Gold has traded between $1,169 and $1,180 so far today…as of 9:50 am Pacific, bullion is down $5 an ounce at $1,172…as per our weekend chart, it’s not surprising Gold has temporarily backed off from price and RSI(14) resistance as it digests some of its recent gains…$1,160, which was an important breakout point last week, is the first major support level to watch…Silver is off 19 cents at $15.84…Copper has retreated a nickel to $2.36…Crude Oil is under pressure today due to concerns over the pace of economic growth in China, and indications that a nuclear deal between western powers and Iran could be implemented by year-end…WTIC is down over $1 a barrel at $46.21 while the U.S. Dollar Index has added one-quarter of a point to 94.93…
Barclays looks for Gold to average $1,170 an ounce in the 4th quarter, drawing support from expectations that the Federal Reserve won’t be hiking U.S. interest rates this year…bullion has rallied for 2 straight weeks, helped by a number of soft U.S. economic reports…this led to more than 8 tonnes of Gold purchases by exchange-traded funds last Wednesday, the largest daily gain since January, according to Barclays…
The slowest pace of economic expansion in China in 6 years has amplified investors’ concerns that demand in the world’s biggest commodities’ consumer is fragile at best…China’s GDP rose 6.9% in the 3rd quarter from a year earlier, the National Bureau of Statistics reported today…while that slightly topped forecasts, it’s the slowest quarterly expansion since 2009…the government has cut interest rates 5 times since November and boosted infrastructure spending to keep growth from sliding too far below this year’s target of 7%…growth momentum remains soft because of a property-led slowdown…
It’s important to point out, however, that China continues to grow at a pace that other countries envy…the Chinese economy is nearly twice the size it was just 6 years ago, meaning at lower growth rates it remains a major engine for global consumption and production…the Chinese economy has been responsible for roughly one-third of world growth over the past 7 years…this month, the IMF lowered its 2015 global growth forecast to 3.1% from its 3.3% estimate in July, citing China as well as weakness in Europe and Japan and the slowdown in countries producing commodities…
Iran Ramps Up Mining Projects
Iran will seek bids for 15 mining projects for international investors to develop, with production of Zinc to Gold and iron ore seen getting a boost with the end of sanctions…President Hassan Rouhani plans to visit France and Italy in November to sign development agreements on some of the projects, according to Iran’s deputy minister of Industries, Mines & Trade…tenders to develop the 15 projects should be issued within the next 4 months, with the first one proposed in October to build the Neekouyeh Gold mine west of Tehran…
Iran’s Gold production is forecast to triple from 2013 to 321,507 troy ounces by next year, with iron ore, steel, chromite, aluminum , bauxite, Copper and Zinc output also growing, according to the U.S. Geological Survey…
In today’s Morning Musings…
1. Canopy Growth (CGC, TSX-V) investors are betting on a Liberal victory in today’s Canadian elections…
2. The Venture and its relationship with the U.S. Dollar – a revealing 3-year chart…
3. Updates on Equitorial Exploration (EXX, TSX-V), Nemaska Lithium (NMX, TSX-V) and Garibaldi Resources (GGI, TSX-V)…
Plus more…to view the rest of today’s Morning Musings, login with your username and password, or click here to gain full access to this and other exclusive BMR content and features…
Exercise your right to vote today as there are many countries in the world where people do not have that privilege.
Comment by Les — October 19, 2015 @ 9:38 am
Well stated, Les…we’re blessed to have that privilege…we put value on it by exercising that privilege, so get out and vote…
Comment by Jon - BMR — October 19, 2015 @ 9:58 am
The EQT silence is amazing. When Hardy locked the camp down to prevent info leaking out he wasn’t joking. The delay on the PP closing has been much longer then I certainly anticpated. If the outstanding participants have still not sent in their funds by now I would say there is a reason and at some point Hardy may say, you missed the boat don’t bother.
Comment by Jamie — October 19, 2015 @ 12:32 pm
Poster on SH claims he spoke with GGI IR. Drilling to commence yesterday or today with 7 initial holes planned. Nothing confirmed here .. just passing along the info.
Comment by Treb — October 19, 2015 @ 1:47 pm
Wasn’t GGI supposed to begin drilling last week? hope the weather doesn’t become an issue
Comment by tony t — October 19, 2015 @ 3:48 pm
Jamie… true enuff… and one wonders about if the ‘noise’ was there to generate interest in the PP…. doesnt seem to be any more ‘noise’ now does there..???
seems interesting.. not slagging anyone or anything just an observation!
Comment by Jeremy — October 19, 2015 @ 3:55 pm
I believe they were aiming to start toward the end of last week, Tony, and sounds like they are indeed underway, pretty much on schedule. No issues with the weather (+13 C and overcast there late this afternoon according to Environment Canada) other than reports of some fog last week which may have delayed the flying in of the rig for a couple days. If they’re going after the mag and IP high first, could get very interesting right off the bat.
Comment by Jon - BMR — October 19, 2015 @ 4:04 pm
They will go for their best target as they always want to hit from first drill hole.
Comment by Martin — October 19, 2015 @ 4:23 pm
Jon, do you think they will release assay results 1 at a time, or will they wait until they have completed the 7 holes as per the map they outlined. If they wait for all 7 plus anything else they drill, I guess we won’t get any results until January.
Comment by Tom UK — October 19, 2015 @ 4:37 pm
Jon, just in case my question got lost in the shuffle(or maybe perhaps you are doing some research. I wanted to bring the question forward from yesterdays musings.
The purpose of my question is the continuous due diligence one needs to do to keep up as the story evolves.
6.Hi Jon, Nice job on the report today. Can you expand on your comment “officials from a “senior mining company”, believed to be Antofagasta, made two visits in recent months to Doubleview Capital’s (DBV, TSX-V) growing Hat discovery.”
Can you advise the readership of what time frame you mean by “recent months”? Is this Aug., Sept. or Oct.? And what dates if you know.
Thanks in advance.
Comment by Vepper — October 19, 2015 @ 4:40 pm
Jeremy, you make a good point regarding the sudden lack of interest on this board.
Earth to Dave or Mr EQT, come on in…
Comment by Jeff — October 19, 2015 @ 5:01 pm
Hi Vepper, sorry, I meant to get back to u on that but my day got a little crazy. Our sources in Dease Lake tell us these visits were shortly prior to the drilling in July, and indeed “geologists” and “boss-types” from a “major”…..we put some other pieces of that puzzle together to come to the conclusion that it was Antofagasta…..Antofagasta has shown a lot of interest in getting involved in a big play in B.C. – ultimately the Sheslay district is very much on their radar screens, and the Hat specifically…another district discovery would whet their appetite even more I’m sure…
Comment by Jon - BMR — October 19, 2015 @ 5:16 pm
what does a liberal majority government mean to the stock market and more importantly to mining mineral and jobs in this country?
Comment by Ed — October 19, 2015 @ 7:02 pm
Sorry for delay, working tonight.
EQT – The PP was delayed due to an issue with the Aussie exchange rules and the money is now on its way. I believe it is set to close late this week or early next week. I am expecting that we could possibly see news in regards to the progress of drilling prior to the PP closing. As the saying goes, most drilling does not hit on first holes. Down the road in the not to distant future, we may see those massive sulfides. Here is to wishful thinking. They have the property and they have the team. Much like GGI on the other end of Canada.
Comment by dave — October 19, 2015 @ 7:38 pm
DBV…Does anyone know what the actual PUBLIC FLOAT is for this company??
Go Jays Go!!!
Comment by Jeff — October 19, 2015 @ 8:13 pm
Let us not forget the connection between Dr. Resique and Antofagasta.
Comment by Les — October 19, 2015 @ 9:07 pm
good morning bmrboys I bring you the latest press release from HERON RESOURCES(HER TEXCH) 2015-10-19 “HERON CONFIRMS 10MT(M+1)OF HIGH-GRADE TAILINGS AT 6.2%ZNEQ(1) WITHIN REVISED JORC 2012 MINERAL RESOURCE ESTIMATE” regards walter emond
Comment by walter emond — October 20, 2015 @ 12:43 am
Wow a Liberal Majority!!! As much as I hate Harper, I’m a little worried.
Comment by Ted — October 20, 2015 @ 1:58 am
You should be, Ted. Welcome back to the 1970’s. The world is not about to come to an end next week or next month, but the cumulative effect of an expanded Federal government with more regulations, deficits and a bigger debt burden on taxpayers will ultimately mean higher taxes for individual Canadians and businesses. Obama’s “change” (same as Trudeau’s) has brought anemic growth to the U.S. Already, the Liberals have promised to roll back the expanded annual TFSA contribution, a move that in itself amounts to a huge tax hike over the next few years. Harper’s biggest mistakes were that he clung to power too long (should have resigned 2 years ago), underestimated Trudeau, and hired a horrible campaign team. At least the Conservatives still have 100 seats and can form a strong Opposition. Initially, the market may view the Liberal victory as “stimulus” for the Canadian economy. But down the road, the price of this return to the policies of the past will be steep. Worse, there are weak governments in Ontario and Alberta that are going down the same path.
Comment by Jon - BMR — October 20, 2015 @ 4:50 am
Dave – you seem to be tempering your enthusiasm by suggesting that EQT may drill into sand and not nickel and/or sulphides..???? why would that be??
Comment by Jeremy — October 20, 2015 @ 5:01 am
Jeremy – “that would be”, because we have gone too long without news of any kind. I would think that if they hit a sweet spot we would have known it already. UNLESS, they are waiting till after the PP closes. I have no doubt that they are going to hit nickel. The only question is where and when. In the meantime, the stock suffers from any huge gains. So it becomes a waiting game. Hoping that this first NR release (coming any moment) is good enough to sustain the share price.
Comment by dave — October 20, 2015 @ 5:12 am
Is there not a requirement to disclose news whether good or bad? If EQT drilling turned out to be a dud wouldn’t we already know this? I don’t think you can save up events to announce whenever the stock needs a boost. Correct?
Comment by Ted — October 20, 2015 @ 5:44 am
They wouldn’t even have assay results at this point, Ted, so they would have no obligation to release anything. It’s still very early in the game there. But investor fatigue can set in without a little bit of news or entertainment during this drilling process, and of course there’s the issue of final half of the PP to be closed. Technically, EQT is holding at strong support. Needs a catalyst to push higher.
Comment by Jon - BMR — October 20, 2015 @ 5:48 am
Ed. – The provincial government of British Columbia is Liberal.
Comment by Les — October 20, 2015 @ 7:35 am
I’ve noticed from EQT presentation that their fully diluted float is now roughly 112 million shares, with insiders holding 35%.
Comment by Terry — October 20, 2015 @ 7:36 am
It’s very important to point out, Les, that the B.C. “Liberals” are very different than the Ottawa Liberals. The B.C. government is a unique free enterprise Liberal-Conservative mix—–it shares no affiliation with the federal Liberals…there is a significant conservative influence on the B.C. Liberals which is why Stockwell Day campaigned so hard for them in 2013….Day was instrumental in the strategy to defeat the NDP in the provincial election…
Comment by Jon - BMR — October 20, 2015 @ 7:38 am
Good question Jeff . Without in depth stock bids and asks it’s just a guess as to the float of DBV shares . Hope someone can come up with that.
Comment by Les — October 20, 2015 @ 7:41 am
This has turned into a boring market last couple weeks. I wish something would happen somewhere, anywhere.
Comment by dave — October 20, 2015 @ 8:29 am
Yes, we need a little excitement, some action somewhere besides a pot stock which was the Trudeau trade…
Comment by Jon - BMR — October 20, 2015 @ 8:41 am
Dave-what happened to dancing in the streets of goose bay?seems like you lost confidence in Eqt.
Comment by Seamus — October 20, 2015 @ 8:49 am
cmon eqt or ggi. Ignite the venture.
Comment by dave — October 20, 2015 @ 8:50 am
So true Jon , in the name ,as the BC political mix is so different from the federal bunch that have now moved the power base back to Ontario and Quebec . I just hope they don’t repeat the blunders of the last Trudeau area , like the National Energy Program that crippled the oil producing provinces and subsidized central Canada with cheap oil. JMO
Comment by Les — October 20, 2015 @ 8:53 am
Maybe everyone has the munchies…..
Comment by Tombc — October 20, 2015 @ 8:57 am
Tombc , it may not be long before one will be able to walk the street not just eating brownies but smoking a joint.
Comment by Les — October 20, 2015 @ 9:14 am
Seamus – have not lost confidence in eqt, just don’t think they have a discovery yet. I am waiting with patience and armed to buy if it drops.
Comment by dave — October 20, 2015 @ 9:38 am