3 Gold Stocks Under $5 With Massive Upside

Summary

Inflation is showing signs of cooling; the economy is running hot, and the odds that the Federal Reserve will raise interest rates are dropping. Any one of those would be an argument against buying gold. Put them all together; there would seem to be a definitive bearish case against the yellow metal. But if this is a poor time to buy gold, the message hasn’t made its way to central banks. It’s true that some central banks sold a total of about 30 tons of gold in Q1 2026. However, much of that was done for tactical, country-specific reasons. Furthermore, it was only a small percentage compared to the 474 tons that central banks purchased in the quarter. They don’t plan on stopping. Nearly 90% of central banks surveyed plan to increase their gold reserves in the next 12 months.Get Gold Royalty alerts:Sign Up The Reasons to Own Gold Haven’t ChangedMany analysts warned that gold was likely to fall sharply after it crested at over $5,500 an ounce in early 2026. They got the price action right, but many got the reason wrong. Gold tends to move higher when investors become worried. As 2025 came to an end, many factors concerned investors. The economy was running hot, perhaps too hot, and investors were concerned that inflation was going to move higher. Gold and interest rates tend to have an inverse relationship, so gold tends to decline when interest rates rise. However, in the last quarter of 2025, the Federal Reserve cut interest rates twice. One reason for the pressure on the yellow metal’s price in the first quarter was the belief that the next directional move for interest rates would be an increase. That’s looking less likely as the ceasefire between the United States and Iran has ended. The U.S. war machine will need more fuel in the form of U.S. dollars, and those dollars will add to the precarious U.S. national debt. How Mining Stocks Solve Gold's Storage ProblemOwning physical gold and/or silver is always an option. However, it comes with storage and insurance c...