James Dines has expressed his view more than a few times in the Dines Letter that the reason the juniors are failing to rise with the rising gold rice is that the market in general just does not BELIEVE that this bull market for precious metals is for real. I tend to agree.

There just are not enough believers out there yet. This is because a rise in gold and silver portends a fall in financials and other long held stocks, which have almost become a type of religion for most people, and it is very painful for people to change their religion.

It's a whole new way of thinking, and in spite of the fact that life on planet earth for both animals and humans proves that the ones who can make the quickest adjustments to a changing situation tend to survive the best, people still reject and are frightened of change.

We have a whole generation of mutual fund investors who actually believe all they have to do is leave their money in these things and they are guaranteed a 10% return for the next twenty years. The idea that this might not happen is very scary and that fear allows the majority of the members of our society to create any type of excuse for inaction.

Any drop in gold, to them, will be a sign that the bubble is burst. And a rise in the Dow will be a sign to them that all is right with the world. Ironically, these people will look back and say, "Why didn't we see it coming?" The answer is that their pride and refusal to make themselves mentally uncomfortable for a time has disabled them from seeing it.

I see it coming. And you do too. We need to stay in touch right here and keep our sanity! Keep writing. Bull