BullMarketRun.ca

Gold is rebounding after yesterday’s sell-off which, as we mentioned, was healthy from a technical standpoint…a weaker than expected U.S. jobs report this morning has driven the greenback lower again and precious metals and commodities in general higher…as of 8:45 am Pacific, Gold is up $12 an ounce to $1,346…Silver has jumped a whopping 71 cents and is now at $23.21…the U.S. economy shed more jobs in September for the 4th straight month…there was some private sector job growth but it was less than expected…also, a preliminary benchmark revision estimate indicated employment in the 12 months to March had been overstated by 366,000…there can be no doubt that the Fed will engage in another round of quantitative easing…the U.S. Dollar is likely to remain under pressure for the immediate future which seems to be part of the Fed’s strategy…the Dollar Index is down slightly to 77.34 but is off its lows of the day…the CDNX, after some profit taking yesterday, is surging again today…the Venture is currently up 14 points to 1780…BMR has added Excel Gold Mining (EGM, TSX-V) to its portfolio…we have mentioned Excel occasionally over the last few months and we have completed additional due diligence after visiting the company’s Montauban Property in late August…Montauban is a former gold, silver and base metal producer located approximately 100 kilometres west of Quebec City…there are historical (non-compliant) reserves at Montauban plus considerable potential for expansion throughout this system…the North Gold Zone (there is also a South Gold Zone with the massive sulphide base metal deposit in between) was mined by Muscocho in the 1980’s but only to a depth of 80 metres…it remains open along strike and at depth and also includes silver and base metals…Excel has secured a large land package around the former Montauban mine and there are some interesting targets well outside the current deposit for the company to pursue…Excel is in the process of compiling an incredible amount of historical drill data and other geological information on the past producing areas of Montauban which cover a length greater than 2 kilometres…from a technical standpoint, Excel has completely unwound its overbought condition from the summer and is trading in an area of strong support, just 2-3 cents above its rising 100-day moving average…the risk-reward ratio at current levels is very attractive with the stock’s current market cap at $17.5 million…we’ll be reporting more on Excel in the very near future…the stock is currently off half a penny to 15.5 cents…GoldQuest Mining (GQC, TSX-V) is up 3 cents to 30 cents…this is another company we are tremendously excited about…GoldQuest has been active in the Dominican Republic for nearly a decade and has advanced stage and grass roots projects in three separate districts…the DR is a country rich in mineralization, it’s mining-friendly and hosts one of the world’s largest gold deposits – Pueblo Viejo – with over 20 million ounces…GoldQuest also has a zinc-lead-silver project in Spain that was acquired from Lundin Mining (LUN, TSX) with an historical estimate of 5.4 million tonnes grading 9% zinc, 6% lead and 45 g/t Ag…it remains open along strike and at depth…a 43-101 compliant resource estimate is currently being prepared from over 40,000 metres of historical drilling…GoldQuest also has another polymetallic project in the works very close to Toral…GoldQuest is currently up 3 cents to 30 cents and has hit a new 52-week high…Gold Bullion Development (GBB, TSX-V) is up a penny at 58 cents…we expect things to heat up very soon with GBB once its $8 million financing is complete…