Gold is experiencing a significant surge this year, with prices up over 26% year-to-date and on pace to surpass 2007's 32% rise. This marks one of its best years since 1979 when it rose 126%. Despite this, gold mining stocks, represented by $GDX, are only up 31%. The broader market has also seen gains, with stocks performing well overall, and gold leading as the top-performing asset. Junior miners are still trading as if gold is in a bear market, but producers are generating substantial cash flow at current gold prices. Analysts suggest that continued strong cash flow over the next one to two quarters could attract institutional investors and hedge funds. Additionally, gold ETFs such as $GLD, $SLV, and $SILJ have seen gains, with $GLD up 27% year-to-date and other miners up over 100%.