It has been a volatile day for Gold so far with bullion reacting to the ECB rate cut decision and some U.S. economic data…as of 7:40 am Pacific, Gold is down $6 an ounce at $1,312…it has traded as low as $1,296 and as high as $1,327…Silver is down 11 cents at $21.70…Copper is unchanged at $3.22…Crude Oil is off nearly $1 a barrel to $93.86 while the U.S. Dollar Index has climbed two-thirds of a point to $81.14 with the euro under pressure…81 is an important resistance level for the Dollar Index – tomorrow will be a key day for the greenback with the jobs report…
The European Central Bank has cut its main interest rate to 0.25% from 0.50%…economists had said a cut was a possibility with annual inflation in the euro zone running well below the central bank’s target…Gold got an initial lift from the ECB decision, but pulled back due to strength in the dollar…inflation has been particularly low – and unemployment very high – in parts of the euro zone periphery…in Spain, inflation was 0.5% in the year to September…in Italy it was 0.9%…Ireland has had no inflation in the year to September…in Greece, prices have been falling since July…so the ECB is clearly concerned about deflation…
Tomorrow should prove interesting for Gold with the release of the U.S. jobs report for October…it’s expected to show the fewest jobs created since July due in part to the recent U.S. government partial shutdown, but investors have likely already factored in a weak jobs report – the question is, will it be worse than expected or better than expected?…consensus forecasts call for October non-farm payrolls to increase anywhere from 100,000 to 120,000…they rose 148,000 in September, down from 193,000 in August…
U.S. Q3 GDP Growth Less Impressive Than It First Appears
The U.S. economy grew faster than expected in the 3rd quarter as businesses restocked shelves, but a slowdown in consumer and business spending pointed to underlying weakness…GDP expanded at a 2.8% annual rate, the quickest pace since the 3rd quarter of 2012, the Commerce Department stated this morning…the figure was an acceleration from a 2.5% clip in the 2nd quarter and beat economists’ expectations for a 2% rate…however, inventories contributed nearly a full point to GDP in Q3 (excluding inventories, the economy grew at a 2% rate after expanding at a 2.1% pace)…in addition, consumer and business spending growth both slowed sharply during the quarter, so the higher-than-expected GDP number is quite deceiving…will the Fed start tapering in December given this environment?…not likely…
What’s Happening In Russia? – Growth Forecast Slashed
The Financial Times reported this morning that Russia has drastically slashed its long-term economic growth forecast, warning that the country’s growth will fall behind the global average in the next 12 years…the adjustment marks Moscow’s first official admission that the economic growth model that has underpinned President Vladimir Putin’s rule is falling apart…the economy ministry says it now expects the economy to grow at an annual rate of just 2.5% through to 2030, down from its previous forecast of 4.3% made just 6 months ago…data for GDP growth in the third quarter are due next week, and are also expected to show a continued slowdown…
Today’s Markets
Asian markets were modestly lower overnight…China’s Shanghai Composite fell 10 points to finish at 2129…some important economic data from China is due tomorrow, ahead of this weekend’s Communist Party’s policy meeting…Japan’s Nikkei average, meanwhile, closed 109 points lower at 14228…European shares were mixed today…
The Dow is down 40 points through the first 70 minutes of trading after closing at another all-time high yesterday…the TSX is off 30 points while the Venture has shed 3 more points…it’s at 938 as of 7:40 am Pacific…
CDNX Chart Update
The Venture has declined for 8 consecutive trading sessions, which some investors undoubtedly find discouraging, but keep in mind the Index is underpinned by strong support…below is a 1-year weekly chart from John…RSI(14) has been climbing an uptrend line since the early summer, and the Index itself is now just above an uptrend support line which also coincides with its 100-day moving average (SMA)…so the retracement, so far at least, from the recent high of 974 has been very normal…RSI(2) on the daily chart hit its lowest level yesterday since late June…
North American Nickel Inc. (NAN, TSX-V) Update
North American Nickel (NAN, TSX-V) had a strong day yesterday, climbing 6 cents to close at 39.5 cents, on speculation regarding more drill results from the company’s Maniitsoq Project in Greenland which came out this morning…hole MQ-13-028 returned a 24.75-metre interval, 182 metres down the hole, grading 3.19% Ni, 1.14% Cu and 0.11% Co…NAN has clearly made an interesting discovery at Imiak Hill but the big excitement won’t come until the 2014 drill program kicks in…
Below is an updated chart from John as we’ve been following this play rather closely since August after the company first reported promising results from drilling at Maniitsoq…note the significant resistance in the high 30’s…NAN is trading lower on the news this morning, giving up all of its gains yesterday – down 6 cents at 33.5 cents as of 7:40 am Pacific…
Discovery Ventures Inc. (DVN, TSX-V)
Discovery Ventures (DVN, TSX-V) announced a bold move yesterday, taking advantage of the current market environment to cut a deal with Roca Mines Inc. for an exclusive option to acquire 100% of FortyTwo Metals Inc., a wholly-owned subsidiary of Roca…the challenge for DVN is that the total purchase price is $5.7 million – $5 million of that payable in cash, and the balance in shares at 25 cents…Discovery, the Venture’s volume leader yesterday, says it intends to finance the acquisition of FortyTwo through one or more private placements on terms to be determined…FortyTwo Metals holds, among other assets, the past producing Max Mine and associated claims, mining leases, and infrastructure near Trout Lake – approximately 135 km north of Discovery’s Willa Project in the heart of the Slocan Mining District…one of Discovery’s aims here, obviously, is to be able to truck material from Willa north for processing… it’s interesting to note that FortyTwo also holds tax pools accumulated to date of approximately $50-million…
DVN is quiet so far today with just 25,000 shares traded (unchanged at 23 cents) as of 7:40 am Pacific after more than 7 million shares changed hands yesterday on the Venture…23 cents is a Fib. resistance level as shown in this 2.5-year weekly chart…
Arianne Phosphate Inc. (DAN, TSX-V)
As we’ve mentioned previously, readers should keep an eye on Arianne Phosphate (DAN, TSX-V) which recently came out with a very positive feasibility study for its Lac a Paul Project in Quebec…DAN climbed as high as $1.69 following the news and has since retraced to the $1.40’s where there was previous resistance…as of 7:40 am Pacific, DAN is unchanged at $1.48…potential takeover candidate in 2014…
Note: John, Terry and Jon do not hold share positions in NAN, DVN or DAN…
My stock pick is gta they hold the largest land package in the zen area have money in the bank at least 12 target sites and will start drilling before the new year .With a low market cap and shares outstanding the stock will take off if they hit pay dirt .Insiders hold 30 percent of the stock.they also have two gold properties with not to shabby results from their drilling
Comment by gil — November 7, 2013 @ 10:44 am
Does anyone here follow CSI-T Its been on my watchlist for a couple of months.Its been getting absolutely hammered the last month, with no news that i can find! TIA.
Comment by Greg J. — November 7, 2013 @ 12:06 pm
GGI News – received via email.
Comment by Dan — November 7, 2013 @ 3:16 pm
It looks like a very interesting hit. Looking forward to the comments of Dr. Gibson on today’s Webinar at 4pm PST. GGI is drilling – encouraging!
Comment by Bucky — November 7, 2013 @ 3:35 pm
November 07, 2013
Garibaldi Recommences Drilling At Locust
——————————————————————————–
Vancouver, British Columbia – November 7, 2013 – Garibaldi Resources Corp. (TSX.V: GGI) (the “Company” or “Garibaldi”) is pleased to report that drilling has resumed at the Locust target, part of the Company’s large Tonichi Project in Sonora State, Mexico, to immediately follow up on the discovery of an important mineralized intercept in drill hole MAR-13-02 that may be indicative of a Au-Cu porphyry system. Drilling to date at Locust (2745 meters in 16 widely-spaced holes) has outlined a broad envelope of near-surface mineralization that measures at least 5 km along trend and 1-2 km across.
Hole MAR-13-02, drilled 191 meters vertically from a topographically high area, cut a perched supergene zone above the water table and a hypogene gold-copper zone deeper in the hole. A 104.6-meter interval between 57 and 161.6 meters graded 0.24 g/t Au and 0.16% Cu. This intercept includes 37 meters of 0.42 g/t Au and 0.21% Cu. Mineralization generally improved with depth within the intercept. This is the westernmost hole drilled to date at the Locust target.
Based on these results, MAR-13-03 is being drilled below MAR-13-02 from the valley floor to test geological continuity of the hypogene zone. This next hole from a lower elevation will test the potential to penetrate sulphide mineralization and a second supergene zone at increased depth.
Mr. Steve Regoci, President and CEO of Garibaldi Resources, commented: “We’re very encouraged by the intercept in MAR-13-02, the style of mineralization is extremely interesting to our geologists. Having our own diamond drill rig makes it convenient and cost effective to follow up immediately on this promising result.”
MAR-13-02 was part of a recently completed 6-hole program. Five shallow holes (LCT-13-11 through LCT-13-14 and MAR-13-01) encountered anomalous Au-Cu mineralization along the extremities of a shear zone, 1000 to 2500 meters east-northeast of MAR-03-02. Intervals are downhole lengths, true thickness to be determined.
Gold-copper mineralization at Locust is associated with intermediate intrusive rocks and tourmaline breccia bodies. Known porphyry systems in the region include the nearby Cuatro Hermanos copper-moly deposit, the San Javier copper-gold deposit and the Suaqui Verde copper deposit.
The Tonichi Project is one of three 100%-owned district-scale projects Garibaldi is advancing, along with the stand-alone La Patilla Gold Property, in some of the most robust gold, silver and copper producing regions of Mexico. In addition, a pilot coal program at Tonichi continues to generate royalty income for Garibaldi. The company will be extending its drilling efforts in Mexico beyond Tonichi this quarter.
Quality Assurance:
Garibaldi has conducted a QA/QC program whereby blind sample blanks are inserted in the drill core sample stream prior to being sent to the laboratory. Samples were prepared and analyzed by ALS Chemex in their facilities in Mexico and Vancouver, respectively. Samples generally consisted of 1-3 kg of material. Gold analyses were performed by 30 gram fire assay with an AA finish. Silver and base metals were analyzed as part of a multi-element ICP package using an aqua regia digestion
Dr. Craig Gibson, Certified Professional Geologist and Director, is the Qualified Person for the Tonichi Project and the direct manager of the technical programs operated under contract by Prospeccion Y Desarrollo Minero del Norte (ProDeMin). Dr. Gibson has reviewed and approved the contents of this news release.
We seek safe harbour.
GARIBALDI RESOURCES CORP.
per: “Steve Regoci”
Steve Regoci, President
Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or the accuracy of this release.
Comment by Dan — November 7, 2013 @ 4:05 pm
1.
LOOKING for the best ten ideas from bmr members .Lets start a portfolio with our best ideas come on paul, bert,jon, niles,justin,steven,martin Richard, frank. dan ,Alexandre kdcdoggy ,tony oldman or any other members PLEASE pick a stock and and we will keep track of bmr members portfolio track record .please name your favorite stock by friday .last call SO far we have 6 picks
Comment by gil — November 7, 2013 @ 4:41 pm
Enjoyed the GGI presentation. Gibson sounds enthused about the hit at Locust and the chance for an even sweeter zone at depth. Pleasant surprise. La Patilla could turn into a small producer. At least this company is active and drilling. Better than I can say for most.
Comment by Bucky — November 7, 2013 @ 4:49 pm
maybe we could have bmr give 10000 dollars for the best stock picker 5000 for second place 1000 for third place just kidding but maybe they could provide a first place certificate for best30 day return best 6 month return and best 1 year return what do you think jon
Comment by gil — November 7, 2013 @ 5:00 pm
INCA ONE ANNOUNCES PRIVATE PLACEMENT WITH GLOBAL RESOURCES INVESTMENTS LTD.
stockwatch.com/News/Item.aspx?bid=Z-C%3aIO-2119552&symbol=IO®ion=C
Comment by Tony T — November 7, 2013 @ 5:37 pm
GBB gonna hit $1.00 by 2015
Comment by marc — November 7, 2013 @ 5:45 pm
Greg… CSI delayed production til the ‘fall’ …. if my memory hasnt been relieved of duty!!:)
Comment by Jeremy — November 7, 2013 @ 6:00 pm
Hi Gill. I opt for RBW.
Comment by Alexandre — November 7, 2013 @ 6:36 pm
Terrible that BMR has gone silent since the poor PGX results.
Comment by Pete — November 7, 2013 @ 6:54 pm
Wait ’til Monday, Pete. Poor results, you say? Please share with this board, in geological terms, why you would refer to those results as being “poor”? Would love to hear your argument. Or are they just “poor” in your view simply because the stock is down? You don’t get grades and intersections in the Stikine Arch like PGX has drilled without a major deposit or a mine, plain and simple. Try to prove otherwise. The real reason PGX went down wasn’t because of “poor” results, and we’ll explain this in more detail Monday.
Dirk made a fabulous presentation earlier this week (Tuesday) on the Sheslay Project at the Geological Survey of Canada Discovery Center in Vancouver, a presentation we have on both video and audio. We’re more bullish than ever, actually, regarding the Sheslay and GGI’s Grizzly and we’ll be emphasizing that case next week. Some investors have enjoyed the opportunity to accumulate at these lower and very attractive prices in recent days. I’m one of them. You make money in the market by buying quality situations on weakness, at a discount. And get your facts straight. Read our posts Oct. 29 and Oct. 30 regarding the PGX results. That’s hardly being silent. And if you want to hear a lot more noise, stick around a few more days.
Comment by Jon - BMR — November 7, 2013 @ 7:06 pm
@Greg, Hi I like the chances of pgx over the long term. Richard l
Comment by Richard l — November 7, 2013 @ 7:24 pm
Gill, I think KWG from the Ring of Fire will be one of the better performing stocks over the next 6 months.
Comment by Barry — November 7, 2013 @ 7:39 pm
First off I’m not a geologist but I can get by on the basics. Combine that with the market reaction and lack of any bounce in the SP, what you have here is a market pricing in poor results. We all know your bullish, as always, so was that you that bought that whopping 28k of shares today? This reeks of RBW and your efforts to promote the stock. Would love to hear you admit that you got it wrong.
Comment by Pete — November 7, 2013 @ 8:57 pm
4.BMR MENBERS STOCK PICKS
SYMBOL……..COST…………..TODAYS CHANGE………..NET CHANGE
GGI…………………………………………….MICKEKY MAC
HBK…………………………………………….GREG J
SAM…………………………………………….JUSTIN
IO……………………………………………..TONY T
TGK…………………………………………….KDCDOGGY
gta………………gil
kwg………………Barry
rbw………………Alexandre
bmr members stock picks
Comment by gil — November 7, 2013 @ 9:13 pm
An exploration company followed by BMR is Foundation Gold. Last week they changed their name Birch Hill Gold Corp, and did a 10 to 1 reverse split. Their new OS is 10m, market cap 1m.
Comment by Alexandre — November 8, 2013 @ 12:36 am
Poor explanation, Pete – again, not based on any geological facts or understanding, and even your market interpretation is off. Dirk’s presentation was attended by mostly geologists, some of the brightest in B.C., as it was delivered at the Geological Survey of Canada, and every single one of them in attendance would tell you PGX is well on its way to defining a major new deposit in the Stikine Arch with economic grades. You should talk to some of these individuals and you’d learn something. The consistency in grades and widths of the 29 holes drilled at the Star so far, historically and by Prosper, is quite remarkable, and the footprint of this system over such a wide area demonstrates how robust this should be once the drilling expands beyond the Star target. The airborne surveys, IP, geo chem work and trenching show continuity between the Star and the North Star, for example, and the linking of just these 2 targets would likely represent a deposit in the order of at least several hundred million tonnes. Are u aware of Schaft Creek? Very large tonnage system 120 km south of the Sheslay (Teck and Copper Fox). Grades are better at the Sheslay, and the Sheslay has every chance to be as big in terms of total tonnage once this is drilled off. The PGX market got hit because of the selling of 6-cent paper (these investors were up 7 or 8 times their money) and the fact there’s no activity over the winter. The market was also hoping for a “glory hole” and didn’t get it on the last 3, but there should be more than a few glory holes drilled at the Sheslay before all is said and done.
Comment by Jon - BMR — November 8, 2013 @ 3:13 am
My Stock pick -FMS – Focus Graphite
Comment by Paul — November 8, 2013 @ 3:17 am
Elementary Mr Watson, money is made on what the Market thinks & not what
the company thinks. PGX may do well with time, but today, they are not
in favor. Even among our group, PGX has fallen out of favor. Notice
the stock picks, as presented by Gil, no mention of PGX. Please forgive
me Jon, but maybe some of the blame can be directed your way, didn’t
you suggest that PGX could be the stock, that could light a fire under
the Venture, or something like that. I give you credit for trying, but
would have liked to have seen you express a little disappointment, based
on what you see today, then you could have given us some hope for the future..
I did notice some frustration in your post to Pete, but we will overlook that,
because most of us do get frustrated, when things don’t go our way. R !
Comment by Bert — November 8, 2013 @ 4:40 am
Thanks Jeremy, I will assume you mean, production,…the fall of 2014
Comment by Greg J. — November 8, 2013 @ 4:46 am
Gold down $25.00 the last time i looked, i would
suggest it’s had it’s day. Why ? may you ask, because
the big boys have been playing with it & when they
play, it’s bad news. Can you imagine us waiting for
Iran to give Gold a boost. Yes, folks if they can
free themselves from the sanctions, they will be
permitted to buy Gold. Those were the days my friends,
i thought they would never end. R !
Comment by Bert — November 8, 2013 @ 7:04 am
i will try and find the NR Greg:) memory youo know:)
Comment by Jeremy — November 8, 2013 @ 7:08 am