Gold once again successfully tested a support band between $1,665 and $1,680 this morning…as of 7:45 am Pacific, the yellow metal is now up $2 an ounce at $1,697 after touching a low of $1,671…Silver is down 18 cents at $31.69…Copper is up a penny at $3.30…Crude Oil has reversed and is now 72 cents higher at $96.89 while the U.S. Dollar Index is up one-quarter of a point at 79.37…
Troubles continue in the dysfunctional euro zone…Italy’s borrowing costs shot higher today as Rome was forced to pay euro-era high interest rates to investors in what analysts called an “awful” auction of short-term debt…yields on two-year bonds jumped above 8% after an auction of this debt and six-month bills raised the full targeted 10 billion euros but at the cost of sharply higher yields…
This is an abbreviated version of Morning Musings today due to travel commitments…markets in New York, which were closed yesterday of course for American Thanksgiving, shut down early today at 10:00 am Pacific…
The CDNX is flat at 1513…the Index does have support at 1500 and that may hold for now but a breach of that support is inevitable in our view as the grip of the bear gets tighter, certainly by January if not sooner…in the meantime, we could see a month-end rally…
Spanish Mountain Gold (SPA, TSX-V) has been knocked down just below its rising 100-day moving average (SMA) where it has consistently been an attractive buy throughout the year…the Chaikin Money Flow (CMF) and Stochastics show deeply oversold conditions…SPA is the fourth most active stock on the Venture so far this morning, up a penny at 73 cents…SPA is developing a high-tonnage, low-grade deposit in central British Columbia and is anchored by a strong and respected management team…second in volume this morning is Cap-Ex Ventures (CEV, TSX-V) which has made a very significant iron ore discovery near Schefferville, Quebec…CEV traded as high as $1.18 in early trading and is currently down 3 pennies at $1.11…this one could have legs and is also a likely takeover candidate if a multi-billion ounce resource is proven up…the drill results so far are certainly impressive…
We’ve mentioned Probe Mines (PRB, TSX-V) consistently in recent months as we’re impressed with the progress the company is making with its Borden Lake Gold Project near Chapleau, Ontario…PRB is currently down a penny at $2.24…John’s chart for PPB is interesting as it’s one of the few bullish ones in this weak market…holders of PRB have reason for optimism…
BMR can you tell us what you think of CKB and Dec.
Thanks
Comment by Red — November 25, 2011 @ 8:30 am
ABI — Just read the notice of annual meeting . The main question is the problem of the fam.that runs the shop. WTF has R Hense done to deserve nearly $1000 compensation for each and every day of 2011 . There are no employees to speak of so what is he CEO’ing . He also awarded himseld half million options to go with the other five and a half million options he previously gave himself. The objective of these options according to company policy is to “attract,motivate,engage,and retain quailfied,high performance individuals and to meet performance objectives designed to increase shareholder returns” . This only proves that the French have retained their sense of humour .An old couple and their son who probably pull the boards strings ;too mean and selfish to hire someone with competance . A competant person could move these assets forward to a growing mining company .
Comment by Frank Speaker — November 26, 2011 @ 11:37 am
Hi andrew and any other followers of CEV. I have been somewhat persistent in urging everyone to take a position in CJC. It is now time to beat my fist on the table. If you liked CEV, you will love CJC. Read the updated corporate presentation on their website, pay particular attention to the drill hole core reported. Since Wednesday, over 30% of the sells dropped off all the way to $3. My sell price was $1.50 and it is now much higher. My DD tells me that they have hit significant REE and if they hit Heavies, $5 will be a cheap price putting a market cap at 100k. They should smoke GMA’s share price. Take a position, make out your Christmas list and put BMW at the top.
Comment by dave — November 26, 2011 @ 6:15 pm
The best way would be to go to the annual meeting and voice discontent. Most of the time that is not practical, so I vote against the board getting re-elected, hoping to keep them on the edge. But they always get re-elected meaning that not many people vote against them.
I was talking to a colleague the other day. He was talking about CEO and board compensation. So I told him that the shareholders are not doing enough to prevent that. Nuff said.
Comment by Bruce — November 26, 2011 @ 6:18 pm
Right . ABI is basically a private company but the Hense’s are using the system to not run it but fleece the public . Just shouldn’t be allowed to be on the exchange . They don’t seem to have any intention to do anything ethical .The amound of compensation that Hense creams off for doing nothing shouldn’t be allowed by the exchange . This is totally unacceptable by any reasonable standards .
Comment by Frank Speaker — November 26, 2011 @ 7:27 pm