Gold has traded between $1,226 and $1,249 on this Super Tuesday in U.S. politics…as of 10:00 am Pacific, bullion is down $8 an ounce at $1,230…Silver has fallen 16 cents to $14.73…Copper is up a penny at $2.15…Crude Oil has gained 72 cents to $34.47 while the U.S. Dollar Index has added one-quarter of a point to 98.42…
Lucky plumbers – the owner and operator of a home improvement company in Calgary, and an employee, have found a Gold brick, worth an estimated $50,000 or more, under a tub while ripping apart a bathroom…the cellphone-sized Gold bar is imprinted with a serial number and the stamp of a well-known jeweler…
Glencore CEO Ivan Glasenberg commented today that he believes commodity markets have hit the bottom and that cuts in spending by the world’s biggest mining companies will have a positive impact on prices going forward…
Bullion completed its best month in 4 years yesterday amid further inflows into Gold-backed exchange-traded funds…New York-listed SPDR Gold Shares saw inflows of nearly 15 tonnes yesterday, taking holdings to their highest since 2014…
Data this morning showed that the Chinese manufacturing shrank more sharply than expected in February, suggesting Beijing will have to ramp up stimulus to avoid a deeper economic slowdown…yesterday’s first batch of a series of economic reports out of the U.S. this week revived concerns about the strength of the U.S. economy, though this morning’s ISM manufacturing report exceeded expectations…
Meanwhile, an influential Federal Reserve official said today that he sees downside risks to his U.S. economic outlook, an assessment that could flag a longer pause than he and his colleagues had earlier signaled in terms of the Fed’s next interest rate hike. “At this moment, I judge that the balance of risks to my growth and inflation outlooks may be starting to tilt slightly to the downside,” New York Federal Reserve President William Dudley said in remarks prepared for delivery at a conference in China, sponsored jointly by the People’s Bank of China and the New York Fed…of particular concern, he said, are falling inflation expectations, as tracked both by market pricing and more importantly in his view by surveys of households…while so far the declines are not dangerously large, if they fall further they could make it more difficult for the Fed to bring inflation back up to its goal…
How about this – despite all the monetary “stimulus” in the euro zone, annual inflation there is expected to be negative 0.2% in February, down from 0.3% in January, according to a flash estimate yesterday from Eurostat, the EU’s statistical office…no matter how hard they try, central banks around the globe are failing in their efforts to kick-start inflation…
Canada’s Big Mess – Anti-Oil, Climate Change Fanatics At It Again
Another day, more insanity in Carbon Free Canada…the Quebec government, which has been the lucky recipient of billions and billions of dollars in transfer payments from the West over the years (time to put a halt to the “equalization” pipeline), announced this morning that it’s seeking an injunction against the Energy East Pipeline Project…it seems that crazy eastern Canadian environmentalists (there are some out west as well) would rather import increasing amounts of Oil from Saudi Arabia than take Crude from western Canada…go figure…Energy East is a $16 billion project that would carry about 1.1 million barrels of Crude Oil per day from Alberta and Saskatchewan through a 4,600 km-long pipeline to petroleum refineries in the east…if climate change fanatics have their way, this project will never break ground, and Canada will continue to import more Oil from the Middle East in a foolish mission to help “save the planet”…absolute lunacy…time for a common sense revolution in this country…
Gold Seasonality Chart
Over the last 20 years, March has been one of the worst months of the year for Gold…all the more reason to be cognizant of a potential retracement this month of some of the gains that have been racked up since the beginning of the year…conceivably, that could come after a further push to the upside – we’ll see…
Gold has finished positive in March only one-third of the time going back to 1997 as you can see in this seasonality chart…the average decline has been 0.8%, the 3rd-worst performing month behind October (-1.2%) and June (-0.9%)…
In today’s Morning Musings…
1. We’re not seeing it today but the Venture, importantly, has outperformed the broader markets over the last 3 months…
2. Crude Oil gains fresh momentum – where to from here?…
3. Lithium – Pure Energy (PE, TSX-V) edges closer to a breakout along with Nevada Energy Metals (BFF, TSX-V)…
Plus more…to view the rest of today’s Morning Musings, login with your username and password, or click here to gain full access to this and other exclusive BMR content and features…
Oops, the Venture is now producing a very ugly topping candle on the chart today as it spiked to 548 before selling hard and now in the red for today .
Comment by Lester — March 1, 2016 @ 10:23 am
Just raise gas at the pump to 3 bucks a litre in Quebec only, then let’s see the tree huggers drive to their protests, the stupidity is unbelievable, must be something in the WATER hey!!
Comment by Laddy — March 1, 2016 @ 10:53 am
Very happy to get another 80K of GGI.
Comment by pole — March 1, 2016 @ 11:30 am
Ggi-Anonymous back on the selling rampage again
Comment by Sameer — March 1, 2016 @ 11:58 am
I also picked up more GGI today.
Comment by John - BMR — March 1, 2016 @ 12:06 pm
I picked up more today at 10 cents and then it drops to. 095. Boy you have to have nerves of steel with GGI. Still not keeping investors informed regarding drilling. If they are indeed drilling then tell us.
Comment by Dan1 — March 1, 2016 @ 12:16 pm
GGI- I did as well. expect a gain on purity news from grizzly soon; a Rambo report would be nice as well. Cheers
Comment by Foz1971 — March 1, 2016 @ 12:21 pm
Good move John. Hopefully news from GGI will come soon.
Comment by pole — March 1, 2016 @ 12:31 pm
GGI 0.095 DBV 0.07 have we seen the last of the bleeding?
Comment by ConcernedCitizen — March 1, 2016 @ 1:20 pm
One thing is for sure, many people will never invest in B.C. again. Thanks Chad Day.
Comment by ConcernedCitizen — March 1, 2016 @ 1:21 pm
WRR looks ready to move the +d1 cross over adx and pointing up the slow stochastics cross over and pointing up
Comment by kelly — March 1, 2016 @ 1:36 pm
Hello Jon. Could you please give an update on CXV.TO!? Thanks a lot.
Comment by maikenders — March 1, 2016 @ 2:15 pm
Yes, maikenders, we’ll do an update on that in the am.
Comment by BMR — March 1, 2016 @ 2:27 pm
Dbv- today it was one nervous seller. I have faith in Farshad. He holds 14.5M shares. His conference call was very interesting and should be getting news next week.
Comment by Sameer — March 1, 2016 @ 5:13 pm
Correction candle on tsx.v – lets see what happens.
Comment by dave — March 1, 2016 @ 7:32 pm
Yes ,Sameer , news is long overdue.
Comment by Lester — March 1, 2016 @ 7:38 pm
Quite the move on Pure Energy yesterday. 1.4 million of those shares were bought on the otc, only 300k on the venture. Something coming down the pike?
Glad I sold most of my ggi after the last nr although I sincerely hope that it turns around for those still holding. It may yet turn out to be a big winner.
Nxe trending nicely .. just waiting for glh to come into it’s own.
Cheers
Comment by Treb — March 2, 2016 @ 5:45 am
Hey Dave any updates from your connections re EQT? I assume we will hear nothing until the DD and deal is done for the new gold property which I am hoping to be soon.
Comment by Jamie — March 2, 2016 @ 5:51 am
LAD- Nice open this morning.
Waiting for PP to officially close, it’s got to be close.
Comment by MURF — March 2, 2016 @ 6:45 am
Sameer, you mentioned news this week – did you gather that from the conference call? Since the conference call happened prior to the court decision, I wonder if things have changed with DBV going forward?
Comment by ChetBaker — March 2, 2016 @ 6:56 am
Picked up some more WRR this morning. Should be getting more drill results shortly.I can hardly wait.
Comment by pole — March 2, 2016 @ 7:34 am
Jamie, eqt, pp are filled, waiting for exchange, very soon.
LAD about to make a run here, now or never under .10
Comment by dave — March 2, 2016 @ 7:36 am
Chet, rumor has it that news next week for PDAC. Even though the injunction didn’t go as we hoped I don’t see Chad day and tahltan being much of an issue going forward. BC is one of the most mining friendly areas in the world. The govt can’t afford to let that happen and turn into Indonesia. They will need to step in if it gets out of hand. Plus we have the land use agreement.
Comment by Sameer — March 2, 2016 @ 8:41 am
Thanks Sameer, let’s see what next week brings at PDAC, bring on the news. I agree about BC being mining friendly – the recent court decision just leaves me with an uneasy feeling.
Comment by ChetBaker — March 2, 2016 @ 9:48 am
Gold stocks – I going to short KGI.to
Comment by George — March 2, 2016 @ 10:24 am
LAD was my second pick a couple weekends ago. I did not put it out cause I knew a correction was coming. I was hoping for .07 but never happened. I was wanting anyone interested in lower. It looks like lift off is going to happen here.
Comment by dave — March 2, 2016 @ 10:34 am
Shorting KGI might seem tempting, George, given its sharp rise, but there’s no obvious resistance until at least $9…Gold could swing either way shortly, either break out above its current flag (around $1,250) or fall below it (around $1,220)…if Gold were to break out, that would be an uncomfortable short covering experience with KGI…
Comment by Jon - BMR — March 2, 2016 @ 11:10 am
LAD- I’m up 100% and not selling.
Lots of blue sky potential.
Comment by MURF — March 2, 2016 @ 11:23 am
Jon – It wouldn’t be any more uncomfortable than my current experience with GGI, but I will take my chances.
Comment by George — March 2, 2016 @ 12:55 pm
Yes it would, George, especially if Gold pops thru $1,250 and you’ve shorted a producer that’s in a very intense breakout…superbly uncomfortable.
Comment by Jon - BMR — March 2, 2016 @ 3:07 pm
GGI – A producer? A very intense breakout? Can you explain Jon?
Comment by Dan1 — March 2, 2016 @ 3:26 pm
Thanks for the tip Jon. I will decide tomorrow which way I go. Maybe GGI wants to join the party.
Comment by George — March 2, 2016 @ 3:44 pm
I was referring to the idea of shorting KGI, Dan1, which we wouldn’t recommend from a risk-reward standpoint at the moment. But locking in some profits during this strength for those who got in around $5 wouldn’t be a bad idea given the current technicals. We’ll took a look at this one tomorrow with a fresh chart.
Comment by Jon - BMR — March 2, 2016 @ 4:19 pm
Oh, ok.
Comment by Dan1 — March 2, 2016 @ 4:21 pm