Comments on oil’s rebound, jobs data this week, and does a Fed taper even matter for US Markets?
Ed Moya, Senior Market Analyst at OANDA joins us for a discuss focused mostly on the US markets continued rise now in the face of an upcoming Fed taper. We start by recapping Powell’s comments at Jackson Hole and the market moves to start this week. We also look to the two main events this week, those being the OPEC+ meeting and jobs data. The biggest question is what will throw the markets off their continued rise.
Diss is the Pump of ( ALL ) Pump’s ! Stay strong Boy’s
My account was almost unchanged from open to close while they walked back gold. They could have just told us how it would close just after open, as nothing mattered all day long.
Yeah agreed David. My trading portfolio was up only slightly 1.2% today, but overall it was a mostly flat day in the mining sector, with a slight bias to the downside. Most of the main mining ETFs were down about 1%-1.4% today so I was happy to have a positive day in that kind of environment. Still not much action one way or the other most of the day in the miners.
Some of the standouts in my portfolio today were:
(AUMN) Golden Minerals – up 11.03%
(GCX) Granite Creek Copper – up 8.1%
(I do wonder if the drill news the I-80 Gold IAU had at their Granite Creek project got applied to Granite Creek Copper by accident from traders that didn’t read carefully?)
(GMTN) Gold Mountain Mining – up 6.7%
(AUN) Aurcana Mining – up 6.6%
(NOVR) Nova Royalty – up 6.4%
(DV) Dolly Varden Silver – up 5%
(NOVR) Nova Royalty Files Interim Financial Statements for the Second Quarter of 2021, Completes Acquisition of Royalty on Aura Minerals Inc.’s Aranzazu Copper Mine, and Provides Corporate Update
by @newswire on 27 Aug 2021
https://ceo.ca/@newswire/nova-royalty-files-interim-financial-statements-for
Aurcana Silver Provides Update on the Restart Progress of Its Revenue Virginius Mine, With First Ore Through the Mill
by @nasdaq on 30 Aug 2021
Kevin Drover commented, “These additional assay results – 15 feet below the first mining stope – which confirm the mineralization is as we expected is the key data validation point we needed to confirm that we can be successful. Mining productivity at the face has been strong and we have some of the best miners in the business working for us. While some logistics issues related to movement of ore and waste in the same underground area slowed our initial development in opening up the production stopes, these short term delays are resolvable as the stope is opened to its full length. With this grade confirmation in hand, the processing plant now moving into commissioning, and with logistics improving rapidly as the first production stope expands both north and south, we are very confident of a successful restart.”
https://ceo.ca/@nasdaq/aurcana-silver-provides-update-on-the-restart-progress
I-80 Gold Intersects High-Grade Gold In Open Pit Drilling At Granite Creek
6.80 g/t Au over 51.1 Metres – Oxide Mineralization below CX-Pit
August 30, 2021
https://www.i80gold.com/i-80-gold-intersects-high-grade-gold-in-open-pit-drilling-at-granite-creek/
That news above is what I was referencing on the connection between the high-grade results by I-80 Gold at their Granite Creek project in Nevada. I wonder if some applied that news to Granite Creek Copper today?… just a daily musing…
Then again, Granite Creek Copper has been doing some solid work lately, and Maurice from “Proven and Probable” did just put out a nice interview with the CEO Tim, at the end of last week.
_____________________________________________________________________________
Granite Creek Copper – Resource Expansion on the High-Grade Copper Carmacks Project
Joining us for conversation is Tim Johnson, the CEO of Granite Creek Copper (TSX.V: GCX | OTCQB: GCXXF).
No offence, many people want to hear this stuff but I am sick of the commentary about Fed, taper, no taper, repo, punch bowl, covid…
We’re sick of a lot of it too Terry, but these topics on monetary polices from the Fed or what is happening with the slowing of the reopening trade at present are what most macro market participants are keyed into.
I enjoy the company interviews where we can really dive into company specific value drivers, and investable ideas that people can further research.
As for covid talk I’ve been fed up with it since last year, but the government policies and lockdowns are affecting certain sectors, like the hospitality sector discussed on Friday and today, as it relates to hotels, airlines, cruises, rental cars, etc…
The rest of the generalists don’t really care much about most of yhe commodity complex or precious metals, and mostly are watching the runaway tech sector, biotech stocks, or cryptos.
Those sector specific guests that follow the PMs also acknowledge the importance of Fed policies, or trot out tge sanw talking points they have for decades… ie too much debt, no way to normalize rates, fiat money is growing more worthless, the system is going to collapse one day, so buy gold… there isn’t that much news or that much new to cover in those regards.
Sorry – was typing on my phone and that didn’t come out correctly.
That was supposed to say:
“Those sector specific guests that follow the PMs also acknowledge the importance of Fed policies, or trot out the same talking points they have for decades…”
The Fed is nothing more than cover for illegitimate markets. Fundamentals don’t support market direction so they have to “interfere” with the technicals. In order to justify the nonsense, they blow the Fed up to be the big Gorilla in the room rather the corrupted private organization it is.
I AM WITH YOU TERRY………… FED UP… the sheeple still like to have itching ears..
No offence, but I am sick of the whining and complaining….
That offers little value to anyone, doesn’t contribute, and is less interesting than even the FED.
Try contributing instead of complaining…. you’ll feel better.
No offence taken…… 🙂 If, you are talking to me…. 🙂
Truly the FAKE FED……..is a JOKE… and has been since Allen Greenweenie…..
with his briefcase of tricks.
That wasn’t directed at you OOTB. Look up the thread and you’ll see my comments mirrored the negative whining of another poster. OOTB you always contribute to the good of the community.
I’ve never understood why some other posters just come on to complain about everything. They complain about the markets… they complain about the topics we cover…. they complain about the companies we cover, yet they don’t contribute to the community anything helpful. These folks must be a real treat to deal with in their daily lives… Oy vey!
Wait, I am up the thread. Oh no…
Haha! It wasn’t you either David and you offer excellent contributions to the community day in and day out.
Look for the comment that starts the same way as my reply back, and then just starts complaining about every topic or company we discuss on here. Why does that guy even come here and torture himself with our terrible topics if he hates it so much?
Thanks EX…… appreciate the quick reply…. as always….. Ever Upward…. 🙂
Ever Upward OOTB! Cheers mate!
🙂
OOTB: We dodged another bullet.
👍👍Ha Ha Allen Greenweenie with his briefcase of tricks. Very true too. The mastro !!!
🙂
I’m Fed up, let’s talk about how beautiful a one ounce Maple Leaf or Kookaburra looks and feels sitting in your hand.
Well, that topic of how good a gold or silver coin looks in one’s hand wouldn’t make for a very long discussion with any guest, but I’m sure they’d all agree that yes it looks nice, and that woukd be that.
Looks like KWEB and CWEB are coming to life. My HK listed Chinese tech ETFs are still in no man’s land. I did catch EDU though.
Yes, a little life in the beaten down CWEB and KWEB lately. We’ll see if they bounce.
We have Dana Lyons on each week, and he’s discussed the Chinese markets for the last 3 weeks on the show, but few responded back about the topic. I asked him off mic, about the really destroyed Chinese tech stocks and he sees the case where they could bounce from such oversold levels, but is still bearish on the Chinese mainland companies and markets.
At the 5:10 second mark from last week, he got into the sectors he’d be willing to short, and by 5:24 he’s discussing shorting the Chinese general markets. I asked a follow up on the Chinese sector after that.
Also related to the Chinese tech sector and weakness in overseas markets, I asked Peter Boockvar about that very topic, starting at the (18:30 min mark), and he got into China, the Asian markets outside of China in Japan, Taiwan, South Korea, Vietnam, etc… and emerging markets in general.
Went bottom fishing on that CWEB, got lucky and got out quickly. No intention of pushing my luck.
That’s probably a wise strategy to get in, make some profits, and get out of the casino with your chips still in hand…
China’s silk road is leading to a new worlds reserve currency in the first quarter of next year from what I understand. It’s going to be an SDR backed by gold and other world currencies that will be included in that basket and possibly oil. There’s much more. There’s always the good, bad and the ugly. This is the optimistic side of things. Gold bugs may be cast down for now however not destroyed. Unless of course you capitulated. In that case, you got squashed. I had to rub that in because that was a wimpy decision. Gold weasels can’t tow the line because they lack conviction and long suffering in patience. This separates them from success. They, gold weasels are their own worst enemy. With investments, there’s no secret to getting rich. It’s all long suffering with patience. Secondly, they trade themselves into the poor house. Never coming to the knowledge of the truth with true and proven success principles. In other words, they chase their tail going around in circles in frustration and that’s how the term gold weasel was born.
yeah, we’ve heard the SDRs were coming for decades now from the likes of Jim Rickards, and his ilk, but so far the fiat currencies have continued on the whole time. I could see the petro-dollar dominance end first, as it relates to the oil and energy markets.
At one point, there will be the “Great Reset” the globalist elites laid out in Davos Switzerland this year, but until then, the SDR talk has been mostly fear porn for the last few decades.
In some respects a basket of currencies and commodities does make some sense, but also tee’s the up ability of the world governments to move closer to stifling “Global Currency”, and it consolidates the options and freedom down even further. Then when the Technocratic Leaders move that basket into a digital currency “Global Coin” then they’ll have total control over all monetary policy, so be careful what you wish for… 😉
Why the US Dollar Is the Global Currency
Strongest World Currency Why the Dollar Is the Global Currency and Calls for a One World Currency
July 23, 2020 – By Kimberly Amadeo, reviewed by Michael J Boyle
“According to the International Monetary Fund, the U.S. dollar is the most popular. As of the fourth quarter of 2019, it makes up over 60% of all known central bank foreign exchange reserves. That makes it the de facto global currency, even though it doesn’t hold an official title.”
“The next closest reserve currency is the euro. It makes up 20% of known central bank foreign currency reserves. The chance of the euro becoming a world currency was damaged by the eurozone crisis. It revealed the difficulties of a monetary union that’s guided by separate political entities.”
“The financial crisis made the dollar even more widely used. In 2018, the banks of Germany, France, and Great Britain held more liabilities denominated in dollars than in their own currencies. Additionally, bank regulations enacted to prevent another crisis have made dollars scarce, and the Federal Reserve has increased the fed funds rate. That decreases the money supply by making dollars more expensive to borrow.”
“The dollar’s strength is the reason governments are willing to hold the dollar in their foreign exchange reserves. Governments acquire currencies from their international transactions. They also receive them from domestic businesses and travelers who redeem them for local currencies.”
“The 1944 Bretton Woods agreement kickstarted the dollar into its current position. Before then, most countries were on the gold standard. Their governments promised to redeem their currencies for their value in gold upon demand. The world’s developed countries met at Bretton Woods, New Hampshire, to peg the exchange rate for all currencies to the U.S. dollar. At that time, the United States held the largest gold reserves. This agreement allowed other countries to back their currencies with dollars rather than gold.”
> Calls for a One World Currency
“In March 2009, China and Russia called for a new global currency. They wanted the world to create a reserve currency “that is disconnected from individual nations and is able to remain stable in the long run, thus removing the inherent deficiencies caused by using credit-based national currencies.”
“China was concerned that the trillions it holds in dollars would be worthless if dollar inflation set in. This could happen as a result of increased U.S. deficit spending and printing of U.S. Treasurys to support U.S. debt. China called for the International Monetary Fund (IMF) to develop a currency to replace the dollar.”
“In the fourth quarter of 2016, the Chinese renminbi became another one of the world’s reserve currencies. As of the first quarter of 2020, the world’s central banks held $221 billion worth, according to the IMF. That’s a fraction of the $6.8 trillion held in U.S. dollars but it will continue to grow in the future.”
“China wants its currency to be fully traded on the global foreign exchange markets. It would like the yuan to replace the dollar as the global currency. To do so, China is reforming its economy.”
>> The Bottom Line
“Despite trillions of dollars in foreign debt and continuous large deficit spending, the United States still holds global trust and confidence in its ability to pay its obligations. For this reason, the U.S. dollar remains the strongest world currency. It may continue to be the top global currency in the years to come.”
“The dollar’s current number one status is under contention though. Countries such as China and Russia feel a new one-world currency, one not backed by any one nation, is overdue in this increasingly integrated global economy.”
China’s going to roll it out early next year from what I understand it’s in the que and going to be unleashed.
YA GOTTA BE IN TO WIN !!!!!!
Thanks Holy Grail.
Do you have a link or article as to that timeline for China rolling the SDR out?
Is there enough consensus with other countries to accept it and ditch the Dollar?
I apologies Ex this is inside information. I would have never mentioned it if it wasn’t very realistic and conducive. The odds are not 100%, however it’s probably up there in the 70 percentile. It’s a very good good possibility and China’s ready to compete with the US dollar through the silk road project. Lots of moving parts there I don’t want to get into specifics that’s another subject altogether. It’s not official regarding China’s gold reserves however I’m certain you’re very aware that China has the largest gold reserves of upwards of possibly 20,000 tons or more. I know that’s controversial but I believe they have that much in gold reserves because the mines in China a lot of the mined gold goes into China’s private gold reserves they’ve been doing that for many years. So, China’s getting to roll this out and they have plenty of gold reserves to back it up. That’s going to play a significant role in their new world’s reserve currency that they’re about ready to unleash.
I have a lot more thoughts and information regarding all these developments. Some might believe it’s all conspiracy theories. The upside all these developments obviously the price of gold will most likely go parabolic. It’s going to happen very fast and furiously. Seriously though, if we’re not in, we’re not going to win because this thing is going to go off like a firecracker. It’s going to take the world by surprise for those that are not paying attention etc. This is the boulevard of hope right now. This is going to change everything. 🤞
Thanks for that response back Holy Grail, and yes, China has been accumulating gold for a backing of their currency efforts, and they have vocally been against the US Dollar as the reserve currency and have desired to play a bigger part on the global currency stage for some time. It would make sense that they would lead the charge to come up with a new system, and having a backing or partial backing by gold makes sense.
Better to have phyz…….. than paper……. at least it is paid for…. lol.. 🙂
No margin call for me…. 🙂
No disrespect…. to any speculators… 🙂
Good points OOTB. Having some allocation to the physical metals as a store of value is a solid strategy for wealth preservation; however, Gold or Silver isn’t really for speculating. Paper assets like the mining stocks or general stock markets are more for speculating, so apples and oranges… 😉
I like both fruits…… 🙂
Yes. They’re delicious. 🙂
🙂 Dang you have a lot of pictures…. lol
Be Fruitful and multiply…. lol……. 🙂
Haha! You too amigo.
🙂
Ex, getting ready to turn out the lights it’s getting late but the silk road project plays a huge part in this new world reserve currency that China is rolling out. Briefly, that’s the fabric that’s going to hold everything together the financial institutions are all part of this that are in the silk road project. If that makes any sense. The silk road project is a key component.
Sleep well
The World Is Still Short of Everything. Get Used to It.
Peter S. Goodman and Keith Bradsher – Mon, August 30, 2021
“The challenges confronting Gjesdal’s shop, Carrot Seed Kitchen, are a testament to the breadth and persistence of the chaos roiling the global economy, as manufacturers and the shipping industry contend with an unrelenting pandemic.”
“Delays, product shortages and rising costs continue to bedevil businesses large and small. And consumers are confronted with an experience once rare in modern times: no stock available, and no idea when it will come in.”
“In the face of an enduring shortage of computer chips, Toyota this month announced that it would slash its global production of cars by 40%. Factories around the world are limiting operations — despite powerful demand for their wares — because they cannot buy metal parts, plastics and other raw materials. Construction companies are paying more for paint, lumber and hardware, while waiting weeks and sometimes months to receive what they need.”
“In Britain, the National Health Service recently advised that it must delay some blood tests because of a shortage of needed gear. A recent survey by the Confederation of British Industry found the worst shortages of parts in the history of the index, which started in 1977.”
“The Great Supply Chain Disruption is a central element of the extraordinary uncertainty that continues to frame economic prospects worldwide. If the shortages persist well into next year, that could advance rising prices on a range of commodities. As central banks from the United States to Australia debate the appropriate level of concern about inflation, they must consider a question none can answer with full confidence: Are the shortages and delays merely temporary mishaps accompanying the resumption of business, or something more insidious that could last well into next year?”
https://www.yahoo.com/news/world-still-short-everything-used-122531990.html
Santacruz Silver reports Second quarter financials! NIIIIIIIIIIIIIIICE!
https://money.tmx.com/en/quote/SCZ/news/5345107657646525/Santacruz_Silver_Reports_Second_Quarter_2021_Financial_Results
+1
Wanna circle back to USAU here. Turns out this is a very old dog. The mutt has been around far too long and done far too little in that time. Copper King(CK) has been along for the ride much of that time. I won’t say it doesn’t pass the smell test but it is a little fishy.
Terry, if you don’t like it then don’t buy it. Pretty simple concept.
However, rather than nebulous comments about whatever smell test you are conducting, how about reviewing where the company is at currently, and where they are going? Did you listen to the recent interview we did with the founder Ed Karr, where he walks people through the work they are doing at the PFS on Copper King? Do you understand their other 3 projects Challis, Keystone, or Maggie Creek? Do you understand the jurisdictions of Wyoming, Nevada, and Idaho and how they stack up to other global jurisdictions for mining? Do you know who the President, CEO, and Chairman George Bee is? Those would be some starting points…
The story has changed substantially over time, as has the management team, but the key is to look at where they are at today – US Gold has 4 projects, the development stage Copper King (CK Gold project) in Wyoming, their Challis Gold project in Idaho, and their 2 exploration projects in Nevada – Keystone and Maggie Creek.
Personally, I like their exploration potential, and feel CK gold is turning into a nice economic Copper/Gold development project, that may get acquired or built in this metals and commodities cycle. Challis and Keystone are like the icing on the cake for further upside. Maggie Creek is very early stage, but in the right geology and mineral trend in Nevada to make a new discovery.
CK Gold is being developed and they are moving it towards a production decision, Challis may have a JV partner at one point, and Keystone and Maggie Creek are earlier stage. If another company wants to come in and buy CK Gold from US Gold or wants to take over US Gold, which is still a potential, then shareholders would need to vote on that. All indications at this time is that they are going to move it forward on their own until another partner comes publicly to the table with an offer, and that wouldn’t even happen until after they put out their Pre Feasibility Study, so that is where the focus is for now as far as value creation.
Here was the recent interview we did with founder Ed Karr, and it may help better inform anyone on what they are doing with the CK Gold project, as they are moving it towards their PFS.
___________________________________________________________________________
Ed Karr, Founder of US Gold Corp. (NSADAQ:USAU) joins us to provide an update on the path towards the Pre-Feasibility Study (PFS) on the Company’s flagship CK Gold project in Wyoming. We discuss the ongoing exploration work the Company is doing to expand and infill resources, and other proposed innovations on the property that could improve the economics of the project moving into the PFS. Next we highlight the addition of a corporate team member with the appointment of Kevin Francis, as the new VP of Exploration. We wrap up with comments around what was learned from the drill program that was completed in late June on the Company’s Maggie Creek project on the Carlin Trend in Nevada.
http://www.kereport.com/2021/08/19/us-gold-corp-a-path-towards-the-pfs-on-the-ck-gold-project/
More than half way through the day and only 4000 shares traded.
Were you on the bid for those 4000 shares 😉
Maybe at half the current price for this pump and dump company.
haha! OK then….
My contribution to the community today….avoid USAU.
Priceless wisdom and due diligence. Thanks Terry!
An exceptional listen. Who else is 100% in gold and silver? https://goldseek.com/article/perfect-storm-gold-silver-michael-gentile
Silverdollar – thanks for the post and for contributing to the community.
(ITR) Integra Intersects High-Grade Gold-Silver in Ten Additional Drill Holes at Florida Mountain: 12.50 G/T Gold and 156.92 g/t Silver (14.52 g/t AuEq) Over 9.39 m, Including 73.25 g/t Au and 427.00 g/t Ag (78.75 g/t AuEq) Over 1.52 m
31 Aug 2021
https://ceo.ca/@nasdaq/integra-intersects-high-grade-gold-silver-in-ten-additional
(GOT) Goliath Adds Third Rig to Its 2021 Maiden Drill Campaign Based on Positive Assay Results
by @nasdaq on 31 Aug 2021
https://ceo.ca/@nasdaq/goliath-adds-third-rig-to-its-2021-maiden-drill-campaign
I was in Goliath too early, GOT out, LOL!, I sure missed their run up from pennies. Darn!
Yeah, Goliath has been in beast mode for a while now. It was one of my 3 stock picks over in the contest at ceo.ca. I also sold it a bit too early, but nobody ever got hurt booking gains. 🙂
(AMK) American Creek’s JV Partner (TUD) Tudor Gold Intersects 972.0 Meters of 1.265 g/t Gold EQ Including 405.0 Meters of 1.439 g/t Gold EQ and 456.0 Meters of 1.352 g/t Gold EQ in Step-Out Drill Hole GS-21-113 at the Goldstorm Deposit, Treaty Creek, B.C.’s Golden Triangle
by @newsfile on 31 Aug 2021
https://ceo.ca/@newsfile/american-creeks-jv-partner-tudor-gold-intersects-9720
(THX) Thor Explorations Announces Second Quarter 2021 Financial and Operating Results for the Three and Six Months Ended June 30, 2021
by @newsfile on 30 Aug 2021
First gold poured at the Segilola Mine on 30 July 2021
Ramp up to commercial production remains on schedule for Q3 2021
72,000 tons of ore mined and stockpiled at Segilola
The Segilola Project remains LTI free
Completion of 4,000 metre Reverse Circulation drilling program at Segilola with results expected in Q4 2021
The Company received encouraging drill results from the Douta Project, Senegal, including the newly discovered Makosa Bridge prospect, where a continuous gold mineralisation over a strike length of ~7.5 kilometres was established between Makosa and Makosa Tail
Outlook
The Company is now ramping up to Commercial Production and is on schedule for Q3 2021
Segilola Mine FY 2021 production guidance adjusted to 30,000 to 35,000 ounces reflecting First Gold Pour occurring in July 2021 as opposed to the initial target of June 2021
https://ceo.ca/@newsfile/thor-explorations-announces-second-quarter-2021-financial
Gold Moves Above $1,800 After Jackson Hole
August 31, 2021 (Investorideas.com Newswire)
“The Jackson Hole is over – we left it in the rearview mirror. Gold moved higher in an immediate reaction, but bullish joy may be premature.”
“So, the Fed Chair started his remarks with the observation that even though the pandemic recession was the briefest yet deepest on record, the pace of the recovery has exceeded expectations. That being said, the economic expansion has been uneven, and its continuation is threatened by the Delta variant of the coronavirus, high inflation and the remaining slack in the labor market. However, Powell was generally optimistic about the future, saying that the prospects were good for continued progress toward maximum employment, while the elevated inflation would likely be temporary.”
https://www.investorideas.com/news/2021/mining/08311TradingAlert-Gold.asp
U.S. Consumer Confidence Falls To 6-month Low; House Prices Post Record Gains
Aug 31, 2021
“The survey from the Conference Board on Tuesday also showed consumers were less upbeat about the labor market. They were less inclined to buy a home and big-ticket items like motor vehicles and major household appliances over the next six months, supporting the view that consumer spending will cool in the third quarter after two straight quarters of double-digit growth.”
long PEMIF