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1. Gold has traded between $1,308 and $1,320 so far today…as of 7:00 am Pacific, bullion is off $10 an ounce at $1,310…a strong support band stretches from $1,300 to $1,280…prices had risen in 11 straight sessions and 15 of the last 16 trading days entering yesterday, boosted by a decline in the greenback which is rallying today…Bart Melek, head of commodities strategy at TD Securities and a Gold bull for 2018, has been declared the winner of the London Bullion Market Association’s Gold-forecasting contest for 2017…Silver has pulled back 20 cents to $16.90…Copper is off a penny at $3.20 while Nickel has added 3 cents to $5.69…Crude Oil is up 27 cents at $62 while the U.S. Dollar Index has rallied one-fifth of a point to 92.51…
2. Gold held by global exchange-traded funds increased by 197.5 tonnes in 2017, a gain of 8.4%, the World Gold Council said in its monthly report today…the rise last year was largely driven by European ETFs which represented three-quarters of all total inflows by adding 148.6 tonnes of Gold ($5.8 billion) to their holdings…in turn, the European market was dominated by Germany. “German-listed ETFs accounted for 35% of global net inflows in 2017,” according to the WGC report…meanwhile, in the North American market, iShares Gold Trust and SPDR Gold Shares collectively accumulated 62.6 tonnes in 2017, representing 28% of global net inflows…
3. Palladium, the best-performing commodity of 2017, has continued its ascent in 2018, hitting a fresh record high of $1,115 this morning before pulling back just below $1,100…the diesel scandal, which has generated high demand for gasoline-powered cars, still appears to be a key driver of the Palladium price…analysts cite figures from the China Passenger Car Association showing that car sales in China rose for the 27th consecutive year in 2017…the U.S. and China are the world’s two largest car markets and both consist of mainly gasoline-powered vehicles which use Palladium rather than Platinum for catalysts…
4. The Dow is up 47 points as of 7:00 am Pacific on investor optimism entering the corporate earnings season…financial giants BlackRock, J.P. Morgan Chase and Wells Fargo are among the companies set to report quarterly results later this week…in Toronto, the TSX is off 3 points while the hot Venture gapped up at the open again and has added 18 points to 939 through the first 30 minutes of trading…marijuana stocks, increasingly very technically overbought, continue to set the pace but are poised for a pullback…TD Bank is acquiring artificial intelligence startup Layer 6 for an undisclosed amount as financial services companies increasingly look to tap the technology’s potential…Michael Rhodes, head of innovation, technology and shared services for TD Bank Group, stated, “Layer 6 adds new capabilities to TD’s growing base of innovation talent and know-how. Artificial intelligence has the potential to power a new generation of data-driven applications from personalized and real-time advice to predictive analytics that will shape the future of banking for millions of individuals”…mass amounts of data with increases in computing power give rise to the ability for machine learning, or artificial intelligence, to really play a much more prominent role in multiple sectors, and that’s why Venture companies such as Datametrex AI (DM, TSX-V) and AnalytixInsight (ALY, TSX-V) have found favor with investors…ALY hit a new multi-year high of 87 cents yesterday on record volume and is active again in early trading today…
5. Orca Gold (ORG, TSX-V) has drilled 162 m grading 2.01 g/t Au (GSDD045) in latest results released this morning from a continuing 25,000-m drill program at its Block 14 Project in Sudan…the addition of 12,500 m of diamond drilling and 2,500 m of reverse circulation drilling will form the basis of a new mineral resource estimate slated to be released in the coming weeks, to be followed by a Feasibility Study in Q2…hole GSDD045 successfully tested a new geological interpretation in the East zone…significant results were also obtained in the Main Zone of the deposit including 48 m at 2.76 g/t in Hole GSDD042 and 50 m grading 2.75 g/t in GSDD047, which are expected to have a positive impact on the resource estimate (true widths estimated at 50% to 70% of intercept widths)…ORG hit a new multi-year high yesterday and is off 3 pennies at 73 cents as of 7:00 am Pacific…
6. Copper Mountain Mining (CMMC, TSX) announced this morning that its operation near Princeton, B.C., produced 88.3 million pounds of Copper equivalent in 2017, including 75.8 million pounds of Copper, 23,600 ounces of Gold, and 277,000 ounces of Silver, all within guidance numbers…the mill averaged 90.3% operating time for the year…the mill processed a total of 14.1 million tonnes of ore at an average rate of 38,592 tonnes per day (43,000 tpd in December) and a grade of 0.32% Copper…Jim O’Rourke, President and CEO, stated, “The favorable mine performance coupled with the rise in the Copper price has allowed the company to increase cash on its balance sheet.” CMMC hasn’t broken below its rising 100-day SMA, currently $1.44, since pushing above it last July…CMMC is off a nickel at $1.50 as of 7:00 am Pacific…
7. The gap between the prices fetched for Western Canadian Select and West Texas Intermediate Crude has hit a 4-year high of almost $27 (U.S.) to start the New Year – the direct result of a shortage of spare pipeline capacity in Canada where getting pot to market is more of a sense of urgency for politicians than getting Oil to market…Ralph Klein is rolling over in his grave…the pipeline bottleneck combined with increasing Canadian production is forcing more producers to rely on a rail option which ironically also carries more environmental risks…
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Thx guys for the WEED chart and commentary … I unloaded all of my pot plays except for BLO…. while they have taken the elelevator up my fear is the frothiness will allow them to take the elevator down as well …
oh still own GLH.CN.. golden leaf…
Comment by Jeremy — January 9, 2018 @ 9:07 am
Pretty red day for me so I bought some csr to cheer me up. Giddy up !!
Comment by Tfred — January 9, 2018 @ 9:11 am
and of course now pot is roaring back….. I was here for the nasdaq run in 1999 and remember the irrational exuberance… but weed at 8 billion – a double in 2 weeks… has to get cooled off… or does it..
Comment by Jeremy — January 9, 2018 @ 9:32 am
Great buying opurtunity on IMR …..best deal of the day!
Comment by Gregory — January 9, 2018 @ 10:40 am
Hey Jon what do you think about this pull back on IMR? Healthy cool down?
Comment by Gregory — January 9, 2018 @ 11:09 am
Jon .. the venture surge is mostly due to pot stocks yes??? spillover efect as you have stated… you think it has started already??? the rising tide lifts all boats is certainly not happening.
Comment by Jeremy — January 9, 2018 @ 11:21 am
Much of the move in the Venture to begin the New Year, Jeremy, has certainly been due to marijuana stocks; however, that doesn’t change the fact the Venture is in a whole new phase of its bull market…you’re going to see a different sector or sectors leading at different times…profits made in pot stocks will be reinvested and targeted elsewhere…
Comment by Jon - BMR — January 9, 2018 @ 11:28 am
Jon or John…. Any idea what is happening with AIS? It has pulled back two days in a row. Your thoughts?
Comment by Raffi14 — January 9, 2018 @ 12:00 pm
Thx Jon
Comment by Jeremy — January 9, 2018 @ 12:11 pm
Ugly black candle forming on CSR hoping for a strong finish!
Comment by Gregory — January 9, 2018 @ 12:43 pm
Jon any reason CLM down so much today?
Comment by SteveSt — January 9, 2018 @ 12:43 pm
Hey Jon what do you think about this silver stock MMG! Look forward to your comments.
Comment by scooptram — January 9, 2018 @ 12:47 pm
red was the theme today,i guess we should turn into rageing bulls now…
Comment by Laddy — January 9, 2018 @ 1:05 pm
Nice accumulation in CSR again today, Gregory…no candle gets in its way…looks like a very quick close on PP and lots on Cobalt…
Comment by Jon - BMR — January 9, 2018 @ 1:47 pm
No reason at all, Steve, just a normal retrace on low volume to support…
Comment by Jon - BMR — January 9, 2018 @ 1:49 pm
Thanks Jon!
Comment by SteveSt — January 9, 2018 @ 2:33 pm
@RAFFI14….The charts Monthly and daily show you why there is softness in the AIS market. There is a 2 month negative divergence between RSI and Price on both charts. This was the warning. Now watch and wait for the RSI to fall to the support level.
Divergencies warn of a future change in trend but do not say when the change will take place.
Must watch the charts closely for these indications.
Hope this helps.
Comment by John - BMR — January 9, 2018 @ 8:49 pm
RAffi14…correction….the 2 month divergence is on the daily chart and there is a 12 month divergence on the monthly chart…..sorry about that.
Comment by John BMR — January 9, 2018 @ 9:05 pm
John
In layman terms what does that mean exactly? Change in trend? Good or bad for AIS?
Thanks
Comment by Gregh — January 9, 2018 @ 9:57 pm
Hey Jon, MOON was recommended a while back and broke through 0.06 today. Any update on what we could expect with this deal. Thanks in advance, Jon!
Comment by MERIDEX — January 9, 2018 @ 10:04 pm
Jon have you any interest in GGM anymore. Do you know if they are cashed up to start their trenching and drilling program in the Aukeko zone?? The historical grades there are brilliant, 7ozs per ton, and if they find anything like that it should start a fire especially in the gold environment we both expect this year. The reverse split has sorted out the share situation and the positives with CSR should mean the mine is now a certainty. Thanks in advance.
Comment by Patrick — January 10, 2018 @ 3:52 am
Hi John, re your answer 17; are you saying we should expect the price to fall to the support levels? Or did I misunderstand you?
Comment by Lady — January 10, 2018 @ 4:25 am
https://www.marketwatch.com/story/10-year-yield-jumps-close-to-26-after-report-china-may-end-us-bond-buying-2018-01-10?mod=bnbh
Should be interesting days ahead…
Comment by flyinthruu — January 10, 2018 @ 4:34 am
Patrick, I certainly do have interest in GGM but timing is everything. The rollback was a good start. The balance sheet needs to be cleaned up, the flow thru addiction must end and several million needs to be put into the treasury. That would allow for an aggressive drill program to attack the high-grade areas and other catalysts to come into play. Do I think that will happen sometime this year? Yes, I do.
Comment by Jon - BMR — January 10, 2018 @ 4:57 am
Jon:
Can you comment on GGI.
It gapped down and looks like it wants to go lower.
Thank you
Comment by GoldenFalcons — January 10, 2018 @ 5:14 am
Jon:
Interesting comments on marijuana stocks.
What’s your opinion on whether or not big tobacco gets into the marijuana business?
Thank you
Comment by GoldenFalcons — January 10, 2018 @ 5:21 am
Roundup is just around the corner, GoldenFalcons, and prior to that we will see news that could be spectacular if one reads between the lines of Regoci’s year-end message. Yesterday’s dip was on low volume and perhaps due to some fool switching off to chase a pot stock for a very risky quick flip. Nickel at new multi-year highs this morning and a realistic shot at a 10-bagger or better on GGI in 2018 with no reason they can’t start drilling again this quarter, sooner than most expect. Sprott keeps buying. Overall, great takeover target for 2018 in a bidding war for high-grade Nickel that is extraordinary in terms of not only grade but purity.
Comment by Jon - BMR — January 10, 2018 @ 5:29 am
Jon:
Thank you as always.
Much appreciated.
Comment by GoldenFalcons — January 10, 2018 @ 5:38 am
Re AIS….Natural move….it will find a close support level. This just to cool it off a little. Not to worry.
Comment by John BMR — January 10, 2018 @ 5:43 am
Thank you John on AIS, seems to me that AIS has a lot of catching up to do compared to other Lithium Companies that are really no further along than they are. Nothing goes straight up, by the end of the year AIS should be at 3-4 bucks imo if they execute their plan.
Comment by Gregh — January 10, 2018 @ 5:51 am
It’s very simple – look at the AIS daily chart and you’ll see the EMA-20 has been the supporting moving average since September, and it’s now in the mid $1.20’s, right next to the Fib. $1.26 level which was previous Fib. resistance…too many drivers on the ground right now for AIS not to continue in this pattern…
Comment by Jon - BMR — January 10, 2018 @ 5:52 am
It’s very simple, Greg – look at the AIS daily chart and you’ll see the EMA-20 has been the supporting moving average since September, and it’s now in the mid $1.20’s, right next to the Fib. $1.26 level which was previous Fib. resistance…too many drivers on the ground right now for AIS not to continue in this uptrend pattern, and as you say the valuation vs. other significant Lithium brine players in Argentina is still behind the curve. AIS is proceeding toward the next Fib. resistance John laid out.
Comment by Jon - BMR — January 10, 2018 @ 5:53 am
GGI 10 bagger from current levels, Jon?
Comment by Lady — January 10, 2018 @ 5:55 am
That is what I’m thinking, Lady, or better, and Eric Sprott would probably tell u the same. You cannot have these type of tenors and grades and widths and different sulphide melts and geophysical signatures in a perfect setting such as this without something truly extraordinary…and in a bull market, to boot. Period. I would hope and expect that GGI will be able to paint that picture very clearly before Roundup.
Comment by Jon - BMR — January 10, 2018 @ 6:00 am
Thanks Jon, patience required as usual.
Comment by Gregh — January 10, 2018 @ 6:17 am
Hi Jon, with all the macro-factors going on, and assuming GGI brings the goods, wouldn’t it be advantageous for a major to actually buy-out this company early?
Comment by flyinthruu — January 10, 2018 @ 6:27 am
If by early you mean by the end of 2018, flyinthru, that’s entirely possible…what will get very interesting is the next hole…with all that borehole data, I’m thinking hole 15 is a bulls-eye target into a high conductor, on a nice step-out perhaps from hole #14…if that scenario unfolds, and the next hole also hits grades like 7% or 8% Nickel or better over comparable widths to hole 14 (why not if the conductor is there?), then it’s really game on and the possibility of a company taking a piece of the action at this early stage rises dramatically…
Comment by Jon - BMR — January 10, 2018 @ 7:38 am
Wow, just looked and determined that this is a very non eventful day thought after a red day like yesterday, it would have a little more action! IMR next to no action…..calm before the storm?
Comment by Gregory — January 10, 2018 @ 7:58 am
Your clients claim that BMR has a crystal ball and can see the future. I plan on becoming one of those clients if you are correct with Garibaldi Resources. What would be your guess as a logical sale price for Nickle Mtn. Again this is just a Wild Guess as I don’t expect you to know what is truly in the ground and what amount there is in the ground. What would be your price $1bil, $5bil, etc
Comment by Bob — January 10, 2018 @ 8:07 am
NEWS…SVB.V
Silver Bull Extends Previously Inaccessible Historical Workings 350 Meters to the West of Recent Drilling and Identifies Two New Sulphide Zones Grading Up to 30.7% Zinc, 606 g/t Silver, 17.6% Lead, and 0.55% Copper, at the Sierra Mojada Project, Coahuila, Mexico.
Comment by John BMR — January 10, 2018 @ 8:10 am
My understanding is that folks from GGI at the investor conference said anomaly D is almost a baby compared to other anomalies and their VEM (did I say that right?) metrics are lighting up much more than D’s. Is that accurate? If #15 is like #14 as you say, that should be indicative what the rest of property could hold correct? I’m not quite sure I can fathom 8%+ grades and those aren’t registering at strongly as other areas on the property. That’s just ridiculous.
Comment by flyinthruu — January 10, 2018 @ 8:10 am
srj on the move slowly
Comment by bc guy — January 10, 2018 @ 8:26 am