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October 26, 2016

BMR Morning Market Musings…

Gold has traded between $1,266 and $1,278 so far today…as of 10:00 am Pacific, bullion is down $7 an ounce at $1,266…Silver is off 9 cents at $17.65…Copper is up a penny at $2.15…Crude Oil has slipped 53 cents to $49.43 while the U.S. Dollar Index has retreated one-fifth of a point to 98.58

While expecting Gold prices to rally to $1,400 an ounce in 2017 on continued investor demand, ETF Securities looks for Silver to outperform as industrial demand drives prices…in a recently published report, analysts at ETF Securities said they anticipate Silver prices trading as high as $24 an ounce next year…

China will keep importing Gold even as the country’s output of the metal rises, according to Commerzbank…analysts cite a recent report from the Ministry of Industry and Information Technology which projected the country’s Gold supply and Gold demand up to the year 2020. “According to its figures, Gold production is set to increase from 450 tonnes last year to 520 tonnes in 2020,” Commerzbank noted.Gold demand is expected to grow during the same period from 986 tonnes to 1,200 tonnes, which points to high Chinese Gold imports in the long-term. After all, there is obviously a big gap between supply and demand in China, with demand growth set to outpace supply growth in the projection period.”

Russia and Kazakhstan continued to boost their Gold reserves in September, data from the International Monetary Fund showed yesterday:

  • Russia raised Gold holdings by 16.5 tonnes to 1,542.7 tonnes
  • Kazakhstan raised Gold holdings by 4.1 tonnes to 248.2 tonnes

Holdings of the SPDR Gold Trust rose 0.34% yesterday to 956.83 tonnes…meanwhile, the extreme longs on COMEX have been reduced significantly, providing upside support for the yellow metal and the potential for a continued gradual move higher from the lows earlier this month…

A report projecting higher demand for solar panels bodes well for Silver, according to HSBC…analysts cite a report from the International Energy Agency which raised its 5-year renewable growth forecast after a record year in 2015…the most recent IEA medium-term renewable market report forecasts renewables growing 13% more between 2015 and 2021 than it did in last year’s forecast, with solar power playing an important role…the report also says more than 500,000 solar panels worldwide were installed every day last year…the IEA states that wind and solar power growth are needed to meet the Paris climate agreement’s objective of limiting global warming…Silver paste is needed for photovoltaics in solar power…

In Today’s Morning Musings

1. Almadex Minerals (AMZ, TSX-V) – drilling down the throat of a Gold-rich cap at the Norte zone discovery…

2. Latest ETF call in the Oil space…

3. Zealous about Zeolite!…

4. Game-changer for Callinex Mines (CNX, TSX-V) and Pine Bay VMS Project…

5. Daniel’s Den – the Newfoundland Gold rush…

Plus more…click here to read the rest of today’s Morning Musings and all BMR exclusive content, through a risk-free Pro, Gold or Basic package, or login with your username and password…

8 Comments

  1. I took a position back into CNZ today, it looks ready to move.

    PMA – took a position today. Saw those 600k getting chewed up, doesnt take long on a 5 center.

    Comment by dave — October 26, 2016 @ 9:25 am

  2. Lowest volume day on GLD in at least 3 months

    Comment by Daniel — October 26, 2016 @ 10:53 am

  3. Hey all.. was away all day visting my 84 yr old unc in hospital .. days like that keeps putting things into perspective:) Dave – If I ever stop chuckling and trying to deliver a smile for someone else take me out back and shoot me… hope Peru is treating you well..
    so many stocks and opportunities, so little money:)

    Comment by Jeremy — October 27, 2016 @ 6:02 am

  4. Jeremy – you got that right. Wish I had 20k for each one I like. Hope your Uncle gets better.

    Comment by dave — October 27, 2016 @ 6:43 am

  5. CLE – showing signs that its breathing. If that wall at .09 gets taken out, she moves up nicely.

    Comment by dave — October 27, 2016 @ 6:45 am

  6. Yes, Dave, the Lithium news from CLE is helpful…much going on in that area…important technical turnaround for the stock…

    Comment by Jon - BMR — October 27, 2016 @ 7:16 am

  7. CLE – any ideas as to how CLE’s samples ranging from 54 to a high of 344ppm Li2o compare to the grade of 1.57% at NMX and a cutoff of 0.43%. Depths at NMX range from 28-300+M per recent infill drilling.

    Comment by david — October 27, 2016 @ 7:49 am

  8. Any one following BayHorse “BHS”? I’m hearing thar they will be in production at their BayHorse mine during first week of November.

    Some are calling this company with only 35 million shares out and management holdi h g about 60% the BEST silver play on Venture.!!!!

    Comment by Jeff — October 27, 2016 @ 10:36 am

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