Gold has traded between $1,312 and $1,323 so far today…as of 9:30 am Pacific, bullion is off slightly at $1,317…Silver has jumped 16 cents to $18.43…Copper is flat at $2.18…Crude Oil is off $1.14 a barrel to $48.74 while the U.S. Dollar Index has jumped two-thirds of a point to 96.28…
Holdings of the world’s largest Gold-backed exchange-traded fund, New York-listed SPDR Gold Shares, rose by another 2.7 tonnes yesterday to the highest level in 3 years…its holdings have increased by 81.4 tonnes this month and 131 tonnes this quarter, marking a 2nd consecutive quarterly inflow for the 1st time since late 2012…
Post-Brexit, one research firm says it was eyeing $1,400 Gold before the referendum and is sticking with its forecast…Julian Jessop, head of commodities research for London-based Capital Economics, told Kitco News he wouldn’t be surprised to see the yellow metal hit $1,400 an ounce over the next few weeks…
Gold is up nearly 9% this month, and is on track for a 2nd straight quarterly gain…however, resistance remains at $1,320…Silver, meanwhile, is heading for its best quarter in nearly 4 years, up about 19% after yesterday’s big jump…the Gold-Silver ratio, which measures the number of Silver ounces needed to buy an ounce of Gold, has fallen to its lowest in nearly 9 months at 71.5…
“Silver is clearly profiting from two different sides at once just now: from the higher Gold price on the one hand and from firm base metal prices on the other, as Silver is used for the most part in industry,” Commerzbank said in a note…
Sir, May I Have Some More Stimulus!
Further stimulus measures may soon be needed for the U.K. following the country’s vote to leave the European Union, according to Bank of England Governor Mark Carney who is forecasting a “material slowing” in economic growth as a result of last week’s referendum. “The economic outlook has deteriorated and some monetary policy easing with likely be required over the summer,” Carney said in a speech at the Bank of England in London…
Gold In Canadian Dollars
Gold closed at $1,709 CDN yesterday and the rising 50-day moving average (SMA) at $1,651 coincides almost exactly with new Fib. support…
There is little doubt, based on this 2.5-year weekly chart that has been extremely reliable, that Gold in loonie terms will hit at least the $1,900 area in the coming months…for an emerging producer such as Gold Bullion (GBB, TSX-V), which we highlighted in an earlier post this morning, the current price for Gold in Canadian dollars is $300 above their Pre-Feasibility assumptions for the high-grade “rolling start” at Granada…many other producers and near-producers as well are going to benefit from higher price ranges than assumed in PEA’s and feasibility studies carried out during the bear market…
The Risks Of Being Soft On Terrorism
This is not how we want Gold to push higher over the next couple of years, but the sad reality is that a failed strategy to combat radical Islamist terrorism may cause so much global turmoil that bullion will simply explode as a “safe haven” investment…
Did you watch the “Three Amigos” news conference yesterday, and Prime Minister Justin Trudeau’s opening speech?…the mainstream (liberal) media of course didn’t pick up on this, but his remarks were a classic example of how he and President Obama are both tone deaf on the issue of radical Islamist terrorism…not surprisingly, Trudeau’s comments were also entirely in line with the Obama administration’s disturbing pattern of “playing down” terrorist attacks, either abroad or at home, and crafting misleading narratives…remember how Benghazi was handled during the middle of the November 2012 elections, not to mention Fort Hood and San Bernardino thereafter?…
In his opening comments, less than 24 hours after the terrorist attack at Turkey’s main airport (believed to have been carried out by ISIS), Trudeau made no mention of terrorism, though he did make an interesting reference to Orlando with a narrative Obama must have signed off on and loved…
“One of the first items we discussed was our common respect for diversity and our firm support for LGBTQ2 rights, especially in the wake of the shootings earlier this month in Orlando.” (English)
“The United States and Mexico both lost citizens in Orlando. That tragedy has strengthened our determination to protect the rights of LGBTQ2 people. And on behalf of – and we urge all leaders around the world to do the same.” (French)
Wow, in less than 30 seconds, and in a news conference carried on U.S. networks, Trudeau turned an Islamist terrorist attack against all of America and the continent (or the “infidels” as we’re called by ISIS and other Islamist terror groups), against the West’s values of freedom and democracy, into a simple domestic shooting “tragedy” that targeted the gay community, simply out of political correctness and a desire to not “offend” Muslims (plays well into the Democrats’ gun control message as well)…Trudeau couldn’t even bring himself to say the word, “terrorism” (from a government that prides itself on “scientific evidence”)…
The defining issue of our time is not climate change but the threat of radical Islamist terrorism, and yet we have leaders in North America and elsewhere in the world who refuse to even identify or call out the problem for what it is…we don’t doubt that there are more peace-loving Muslims around the globe than radical extremists targeting the West, and it’s critical to get them to be part of this struggle that has corrupted their religion…how can we possibly engage those Muslims, and convince them that they have to take action against the extremists in their midst, when they hear a narrative from us that pretends the problem in their “community” doesn’t even exist?…
Former New York mayor Rudy Guiliani, who has to be considered an expert on the topic of terrorism and jihadists, made these comments last night on Fox News in an interview with Sean Hannity:
“It’s got to be (Obama’s) ideology that’s overruling common sense, facts and truth…I think it’s an insult to the good Muslim people when you don’t point out that this is a certain group of radical Muslims – they don’t represent the good Muslim people…Muslims should stand up and demand that he (Obama) use the words “radical Islam’, and say he can use those words and we’re not defensive about it because we’re decent, honest, honorable people and we hate those people who are acting that way.” (Guiliani)
In today’s Morning Musings…
1. Venture closes in on key resistance in the high 720’s…
2. High-grade Gold from B.C. to Nevada to Fiji…
3. Another new addition to the BMR Top Opportunities List…
Plus more…click here to take advantage of our Spring Sizzler Subscription Special in effect until June 30 only, or login with your username and password to view the rest of today’s Morning Musings…
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The plunge protection team out in full force this week. Smh
Comment by Sameer — June 30, 2016 @ 8:54 am
Indeed, Sameer, the central banks have been scrambling for an even bigger fire hose…where is this leading us to?….Gold is providing some clues…
Comment by Jon - BMR — June 30, 2016 @ 8:55 am
Obama and Trudeau what a pair
It really is sickening and a dis grace to both countries for these two to completely ignore the obvious , what will it take ? Another 9/11? I pray not….for them to finally admit that we are at war with radical Islam
Disgusting….
Comment by GREGH — June 30, 2016 @ 8:59 am
I expect CXO to drill till snowfall or until they run out of money.
Comment by Mmurphy — June 30, 2016 @ 9:41 am
CXO will never run out of money, Mmurphy, and they might do what the Pez did at Eskay Creek and drill even in 10 feet of snow…
Comment by Jon - BMR — June 30, 2016 @ 9:43 am
It appears to me (I am no expert) that Obama and JT are employing a certain strategy which is not to give ISIS any media play – by not acknowledging them – this seems obvious to me. ISIS wants publicity (that is their whole spiel) but the three amigos are not giving it to them – I think its pretty naive to think they are ignoring terrorism. Coming out and supporting the rainbow group is just throwing it the face of ISIS.
If Trudeau steps up to podium and start beaking off at ISIS and going on about going to war with them – what do you think ISIS is going to do with that? They are going to turn around and take that footage and put it in a recruiting video to rally more supporters – hey look this Canadian leader is preparing to go to war with ISIS come help! Join the fight!!
That’s what I see anyway.
Comment by Mmurphy — June 30, 2016 @ 10:07 am
Mmurphy, the simple fact is, they don’t take the threat seriously enough…it doesn’t resonate with them…Trudeau even pulled out of the bombing mission as soon as he took office, but more importantly, Obama’s actions (or lack thereof) on the ground allowed ISIS to establish a foothold in Iraq and elsewhere to begin with…of course the premature withdrawal of troops from Iraq was a huge mistake by Obama (on top of the mistake of invading in the first place, one can argue)…on foreign policy in general, he has proven to be an utter failure…also has gone against the advice of his own generals and many in the State Department…the only way to stop ISIS from recruiting and growing is to destroy them completely on the battlefield…Obama allowed them to rack up victory after victory on the ground in 2014 and 2015, and that’s why we are where we are today…those victories on the ground allowed ISIS to recruit like crazy…wipe them out totally and they’ll come to the conclusion that Allah has withdrawn his “blessing” from them…
Comment by Jon - BMR — June 30, 2016 @ 10:15 am
Jon – if they were going to drill in ten feet of snow the program would have started in May. The INEL slopes are to steep and prone to avalanches. Eskay was fairly flat. and yes “running out money” is not going to happen.
Comment by Mmurphy — June 30, 2016 @ 10:17 am
The reason ISIS started was a result of the success of the IRAQ war to destroy the “weapons of mass destruction” – completely destroying them is a dream not a reality.
Comment by Mmurphy — June 30, 2016 @ 10:21 am
Inel was drilled in the winter before, Mmurphy, albeit from underground tunnels…nothing can be ruled out for the upcoming winter but that’s too far off to concern ourselves with now…what’s important is keeping up this pace and even ramping up if possible over the summer with another rig or 2…
Comment by Jon - BMR — June 30, 2016 @ 10:34 am
No can never rule anything out, maybe they go underground – but I think its pretty safe to say that winter surface drilling in an area that gets 40 feet of snow is unlikely.
Comment by Mmurphy — June 30, 2016 @ 10:44 am
geepers,why the heck are talking about snow in june,stay with the now.32 here in the loops.heart of gold heatin up….
Comment by Laddy — June 30, 2016 @ 11:19 am
jus kiddin folks,silver on a bit of a tare,that should also bode well for rodadero,silver eagle..
Comment by Laddy — June 30, 2016 @ 12:17 pm
Surprised that no one has brought this up yet. From the CXO press release today:
“We also continue to advance our geological concepts of the Inel zone and are noting geological similarities and linkages with the Khyber zone located approximately two kilometres to the south suggesting that the gold-mineralized system may be potentially larger than originally understood.”
Comment by Gary — June 30, 2016 @ 12:20 pm
The entire KSP package very possibly has deposits scattered throughout, Gary, so you’re right…the oldtimers back in the 80’s missed an awful lot, they just scratched the surface….and THANKS TO CLIMATE CHANGE, the world’s “greatest threat”, there will be new discoveries at KSP and elsewhere in this district!
Comment by Jon - BMR — June 30, 2016 @ 12:37 pm
Once upon a time someone from BMR liked NEWC. Wonder if they have noticed the unbelievable prs the last 10 days. Talk about an under the radar one (almost at ground level) selling for .02 a share. I can even afford that.
Comment by Carl Sundmacher — June 30, 2016 @ 4:43 pm
I may be reading too much into the precise wording but making allowances for the fact that this is a very technical crew, I have to wonder when they refer to “similarities” and “linkages” that this is a hint of a single structure and not a bunch of them. The wording was intentional and technical.
Comment by Gary — June 30, 2016 @ 4:49 pm
I was thinking the same as you Gary – that wording seemed to be hinting to the market that this deposit they are hoping is there has real growth potential! Bring on those first set of drill results!
Comment by Rockman — June 30, 2016 @ 8:32 pm
Happy Canada Day!
Comment by DavidW — July 1, 2016 @ 4:16 am
Yes, Happy Canada Day! We’ll have a post later this morning that includes Daniel’s Den and a brief market update. Gold is well-positioned to close the month and quarter above $1,320 resistance.
Comment by Jon - BMR — July 1, 2016 @ 5:06 am