Visit the BMR comments section throughout the day for updates and helpful information.
1. Gold has traded between $1,273 and $1,282 so far today…as of 7:00 am Pacific, the metal has climbed $3 an ounce to $1,277…Silver is up slightly at $17.15…Copper has added a penny to $3.14 while Nickel is up another 3 cents to $5.71…Crude Oil is flat at $54.29 while the U.S. Dollar Index is also relatively unchanged at 94.73…the Bank of England raised interest rates for the first time in more than 10 years today and said it expects only “very gradual” further increases will be needed over the next 3 years…CME Group reports a big year-on-year jump in metals trading volume during October with an average of 565,000 contracts trading daily, up 46% from October of last year…Copper futures and options achieved 54% year-on-year growth to an average of 110,000 contracts per day…also, Copper options hit an open-interest record of 16,400 contracts on October 25…
2. Nickel is pushing higher again this morning after recording its biggest 2-day jump in more than 3 years…stainless steel raw material Nickel surged by more than $1,100 a tonne over Tuesday and Wednesday on expectations that demand would be boosted by a rise in electric car buying…manufacturers are increasingly trying to boost usage of Nickel in electric vehicle batteries in preference to expensive, hard-to-source Cobalt, though Cobalt’s strategic importance is not expected to diminish anytime soon…Cobalt prices are holding steady near decade highs at $27.44…
3. The Wall Street Journal reported this morning that the White House has notified Federal Reserve governor Jerome Powell that President Trump intends to nominate him as the next chairman of the central bank, a move meant to combine continuity on interest rate policy with perhaps a lighter touch on financial regulation…if confirmed by the Senate, and no roadblocks are expected there, Powell would succeed Janet Yellen, the central bank’s first female leader whose 4-year term as Fed chief expires in early February…in his 5 years at the Fed, Powell has been a reliable ally of Yellen and would likely continue the Fed’s current cautious approach to reversing the central bank’s crisis-era stimulus policies as the economy expands…
4. The biggest transformation of the U.S. tax code since the Reagan era, if Republicans can push it through Congress, should prove to be a catalyst to reignite the U.S. economy and keep equity markets buoyant, though it’s also likely to at least temporarily increase federal deficits…according to the Wall Street Journal, the Tax Cuts and Jobs Act, set to be released today, would permanently chop the corporate tax rate from 35% to 20%, compress the number of individual income tax brackets, and repeal the taxes paid by large estates starting in 2024…the bill collapses the current 7 individual tax brackets into 4 and is expected to reduce taxes significantly for most Americans…
5. Kirkland Lake Gold (KL, TSX), our favorite Gold producer, is up sharply on Q3 financial results this morning with the company reporting net earnings of $43.8 million (U.S.) or 21 cents per share vs. $18.9 million (U.S.) or 16 cents per share in Q3 2016…operating cash costs and AISC per ounce sold were $482 (U.S.) and $845 (U.S.) in Q3 2017 versus $540 (U.S.) and $970 (U.S.) in Q3 2016…production of 139,091 ounces in Q3 2017 brings the year-to-date total to 429,822 ounces, representing increases of 80% and 107% from comparable 2016 levels…Reserves more than doubled at Fosterville in Australia to 1.03 million ounces with an 83% increase in average Reserve grade to 17.9 g/t Au…improved full-year 2017 company guidance now targets consolidated production of 580,000 to 595,000 ounces as well as operating cash costs and AISC per ounce sold of $475 to $500 (U.S.) and $800 to $825 (U.S.), respectively…the company has also doubled its quarterly dividend to 2 cents per share CDN…
6. The Dow is off just 4 points through the first 30 minutes of trading…in Toronto, the TSX has added 5 points to 16,034 while the Venture is up another 3 points to 793…LeoNovus (LTV, TSX-V) has upsized its bought deal financing to $12 million at 50 cents per unit…Fintech Select (FTEC, TSX-V) is breaking out above its 50 and 100-day moving averages (SMA’s) on robust volume in early trading, adding 3 pennies to 24 cents…Hive Blockchain Technologies (HIVE, TSX-V), up strongly for the 5th straight session, has topped the $5 level for the first time…Wolfden Resources (WLF, TSX-V), which in early September announced a deal to acquire the historic high-grade Pickett Mountain VMS deposit, has hit a new multi-year high of 35 cents in early trading…Tinka Resources seems to be benefiting from its listing on the Lima Stock Exchange with the stock up another 7 cents in early trading to 72 cents…Alamos Gold (AGI, TSX, NYSE) has reported its strongest quarterly results since the merger with AuRico Gold in July 2015 with net earnings of $28.8 million or 10 cents per share in Q3…
7. Nemaska Lithium (NMX, TSX), retracing modestly after hitting a new 52-week high this week, announced this morning that it has produced an inventory of Lithium sulfate from spodumene concentrate coming from the Whabouchi mine in Quebec…the processing of this Lithium sulfate into battery grade Lithium hydroxide commenced last week at the Phase 1 Plant and the first tonne of this Lithium hydroxide is expected to be shipped to a customer this month…this milestone will mark the beginning of the qualification of Nemaska Lithium as a new supplier of Lithium salts for the Lithium ion battery market…
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John – how close are we to getting a breakout of the V??
Comment by Jeremy — November 2, 2017 @ 8:28 am
Orca statement .. hmmmmm
VANCOUVER, BRITISH COLUMBIA–(Marketwired – Nov. 2, 2017) – In Orca Gold Inc.’s (TSX VENTURE:ORG) news release dated November 1, 2017 regarding the expansion of the water aquifer at its Block 14 project in Sudan, the Company made the following statement:
“With the expansion at Area 5, GSS can now be developed to its full design potential. The decision by our Board to proceed with a 6.0 Mtpa operation is a game changer for the project, almost doubling the production throughput from the Revised PEA,” Richard Clark, Director and CEO, commented. “This is expected to increase annual gold production in excess of 200,000 ounces, making GSS and Block 14 one of the most exciting pre-development stories in Africa today. With the early success of our most recent resource expansion programme we anticipate that our Feasibility Study will highlight a mine with an impressive annual production and financial profile and a significant mine life.”
The Company has today been advised by IIROC that it must retract the above paragraph because it is not supported by an existing preliminary economic assessment, pre-feasibility study or feasibility study. Accordingly, the Company hereby retracts the above statement.
Comment by Jeremy — November 2, 2017 @ 10:17 am
Jeremy…take note of the nearest FIB on the latest GGI chart.
Comment by John - BMR — November 2, 2017 @ 11:03 am
John.
I believe he meant how close is the venture to breaking out?
Comment by TradingAgent — November 2, 2017 @ 11:27 am
Hi Jon,
Wondering if there are any vanadium plays you would suggest taking a closer look at?
Thanks in advance.
DC
Comment by DC777888 — November 2, 2017 @ 11:38 am
CCC is definitely worthy of due diligence, DC777888.
Comment by Jon - BMR — November 2, 2017 @ 11:40 am
Sorry Jon, I should have been more clear. I am definitely invested in ccc upon your suggestion. Curious about any others…looking at Sri. Spartan resources.
Comment by DC777888 — November 2, 2017 @ 11:48 am
Thx JOhn .. and yes I was referring to the V… but in response to your response.. I need to learn more about FIB levels… and how to plot them..
thx mate
Comment by Jeremy — November 2, 2017 @ 1:05 pm
Jeremy…when I refer to a FIB level I mean the ones I put on my charts. If you want to learn how to place the levels on a chart go to the Chart School section of Stockcharts.com. Try that OK?
Comment by John - BMR — November 2, 2017 @ 1:46 pm
Looks like Bayhorse Silver’s time has come (NOVEMBER). Turning into an active silver producing mine within days with another very promising mine under development . Has that million dollar Sorting machine ready to go and IMO you can say the same for the share price. If I am right will join you guys as a subscriber.
Comment by Carl — November 2, 2017 @ 2:47 pm
Yepper John … have used the FIB’s in certain conditions like retracements.. but on a chart that has gone straight up .. well thats a new one:) so the use case is new for me:)
so thats what I meant:) sorry for any confusion:) I get confused a lot:)
Comment by Jeremy — November 2, 2017 @ 7:21 pm
John – did a quick check and am baffled.. will review the charts you have posted… especially GGI… and try to ‘get it’ 🙂 missing something for sure:) not to worry .. your job is safe:)!!
Comment by Jeremy — November 2, 2017 @ 7:58 pm
Jon, 1 of the things I’m worried about with ais is that if that big bid at .65 disappears with the recent ( low) volume, this will plunge in a hurry! I’m procrastinating on buying more shares, ( maybe a bit to cautious)
Comment by Gregorio — November 3, 2017 @ 3:44 am
O ye of little faith, Gregoire! Stay focused on the big picture. LBY came out of the same repair shop and now commands a market cap well in excess of $100 million (360% gain following graduation from NEX) as it drills in Argentina. With a pilot plant, the likes of Carlos Sorentino running the show there, and drilling starting soon, AIS has only started its ascent in our view as it prepares to move imminently from the NEX to the regular board. Keep in mind that many Americans are prevented by their brokers from buying a Canadian stock with “.H” designation. A whole new world will soon open for AIS.
Comment by Jon BMR — November 3, 2017 @ 5:13 am
With respect to AIS, let’s hope that shares are held by strong hands and we won’t drop to .65. Also let’s keep our bids above .65 so that we get some. I have a good chunk already, but I have a couple $K that I will put a bid in for at .66.
Comment by Tfred — November 3, 2017 @ 5:44 am
ESKAY LAUNCHES NEW WEBSITE AND REVIEWS DATA ON RED LIGHTNING NICKEL PROSPECT
Eskay Mining Corp. has launched its new website.
As a result of recent activity in the Golden Triangle area of British Columbia, the company is reviewing some historical results from diamond drilling of the Red Lightning prospect, where a copper-nickel-cobalt discovery was made in 2008. Results from drill hole CR08-86, reported in a press release dated Aug. 12, 2008, included an intercept of 20.4 metres grading 0.79 per cent copper, 0.42 per cent nickel and 0.08 per cent cobalt from 222.8 m to 243.2 m (estimated true thickness 10.8 m). The intersection included a 10 m intercept grading 1.03 per cent Cu, 0.55 per cent Ni and 0.10 per cent Co (estimated true thickness: 5.3 m). The company will be reviewing drill data, as well as the results of previous geophysical and geochemical surveys in order to re-evaluate the potential of the Red Lightning prospect and to formulate an appropriate follow-up exploration program, including possible diamond drilling. A report on the 2008 exploration program can be found on the company website.
Charles J. Greig, PGeo, a member of the company’s advisory team, is a qualified person under the definition of National Instrument 43-101. Mr. Greig has reviewed and approved the technical information in this press release.
About Eskay Mining Corp.
Eskay Mining is an exploration company focused on the exploration and development of precious and base metals in British Columbia in a highly prolific, polymetallic area known as the Eskay Rift belt located in the Golden Triangle, 70 kilometres northwest of Stewart, B.C.
We seek Safe Harbor.
Comment by John - BMR — November 3, 2017 @ 6:01 am
MTS. Big news this AM
Comment by david — November 3, 2017 @ 6:08 am