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1. Gold has traded between $1,292 and $1,298 so far today, immediately ahead of an expected Fed rate hike…as of 7:00 am Pacific, bullion is flat at $1,295…Silver has jumped a dime to $16.94…Nickel is back above $7 a pound, adding 15 cents to $7.01…Copper is up slightly at $3.28, Zinc is steady at $1.46 while Cobalt is off 45 cents at $37.42…the U.S. Dollar Index has slipped one-tenth of a point to 93.72 while Crude Oil has retreated 35 cents to $66.02…President Trump has renewed his Twitter assault on OPEC, pushing the case for lower Oil prices a week before the cartel meets to set production policy…“Oil prices are too high, OPEC is at it again. Not good!,” the President tweeted this morning…it’s the second time he’s used social media to rail against OPEC…he made similar comments in April…Trump wants OPEC, with some help from Russia, to boost supply to make up for shortfalls from Iran and Venezuela…this will help keep Oil prices at levels that will continue to promote economic growth and keep inflation in check…U.S. producer prices increased more than expected in May, leading to the biggest annual gain (3.1%) in nearly 6-1/2 years…the Labor Department reported this morning that its producer price index for final demand rose 0.5% last month, boosted by a surge in gasoline prices and continued gains in the cost of services…

2. The Fed is expected to announce a quarter-point interest rate hike when it wraps up its June meeting this afternoon…the rate hike is widely anticipated but there are a few other things that could stir up the markets beginning with the Fed’s statement  at 11:00 am Pacific (traders will be closely examining the “tone” of that), its latest economic forecasts, its interest rate outlook and a Jerome Powell news conference starting at 11:30 am Pacific…there is still a clear divide between those Fed watchers who expect another rate hike this year after today and those who expect 2 more…a news wire story that Powell is considering holding press briefings after every meeting roused markets yesterday and sent the dollar higher…the thinking in some quarters is that if Powell needs to meet the press more often, there’s greater scope for further rate hikes…

3. The Choo Choo train is accelerating down the track…Choom Holdings (CHOO, CSE), which we highlighted in our most recent Sunday Sizzler, hit a new high of $1.15 in early trading after announcing that it has arranged a private placement for gross proceeds of up to $10 million, including a $7 million lead from Aurora Cannabis (ACB, TSX)…the private placement will consist of up to 14.1 million shares at a price of 71 cents per share and is expected to close next week…“We are delighted to have the confidence and support of one of the world’s leading cannabis companies as we move forward with our retail cannabis strategy,” stated Chris Bogart, President and CEO of Choom…“With the legalization of adult-use cannabis in Canada on track, Choom is positioning itself to be one of the leading premium choice brands for Canadian consumers.  This investment by Aurora accelerates our corporate strategy of delivering a true seed-to-sale experience through an offering of high-quality cannabis to Canadian consumers across the country”…Terry Booth, CEO of Aurora, commented, “Our investment in a consumer-focused brand with a strong retail strategy offers Aurora additional growth opportunities through supply, retail and distribution to the adult-consumer-use market, once legalized.  We’re excited to strengthen our relationship with the team at Choom and help amplify their market reach as they continue to execute on their differentiated craft growing philosophy and their unique retail strategy”…

4. Is British Columbia’s fragile NDP-Green majority suddenly in jeopardy?…veteran NDP MLA Leonard Krog is expected to announce later today that he’s running to be the mayor of Nanaimo, setting up the possibility of a provincial by-election later in the year/early next year in which the stakes could not be higher for the province’s resource sector and broader economy…the opposition free enterprise Liberals have 42 seats, the most of any party in the 87-seat house…but they’re outnumbered by the Green Monster, the governing NDP-Green alliance, which has a combined 44 seats and a 2-seat edge over the Liberals…if the Liberals could somehow win Nanaimo, the legislature would be deadlocked in a 43–43 tie…speaker Darryl Plecas, a former Liberal, would be forced to cast a deciding ballot on any tie votes, but such a scenario would likely result in a snap election call by the lieutenant-governor…Nanaimo is considered a solid NDP seat, comfortably won by Krog in last year’s general election with 46% of the vote…overall, the NDP has won 13 of the last 15 elections in Nanaimo, including the last 4 in a row…however, governing parties historically do lousy in by-elections and B.C. is no exception…over the last 37 years, the governing party’s record in provincial by-elections is just 2 wins, 24 losses, so a Liberal victory in a Nanaimo by-election is a distinct possibility…meanwhile, even former NDP Premier Mike Harcourt says the current regime has gotten carried away with some of its tax measures…commenting about the Green Monster’s controversial school tax increase on homes worth more than $3 million and the speculation tax, at an event in Victoria yesterday, Harcourt said, “You have to increase supply, you have to speed up the process and the taxing has to be fair…I think this needs a famous second look”…

5. Corvus Gold (KOR, TSX) continues to deliver strong results from resource expansion drilling on the western and eastern sides of its Mother Lode deposit in Nevada…western expansion zone hole ML-18–067 returned 18.3 m @ 4.02 g/t Au, interesting the Main zone in the westernmost hole reported to date…additionally, within the same hole a continuation of the expanding lower grade oxide zones above the higher grade Main zone were displayed with separate intercepts of 25.9 m @ 0.68 g/t and 30.5 m @ 0.67 g/t…this hole, along with ML18-060 (24.4 m @ 3.1 g/t, drilled 70 m to the northeast, continue to show the trend of increasing grade as Corvus drills to the west, outlining a new high-grade center to the deposit…results from the east side of the deposit have shown a continuation of mineralization to the northeast along the projection of the Fluorspar Canyon Fault (FCF)…in addition, ML18–066 has extended the near-surface eastern higher-grade zone to the south of previous hole ML18-046 (30.5 m @ 2.05 g/t), outlining some early opportunity expansion for the future mine plan…with the continued success of the Mother Lode drill program and as a result of the company’s recent financing ($4.5 million at $2.60 per share), the Phase III program is currently being planned to complete 30,000 m of resource step-out drilling beginning in early September…with the current Phase II drill program, extending through August, the project will now have continuous drilling activity for the foreseeable future…

6. The Dow is up 6 points through the first 30 minutes of trading…in Toronto, the TSX has added 18 points while the Venture is up a point at 763…Globalive Technology (LIVE, TSX-V) commenced trading on the Venture this morning, $1.25 as of 7:00 am Pacific…it describes itself as a “next-generation” software company and venture partner that is developing and investing in innovative solutions to disrupt traditional industries using artificial intelligence, Internet of things and blockchain technology…it’s controlled by Globalive Capital Inc. which has founded and co-founded 12 businesses over the past 20 years with 6 successful exits ranging from $10 million to $1.3 billion (U.S.)…NexGen Energy (NXE, TSX) has released positive results from prefeasibility-stage technical studies including metallurgical, geotechnical and hydrogeological assessments related to the Arrow deposit at the company’s 100%-owned Rook I Project in Saskatchewan…high recovery rates confirmed…leaching test samples representing anticipated typical mill feed resulted in 97.6% of Uranium recovered while optimized solvent extraction generated recoveries of 99.6%…the Bench-Scale Metallurgical Study has demonstrated high purity yellowcake product can be produced, meeting or surpassing industry standards, by using peroxide and MgO…NGE is down 9 cents at $2.80, near its 200-day moving average (SMA), as of 7:00 am Pacific…

7. AltaGas (ALA, TSX) has entered into a definitive agreement to indirectly sell 35% cent of its interest in its Eskay Camp northwestern B.C. hydroelectric facilities (Forrest Kerr, McLymont and Volcano Creek near the Garibaldi Camp) for $922 million…AltaGas will remain the majority holder of the facilities and continue to provide all operational, maintenance and management functions…the Tahltan First Nation continues to play a key role in the success of the facilities and will work closely with AltaGas to provide clean energy to British Columbia for decades to come…

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