Check back later this morning for today’s BMR Morning Market Musings.
1. Gold has traded between $1,239 and $1,248 so far today…as of 7:00 am Pacific, bullion is down $3 an ounce at $1,242 while Silver is unchanged at $16.60…base metals are mostly in the green, led by Nickel with a gain of 1%…Cobalt, meanwhile, is threatening to push past $27 for the first time in nearly a decade…the U.S. Dollar Index is flat at 95.77…
2. Oil prices are up for a 7th straight session, 35 cents higher at $45.28, but will still post their worst first-half performance since 1998…lingering worries about oversupply sent WTIC down more than 15% after OPEC’s meeting near the end of May, even though the cartel and some non-OPEC members extended the production cut through the end of Q1 2018…recent days have seen some positive signs in the Oil market…U.S. Crude output dropped 100,000 barrels per day (bpd) to 9.3 million bpd last week, the steepest weekly fall since July 2016, while the amount of North Sea Brent Crude being stored on ships has declined to 6 million from 4-month highs of 9 million last week as refineries now appear to be taking in more cargoes…
3. The Green Monster has sunk its teeth into British Columbia…the federally appointed, Quebec-born Lieutenant-Governor of B.C. (a closet socialist?) refused the advice (new election) of Premier Christy Clark last night and has asked NDP leader John Horgan to form a government, ending 16 years of Liberal rule in the resource-rich province…it’s destined to be one of the most unstable, short-lived governments in B.C. history given a likely NDP speaker and a legislature that is therefore deadlocked at 43–43…the NDP-Green alliance, with nearly 90% of its representation from left-leaning Metro Vancouver and Vancouver Island, will attempt to pursue a radical agenda of a massive increase in the scope of government, tax hikes on corporations and the “rich”, and an assault on the Oil and gas industry highlighted by a signed pact to stop by any means the federally approved Trans Mountain Pipeline expansion…it’s a power grab unlike anything witnessed in British Columbia history after the Liberal Party in the May 9th election won the most seats, the popular vote, and enjoys the most consistent representation of MLA’s across the entire province…during its last time in power in the 1990’s, the NDP drove the provincial economy into such a ditch the Party was nearly obliterated by winning only 2 seats in the 2001 election…
4. The Venture is up slightly at 763 as of 7:00 am Pacific (updated chart in today’s Morning Musings)…the TSX has lost 54 points while the Dow, experiencing a volatile finish to the month, is up 102 points through the first 30 minutes of trading…volumes are light ahead of holidays in both countries…Canadian markets are closed Monday due to the Canada Day long weekend while U.S. markets will be closed Tuesday as our American friends celebrate Independence Day…
5. Bonterra Resources (BTR, TSX-V) has closed its previously announced bought deal private placement (84 cents flow-through, 50 cents hard dollar with no warrants) for gross proceeds of $20 million…Eric Sprott acquired 4.6 million shares in the offering to up his ownership in BTR to just over 10%…the company is well-armed to build resources at its high-grade Gladiator Gold Project in Quebec where the total drilled strike strength on at least 2 horizons is 1.2 km…BTR is off a penny at 46 cents…
6. Kirkland Lake Gold (KL, TSX), one of the top performing Gold producers which continues to be our favorite, fell in price yesterday for the first time in 11 sessions…this morning, however, KL has jumped 27 cents in early trading to $12.36 (updated chart in today’s Morning Musings)…2 days ago the company released new high-grade drill intercepts from underground exploration drilling on the South mine complex (SMC) at the Macassa mine in Kirkland Lake…results from 25 diamond drill holes totalling 12,068 m intersected newly discovered mineralization extending the SMC east of the currently defined resource area and expanding the current resource area on the Lower SMC zone…in addition, drilling in the Lower SMC returned some spectacular high-grade mineralization, including 4,082 g/t over 0.5 m, resulting in the discovery of a new hangingwall system…
7. Frank Giustra boosted his direct and indirect holdings in Klondike Gold (KG, TSX-V) this week to 9,641,664 shares which represents 14.36% of the company’s outstanding stock…last week, KG announced that visible Gold was identified in each of the first 4 drill holes logged in detail at its promising Lone Star target in the Yukon…13 diamond drill holes have intersected the prospective target horizon adjacent to the newly recognized Bonanza fault…drilling is continuing, averaging 1 complete hole per day…KG is up slightly for the week, trading at 34 cents this morning…
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Hi Jon, just wondering, as I know you mentioned this before. What is the potential reason for a Seller to be listed as Anonymous, when looking at Transactions ( I am just wondering for GGM, has 400K in volume after a quieter period and Anonymous is the seller on the majority.)
Comment by Karim — June 30, 2017 @ 9:39 am
Nickel has been on a Tare the last 10 days, this is perfect timing for the e&L . Grab what you can the train is about to leave.. Get the popcorn ready and enjoy the scenic ride!!
Comment by Laddy — June 30, 2017 @ 10:48 am