Will the markets continue this reversal thru the close?
Click download link to listen on this device: Download Show
Will the current reversal in the markets continue for the rest of the day?
I think a lot of people are waiting for the conventional markets to fall off a cliff.
A Fed generated up Monday does not instill confidence when people are expecting a 400 point DOW drop any moment.
Agree
I was chatting with friends this morning and at one point in the discussion I heard myself saying an Al Korelinism of “What do you folks think?” 🙂
Ha ha ha !!
I bought back into GDX at 14.20 having sold too early last week. Gold is holding well despite the sharp rally in the dollar which should not last long.
I don’t know, Paul – I told my folks to sell out of a similar fund early Friday – looks like a good call at the moment, especially if Bullard, Lockhart and the rest of these goofs try to talk up the economy/dollar again. That gold could not make anything approaching a new rally high late last week is not good near-term news.
Oil and gold should rally together.
Maybe — but Dennis Gartman just now on CNBC probably killed oil’s rally by touting sand producers on the idea that fracking will pick up again.
+1!
This poor guy has trouble to stay silent for a second.
Chris on the weekend both the ECB and the BOJ made comments about adding to their QE which will juice US stocks, yen will be devalued further if the BOJ does add more purchases in early Oct which will be gold negative. Bullard isn’t even a voting member!
Cory US$ reacting to the ECB, BOJ comments during the weekend……………..
Conspicuous by its absence amid all the late week talk of the Fed’s inaction was just that subject: that the Fed sees no alternative but to re-join the global currency war. All their other talk is bullshit – like that from Bullard and Lockhart today. Revenues and earnings alike will decline for the third straight quarter when 3Q #’s come out – and the strong dollar/weak oil are the key reasons. The Fed won’t continue that.
Cool is the way. Thanks for the common sense!
Everyone gets free healtcare in Cuba and a tube of free toothpaste per month.
http://www.huffingtonpost.com/salim-lamrani/cubas-health-care-system-_b_5649968.html
I did not know that, but probably should have. I wonder what the quality of the medical care is.
Huffington Post? Absolute garbage!
I don’t hold him in a high regard.
I guess I see Castro differantly, at one time Cuba had just about the best medical there was, Castro got rid of the “mob” in Cuba as well as the “raping” of resources and corruption of the states.
But round and round it goes, Mossilini eliminated the mafia in Italy only to have he Americans re enstate them too.
We will see what the Ameican/ Cuban negotiations bring.
Is There a “Right” to Health Care? Is Income Taxation Just?
https://www.youtube.com/watch?v=_6n1FL42to8
Destroy might be perspective.
Japan is on holiday and when they return Thurs their core inflation data will be released if its back under 0 than add Japan to the list of a Deflationary trend, what will the BOJ do admit their insane QE stared back in Nov 2012 (notice golds value since then=down) was an incorrect move or add further BOJ purchases….what a mess
Are’nt they back on Wednesday?
Today being a holiday in honour of the aged and tomorrow being an holiday in honour of manga – or something like that?
yes back Wed but inflation data is released Thursday
Ah.
I thought Manga was an amine cartoon?
Claude Secures $25 Million Credit Facility with Scotiabank to Replace Existing Debt
http://www.juniorminingnetwork.com/junior-miner-news/press-releases/902-tsx/crj/11701-claude-secures-25-million-credit-facility-with-scotiabank-to-replace-existing-debt.html#.VgBL687XTr8
I think any company with debt or maybe just not profitable at this level is risky.
Sounds like Claude just bought time, there is even a chance the bank wants the resource.
No idea of course, I just know thats the MO of banks.
I got the impression that this was a “debt swap”. Higher quality loan from Scotia replies current debt from several sources.
+1 Claude did the right thing.
The company has said for months that this debt, taken on at a much higher cost when the company was not doing as well, was on the block to be replaced. That Claude succeeded shows the company is much stronger in its own right and stronger than its peers; not the other way around.
Exactly right. Claude is in great shape -infinitely better than it was just 18-24months ago.
Just took a quick look at Claude, I guess we value things different.
Couple things look ok, especially 8 grams a ton.
They have a little more cash on hand (when they include unsold gold)(line of credit) than they have debt.
For me, I wouldnt think their “all in” cost looks good @ $1310 with a gold price at $1130.
To me, that looks like thy lose money,I also wouldnt get excited about useing “line of credit” as cash, but what do I know? Was a quick look and I could be missing something
I guess I just prefer profitable miners at about $800 gold right now, in case the price drops further.
With those numbers Claude looks like they could be in for a ruff time as gold moves down.
Just me maybe.
oops, there ya go, I looked too quick, its 1310 cdn with a 1500 cdn gold price.
Maybe thats ok.
It is sitting at a triple since September 22, 2014 for a reason. (It’s up 4.5 times since its June ’14 low.)
Net earnings went up 961% in H1 ’15 compared to H1 ’14. At the same time, total gold produced went up 39%; cashflow from operations jumped 114%; cash costs per ounce (U.S.) fell 32%; and AISC (U.S.) fell 27% —all while the average realized price per ounce went up just 5% CAD and fell 7% U.S.
In addition, Claude’s P/E is less than 6 (forward P/E is less than 8) and it trades for .85x book value and 1.21x sales. Compare that to Netflix with a P/E of 225 (forward P/E of 334); 21x book value and 7x sales and one must wonder what the sheeple like to put in their pipe.
Based on trailing P/Es, CRJ would be trading at $24 right now in order to match NFLX.
Based on Price/Book, CRJ would be trading at $25 right now to match NFLX and based on Price/Sales, CRJ would be trading at $3.66 right now.
It’s obviously not an apples to apples comparison but holding NFLX instead of a few well-chosen Claudes right now is not bright at all.
Posts jumping around on the other thread, thought I didnt post and reposted.
Anyone know what is going on the Rye Patch today???
Hi DAN….NO….But I know whats going on in my carrot patch…..Those pesky thieving banker rabbits are stealing all my carrots……………………………..
Hope that helps…he he.
Excellent commentary Mr. Temple. Well received.
Bloomberg reporting this morning that we are going into a bear market.