Gold has traded in a range of $1,814 to $1,832 today…as of 9:15 am Pacific, the yellow metal is up $3 an ounce at $1,827…Silver is up 21 cents at $41.72, Copper is off a nickel to $4.14, Crude Oil has gained 16 cents to $88.97 while the U.S. Dollar Index is up one-quarter of a point to 74.43…we’re now into September which traditionally is a strong month for Gold and Gold equities…the CDNX is currently flat at 1811 while the TSX Gold Index is now up 3 points at 422 after falling as low as 416…
Plenty of economic data for investors to chew on this morning, and some of it is better than expected…
The pace of growth in the U.S. manufacturing sector fell to a crawl in August but fared better than economists had forecast, according to an industry report released this morning…the Institute for Supply Management said its index of national factory activity edged down to 50.6 from 50.9 the month before but the reading significantly topped expectations of 48.5 (Reuters poll of economists) which would have signaled a contraction…the ISM index was part of a slew of economic data that came out this morning…the U.S. Labor Department reported that weekly jobless claims fell 12,000 to a seasonally adjusted 409,000 last week, the first decline in three weeks…applications have fallen from an eight-month high of 478,000 in April…still, they typically need to drop below 375,000 to signal sustainable job growth…they haven’t been at that level since February…meanwhile, U.S. productivity declined at an annual rate of 0.7% in the April-June period, a bigger drop than the 0.3% decline reported a month ago…labor costs rose at an annual rate of 3.3%, faster than the 2.4 percent increase originally reported…
A slowdown in China’s manufacturing sector has stabilized despite being squeezed by Beijing’s anti-inflationary measures and a decline in demand from some of the largest buyers of Chinese goods….strong domestic demand helped Chinese manufacturing growth record a marginal increase in August, despite a sharp fall in export demand…the official Purchasing Managers’ Index climbed 0.2 points to 50.9 in August after falling for four consecutive months, while a separate measure compiled by HSBC and Markit Economics stood at 49.9, up from 49.3 in July…a figure above 50 denotes expansion, while a reading below that level points to contraction…it remains to be seen if August’s recovery can be sustained, however, as manufacturing activities usually bounce back after the traditionally quiet month of July…
Euro zone manufacturing activity contracted for the first time in almost two years in August due to a sharp downturn in output and new orders, the Markit Eurozone Manufacturing Purchasing Managers Index showed today…the PMI, which gauges changes in activity levels across thousands of euro zone manufacturers, fell to 49.0 in August from 50.4 in July…the August figure was revised down from a preliminary 49.7…a reading below 50 indicates a contraction…even German factories, which have supported the continent’s growth rates in recent years, were hit, and France’s manufacturing sector contracted for the first time since July, 2009…data released today also showed that manufacturing activity contracted in August in South Korea and Taiwan, while growth fell to a three-month low in Japan…Deutsche Bank, however, remains optimistic…”In our view the likely outcome is that the global economy slows rather than falls back into recession…the risks are numerous, however, and a lot of data are released over the next week,” Deutsche Bank strategists wrote…
The CDNX is relatively quiet on this first day of September but activity should certainly pick up by Tuesday, immediately following the Labour Day holiday…as of 9:15 am Pacific, the Index as we stated earlier is flat at 1,811…Visible Gold Mines (VGD, TSX-V), which enjoyed one of its highest volume days ever yesterday as interest in the Wasamac area intensifies, has backed off to 34.5 cents after jumping as high as 39.5 cents yesterday…from a technical perspective, the reaction near 40 cents was not surprising and another test of that area should come very soon with solid support in the mid-30’s where there was previous resistance…with working capital of $6 million, two stellar major projects (Wasamac area and Joutel), a 43-101 resource at Stadacona-East and one of Quebec’s finest geologists in Robert Sansfacon, VGD is poised for success…a 10% pullback from yesterday’s high of 39.5 cents has to be considered an attractive opportunity…VGD has performed extremely well relative to the overall market the last two months and there’s no reason to believe that trend won’t continue in September…as readers know, we’ve been very bullish on Richmont Mines‘ (RIC, TSX) Wasamac Property (and RIC itself) and of course the company reported more stellar Wasamac assay results Tuesday and has expanded the drill program another 10,000 metres…we believe the results have increased the likelihood that Cadillac Mining’s (CQX, TSX-V) 7 strategic claims (100% owned) that adjoin part of the northern boundary of the south-dipping Wasamac structure are going to come into play in the very near future…there are two separate geological environments on CQX‘s small but strategic property – Gold and VMS…at 14 cents, CQX’s market cap is just $3.5 million…we haven’t updated the CQX chart in quite a while, so below is John’s take on the stock’s technical condition and possible direction…
As of 9:15 am Pacific, CQX is up a penny at 14 cents on light volume…some selling came into Currie Rose Resources (CUI, TSX-V) this morning, knocking it as low as 17 cents but we believe that was entirely technical in nature…the stock has gone 7 consecutive sessions without a down day (5 up and 2 unchanged) and sometimes after a streak like that a trader or investor decides it’s time to unload some paper…that’s definitely short-term thinking as Currie Rose has plenty on the go this month with drilling underway at Sekenke and initial assays pending from Sisu River and Dhahabu at the Mabale Hills Project…CUI made it clear in a recent news release that each and every hole at Sisu River and Dhahabu intersected disseminated sulphide mineralization, so the visuals were better than those from last winter’s Phase 1 drilling…Adventure Gold (AGE, TSX-V) has been looking stronger of late with yesterday’s Venture volume of 234,000 the highest since mid-June…we’re expecting news from two of the company’s main projects in the near future – Pascalis-Colombiere and Dubuisson…with regard to Pascalis, this is a property that keeps looking better each time AGE releases news…we’ll be focusing a lot on Pascalis during our upcoming trip to northwest Quebec…AGE is currently unchanged at 50 cents…
WOW!! Sidon just keeps getting better and better…LOL What a JOKE! I have my bid in for Sidon, 1,500,000 shares at .015 anyone feeling the need to unload at that price, I’ll take them. I am an honest broker, unlike SOME here who PUMP stocks, then make up EXC– USES when their selections FAIL! The CTO on the ceo could last for a while,so don’t get your hopes up for a quick flip, it WILL trade in the .015-.025 range for quite some time. I wonder how the ceo is enjoying his beach house these days? As for VGD, sure they have some positives going for them, BUT most of the HYPE is off the back of Richmont, they company itslef is a LAGGARD, with hope though, they need to continue drilling, BUT they had BETTER come up with better samples and results than the last news release, that was nothing to even publish, if it were, the shares would be trading in the .50 PLUS range, and obviously they aren’t. Also a little mention on GDX, I do NOT comprehend all the noise surrounding this company, and that FAKE run at the close yesterday, was just retailers HOPING for news tomorrow, but I doubt it will happen. I managed to flip my ISD.v a few days ago with a VERY HEALTHY profit ( and I donated 10% of my profits to my local food bank, as I always do) I bought it at .235 and sold it all at .325, think I’ll add to my positions in both VGN and EPO.
Comment by john — September 1, 2011 @ 8:43 am
john
really,
I have tried to refrain from posting anything negative toward other posters, but you really try my patience….
you just love bashing BMR
why don’t you start your own stock newsletter or service, lets see how you do when you have to put it all out there first and not just come on after the fact….
Comment by GREG H — September 1, 2011 @ 9:17 am
Johnny
You’re at it again my buddy ! If you are serious, that you are trying to buy 11/2 million
shares of SN at 0.015 & if you succeed, please don’t ask me to call the company to confirm
what they told you as being correct..
End…..
I’ve had a mental stop on VGD at 0.34, but it appears that i will still be a shareholder at the
end of the day. The bidding is much stronger than the asks’ & that may be enough for today. R !
Comment by Bert — September 1, 2011 @ 9:29 am
John have a look at the monthly charts for VGD GDX & VGN and tell me what you can see. The first two are either breaking out or on the verge of doing so while VGN continues in the dumps. Its obvious you like to slate BMR at every chance but you need to make a proper case for your views. And with VGN where are all these new wells you were ranting about a few weeks. I hope something happens at VGN but at the moment all is very quiet. CUI looks much more exciting at the current price.
Comment by Patrick — September 1, 2011 @ 11:00 am
VISIBLE GOLD MINES ANNONCES EXTENSION OF WARRANT TERM
Rouyn-Noranda, Québec, Canada – September 1st , 2011 – Visible Gold Mines Inc. (VGD-TSXV) (Frankfurt: 3V4) announces that it has applied to the TSX Venture Exchange for a one-year extension of the term of 15,000,000 common share purchase warrants that were issued by Visible Gold Mines as part of a private placement that closed in October 2010. Each warrant currently entitles its holder to purchase one additional common share of Visible Gold Mines at an exercise price of $0.45 until October 22, 2011.
Subject to the approval of the TSX Venture Exchange, the term of the warrants will be extended to October 22, 2012, for a total term of two years. Visible Gold Mines issued a total of 15,000,000 warrants in the October 2010 private placement, none of which have been exercised.
End
Wow !!! 0.45 cent warrant until October 2012… Protect the money bags Visible Gold, but don’t forget
the lowly folk out here…. R !
Comment by Bert — September 1, 2011 @ 11:11 am
Fourth biggest weekly volume ever for vgd and we are thursday!
Comment by Martin — September 1, 2011 @ 11:52 am
Hi John is Tony near the phone at VGN,I need to ask him if has had time to ask the CEO of SINO Forest how he was able to scam the shareholders for a few years.
If you are going to bash BMR,then you should back up your statements that VGN is getting ready to break out as you mentioned in late July 2011.
Comment by John — September 1, 2011 @ 12:03 pm
My portfolio stocks are mostly quiet … GBB and BER closed at 39 cents and 16.5 cents respectively with a low low volume. SD I did not sell at 3 cents but I sold all 2.5 cents. Alec, I did not sell at 3 cents this morning – I am not this type of person asking people to hold and on the other side, I dump them. I may buy back if it drops to 2 cents. Meanwhile, I switched to GA which I bought at 0.045 cents. It closed at 0.05 cents – expectation at least 0.065 cents soon. NAR, finally have some transactions for me… closed at 16 cents. MTU closed at 44 cents, up 3 cents but no volume support. TYP down 5 cents to 87 cents and profit taker continues. At this point, I am holding GBB, GA, NAR and BER. BER is still my sixth sense favorite stock for the September month…. . I put GA in because I expect some jumping activities in the very near future…. short term holding. VGD, I do not hold anything but it will go to 40 cents and CQX around 15 cents level.
Comment by Theodore — September 1, 2011 @ 1:01 pm
Theodore
1. sight (visual sense)
2. hearing (auditory sense)
3. smell (olfactory sense)
4. taste (gustatory sense)
5-8. touch: The skin senses
Because touch involves four different sets of nerves, the skin senses are considered four separate senses:
5. heat
6. cold
7. pressure
8. pain
9. motion (kinesthetic sense)
10. balance (vestibular sense)
Curious as to what sense you consider your 6th sense ? R !
Comment by Bert — September 1, 2011 @ 2:44 pm
In case there’s a Driven Cap (DVV/V)investor or more here, please be advised they have
granted options at 0.19. You can be sure that’s a precusor to a stock price increase,
whether it takes a day, a week or a month, mark my word. R !
Comment by Bert — September 1, 2011 @ 3:36 pm
My Sixth Sense Technology…. We have so much fears to lose money in our risky speculation, but we need to be brave to put down our fears and go to scoop or dump, sometimes we lost in SD’s case, but a lot of times to victory in my speculation. Buy low and Sell high is my principle …. what is the low price? high price? You decide…. But my price rule which is subject my sixth sense change… GA 4.5 cents is low price, GBB 34 cents is low price, BER 13.5 cents is low price, NAR 15 cents is low price, SFF 24 cents is low price, CQX 10 cents, TYP 68 cents, MTU 39 cents, VGD 33 cents and SD for today is 2 cents…. High price GA 7 cents, GBB 45 cents, BER 25 cents, NAR 24 cents, SFF 31 cents, CQX 16 cents, TYP 95 cents, MTU 54 cents, VGD 46 cents and SD 3 cents. Do you think it may sense? These high/low is only my sixth sense but I will follow this rule to proceed in my trading….
Comment by Theodore — September 1, 2011 @ 4:14 pm
VGD
For goodness sake, i missed the NR dated Oct 25th, 2010, when they announced a p.p. at 0.32
& warrant at 0.45. Could the company have informed the varmints, that it would be applying for
a warrant extension, thus prompting the selling of their 0.32 shares at 0.36/0.395. After all,
they still hold a 0.45 warrant & an additional year to get the price up there, to do it all over
again, profit that is. Money, money, money share the wealth ! Oh what fools we mortals be ! Anyway,
you can be sure, the share price won’t drop below 0.32, if it does evacuate… R !
Comment by Bert — September 1, 2011 @ 4:24 pm
Bert, smart move on VGD’s part and we should thank them as investors. I suspect VGD is anticipating a strong market for its shares here in September and October. They have effectively removed some potential selling pressure in the market over these next two months by extending the expiry date. They have chosen the market over a desire to raise another $6 million by the end of October which they don’t really need right now. I did a lot of DD on this company last winter and spring, and I know that it’s a very strong group that participated in the 32 cent financing. They don’t play for pennies. But it’s always good for the market when you’re not up against a near-term warrant expiry date. VGD is not above the exercise price yet but I personally expect that it will be this month which is why I grabbed another 62,500 shares today at .36 and .37.
Comment by Jon - BMR — September 1, 2011 @ 5:18 pm
Jon
I realize money pockets are important to any company, they put their cash forward & deserve to be
rewarded & in this case, they have two chances . Investors like you & me are also important, it’s
our buying which helps to drive the price up & prompts the money pockets to sell, for a profit that
is. If our stocks go down, we may never get a second chance, even with our fingers crossed, so today,
i was troubled, the bad side of me, felt the warrants should be allowed to expire. Elementary my friend,
we are not playing this game on a level playing field, the money pockets are usually in the know & get
perks & become richer, we the lowly folk, are usually left guessing & at times, get deeper in debt. I
will get over this grumbling, once the moon changes, but for now, i am sour on VGD. Good night ! R !
Comment by Bert — September 1, 2011 @ 6:06 pm
P.S.
I feel Johnny is your typical investor & maybe should be pitied & not blamed.
I feel somewhere along the line, he was presented with a very positive VGN story &
invested an amount of cash, only to find VGN move down below his cost. Do the CEO
really care about Johnny, no way ! but i guarantee you one thing, when the CEO,
et al ,(Money pockets) are ready, the stock price will move up, but while Johnny
is waiting, his patience is being tested, he reads about other good deals & is
tempted to sell at a loss. I say hang in there Johnny & follow the CEO, he is the
liar, standing at the top of that there hole. Gone this time. Good night again. R !
Disclaimer – The above comments may not be factual, but put forward to make a point.
Comment by Bert — September 1, 2011 @ 6:28 pm