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Gold has come under some mild pressure again today, down $7 an ounce at $1,238 as of 7:30 am Pacific…Silver is off 16 cents at $20.10…Copper is up 2 pennies at $3.33…Crude Oil is 78 cents higher at $93.37 while the U.S. Dollar Index has gained one-third of a point to 81.04…

China has granted licenses to import Gold to two foreign banks for the first time, according to a report from Reuters, as moves to open the world’s biggest physical bullion market gather pace…allowing more banks to import Gold could increase the supply of the metal into the country, easing local prices that are higher than in most Asian nations…China’s Gold imports more than doubled last year to over 1,000 tonnes – ousting India as the biggest buyer – as demand soared to unprecedented levels due to the first drop in international prices in 13 years…ANZ and HSBC were awarded import licenses late last year, two sources with direct knowledge of the matter told Reuters…other trading sources said China Everbright Bank has also received approval to join the nine local banks already allowed to ship Gold into China…Beijing strictly controls how much the banks import through a quota system…

Updated WTIC Chart

The recent drop in Crude Oil prices should not be alarming as it’s consistent with the long-term trend that shows strong ascending triangle support (and Fib. support) right around the $90 level as shown in this 10-year monthly chart from John…this is certainly a key support area for WTIC…

The Crude Oil market is not without supply concerns, however…increasing global growth will have to offset the huge recent jump in U.S. domestic Crude Oil production which is now at a 25-year high…

World Bank Raises Global Growth Forecast

The World Bank yesterday raised its forecast for global growth for the first time in three years as advanced economies started to pick up pace, led by the United States…the rosier outlook suggests the world economy is finally breaking free from a long and sluggish recovery after the global financial crisis…the institution is now predicting that global GDP will expand 3.2% this year, from 2.4% in 2013, according to its twice-yearly “Global Economic Prospects”…in the bank’s last forecast in June, it expected global growth to reach 3% in 2014…“For the first time in five years, there are indications that a self-sustaining recovery has begun among high-income countries – suggesting that they may now join developing countries as a second engine of growth in the global economy,” the bank’s chief economist Kaushik Basu said in the report…

Today’s Markets

Japan’s Nikkei average surged 386 points or 2.5% overnight to close at 15809…China’s Shanghai Composite, however, continues to struggle and fell 3 points to finish at 2023…Central Bank data showed Chinese bank lending and money supply growth for December missed forecasts, casting further worries on liquidity levels…

European shares are up strongly in late trading overseas…the Euro Stoxx 600 Index has hit highs not seen since May 2008…

The Dow is up another 100 points through the first hour of trading, following up on yesterday’s powerful advance thanks to strong retail sales numbers…the TSX has climbed 62 points while the Venture, importantly, gapped up at the opening bell and is 5 points higher at 970 as of 7:30 am Pacific…a confirmed Venture breakout could come as early as tomorrow or Friday…what’s particularly impressive is the Venture’s strength this morning on weakness in Gold…

Bayhorse Silver Inc.’s (BHS, TSX-V) 150,000 g/t Silver Sample

Quite a bonanza Silver grade reported yesterday by Graeme O’Neill’s Bayhorse Silver Inc. (formerly Kent Exploration) – a whopping 150,370 g/t Ag or 4,385 ounces per tonne from a grab sample taken from a narrow (4 cm) massive sulfosalt-sphalerite vein that occupies a faulted rhyolite-andesite contact at the company’s 250-acre Bayhorse Silver Property (a small high-grade past producer) in east-central Oregon…impressive, to say the least, and it certainly gives BHS promotional power…the speculators have been stepping in…unfortunately, the state of Oregon, where tree-hugging enthusiasts set a Guinness world record last year for the number of people embracing a tree (this is true, more than 950 Portlanders hugged a variety of Douglas firs and redwoods simultaneously for a least a minute at the Hoyt Arboretum), is one of the most pathetic examples of resource mismanagement in contemporary U.S. history…the state has four times the natural resources of most third-world counties, yet the government has steadily opposed development over the last three decades…Graeme is a good guy and we hope he succeeds with Bayhorse Silver, but he will face challenges in (we state this politely) “environmentally conscious” Oregon (sand dune rides on the coast are really cool, though)…BHS gained 3.5 cents yesterday on volume of 1.3 million shares…it opened at 15.5 cents this morning and is currently up 1.5 cents at 14 cents as of 7:30 am Pacific on total volume (all exchanges) of just over 400,000 shares…

Revolver Resources Inc. (RZ, TSX-V) Update

As we mentioned last month, Revolver Resources (RZ, TSX-V) was likely a smart speculation at 4 cents or less with a drill program commencing at its Summit B Property bordering Colorado Resources‘ (CXO, TSX-V) North ROK Property…Revolver reported yesterday that it has completed the first 400-metre drill hole of its planned 1,000-m program, and core will soon be sent in for assaying…the next two holes are expected to be completed within the next three weeks…previous resistance at 4 cents is now support…RZ is up 1.5 cents at 6.5 cents on light volume as of 7:30 am Pacific…

Madalena Energy Inc. (MVN, TSX-V) Chart Update

Madalena Energy (MVN, TSX-V) closed yesterday at the 81-cent Fib. level John has been mentioning for weeks, and is off slightly in early trading today…while MVN potentially could still march a little higher on momentum in the coming days, technically it will likely need to unwind an overbought condition in the near future…but this is a solid company with excellent prospects for production growth in Alberta and Argentina as outlined in a news release this morning…

North Arrow Minerals Inc. (NAR, TSX-V)

North Arrow Minerals (NAR, TSX-V) has been a light trader but that could change at some point in 2014 as the company has plenty of cash in the bank, a basket of diamond discovery opportunities, and a management team with a proven track record…the 4-month daily chart, shown below, is a “very unusual situation” in John’s words…NAR closed up a nickel yesterday at 70 cents and has yet to trade as of 7:30 am Pacific…

Probe Mines Inc. (PRB, TSX-V)

Probe Mines (PRB, TSX-V) has been one of our favorite discovery plays for quite some time, especially since early last year when the company really started to make progress in outlining a new high-grade Gold zone at its multi-million ounce Borden Lake deposit…another round of extensive drilling is coming up…a potential takeover of Probe cannot be ruled out, and keep in mind that Agnico-Eagle Mines Ltd. (AEM, TSX-V) grabbed a piece of this company (just under 10%) last spring…the PRB chart continues to show solid strength…

Note: John, Terry and Jon do not hold positions in BHS, RZ, MVN, NAR or PRB.