrastructure development which will ultimately encourage the United States to undertake similar measures. It should spell good news for Canadian resource stocks. Cryptocurrencies could also benefit as government deficits start to grow and a monetary reset appears on the horizon, something I discussed in our July 2nd morning report

You can listen to the entire show on YouTube (my segment starts at 47:15) or download my interview segment in MP3 format. Guests on the show also included Ross Clark who discusses market and gold technicals and Ted Butler who gives an in-depth opinion on the gold and silver markets.

Comment On!

Upload limit is up to 1mb only
To post messages to your Socail Media account, you must first give authorization from the websites. Select the platform you wish to connect your account to (via Easy Blurb).