June 8, 2019
June 7, 2019
June 6, 2019
7 @ 7:00
Visit the BMR comments section throughout the day for updates and helpful information!
1. Gold, which has jumped about $60 in the past week, has traded as high as $1,339 so far today…as of 7:00 am Pacific, bullion is up $6 an ounce at $1,336…Gold’s strength is based largely on the prompt change in the market outlook regarding Fed interest rate strategy…having suspended a 3-year monetary tightening campaign earlier this year, the Fed is now widely expected to cut rates, especially after comments from Chairman Jerome Powell that the central bank will closely monitor the economic impact of trade conflicts…President Trump told reporters this morning that tariffs on China could be raised by another $300 billion if necessary…“Our talks with China, a lot of interesting things are happening. We’ll see what happens…I could go up another at least $300 billion and I’ll do that at the right time. But I think China wants to make a deal and I think Mexico wants to make a deal badly,” he said at the Irish airport of Shannon on his way to France for a D-Day commemoration…the CME FedWatch Tool shows that markets are pricing in a more than 75% chance of a rate cut as early as July…for the year, markets see the possibility of 3 rate cuts, a radical change in expectations from just a few months ago…Silver has jumped 12 cents to $14.90…Copper is up a penny at $2.63…Nickel is steady at $5.31 while Zinc is a penny higher at $1.20…Crude Oil is relatively unchanged at $51.70 after nearly touching a 5-month low yesterday…the U.S. Dollar Index remains under pressure, down more than one-tenth of a point at 97.17…
2. Royal Nickel (RNX, TSX) or “RNC Minerals” is sizzling in early trading, up 9.5 cents at 51 cents, after confirming another high-grade Gold discovery at its Beta Hunt mine where the company has encountered coarse Gold in quartz veins on the level beneath the Father’s Day vein discovery, timely news as the Gold price nears $1,350…an estimated 987 ounces of coarse Gold have been recovered in 238 kilograms of rock from a series of veins…the accuracy of this estimate at this stage is considered to be plus 10%/minus 25%, according to the company, based on the measurement of the estimated Gold content for each of the samples by specific gravity determinations…RNC will provide a final estimate of ounces recovered once this material has been processed…“We are thrilled to have encountered high-grade coarse Gold in the area below the Father’s Day vein,” stated President and CEO Mark Selby. “This most recent discovery provides further support for our geological model that predicts that the areas where the mineralized shear zone and sedimentary sulphides intersect are capable of generating Father’s Day-vein-style coarse Gold mineralization, and proves that such areas extend at least 25 m below the Father’s Day vein discovery. We look forward to continued mining in this highly prospective area, with the potential to find other veins containing coarse Gold”…
3. In the Eskay Camp, Pretium Resources’ (PVG, TSX) 2019 deep underground exploration drilling program has confirmed expectations for Brucejack-style mineralization and proximity to porphyry-style mineralization at depth and to the east of the Brucejack mine, with 5.6 g/t Au intersected over a core length of 107.5 m (including 185.5 g/t over 1.5 m)…Pretium, trading at a 10-month high, now has a new vector into high-grade mineralization that could easily lead into even better numbers…2 deep holes totalling more than 3,500 m were drilled toward the southeast and northeast under the Flow Dome zone, an area approximately 1 km east of the Brucejack mine where drilling in 2015 intersected Valley of the Kings-style high-grade Gold…holes VU-1785 and VU-1787, both of which encountered Brucejack-style, Gold-Silver-bearing quartz carbonate stockwork, were drilled from the eastern edge of the 1,110-m level in the Valley of the Kings underground development…of particular note, hole VU-1787 intersected a zone of mineralized stockwork, including visible Gold, extending over 107 m (between 198 m and 305 m downhole) approximately 240 m to the east and below the eastern limit of the existing Valley of the Kings mineral resource…the potential to find substantial new resources in the Valley of the Kings makes profitable Pretium an even more attractive takeover candidate…the Brucejack mine features 6.4 million ounces of Gold in Proven and Probable reserves (16 million tonnes grading 12.6 g/t Au) with average annual production estimated at 525,000 ounces of Gold over the first decade…PVG is up 3 cents at $12.20 as of 7:00 am Pacific…
4. The Dow is off 3 points through the first 30 minutes of trading after rallying more than 700 points the last 2 days on expectations of Fed interest rate cuts…in Toronto, the TSX is 3 points higher while the Venture is down 1 point at 596…cannabis stocks are trying to find their footing…the Canadian Marijuana Index has retreated another 4 points at 526…Nighthawk Gold (NHK, TSX), closing in on a new 52-week high, has wrapped up its bought deal financing, raising gross proceeds of $12.6 million…this will allow the company to increase its current drill program to 35,000 m at its promising Colomac Project in the Northwest Territories…last week the company reported 35 m true width grading 13.5 g/t Au, its best result yet…Tudor Gold (TUD, TSX-V) has bumped up its flow-through and non-flow-through financing by $300,000 to $2.3 million – another example of Eskay Camp/Golden Triangle juniors who are having no trouble attracting capital…Benchmark Metals (BNCH, TSX-V) has hit its highest levels in more than 2 years as the company gears up for a major drill program at its Lawyers Project, a past producer, 45 km northwest of the Kemess Copper-Gold mine in north-central British Columbia…Benchmark believes its program has the potential to significantly increase the existing Gold-Silver resource to a new resource target of greater than 5 million Gold equivalent ounces (Gold and Silver) while remaining remain open in width, at depth and along strike for further expansion with future drilling programs…there appears to be no shortage of high-grade targets…
5. Chinese Rare Earth prices are set to climb further beyond multi-year highs hit following a flurry of state media reports that Beijing could weaponize its supply-dominance of the prized minerals in its trade battle with Washington…Rare Earths, a group of 17 elements that appear in low concentrations in the ground, are used in a wide-range of products stretching from lasers and military equipment to magnets found in consumer electronics…China supplied 80% of the Rare Earths imported by the United States from 2014 to 2017, with Chinese state newspapers last month reporting Beijing could use that as leverage in the ongoing trade dispute between the two…“(Magnet-related rare earths) are the ideal materials to weaponise…because they are so critical to high-demand, highly-competitive, price-sensitive industries,” stated Ryan Castilloux, managing director of Adamas Intelligence, a consultancy that tracks rare earths markets….“(Such rare earths) are collectively responsible for over 90% of the demand market’s value each year…(so they) will yield the most juice for the squeeze”…prices of dysprosium metal, used in magnets, high-powered lamps and nuclear control rods, are currently assessed by Asian Metal at their highest since June 2015 at 2,025 yuan ($292.98 U.S.) per kg…that is up nearly 14% from May 20, the day Chinese President Xi Jinping visited a Rare Earth plant, sparking speculation the materials could be the next front in the Sino-U.S. trade dispute…the price of neodymium metal, critical to the production of some magnets used in motors and turbines, has risen to its highest since last July at $63.25 a kg, up about 30% since May 20, according to Asian Metal…
6. More potential problems for Canadian Crude…Enbridge (ENB, TSX; NYSE) has been warned by the State of Michigan to set a date for shutting down a major Crude Oil pipeline, or face legal action…Michigan Governor Gretchen Whitmer, another far left Democrat, says she will work with Enbridge to “identify a firm date for shutdown” of the dual pipeline section that passes underwater across the Straits of Mackinac, and agree on “a reasonable path forward” for the possible construction of a tunnel and replacement pipeline…Enbridge has proposed a new, underground pipeline to be built by 2024, but Michigan officials warn the project is vulnerable to delays…Whitmer’s letter suggests the state wants Enbridge to close the Line 5 pipeline well before 2024, but it did not include a particular closing date…the Line 5 is a key conduit for Western Canadian Oil producers as well as refiners in southern Ontario…at 540,000 barrels a day, it ships more than half of the Crude Oil that arrives in the Sarnia region, site of 3 refineries and a hub that supplies others in Ontario, Quebec and Ohio…a shutdown would worsen an already tight situation for shipping Canadian Crude…
7. Panamanian President-elect Laurentino Cortizo, a Texas educated businessman, says his government would review a mining contract awarded to First Quantum Minerals (FM, TSX), casting another cloud of uncertainty around the world’s largest new Copper mine…Cortizo, who takes office on July 1, told reporters that while the new government values the security of contracts, “the company has to respect that we have the right as Panamanians to review clause by clause”…First Quantum says it has “fully complied” with local rules in operating Cobre Panama, and vows to collaborate with Panamanian officials…“We will gladly share all relevant documentation related to the extension of the contract,” the company said in a statement…“We do this with the conviction that the Cobre Panama Project, which employs more than 9,000 Panamanian employees during its current construction phase, can then proceed without any additional legal uncertainty. The project has attracted $6.3 billion in foreign direct investment”...the Toronto-based company owns 90% of Minera Panama, which was awarded the concession for the Cobre Panama Project in 1997…but the country’s Supreme Court of Justice declared the underlying law unconstitutional last year after a challenge by a radical anti-mining group…at full production in 2021, Cobre Panama will turn First Quantum into a top Copper producer alongside giants like Freeport–McMoRan and BHP Group…
Most Popular Recent BMR Posts
Video: How This Innovative Junior Is Winning The “Battery Arms Race” In Northern Ontario
“The Enemies Of Progress, The Radical Environmentalists, Are Ramping Up For A War In The Woods”
Why Are These People Smiling? – Their Stock Has Tanked 80%!
The Template For The Next 10% Stake In Garibaldi Resources
The Nickel Mountain Magma Highway
Two Big Plays Emerge in B.C., Setting The Stage For A Summer To Remember
How To Bring A Junior Resource Market To Life!
Northern Ontario Cobalt Junior Attracts Interest From Metal Trading Companies
The Most Important Venture Development Since The New Bull Market Began
June 5, 2019
June 4, 2019
June 3, 2019
7 @ 7:00
Visit the BMR comments section throughout the day for updates and helpful information!
1. Gold, which just posted its first monthly gain since January, hit a 2-month high this morning to kick off the month of June…the yellow metal has traded between $1,309 and $1,319 so far today and is up $11 an ounce at $1,316 as of 7:00 am Pacific…holdings of SPDR Gold Trust, the world’s largest Gold-backed exchange-traded fund, rose 0.32% to 743.21 tonnes on Friday…global economic fears and the resulting moves in bond prices and yields have lit a fire under Gold, enabling the metal to break out of its roughly $1,275 to $1,300 range from most of the last 45 days…Silver has jumped 16 cents to $14.72…Copper is up a penny at $2.64…Nickel is off 3 cents to $5.39 while Zinc is a penny lower at $1.20…Cobalt remains flat at $15.42…Crude Oil has rebounded 52 cents a barrel to $54.02 after last week’s big slide and its worst monthly performance in 6 months…the U.S. Dollar Index has retreated one-fifth of a point to 97.55…manufacturing activity in the U.S. fell last month to its slowest place of growth since October 2016, according to data just released by the Institute for Supply Management…meanwhile, manufacturing activity in the euro zone has contracted for a 4th month in May and at a faster pace…President Trump’s tariff threat against Mexico may produce its desired result: Mexico’s socialist President Obrador hinted over the weekend that his country could tighten migration controls to defuse Trump’s threat to impose tariffs on Mexican goods, and said he expected “good results” from talks planned in Washington this week…China’s rhetoric on the U.S. trade relationship intensified over the weekend with the release of a white paper…speculation is that a retaliatory framework may include restrictions on Rare Earth shipments…Chinese Vice Commerce Minister Wang Shouwen also refused to say whether the leaders of both countries would meet at the G-20 summit in an attempt to work out an agreement later this month…
2. A private survey of China’s factory sector showed today that manufacturing activity was slightly better than expected last month..the Caixin/Markit factory Purchasing Managers’ Index for May was 50.2…analysts polled by Reuters had expected the indicator to come in at 50…the PMI reading for April was 50.2…growth of new orders grew in May, and the rate of new business growth quickened slightly in the last month, Caixin said in a statement…the stronger rise in overall new business supported a renewed expansion in buying activity among Chinese manufacturing firms…though only slight, it was the first time that purchasing activity had increased for 5 months…however, front-loading of exports to the United States in an effort to avoid higher tariffs may have masked underlying weakness in the economy…meanwhile, business confidence slipped to the lowest level since the survey series began in April 2012…
3. Commerzbank on factors contributing to Gold’s climb: “Market participants are concerned mainly about the damage being done to the global economy by the trade disputes between the U.S. and China and between the U.S. and other countries. A recent sharp fall in stock markets and bond yields also makes Gold a more attractive alternative investment. Then there is the nuclear dispute between the U.S. and Iran. The budget dispute between the EU and Italy is also likely to flare up again now that the European Commission has sent Italy a warning letter about its public finances. The country is likely to face punitive proceedings in the near future given that the Italian government this evening looks set to officially reject the EU’s calls for more budgetary discipline. And last but not least, political uncertainty in Germany has increased”…
4. The Dow, on a 6-week losing skid, is down another 51 points as of 7:00 am Pacific to begin a new month of trading…in Toronto, the TSX is flat while the Venture is off 1 point at 601…interestingly, the Venture has outperformed the Dow, S&P 500, NASDAQ and the TSX over the past 6 weeks (the Venture is down just 1% while the Dow, S&P 500, NASDAQ and TSX have lost 6.6%, 5.3%, 6.8% and 3.4%, respectively)…historically, a period of outperformance by the Venture has been a bullish signal for not only the Venture but the broader markets in general…the Canadian Marijuana Index is under pressure again this morning after last week’s plunge as money starts to shift from cannabis into select resource plays…Great Bear Resources (GBR, TSX-V) has charged to a new all-time high of $4.19 in early trading…GBR gained more than 30% last week after reporting 14 m grading 12.3 g/t, including 31 g/t over 4.6 m, at its Dixie Project in the Red Lake Camp…significantly, this near-surface result came from a new area (Bear-Rimini zone) approximately 2.5 km north of the Hinge zone, hosted by a new exploration target (the LP fault and adjacent lithologies)…Benchmark Metals (BNCH, TSX-V) is pushing higher on strong volume in early trading, up 3 cents at 28.5 cents, as it attempts to break out above a long-term downsloping channel on its 6-year monthly chart…the company is gearing up for a major drill program at its promising Lawyers Project, a past producer, 45 km northwest of the Kemess Copper-Gold mine in north-central British Columbia…Benchmark believes its program has the potential to significantly increase the existing Gold-Silver resource to a new resource target of greater than 5 million Gold equivalent ounces (Gold and Silver) while remaining remain open in width, at depth and along strike for further expansion with future drilling programs…there appears to be no shortage of high-grade targets…on Friday the company released new data from previously unpublished, historical drill results that were recently acquired for the Amethyst Gold Breccia (AGB) zone, a new target area…drill hole 82 intersected 86 g/t Au and 584 g/t Ag over 7 m along the Lawyers Gold-Silver trend…Nighthawk Gold (NHK, TSX-V), which last week reported 35 m true width grading 13.5 g/t Au at its Colomac Project in the NWT, has hit a 5-month high of 42.5 cents in early trading…Amex Exploration (AMX, TSX-V) has released fresh drill results targeting the High-Grade zone (HGZ) at its Perron Project in northwest Quebec, highlighted by 5.9 m @ 32.2 g/t including 0.5 m @ 374 g/t at a vertical depth of ~220 m (PE-19–47)…
5. Exploration drilling at Osisko Mining’s (OSK, TSX) Lynx deposit has intercepted a high-grade mineralized extension 400 m down-plunge from the nearest resource wireframe, and 300 m down plunge from recent high-grade intercepts including 322 g/t Au over 4.3 m…drill hole OSK-W-19–991-W2 intersected 33.4 g/t Au over 3.7 m at approximately 1,200 m vertical depth within a strong silica and sericite alteration zone containing sulphides with local visible Gold…Osisko President and CEO John Burzynski commented, “Deeper drilling at Windfall continues to pay off. The new extension of Lynx brings great potential for adding significant new high-grade ounces to the deposit. This step-out clearly demonstrates that strong mineralization continues at depth. Infill drilling up-plunge and further step-out drilling down-plunge is in progress”…
6. Corvus Gold (KOR, TSX) has received encouraging results from 4 additional holes targeted on the western and southwestern extension of the Mother Lode deposit in Nevada…results continue to demonstrate the expansion potential of the deposit to the west where mineralization remains unconstrained…furthermore, Corvus believes that these results have increased the potential for adding a new and higher-grade block to the current mineral resource model as well as outlining new target areas for mineral resource expansion drilling…in this important Western extension of the Mother Lode deposit, hole ML19–116 (36.6 m @ 2.03 g/t Au and 25.9 m @ 2.43 g/t) has a deep intercept that intersected a dike in the lower plate carbonates, below the main deposit, which like other intrusive related deep intercepts consistently returns +2 g/t Au with broad core zones of +3 g/t Gold…these results continue to outline a deeper, hotter, intrusive related, lower plate hosted, Gold system like the deep intercepts in holes ML19–104 with 16.8 m @ 4.4 g/t Au and the bottom of hole ML19–109 which ended in 4.1 g/t Au, and will be the focus of the next round of exploration at Mother Lode…
7. Don’t fear the onset of a recession: Robeco, the Dutch investment giant, has looked at how various assets performed during the time between an inversion of the U.S. yield curve and the start of a recession…the firm’s numbers show that during similar episodes since the late 1970’s, the strongest-performing asset class has been – believe it or not – stocks…U.S. stocks posted median returns of 7.4% a year during these pre-recession periods, followed by government bonds (5.7%) and commodities (5.3%)…Gold was wildly volatile, posting great returns during the run-up to the 1980 and 2008 recessions, but miserable results before the 1981, 1990 and 2001 downturns…corporate bonds also produced widely varying results…if nothing else, the historical numbers suggest investors should not be dumping stocks willy-nilly on fears of a potential recession…those fears, being pushed at the moment by much of the mainstream media, may also be wildly overblown…
Most Popular Recent BMR Posts
Video: How This Innovative Junior Is Winning The “Battery Arms Race” In Northern Ontario
“The Enemies Of Progress, The Radical Environmentalists, Are Ramping Up For A War In The Woods”
Why Are These People Smiling? – Their Stock Has Tanked 80%!
The Template For The Next 10% Stake In Garibaldi Resources
The Nickel Mountain Magma Highway
Two Big Plays Emerge in B.C., Setting The Stage For A Summer To Remember
How To Bring A Junior Resource Market To Life!
Northern Ontario Cobalt Junior Attracts Interest From Metal Trading Companies
The Most Important Venture Development Since The New Bull Market Began
June 2, 2019
Daniel’s Den
-
-
-
-
Press "Reload" for fresh quote