A comprehensive market wrap
Chris Temple and Doc join Cory to recap the markets. We start off with the sell off throughout the day in the US markets and if this is a warning sign that the markets are going to continue to fall. We also consider the impact that weak earnings and poor bank numbers will have. We then move into oil the US dollar and gold. With nice moves up in gold, silver and oil i it possible that the US dollar is the main driver?
Click download link to listen on this device: Download Show
No big deal for Mr Lawsonon with BREXIT.
Lawson
Bank earnings to drop 20%……That’s on one hell of an assumption that the Derivatives bubble does not burst!
“In no circumstances enter the derivatives trading market without first agreeing it in writing with me. At some time in the future it could bring the world’s financial system to its knees.”.
Sir Julian Hodge, memo, dated November 1990, to senior executives of the Cardiff-based Julian Hodge Bank, quoted in the Western Mail, Tuesday, February 28th, 1995.
Not “it could” Bob UK but “IT WILL”
Good point, CFS
The s&p closed at the low of the day and that is a very bad sign. I have been waiting for 1930 to 1950 for quite a while but it may stop at 2000.
The Hous Of Lords ! https://www.youtube.com/watch?v=A5JujFqoCMA&nohtml5=False
Silver is going to explode…………COMEX needs to be under investigation along with JPM.
Jerry…I know you like platinum , it seems to me that silver the shiny metal is dragging platinum the other shiny metal up…..Matthew do you have a silver/platinum chart ? to confirm this or not.
Hello Tony, ….I do like platinum……. In the past few years,,It seem to more or trade more in line with gold. Although, the action today would tend to validate your thoughts.
Silver had a nice move today, as I mention early this morning. Silver is not going any lower. When someone like JPM, has 43% of the available stock pile, ….looks like they are trying to play HUNT BROTHERS… It has been stuck at this price for a long time. and the banks might be losing their mojo………….jmo
Before this is over, we will all be chart experts………….. 🙂
PGM, the Bloomberg Platinum metals ETN, has not traded since last Thursday, because my broker says the “ask” is outside of acceptable range for the exchange. I guess no one wants to sell except at too high a price.
thanks…..CFS…………..interesting …….
TRAIN LEAVING THE STATION……………just saying………… 🙂
Interesting on the Platinum ask CFS. Thanks.
Silver priced in platinum fell 11% since January but now has the upper hand. Rick Rule had some positive things to say about platinum at KWN the other day.
Thanks for the input………I agree with you on the SILVER……
I wonder why Rick Rule did not mention the Sprott silver Trust secondary offering on the weekend, or did I miss his mention? That will take 4.7 million ounces off the market.
The Rick Rule Game CFS Careful !!! https://www.youtube.com/watch?v=t9WAGkQUUL0
Where do you get all of this stuff, Franky?
what about the run on banks in porto rico now going on now.
Let’s ask Peter Schiff.
He moved his business to Puerto Rico for the tax advantages…..
This article is worth a read:
http://seekingalpha.com/article/3964485-resource-sector-digest-pinch-pump-dumpology
Caution is always good………it is good to do one’s own dd….
Now, where have I heard that before?
CFS – Good Seeking Alpha article. Because some readers may be too lazy to click on it, their stock picks are worth posting here.
We have discussed all of these stocks on KER recently, but it is a nice synopsis.
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Actionable Ideas
So once again and for one last time we point to the Perseus/Amara (OTCPK:CLUGF) merger and state that our article is not a pump, but a sincere pointer to what we perceive to be an outstanding investment opportunity.
Kees Dekker has contributed a remarkably detailed article as guest commentary for Itinerant Musings subscribers. He is very bullish on Pretium Resources (NYSE:PVG).
The Investment Doctor has doubled down on Sierra Rutile (OTC:TNUMF), and has shared his reasons in this article.
News Releases
True to the theme of this installment, we are limiting ourselves to a discussion of news releases by small- and micro-cap resource companies; and we promise our readers that there will be neither pumping nor dumping involved in the following section. Feel free to add your 2 pennies (but no more) in the comment section below.
After decades of seemingly comfortable and sleepy existence, Eastmain Resources (OTC:EANRF) was kissed awake first by Columbus Gold (OTCQX:CBGDF) threatening a proxy fight, and then by Integra Gold (OTCQX:ICGQF) taking a 9.9% equity stake and re-shuffling the board. Columbus Gold also embraced Integra’s initiative and a change of pace seems inevitable now, perhaps finally crystallizing some value from the Clearwater project.
Endeavour Silver (NYSE:EXK) reported on Q1 production from its three Mexican silver mines, within guidance and slightly down year on year. The company is planning to wind down operations at its El Cubo mine later in the year, and is turning its focus to developing its Terronera discovery. Endeavour Silver might well turn into a takeover target in due time, especially if Terronera holds what it currently promises.
Doray Minerals (ASX ticker DRM) is a name well-known to Itinerant Musings subscribers, a name that has been doing especially well since we introduced it to our subscribers in June last year. The company is building its second mine and has just reported on commissioning of the processing plant. First gold production is expected early in the second half of this calendar year.
Trevali Mining (OTCQX:TREVF) continues to report highly promising exploration results from its Peruvian Santander mine that should expand its reserves in due time. The share price remains tied to its progress at the Caribou Mine and Mill, however, and the jury is still out on this one.
Probe Metals (OTCPK:PROBF) is a junior explorer that was spun out when Goldcorp (NYSE:GG) acquired Probe Mines in 2014 (overpaying for the Borden project in the process). The major has just come back for more, taking a 15% stake in Probe Metals which has concurrently announced its acquisition of Adventure Gold (OTC:AGONF).
Wesdome Gold Mines (OTC:WDOFF) is one of the last small all-Canadian gold miners standing after a recent acquisition bout has reduced this particular species considerably. Last week Wesdome announced the purchase of strategic assets expanding its Moss Lake property, a low-grade bulk mining project in Ontario.
Ivanhoe Mines (OTCPK:IVPAF) and its JV partner Zijin Mining (OTCPK:ZIJMF) seem confident with their latest base metals discovery in the DRC and have decided to throw more money faster at the Kakula discovery area at their Kamoa project. The sometimes-larger-than-life-CEO Mr. Robert Friedland himself has taken it upon himself to announce a goal of completing 25,000 meters of additional drilling on the property this year.
NuLegacy Gold (OTCQX:NULGF) stole the price for the highest profile financing last week when the junior announced a $6.67M investment by Oceanagold (OTCPK:OCANF) at a noticeable premium to the prevailing share price at the time. NuLegacy is developing the highly promising Iceberg project on the doorstep of Barrick Gold’s (NYSE:ABX) Goldrush project. The latest move has introduced yet another cornerstone investor to the registry, and we will report back to our subscribers after we have spoken to the CEO Mr. James Anderson in the coming days.
Asanko Gold (NYSEMKT:AKG) has announced commercial production at its namesake asset in Ghana one quarter ahead of schedule and within budget. The latest operating gold miner is on track for steady-state operations by the end of Q2 – great work Asanko; and well done Doc for calling this success story years ago.
Centerra Gold (OTCPK:CAGDF) has taken yet another step to reduce its dependency on its high-risk Kumtor gold mine in the Kyrgyz Republic by closing a $150M financing facility for the construction of its Öksüt mine in Turkey. Centerra has avoided hedging requirements and has managed to negotiate favorable terms: the facility has a five-year nine-month term and a sliding interest rate of LIBOR + 2.65% to 2.95%. The company has recently bought back a royalty on the Öksüt project from Sandstorm Gold (NYSEMKT:SAND), and Kees Dekker thinks that Centerra is An Attractive Investment If You Can Stomach The Risks with which the Doc concurs.
Denison Mines (NYSEMKT:DNN) reported results of a PEA on the Wheeler River property in the Western Athabasca Basin of which the company owns 60%. The study considered co-developing the high-grade Gryphon and Phoenix deposits as a single underground mining operation and the company liked the results enough to initiate a PFS on the project immediately.
Pure Gold Mining (OTC:LRTNF) continues to firm up its geological reinterpretation of the Madsen gold project near Red Lake with high-grade drill results. This particular area has fallen into some dis-repute after Rubicon Minerals (NYSEMKT:RBY) failed miserable with its Phoenix mine, and Goldcorp disappointed investors with its Cochenour project. Perhaps Pure Gold has what it takes to bring back glory to this mining camp?
Looking at (C) citi group and (JNK) junk bonds makes me think the stock exchange is hurtin for certain. Citi tank and junk both will pull stocks with them. Look at the Nasdaq, it closed just above the 20 and 400 DMA, once it breaks below, lookout below. I wouldn’t want my portfolio at citi tank..
Good thoughts on PMs guys. Pullback or blastoff, that’s the question.
This is an interesting read about the fed!
Cha cha cha cha …changes..and face the straine…
http://www.bloomberg.com/politics/articles/2016-04-11/former-yellen
ditto on citi…………….
or diti on citi………………
Ha
Numerologists note: PVG closed today @$6.66
My price objective in this run is. $7.77
Purgatory Value Gone..PVG…….you will be a blessed man at 7.77…. 🙂
Nice on the 7.77
thanks… 🙂
I think that Yellen has been given advance warning of at least one major bank that is about to announce dire results – hence the extraordinary Fed meeting today followed by Obama and Yellen having a meeting and then telling the world that everything is fine.
I suspect the Fed meeting was for Yellen to tell the other Fed members what is going on and to brainstorm what they can do before she had to go and see Obama.
It could be a US bank. It could be a European one.
Puerto Rico, maybe?
AL ! the govermont looking all we post ! i And control all we looking . I know you Konw ?
Seat-belt time Bob? Obama was to meet Yellen after the Fed meeting btw. He would no doubt get the update on the Fed mood at that time. What I mean is his meeting was not preceding the Fed emergency meeting so the strategy session would be to inform the President of risks that could be coming. They are substantial. China’s bubble is in the process of bursting right now even though we have not yet heard the actual pop. Financials are at risk everywhere as a result so its time to play it safe. I gather US bank exposure to a Chinese Credit Crisis (CCC) is much more limited than European exposure where more than a trillion is on the line but that’s hardly a consolation as US exposure to EU banks means EVERYONE has skin in the game at the end of the day. We are simply too connected. The whole GD ball of wax can come unhinged at any time now and everyone knows it. These emergency meetings are only symbolic at this time since none of it can be stopped anyway. All that can be done is mute the effects. Maybe another QE is indeed coming. I suspect the shit is going to hit the fan just about any day now.
gold still moving after hours
TNX/PRII showing continued decline while the gold price advances. A change in the correlation with gold prices should occur once this indicator bounces, as it had in 2009:
Thanks for the chart……….
Hi Doc,
Sounds like you have given up on a pullback into the spring for gold and miners.
Sorry, I’m catching up. In case anyone missed the weekend show, segment 7 with Chris Temple was outstanding — especially his Russia commentary beginning about 4 minutes in. The Russian stock market has been one of the best performers in recent months, and it remains very cheap based on CAPE valuations.
Wasn’t Doc calling for 120 DXY?
Including many “who think” Janet is pulling the strings. LOL
Unbelievable how ignorant the general public is concerning the FEDS AND CENTRAL BANKING…………
The funny thing about the fed article is, most know about Jekyll Island, yet get brainwashed daily that somehow Janet or the Bernank is somehow in control..
It’s amazing what the boob tube does to even the, , smartest?
A bit off the immediate topic but here’s a good article about the Fed’s Dilemma: Send the USD back up or let it sink. http://www.oftwominds.com/blog.html
How many times in how many ways?
Chartster……..you are spot on………..I can not believe, even some of the people in the business of PM….give so much credence to the babble……
Dang, here is a must read article
It ends this way
There was a time in our history when our forebears said “enough is enough” and stopped paying their taxes to what they considered an illegitimate government. They stood their ground and refused to support a system that was slowly choking out any attempts at self-governance, and which refused to be held accountable for its crimes against the people. Their resistance sowed the seeds for the revolution that would follow.
Unfortunately, in the 200-plus years since we established our own government, we’ve let bankers, turncoats and number-crunching bureaucrats muddy the waters and pilfer the accounts to such an extent that we’re back where we started.
Once again, we’ve got a despotic regime with an imperial ruler doing as they please.
Once again, we’ve got a judicial system insisting we have no rights under a government which demands that the people march in lockstep with its dictates.
And once again, we’ve got to decide whether we’ll keep marching or break stride and make a turn toward freedom.
But what if we didn’t just pull out our pocketbooks and pony up to the federal government’s outrageous demands for more money? What if we didn’t just dutifully line up to drop our hard-earned dollars into the collection bucket, no questions asked about how it will be spent? What if, instead of quietly sending in our checks, hoping vainly for some meager return, we did a little calculating of our own and started deducting from our taxes those programs that we refuse to support?
If we don’t have the right to decide what happens to our hard-earned cash, then we don’t have very many rights at all. If they can just take from you what they want, when they want, and then use it however they want, you can’t claim to be anything more than a serf in a land they think of as theirs.
This was the case in the colonial era, and it’s the case once again.
After reading that last article, read this one. Got to ask yourself when do we finally have a revolution?
19 Signs That American Families Are Being Economically Destroyed
http://www.zerohedge.com/news/2016-04-11/19-signs-american-families-are-being-economically-destroyed
Some lowlights:
#7 Incomes fell for the bottom 80 percent of all income earners in the United States during the 12 months leading up to June 2014.
#8 At this point, more than 50 percent of all American workers bring home less than $30,000 a year in wages.
#9 After adjusting for inflation, median household income has fallen by nearly $5,000 since 2007.
#10 According to the New York Times, the “typical American household” is now worth 36 percent less than it was worth a decade ago.
#11 47 percent of all Americans do not put a single penny out of their paychecks into savings.
#12 One survey found that 62 percent of all Americans are currently living paycheck to paycheck.
#18 If you have no debt at all, and you also have 10 dollars in your wallet, that you are wealthier than 25 percent of all Americans.
#19 On top of everything else, the average American must work from January 1st to April 24th just to pay all federal, state and local taxes.
You could watch this:
https://www.youtube.com/watch?v=tw_wLrK8zwI
and wonder about legitimacy of leadership.
19………..is the problem………..to much govt.
The sheeple……..need to wake up………but, they will not, they will just keep getting bread and circus from the masters……..hoping someone comes along and GIVES them what they want.
for FREE………..
EBOLAN……….THANKS FOR THE POST….
SO , SILVER punched thur $16….trying to go higher……..JMP working hard, at the grave yard shift….must be those shovel ready jobs that Obama was wanting.
morning………………$16.06
$16.12……….hello
COULD THIS BE BREAK OUT…………….
I see zerohedge is out with the news now…………..8 month high in silver……..day late and a dollar short……………I guess they read this blog………….he,he.
Dalradian DNA intersects 1,44m of 100,66 g/t gold at Curraghinalt.
CRUZ……….IS BEING CHALLENGED ON ………..”BIRTH CERTIFICATE”, by a Law Professor who is going to run as a “write in” candidate for the Republican party.
aolnews…….
The other “Nige” gets on BBC for Brexit.