Market Close Discussion
Chris and Doc discuss whether gravity’s force might be reasserting itself, especially where crude oil and the broad stock market are concerned. Neither of them are necessarily calling for a collapse; but the easy money in most respects has probably already been made.
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EXK Buy more Cool slowly the suffering is near the end . Usas i don’t know CFS Knows more ?
Bonzo, I purchased a little EXK this afternoon and will purchase more as it probably falls further over time. I own just a “tad” of USAS since I refused to chase it higher. I will follow it technically and start to purchase it when it gets to a level I am comfortable with. For my resource sector I am about 43% invested and this is going to be a great opportunity over the next few weeks to continue purchasing quality names. I am not surprised by this sell off as I’ve been warning the listeners about the weakness of this move higher. Keep your powder dry and get out your shopping list since there will be good opportunities as we move forward. By the way, I still hold my PPP and do not plan on selling. Each week I’ll add a little more.
Thanks, Doc. I’ve never owned USAS but it’s on my buy list. MUX also got cheaper today, as well as PPP and NGD. At least XOM went up…
I’m also watching NGD dayly and will purchase over time. I hold a small position in MUX and have been waiting for it to move lower so I can add. Also, I’m very interested in AUY and waiting for it to bottom.
MUX is such a great company but for such a premium price. I don’t see a ton of value their at these prices especially as we see so many unable to sustain their low all-in costs. I don’t know if MUX is immune to that.
Speaking of USAS – Americas Silver Corp – They have BIG news out today, which also probably explains there was more weakness in the shares today on a down day in many silver miners. They’ve acquired an option for 100% ownership on a property with that Santacruz was divesting to Hochschild …. so its normal for a brief dip when news like that is announced, but it is also very constructive for the longer term strategy so I’m pretty jazzed about it.
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Americas Silver Corporation Acquires Option on the San Felipe Property in Sonora, Mexico
Americas Silver Corporation (TSX: USA) (NYSE MKT: USAS)
Highlights of the Acquisition
– Adds an additional high quality silver-zinc development project in a safe, mining-friendly jurisdiction
– Potential for low capital, highly profitable silver and zinc production without shareholder dilution
– Further increases silver and zinc leverage per share
– Attractive acquisition value of 31 cents per silver equivalent ounce (99 cents/indicated resource ounce and 46 cents/inferred resource ounce)1 is highly accretive to overall asset portfolio based on the most recently published NI 43-101 technical report (described below)
– Free cash flow from San Rafael supports San Felipe advancement
* Darren Blasutti, President and Chief Executive Officer of Americas Silver, stated,
“As we did when we acquired Scorpio Mining and the San Rafael project two years ago, we are taking a disciplined and highly accretive approach to our external growth strategy. The San Felipe acquisition provides our shareholders with an exciting development asset at an attractive valuation, which has the potential to add material high margin production scale that further enhances the tremendous value proposition of Americas Silver.
“While we remain highly focused on successfully executing the development of San Rafael on time and on budget, we are extremely excited to add this project to our pipeline. We believe it has the potential to drive the next leg of growth for our Company as we transition to a leading first quartile silver producer in 2018 and beyond.”
I’ll be adding more Americas Silver Corp and have been following this property closely anyway on some good trades in Santacruz Silver. This deal is a win-win.
Thanks for the info on USAS.
Ditto. I missed the news release but have been too busy to trade lately. Will be trading lots starting mid March. I like the future vision this company has.
Happy Texas Independence Day to all! The bluebonnets are in bloom.
+181
Remember the Alamo! Remember Goliad!
Hey guys: My question is if they do raise rates and I agree with Doc that times aren’t getting any better for them as is, do you expect the dollar to climb and gold to get hit hard or at all? Thanks.
Silver, regardless of what the fed does, I believe the odds are very good that gold moves down here—of course, they’ll blame it on the Fed but my personal view is the PMs have been acting very poorly over this move higher and were destined to fall anyway. Let’s watch and see—regardless, I don’t believe gold will necessarily plummet but just work its’ way down over a number of weeks.
metals TA
https://youtu.be/cqoDJOCubNk?t=33
Hey Chris! Stop peeing in our Trump Kool Aid!
And if you really want somebody to douse your Kool aid. . .
OK, I’ll move over — Alan Simpson needs to take a leak now! — http://www.cnbc.com/2017/03/01/alan-simpson-trumps-fiscal-plans-are-like-disney-world.html
Ha! That was a funny response Mr T. !
I guess Alen missed the boat too. 😏
Wow bitcoin is now worth more than an ounce of gold for the first time ever. This is irrational behaviour. Bitcoin is behaving more like a safe haven than gold now. Maybe because it is a newer and smaller market attracting more buyers, I dont know but it doesnt make sense as bitcoin is prone to be hacked, locked etc and people have either lost or cannot access their funds. Its also hugely volatile, with 400-500 dollar price moves in either direction seen within months.
The PMs correction is underway. Think Doc might be right here, this could grind lower for several weeks. His $1160 gold call is appearing more likely.
Ozibalta:
I have owned Bitcoin for over four years. My account has never been hacked. Nor has my account has ever been locked.In order to access my Bitcoin account you need to be in posession of my cell phone for a text verification.
You say Bitcoin is volitale,of course it is because you cannot short it.
Nor can a Central Bank manipulate it.
I’ve said before right here on the K.E Report that people focus to much on the price,missing the true value of the blockchain.
Thats fair enough John. But I personally know of two people who had their accounts frozen and/or hacked when they used the now defunct Mt Gox storage centre in 2014. I understand there are now improved security measures regarding bitcoin and I personally hold no prejudice against those who believe in it. I would just rather be in posession of something that has a proven track record as currency and is a physical hard asset that is not involved in the cyber world.
Lets not also forget, there is a cap on how many bitcoins will be produced as its algorithm dictates this certainty (this is much further down the track I know).
I certainly am more in favour of crypto currencies than currencies within the banking cabal purely for the reasons you suggested: that a central bank cannot manipulate it. Ultimately gold and bitcoin are on the same side to a degree I recon. It is upto the individuals preference at the end of the day
Ozibatla:
I don’t know where you are at in this world,but I am in the U.S.
Those who put their trust in Mt. Gox (Tokyo Japan) deserve everything they got.
The fact that there are a limited amount of Bitcoin does not affect the usage as you can fractionalize one Bitcoin.
I grow tired of the fear peddlers.
Long before I bought Bitcoin I put 10% of my net worth into physical Gold,thanks to some timely advice by Big AL Korelin.
Kudos John. Diversification is key in lifelong investing. I wasnt fear peddling either, just stating fact. Also trying to learn on the go. So wouldnt fractionlising one bitcoin also fractionlise its price?.
Im living in Australia. Those who I mentioned used Mt Gox did so from 2010 onwards when bitcoin was in its infancy and selling for only several cents. At the time, Mt Gox was a reputable, safe storage. How things changed I know.
Hindsight is a wonderful thing, but I wish I invested in PMs earlier but time is on my side thankfully.
If nothing else, the current bitcoin price surge is a perfect illustration of the times we live in
Ozibatla:
I’m really not the guy to be explaining Bitcoin. Al and Corey have had guests on the site that have done an exceptional job of that.
I will research and try come up with the interview.
The price of Bitcoin is due partially to it’s scarcity.The value of Bitcoin is more tied to its usage.Price here is a representation of value but not the only metric.
Fractionalizing the Bitcoin increases the usage,intern adding to the value.
The lightbulb moment for me was when I was explained that you could transact in Bitcoin for a fraction of what it cost to use a credit card.
For all I know Bitcoin could crash tomorrow and I wouldn’t lose any sleep.
Much like anything else,if Bitcoin stands the test of time the early investors will be those that reap the most rewards.
Good graphics and charts from Benchmark Mineral Intelligence on battery resources like Lithium, Cobalt, and Graphite.
When most everything was down today, the Global X Lithium & Battery Tech ETF (LIT) was UP today. I think Global X recently changed the fund name.
Precious metals don’t look very appealing at the moment. I tend to agree with DOC that the downward/sideways action in the metals could continue for weeks. That would likely be healthier longer term anyway. Even Martin Armstrong has said we are running out of time for gold on the downside. I prefer to wait until after the next FED meeting to buy again.
Bill: “GOLD: Tacking Into Strong Fedwinds” – http://www.stocktipster.net/index.php/2017/03/03/gold-tacking-strong-fedwinds/
Cheers John, now I understand what your saying. By using it as means of transactions for goods and services purposes, you hold it in high regard regarding value, convenience and a cheaper option? Its more of a spending tool rather than investment or wealth protection tool?
But like you suggested, those who got in the market earlier will ultimately have more purchasing power
Resource Capital Gold Corp. Produces First Gold at Dufferin
(Marketwired – March 02, 2017)
“Resource Capital Gold Corp. (RCG) (GDPEF) is pleased to announce that it has produced its first gold from mill operations at its Dufferin Gold Mine located in Nova Scotia, Canada. Gold was recovered from a 15-tonne run of test milling of materials stockpiled near the mill. The Company is continuing additional testing in preparation to commence milling on mineralized material from full milling operations commencing in late March.”
Hi Doc, As a long time owner of EXK I want to welcome you aboard. Do you own USAS too?