Daily Market Wrap – Wed 6 Jul, 2016

Chris, Doc and LPG recap the markets

No, folks, we didn’t forget about the Fed Minutes…they were a “nothing” and don’t change the fact that the Fed is frozen. Beyond that, we discuss today’s turnaround for stocks and oil. . .and Europe’s banking mess.

Click download link to listen on this device: Download Show


Featuring:
Richard PostmaLaurent-Patrick-GallyChris Temple

Comments:
  1. On July 6, 2016 at 1:55 pm,
    CFS says:

    James Comey to be question by Congress tomorrow!

    • On July 6, 2016 at 2:09 pm,
      OOTB Jerry says:

      Just another dog and pony show ,……..term limits……What a joke…..

      • On July 6, 2016 at 3:33 pm,
        OOTB Jerry says:

        DOJ…..says it is over…zerohedge

    • On July 6, 2016 at 3:44 pm,
      Dick Tracy says:

      Trump, will be the next President, his values are what we all should consider, family first! DT

      • On July 6, 2016 at 3:47 pm,
        OOTB Jerry says:

        Teflon Hilly vs.The Don

        • On July 6, 2016 at 4:11 pm,
          OOTB Jerry says:

          Debt going to $36 trillion under Hilly….per year.

    • On July 6, 2016 at 6:33 pm,
      Bonzo Barzini says:

      They should ask Comey if he had a secret meeting with Bill Clinton and was offered a bribe.

  2. On July 6, 2016 at 1:57 pm,
    CFS says:

    Platinum is sneaking up unnoticed compared with gold today.

    • On July 6, 2016 at 2:12 pm,
      OOTB Jerry says:

      Big Bob M. Has already put the word out…a few days ago..

  3. On July 6, 2016 at 1:57 pm,
    james says:

    Laurent – Patrick-Gally . You still think i worry to much ? Europe ? The whit Europeans HATE the EU and start to HATE the EURO ! ?

    • On July 6, 2016 at 2:47 pm,
      LPG says:

      Hello Franky,

      Hope all’s well.
      I think you are writing here/following up based on my last comment to you… Am I correct ?

      In my last comment to you (monday last week), I didn’t write “You worry too much Franky”… but I wrote:
      “When it comes to precious metals you worry too much FOR ME Franky.”
      (the quote is from this interview: http://www.kereport.com/2016/06/27/big-al-doc-lpg-opine-brexit-time/ ).

      These words from me were in response to your advice to me: “Buy same real gold Man baed think’s are coming !”

      So what I meant by “you worry too much FOR ME” is that you don’t need to worry about me buying real gold, coz I’m good on that front.

      Hope I am clear now, and apologies if I didn’t express myself clearly in the first place.

      Luv’

      LPG

      • On July 7, 2016 at 2:43 am,
        james says:

        Bombing in Europe and Saudi Arabia , Turkey next ? And real peiphol in France and Belgium are Fed Up ! European EU ! You take thinks very jokey ! All the best !

  4. On July 6, 2016 at 2:00 pm,
    Paul L says:

    The market simply turned as oil turned up from a triple bottom and is up over 4% from the bottom.

  5. On July 6, 2016 at 2:14 pm,
    CFS says:

    Angela Merkel is in a catch 22 dilemma, but it does not matter in the long term, because she is out of a job next year.
    She will try to do the minimum necessary so that failing banks do not bring down DeuscheBank until after the German elections, but she cannot appear to allow Germans to bail out the EU to stop disintegration, because she still has hope for the election next year (false hope, IMHO)
    Germans do admire resolve and strength shown by their leaders, however.

  6. On July 6, 2016 at 2:14 pm,
    OOTB Jerry says:

    Great comments Mr.Propane…Lpg

    • On July 6, 2016 at 2:47 pm,
      LPG says:

      lol Jerry.
      Hope all’s well on your side.
      Best to you,
      LPG

  7. On July 6, 2016 at 2:16 pm,
    irishtony says:
  8. On July 6, 2016 at 2:22 pm,
    irishtony says:
    • On July 6, 2016 at 2:26 pm,
      OOTB Jerry says:

      Irish TONY ,you are on a roll,got anymore

      • On July 6, 2016 at 2:42 pm,
        irishtony says:

        Hi Jerry…I read a lot & if I see something that I think might be of interest to the people on here, then I just pass it on…But I expect most on here just skip past the links that I post….Take care you old Scallywag…HaHa

        • On July 7, 2016 at 5:37 am,
          Excelsior says:

          It is appreciated IrishT.

    • On July 6, 2016 at 2:48 pm,
      LPG says:

      Thanks for the article Irishtony.
      Interesting & appreciated.
      Best to you, and hope all’s well.
      LPG

    • On July 6, 2016 at 6:14 pm,
      Dennis M. O'Neil says:

      This is why Royal Gold popped today.
      Thompson Creek’s Mt Milligan is their billion dollar baby….literally.
      Having a healthy stream partner for a key asset is huge.
      And what if somehow Pascua Lama comes back somehow?

  9. On July 6, 2016 at 2:29 pm,
    OOTB Jerry says:

    Good to see the fund getting active.

  10. On July 6, 2016 at 2:30 pm,
    Anders from Copenhagen says:

    Dear Mr. T.
    Thank you for some very interesting editorials.
    I read an interesting theory regarding the S&P and DJ.
    These indexes contains more stock-buy-back than any other index in the world. And therefore they do not behave like other indexes… And here comes the interesting part: An important reason for the companies to buy back stocks is that it a way to bring back profits to the US from abroad, with out paying tax.
    If possible, I’d like to hear your opinion on this argument.
    Best Regards.
    Andreas

    • On July 7, 2016 at 3:32 am,
      Temple says:

      Andreas — very good point. It’s been well chronicled that big buy backs in the recent past have boosted per-share earnings, etc., even if gross company-wide earnings have stagnated. And it’s why the stock market — even the Dow and S&P — have slowed down, with the level of buy backs having started to decline. There’s just not enough organic, legit earnings growth on its own to push stocks higher.

      As for the tax angle, not sure about that. . .

  11. On July 6, 2016 at 2:33 pm,
    Silverdollar says:
    • On July 6, 2016 at 2:36 pm,
      OOTB Jerry says:

      Hope they get delisted……also.

    • On July 6, 2016 at 2:40 pm,
      OOTB Jerry says:

      Irish TONY beat you to it….see above

  12. On July 6, 2016 at 3:30 pm,
    irishtony says:

    Well here it is in black & white…The whitewash, & we had one here today in the UK with the Chillcot report…..The “BASTARDS F–K US EVERYDAY.
    http://www.zerohedge.com/news/2016-07-06/its-all-over-doj-accepts-fbi-recommendation-ends-probe-clinton-email

    • On July 6, 2016 at 3:38 pm,
      OOTB Jerry says:

      Just saw that…jokers have gone mad..

      • On July 6, 2016 at 3:42 pm,
        OOTB Jerry says:

        Teflmon queen….gets away with another one.

        • On July 6, 2016 at 3:42 pm,
          OOTB Jerry says:

          Teflon

  13. On July 6, 2016 at 3:34 pm,
    CFS says:

    Is this the right Kyle Bass interview?

    https://m.youtube.com/watch?v=muHaeTOFYDs

    • On July 6, 2016 at 8:05 pm,
      LPG says:

      CFS,
      That’s the right one indeed.
      But that’s a free summary. The interview itself is >1hr long.
      Best,
      LPG

  14. On July 6, 2016 at 3:48 pm,
    Nigel says:

    For my pennyworth, after all this time of bailouts the banks seem to be bust again, without anything happening…just look at the Deutsche Bank and Credit Suisse share prices…I don’t know the answer, but very weird

  15. On July 6, 2016 at 4:43 pm,
    CFS says:

    If you want to discuss immigration with knowledge, you owe it to yourself to watch this:
    https://m.youtube.com/watch?v=GSSSRx5FiQ8

  16. On July 6, 2016 at 4:52 pm,
    Doc Fan says:

    Hi Doc,
    Youve stated many times that this would be a big U shape recovery in gold. That doesnt appear to be playing out.

    • On July 6, 2016 at 5:58 pm,
      RICHARD (DOC) says:

      Doc Fan, you’re totally correct—-I do know one thing, this will be a long second leg up. The move higher as far as gold and the PMs is still more grinding up then 2009.

      • On July 6, 2016 at 6:02 pm,
        RICHARD (DOC) says:

        I might add that if we correct here for a couple of months we’re still in somewhat of a U-shape. However, it looks more and more this move may continue slowly up–we’ll see.

  17. On July 6, 2016 at 7:11 pm,
    Excelsior says:

    Here’s why silver is shining brighter than gold
    Cecilia Jamasmie | 2 days ago

    http://www.mining.com/heres-why-silver-is-shining-brighter-than-gold/

    • On July 6, 2016 at 7:12 pm,
      Excelsior says:

      Mexico-focused junior leaps 28% on mine restart
      Andrew Topf | about an hour ago

      http://www.mining.com/mexico-focused-junior-leaps-28-on-mine-restart/

      • On July 7, 2016 at 6:56 am,
        Excelsior says:

        More thoughts on Cyprium Mining and other Silver stocks on the other blog.

    • On July 7, 2016 at 7:06 am,
      Excelsior says:

      There are number of positive Gold stories now flowing on the main-stream media. It is interesting that after years of bashing Gold & Silver, that the investing universe is watching the metals again.

      Look at some of the articles on Bloomberg:

      http://www.bloomberg.com/search?query=gold&sites=markets

      • On July 7, 2016 at 7:17 am,
        Excelsior says:

        Of course, not every talking head on the main stream media is so bullish. George Gero is brought in to make the bullish case half way through the video. It is a real treat whenever George makes it onto the KER.
        ______________________________________________________________________

        Gold is an ‘extremely crowded trade’ and is heading lower, trader says
        CNBC By Michelle Fox – 15 hours ago

        https://finance.yahoo.com/news/gold-extremely-crowded-trade-heading-224815833.html

  18. On July 6, 2016 at 7:33 pm,
    Dennis M. O'Neil says:

    WHAT ARE YOU GOING TO BUY?

    If you are thinking about taking profits from the PM run up….what are you going to buy?

  19. On July 6, 2016 at 8:15 pm,
    Dick Tracy says:
    • On July 7, 2016 at 3:36 am,
      Temple says:

      Newt Gingrich is nearly as accomplished a liar as was Bill Clinton. If Trump picks this totally sold-out Establishment pied piper (who once again now is fooling many ignorant conservatives/populists) he’d better be wearing a LOT of body armor.

  20. On July 6, 2016 at 8:43 pm,
    Dick Tracy says:
    • On July 6, 2016 at 8:46 pm,
      Dick Tracy says:

      Hillary didn’t need to use the twinkie defense, her and Bill have eaten so many of these nasty treats over the years that Comey just gives her a pardon.

    • On July 7, 2016 at 7:39 am,
      Excelsior says:

      Yes I saw that too DT. Funny & Fattening!

  21. On July 6, 2016 at 10:11 pm,
    CFS says:

    In preparation for the weekend show:

    https://youtu.be/CLQsT9BPHpg

  22. On July 7, 2016 at 6:04 am,
    Excelsior says:

    My Calico shares are halted at present, but I was expecting something to happen on July 7th based on their press releases that today was the day of the merger.

    MATTHEW – Thanks so much for posting that article a few weeks back from Jayant Bhandari, where he pointed out the arbitrage between the share price in Calico and the share price in Paramount Gold.

    Because of reading that post, I acquired my shares in Callico at $.086 and they closed yesterday at $.1293 (which I believe was still undervalued since the calculation for the conversion is .07 X PZG {2.12} = $.1484 current value. Sometimes a stock will trade at a discount to the conversion ratio, but Jayant was spot on a few weeks back about the arbitrage. This was a no brainer easy 50%+ gain in 2 weeks and I posted on this a few times thus far. I hope others were also able to capitalize on this lay-up of a trade.

    _______________________________________________________________________

    Paramount Gold Nevada Corp Completes Acquisition of Calico Resources Corp. and its Grassy Mountain Gold Project
    Marketwired – 50 minutes ago

    http://www.marketwired.com/press-release/calico-completes-business-combination-with-paramount-tsx-venture-ckb-2140466.htm

    • On July 7, 2016 at 6:19 am,
      Excelsior says:

      While I’m doling out Thank You’s to KER contributors, I wanted to thank BRIAN again for his post about a month ago on Sabina Gold & Silver (SBB.TO) (SGSVF) on the day when they ran into the permitting snag.

      I had been waiting and waiting for a good entry into that stock, and I knew investors would over-react to that news. I mentioned this a few times on here on KER that this would be a nice snap-back trade. I picked up shares a few times in the $.89-$.83 range and trimmed most of them back yesterday in the $1.10-$1.12 zone. Now I’ve got a cost basis at $.67 on a small core position and can enjoy the ride, and weather any pullbacks. Brian – thanks again man!

    • On July 7, 2016 at 7:46 am,
      Excelsior says:

      Paramount Gold Nevada Corp. (PZG)
      2.54 Up 0.42(19.81%) 10:44AM EDT – Nasdaq Real Time Price

      Update to post above. Now the Calico shares would be valued at (PZG @ 2.57 x .07 = $.1799). Gadzooks!!

      • On July 7, 2016 at 7:51 am,
        Excelsior says:

        Sorry the quote kept changing when I was posting that. PZG went from 2.54 to 2.57 so that post came out weird.

        Let’s just use the $2.55 that PZG is currently trading at (multiplied by the .07 conversion rate) = $.1785 per Calico share. They closed yesterday at $.1293, but are on hold today, because I believe they are going to convert over to PZG shares today or tomorrow? If anyone else has any shares of Calico that already converted in your trading platforms as a confirmation please let me know.

        Cheers!