money sectionmoney sectionBuying gold and silver has often been used as a hedge against inflation. Investors buy these precious metals in the hopes that their price will increase, especially when inflation and falling currencies are present. Some investors take a slightly different approach and invest in mining stocks instead of the metals directly, hoping that they too will increase in value as the underlying gold, silver, and/or other metals rise with the price rise in commodities (gold, silver, platinum, copper, zinc).
Mining stocks are those dealing in basic commodities such as, iron, gold and copper. With the growth in countries like China and India, these precious metals hit record highs in 2010. If you would like to make money investing in metals, but don't want to buy the commodity outright, then you can purchase the stock of mining companies instead.
