The Growth Of China Is Key For Resources

June 28, 2018

Jayant Bhandari joins me today to recap a recent presentation he gave that focuses on the growth of the Chinese economy. When looking at just the demand for resources the number are staggering. Even though there has been some weak economic numbers recently the Country is now a major player on the global stage. Jayant also addresses the concerns that some bears have on the Chinese economy and overall debt levels.

Click download link to listen on this device: Download Show

    Jun 28, 2018 28:15 PM

    China also has great debt.

    Much of the world still has to be electrified, so copper will be important for a long while.

    Jun 28, 2018 28:28 PM

    My recommendation would be COPX, BUT NOT YET. (Maybe 2020)

    Jun 28, 2018 28:36 PM

    The biggest advantage China has is IQ; already higher on average than the US, with US IQ decreasing and Chinese IQ increasing.

    A disastrous consequence of socialist welfare systems, that encourage stupid people to have relatively more children!

    Jun 28, 2018 28:37 PM

    Silver set for lacklustre gains in late 2018

    Norther Miner Staff – June 22, 2018

    “After a disappointing 2017, the lacklustre tone for the silver price has largely continued so far this year, moving broadly sideways in a US$16 to US$18 per oz. range.

    To a large extent, this has been a function of range-bound conditions in gold which has seen a general lack of institutional investor interest. In particular, a positive macroeconomic backdrop, rising bond yields and subdued inflation have all weighed on the precious metals complex.

    In addition, short-lived weakness in equities earlier this year failed to dent investor sentiment — a stance that was reinforced by a strong earnings season in the United States.

    For 2018, we expect the challenging environment for silver to persist over the near-term.

    Despite this, Metals Focus expects conditions across global financial markets will become more supportive for precious metal prices later this year. For example, political developments in Italy, periodic spikes in geopolitical tensions and the potential for a destabilizing trade war should all boost sentiment towards precious metals.

    As a result, silver is likely to spend the last few months of 2018 trending upwards. This in turn will see the full-year average price rise 2% year-over-year to US$17.40. As such, we believe a venture above US$20, even if only short-lived, is likely during the final quarter of this year.

    The forecast is also based on the premise that the downturn in the U.S. dollar will resume later this year, driven in part by expectations of a tightening monetary policy in the eurozone. In the U.S., we could see a further flattening of the treasury yield curve, which would be bearish for the greenback.”

      Jun 28, 2018 28:42 PM

      If Silver really did “venture above US$20” in the 4th quarter, the Silver miners would really make a nice move higher. I’ve invested personally with a similar interest in that risk/reward set up and still believe a really nice move may be in store in the miners, and in particular silver miners in the late 3rd quarter into the 4th quarter.

      Wishing everyone well in their investing.

    Jun 29, 2018 29:47 AM

    I guess patience will be tested a little more, but in the end will be well rewarded. Seems like Uranium and Oil stocks may be better plays in the short term for new capital.

    Jun 29, 2018 29:51 AM

    This interview with Ronald Stoferle at Incrementum is worth a listen. I haven’t looked at his “In Gold we Trust” annual report, but plan to over the weekend.

    Jun 29, 2018 29:57 AM

    (ORX) Orefinders Announces Agreement with Province of Ontario to enable Development of McGarry Mine & Barber-Larder Project
    23 hours ago

    “This a big win for our shareholders. The price we paid for McGarry/Barber-Larder reflected an asset which had been tied up in controversy, litigation and environmental issues. This new understanding with the Province eliminates such issues and creates a clear path forward for Orefinders to develop this project. Having resolved this issue, we will now own a valuable asset encompassing 3.0km of prime Cadillac-Larder Lake Break real estate, a high-grade resource with significant upside, all of which sits between the historic world-class Kerr-Addison Mine and Bonterra’s Larder Lake assets. This agreement opens up the region and we see McGarry and its neighbours having a bright future,” said Stephen Stewart, Orefinders’ Chief Executive Officer.

    Jun 29, 2018 29:14 AM

    No full moon effect yet. GDP revision no effect. Next up Fourth of July holiday. Could it be that we are being lulled to sleep only to see the market turn when the market in the U.S. is closed? That would be sneaky.