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A wide ranging discussion on the many factors driving gold and oil

Cory
December 17, 2019

Sean Brodrick joins me today to summarize the many factors that are at play with the moves in gold and oil. Politics and trade dominate the moves but there are some nuances that could come to light in 2020 that would have a big impact on these sectors.

Please email me if you want more information on Sean’s newsletters – Fleck@kereport.com.

Discussion
20 Comments
    cfs
    Dec 17, 2019 17:48 PM

    Off Topic, but interesting:

    https://www.youtube.com/watch?v=itls4v6NI9U

    It surprises me how brilliant our founding fathers actually were; by now it shouldn’t, but it does. I wish the education system had maintained quality.

    cfs
    Dec 17, 2019 17:00 PM

    I don’t think the Chinese trade deal actually matters, because China needs to buy food products and oil. They will have little choice.
    The repo market has little to do with trade, and is due to banking mis-management.
    Unfortunately, much of the repo need is due to international banks using the repo window for liquidity.

    cfs
    Dec 17, 2019 17:10 PM

    The Chinese can alter the apparent Sino-U.S. balance of trade by simple re-classification.
    For some reason, right now goods from the the U.S. to Hong Kong are currently not classified as U.S.-China trade, even if the goods are trans-shipped via Hong Kong to mainland China. (About 20% of U.S. – China current trade is currently routed via Hong Kong)

    b
    Dec 17, 2019 17:26 PM

    I havnt heard from Sean in awhile, always good to get his perspective.

      Dec 17, 2019 17:15 PM

      Agreed. Sean & Cory really covered a lot of different sectors in today’s editorial and from the General Markets, to Gold, to Oil, to Trade Wars, to 2020 economic preparations.

    Dec 17, 2019 17:13 PM

    David Brady – We are Setting up for Another Bullish Move for Gold

    by @PalisadeRadio on 17 Dec 2019

    https://ceo.ca/@palisaderadio/david-brady-we-are-setting-up-for-another-bullish-move-for-gold

      Dec 18, 2019 18:09 AM

      Gold prices look to post biggest annual rise in 9 years

      Dec 16, 2019 – By Myra P Saefong

      “Gold prices look to end the year more than 15% higher, on track to post their biggest annual climb in nine years.”

      “Gold has seen considerable safe haven buying from investors concerned [over] low and negative yields in the bond market and fearing a possible downturn in equities,” said George Milling-Stanley, chief gold strategist at State Street Global Advisors. Gold exchange-traded funds have also been “feeling the benefit of strategic asset allocation type buying by institutions and individuals.”

      “Ongoing uncertainties, both macroeconomic and geopolitical have provided support for both types of buying,” he said.

      https://www.marketwatch.com/story/gold-prices-look-to-post-biggest-annual-rise-in-9-years-2019-12-16

    Dec 17, 2019 17:26 PM

    Copper tapped as the next big metals trade of 2020

    Bloomberg News | December 17, 2019

    “Copper, often called “Dr. Copper” due to its correlation with the economic cycle, could be the trade of 2020, as most industry analysts expect a “lift-off” for the metal as global demand recovers.”

    https://www.mining.com/web/copper-tapped-as-the-next-big-metals-trade-of-2020/

      Dec 17, 2019 17:29 PM

      Trade War Pause Brightens Copper Outlook

      “U.S. President Donald Trump signed off on a phase-one trade deal with China on Dec. 13 to avert a planned new round of tariffs on US$160 billion of consumer goods. The news sent copper rallying to a several-month high of over US$6,170 per tonne (US$2.80 per lb.), and generated renewed optimism for the red metal’s fundamentals heading into 2020.”

      “Consensus forecasts for copper are guardedly bullish heading into next year. Along with most of the base metal suite, copper struggled in 2019 largely due to global trade war concerns and muted global industrial activities that consume the metal. Prices dropped to multi-year lows of US$2.53 per lb. in early September and the metal has not seen US$3.00 per lb. since mid-2018.”

      https://www.northernminer.com/news/trade-war-pause-brightens-copper-outlook/1003812200/

      Dec 18, 2019 18:19 AM

      So other than excelsior and Nevada copper are there any good producers coming online or just came on recently???

        Dec 18, 2019 18:47 AM

        I’m invested in Regulus and SolGold that are both in the Developer category. There are actually tons of Copper companies but I don’t know which stage each is at Explorer, Developer, Producer, so it would take some homework to go through each of these and get an update on where they are in the mining cycle.

        #COPPER STOCKS & ETFs Symbol OTC Symbol

        AERIS RESOURCES $AIS.AX $ARSRF
        ALDRIDGE MINERALS $AGM $AGMIF
        ALPHAMIN RESOURCES CORPORATION $AFM $AFMJF
        ALTIPLANO MINERALS $APN $ALTPF
        AMERICAN CUMO MINING CORP $MLY $MLYCF
        AMERIGO RESOURCES LTD $ARG $ARREF
        ANGLO AMERICAN PLC $AAL.L $NGLOY
        ANGLO PACIFIC RESOURCES PLC $APY $AGPIF
        ANTOFAGASTA HOLDINGS PLC $ANTO.L $ANFGF
        ARC MINERALS LTD $ARCM.L
        ARENA MINERALS INCORPORATED $AN $AMRZF
        ARGONAUT RESOURCES NL $ARE.AX
        ASIAMET RESOURCES $ARS.L $KMGLF
        ASTON BAY HOLDINGS LTD $BAY $ATBHF
        ATALAYA MINING PLC $AYM $ATYM.L
        ATICO MINING CORP $ATY $ATCMF
        AVANCO RESOURCES $AVB.AX $AVRRF
        AVRUPA MINERALS LTD $AVU $AVPMF
        AZARGA METALS CORPORATION $AZR $EUUNF
        BELL COPPER CORPORATION $BCU $BCUFF
        BHP BILLITON LTD $BLT.L $BHP
        BLACK SEA COPPER AND GOLD CORPORATION $BLS $BLSSF
        CANDENTE COPPER CORPORATION $DNT $CCOXF
        CALIBRE MINING CORPORATION $CXB $CXBMF
        CAMROVA RESOURCES INCORPORATED $CAV $BAJFF
        CANYON COPPER CORP $CNC $CNYCF
        CAPSTONE MINING CORPORATION $CS $CSFFF
        CARIBOO ROSE RESOURCES $CRB $CROOF
        CARUBE COPPER CORPORATION $CUC $CARCF
        CASCADERO COPPER CORPORATION $CCD $CCEDF
        CASSINI RESOURCES LTD $CZI.AX $CSSQF
        CENTENERA MINING CORP $CT $CTMIF
        CHAKANA COPPER CORP $PERU $CHKKF
        CHILEAN METALS INC $CMX $CMETF
        CHINA GOLD INTERNATIONAL RESOURCES $CGG $JINFF
        CONSTANTINE METAL RESOURCES LTD $CEM $CNSNF
        COPPER FOX METALS INC $CUU $CPFXF
        COPPER MTN MNG CORPORATION $CMMC $CPPMF
        COPPER NORTH MINING CORPORATION $COL $CPNVF
        COPPER ONE INC $CUO $COPRF
        COPPERBANK RES CORP $CBK $CPPKF
        CORDOBA MINERALS CORP $CDB $CDBMF
        CORNERSTONE CAPITAL RESOURCES INC $CGP $CTNXF
        CORNERSTONE METALS INC $CCC $CCCCF
        CORO MINING CORP $COP $CORJF
        CROWN MINING CORP $CWM $CWMZF
        DOUBLEVIEW CAPITAL CORP $DBV $DBLVF
        ELORO RESOURCES LTD $ELO $ELRRF
        EMX ROYALTY CORP $EMX $EMX
        ENTRÉE RESOURCES LTD $ETG $EGI
        ERDENE RESOURCE DEVELOPMENT CORP $ERD $ERDCF
        ERO COPPER CORP $ERO $ERRPF
        EUROMAX RESOURCES LTD $EOX $EOXFF
        EXCELSIOR MINING CORP $MIN $EXMGF
        EXPLOR RESOURCES INC $EXS $EXSFF
        EXXARO RESOURCES LTD $EXX.JO $EXXAY
        FILO MINING CORP $FIL
        FINDERS RESOURCES LTD $FND.AX
        FIRST QUANTUM MINERALS LTD $FM $FQVLF
        FORAN MINING CORPORATION $FOM $FMCXF
        FORTESCUE METAL GROUP LTD $FMG.AX $FSUMF
        FORTUNE MINERALS LTD $FT $FTMDF
        FREEPORT-MCMORAN INC $FCX
        GARIBALDI RESOURCE CORP $GGI $GGIFF
        GEORGIAN MINING $GEO.L
        GETTY COPPER INC $GTC
        GGX GOLD CORP $GGX $GGXXF
        GLENCORE XSTRATA PLC $GLEN.L $GLCNF
        GOLDEN RIDGE RESOURCES LTD $GLDN $GORIF
        GREAT WESTERN MINING CORP $GWMO.L
        GRUPO MEXICA $GMD.MX GMXDF
        HAMMER METALS LTD $HMX.AX $HMRRF
        HAVILAH RESOURCES $HAV.AX
        HERON RESOURCES LTD $HRR.AX $HER $HRLDF
        HIGHLAND COPPER $HI $HDRSF
        HUDBAY MINERALS INCORPORATED $HBM $HBM
        IMPERIAL METALS CORP $III $IPMLF
        INTREPID MINES LIMITED $IAU.AX $IAUFF
        INTERNATIONAL MONTORO RESOURCES INC $IMT $IMTFF
        IVANHOE MINES LTD $IVN $IVPAF
        JIANGXI COPPER COMPANY LTD $0358.HK $JIXAY
        JINCHUAN GROUP 2362.HK $GDZD.F
        KATANGA MINING LTD $KAT $KATFF
        KAZ MINERALS PLC $KAZ.L $KZMYF
        KINCORA COPPER $KCC $BZDLF
        KING’S BAY RESOURCES CORP $KBG $KBGCF
        KING RIVER COPPER LTD $KRC.AX
        KINTAVAR EXPLORATION INC $KTR
        KGHM POLSKA MIEDZ S.A. $KGHA.F $KGHPF
        KOPORE METALS LTD $KMT.AX
        KUTCHO COPPER CORP $KC $KCCFF
        LIBERO COPPER CORP $LBC $LBCMF
        LIBERTY STAR URANIUM & METALS CORP $LBSR
        LORRAINE COPPER CORPORATION $LLC $LRCPF
        LOS ANDES COPPER LTD $LA $LSANF
        LUCKY MINERALS INC $LJ $LKMNF
        LUMINA GOLD CORP $LUM $ODMEF
        LUNDIN MINING CORORATION $LUN $LUNMF
        METALS X LTD $MLX.AX $MLXEF
        METAL TIGER PLC $MTR.L
        MIDNIGHT SUN $MMA $MDNGF
        MILLROCK RES INC $MRO $MLRKF
        MINERA ALAMOS INC $MAI $VGMTF
        MINOTAUR EXPLORATION LTD $MEP.AX $MURXF
        MIRAMONT RESOURCES CORP $MONT $MRRMF
        MITSUI & COMPANY LTD $8031.S $MITSF
        MMG LIMITED $1208.HK $MMLTF
        MOD RESOURCES $MOD.AX $MDRSF
        MUNDORO CAPITAL INC $MUN $MUNMF
        NAUTILUS MINERALS INC $NUS $NUSMF
        NEVADA COPPER CORPORATION CDA $NCU $NEVDF
        NEVSUN RESOURCES LTD $NSU $NSU
        NEW ERA MINERALS $NEM
        NGEX RESOURCES INC $NGQ $NGQRF
        NICKELCREEK PLATINUM CORP $NCP $NCPCF
        NICOLA MNG INC $NIM $HUSIF
        NORONT RESOURCES LTD $NOT $NOSOF
        NORTHERN DYNASTY MINERALS LTD $NDM $NAK
        NORTHISLE COPPER & GOLD INC $NCX $NTCPF
        ORVANA MINERALS CORP $ORV $ORVMF
        OZ MINERALS LTD $OZL.AX $OZMLF
        PACIFIC BOOKER MINERALS INCORPORATED $BKM $PBMLF
        PANORO MINERALS $PML $POROF
        PEEL MINING LTD $PEX.AX
        POLARX LTD $PXX.AX
        POLYMET MINING CORPORATION $POM $PLM
        PRECIPITATE GOLD CORP $PRG $PREIF
        PUMA EXPLORATION INC $PUMA $PUXPF
        PURSUIT MINERALS LTD $PUR.AX
        QUATERRA RESOURCES INC $QTA $QTRRF
        RAMBLER METALS AND MINING PLC $RAB $RBMTF
        RED METALS LTD $RDM.AX $RMES
        REDBANK COPPER LTD $RCP.AX
        REDHAWK RESOURCES INC $RDK $RHWKF
        REGULUS RESOURSOURCES INC $REG $RGLSF
        REX MINERALS LTD $RXM.AX
        RIDGESTONE MINING INC $RMI
        RIO TINTO PLC $RIO.L $RIO
        ROCKCLIFF COPPER CORPORATION $RCLF $SVVZF
        SALAZAR RESOURCES LTD $SRL $SRLZF
        SAMA RESOURCES INC $SME $LNZCF
        SANDFIRE RESOURCES NL $SFR $SFRRF
        SEARCHLIGHT RESOURCES INC $SRCH
        SEGO RESOURCES INC SGZ
        SERENGETI RESOURCES INC $SIR $SGRNF
        SIERRA METALS INC $SMT $SMTS
        SILVER CITY MINERALS LTD $SCI.AX
        SOLGOLD PLC $SOLG.L $SLGGF
        SOUTHERN COPPER CORPORATION $SCCO
        SPEARMINT RESOURCES INC $SRJ $SPMTF
        STRATABOUND MINERALS CORP $SB $AGSM
        ST GEORGE MINING LTD $SGQ.AX
        SURGE COPPER CORP $SURG $GRJVF
        TALISMAN MINING LTD $TLM.AX $TLSMF
        TASCA RESOURCES $TAC
        TASEKO MINES LTD $TKO $TGB
        TECK RESOURCES LIMITED $TECK-B $TECK
        TETHYAN RESOURCES $TETH
        TOACHI MINING INC $TIM $TIMGF
        TRANSATLANTIC MINING $TCO $TRRGF
        TRIGON METALS INCORPORATED $TM $PNTZF
        TRILOGY METALS INCORPORATED $TMQ $TMQ
        TURQUOISE HILL RESOURCES LTD $TRQ $TRQ
        VALE S.A. $VALE $VALE
        VALOR RESOURCES LTD $VAL.AX $VOYRF
        VAST RESOURCES $VAST.L
        VEDANTA LTD $VEDL
        VEDANTA RESOURCES PLC $VED.L $VDNRF
        VR RESOURCES LTD $VRR $VRRCF
        VULCAN MINERALS INC $VUL $VULMF
        VVC EXPLORATION CORPORATION $VVC $VVCVF
        WEATHERLY INTERNATIONAL PLC $WTI.L
        WESTERN COPPER & GOLD CORPORATION $WRN $WRN
        WOLFDEN RESOURCES $WLF.V $WLFFF
        XANADU MINES LTD $XAM.AX $XANAF
        YELLOWHEAD MINING INC $YMI $YHMGF

        (I’m sure that isn’t all of them, but just some of the ones on my Copper watchlist).

          Dec 18, 2019 18:48 AM

          What???? Nothing in the z’s……obviously an incomplete list. Lol Yeah I’m leaning towards near term or actual producers initially

            Dec 18, 2019 18:16 PM

            Haha! As mentioned I own Regulus and SolGold as 2 key Copper developers (cornerstone capital is also a play in parallel with SolGold). Atico is nice copper producer (and picked off Toachi recently). Kutcho and Chakana are 2 more developers. Trilogy is a solid larger scale developer. Polymer is poly metallic in Minnesota, and finally got their permits. I have a very distressed new Copper/zinc producer Heron resources, but They don’t seem to be getting the attention they deserve because they’re so far behind schedule… but still 2020 may be a better year.

    cfs
    Dec 17, 2019 17:19 PM

    I’m worried about China.
    So is G. Edward Griffin:

    https://youtu.be/idmD9HZykXw

    Dec 18, 2019 18:24 AM
    cfs
    Dec 18, 2019 18:26 AM

    LION ONE ENCOUNTERS MULTIPLE HIGH-GRADE GOLD INTERCEPTS
    AT ITS TUVATU ALKALINE GOLD DEPOSIT, FIJI
    4.29 Meter Interval of 33.22 G/T Gold Intersected 70 Meters Below Current Resource
    North Vancouver, BC, December 18, 2019 – Lion One Metals Limited (TSX-V: LIO) (OTCQX: LOMLF) (ASX:
    LLO) (“Lion One” or the “Company”) is pleased to report that it has encountered multiple high-grade gold
    intercepts in its first deep diamond drill hole at its 100% controlled and fully permitted Tuvatu Alkaline
    Gold Deposit, Fiji.