Gold pushed to a 3.5-month high today, reaching $1,252, as the U.S. Dollar Index retreated nearly half a point…bullion is up $12 an ounce at $1,249 as of 2:00 pm Pacific…Silver also hit a 3.5-month high today, climbing firmly above $18 an ounce…Copper led base metals lower today, losing 7 cents to $2.65…Crude Oil shot up 77 cents to $54.36 on a smaller-than-expected increase in U.S. inventories reported by the Energy Information Administration, combined with greenback weakness…the U.S. Dollar Index tumbled to just below 101…in a meeting today with several manufacturing CEOs, President Trump said he wants a weaker dollar which would benefit U.S. exporters – not the first time the new President has talked down the currency in recent weeks…
Today’s performance by Gold was its best since February 6 and took the metal solidly past important resistance at $1,235…tomorrow’s weekly close will be key…interestingly, the TSX Gold Index slipped for the 4th straight session and the 7th out of 8, finishing at 219, but the Venture rebounded from yesterday’s weakness to close up 3 points at 839…
The Dow recovered from some minor early losses to finish with its 10th straight day of record finishes – its longest record-making streak in 3 decades…
Tesla (TSLA, NASDAQ) reported a mixed 4th quarter with a wider loss but improved sales…the electric automaker reported a loss of 69 cents a share, 26 cents more than expected…revenue surged 88.4% to $2.28 billion, beating estimates by $100 million…Tesla didn’t issue guidance for 2017 but did say that it expects to deliver 47,000 to 50,000 Model S and Model X vehicles in the 1st half of the year, which would be roughly a 71% increase over a year earlier…the stock finished down just over 6% today…
Today is our final day of reporting from northern Ontario’s burgeoning Cobalt Camp, hence the late edition of Morning Musings…we have collected a vast amount of material on this fascinating area, some more of which we’ll be highlighting over the next several days…Morning Musings returns Monday following travel though 7 @ 7:00 will be posted as usual tomorrow morning…watch for separate pieces from Daniel by tomorrow as well…
In Today’s Morning Musings…
1. Venture short-term chart update – correction time or time to zoom higher?…
2. Engold Mines (EGM, TSX-V) attracts speculative interest on 27-m intercept…
3. BMR visits a refinery and an adit…
4. Daniel’s Den – technology update and some Gold plays to accumulate…
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Jon
So at what point does Frank do a financing?
Comment by GREGH — February 23, 2017 @ 5:17 pm
GGI
Sure not acting like a stock that has the potential to be the next Voiseys Bay. I sure hope Regoci keeps his word and releases the 3D model and we get some VTEM results ….still a lot of people out there that just have no faith in Regoci hence the current share price in my opinion
Comment by GREGH — February 23, 2017 @ 5:26 pm
I was impressed that Castle did a debt settlement at 15 cents, Gregh, at a multi-year high for the price at the time. A lot of companies would have tried to do something like that at really dirt cheap prices like a nickel. You can be sure there’s a big appetite among brokers for CSR paper. March is when I suspect they’ll complete something significant, CSR will be in a really good position. I doubt you’ll see any flow-through. All hard dollar.
Comment by Jon - BMR — February 23, 2017 @ 5:35 pm
How GGI is trading right now, Gregh, is actually perfect, and the chart unequivocally shows a hugely bullish overall pattern for 2017. Stay focused on the end game. The last thing you’d want to see right now is a huge speculative run-up before news. That wouldn’t be healthy. Hopefully a few more loose apples fall off the tree.
Comment by Jon - BMR — February 23, 2017 @ 5:44 pm
I picked up more of them loose GGI shares yesterday on the pullback. The 3D model and plans for VTEM will be released most likely early next week as per the last NR, and maybe we will see the Makela and Goldie interview.
Comment by Dan1 — February 23, 2017 @ 6:04 pm
Jon
glad you think Frank will do all hard money and no flow thru, he did a lot of flow thru in the past if I remember correctly..
Trying to not pay attention to GGI but I have owned it for so long now and just getting impatient with the long winter it seems, lol, can’t wait for april-june so we can hopefully start hearing about all of the drilling going on in the Triangle… thanks for the updates looking forward to the heart of gold camp site too any idea when that will be finished?
Comment by GREGH — February 23, 2017 @ 6:07 pm
Jon
another question re CSR, just because it is showing over bought doesn’t mean it has to correct right? especially since it appears to be so under valued to its peers and it’s prospects.. wanting to buy more but don’t want to jump in if it’s going to drop back under 20 cents
thanks
Comment by GREGH — February 23, 2017 @ 6:11 pm
CUZ – I remember the SIE kinda guy was calling me almost every day trying to get me to buy the stock he was covering at the time in 2006. I never bought it and saw it do a 4 bagger thanks to the Germans who were buying canadian stocks like crazy. In the end, it dropped like a crow who lost his wings. My post is not to convince to buy or steer away, I am just saying, play the chart and the game, but watch your pennies.
Comment by dave — February 23, 2017 @ 6:21 pm
GGI – VTEM hasn’t happened yet. Still waiting for the 3d model and work plan for 2017, to be released this month, before flying per the last NR. Might be an idea to release 3D and plans prior to PDAC ? that way the chat is out there, instead of waiting for Monday 9 AM as most guys do. Tora Tora?
Comment by david — February 23, 2017 @ 7:04 pm
CSR is going to need cash – That may be the factor that holds it down temporarily.
Comment by Dan1 — February 23, 2017 @ 7:49 pm
Gregh, the CSR breakout has been confirmed above the resistance at .21. Don’t count on seeing this below .20 again, and I say that based on technicals and fundamentals.
Comment by Jon - BMR — February 23, 2017 @ 7:51 pm
Dan1, we’re not in normal times. FCC needed to raise money and announced a $3 million financing at 40 cents when the stock was trading in the high 50’s Feb. 2. Just a few trading sessions later the stock was in the 70’s and they upped the financing to $6 million at 50 cents. The stock then went to 85 cents. I’ll tell you something, and this is no knock on FCC, but CSR with Castle and Beaver has more going for it than FCC with its properties to the south at Silver Center…and FCC with its financing and that property deal will have about 40 million O/S for a market cap of $30 million, based on today’s pricing. CSR market cap is a ridiculous $8 million. Astute investors have been soaking up anything they can get in the 20’s on CSR and that’s going to continue until that supply runs out.
Comment by Jon - BMR — February 23, 2017 @ 8:02 pm
Dave.. Me as well … Don to whom I spoke with did say that high volumes days are occuring in Frankfurt… they give themselves paper with no hold period.. Negar Adam is a name associated with all of those stocks. do have to be careful for sure.. but we make the promotion work for us.. we know the agenda!!
Comment by Jeremy — February 23, 2017 @ 8:08 pm
You’re right, Jeremy…we make the promo work for us. Bizarre thinking by some people has cost them a lot of potential profits here – I’ve come across a multitude of investors who didn’t buy CUZ because they were turned off by the promo part of it and at the same time didn’t have a clue about the magnitude of the Cobalt story and what’s happening in this district which is truly profound——you combine a heavily promoted deal with a rising Cobalt price and an area play, what do u think is going to happen? The stock is going to keep going up, of course. So one should be turned ON by the promo part, not turned OFF. Follow the chart on CUZ, the Cobalt price and how things are unfolding in the district.
Then there’s the Matysek Factor. Ask yourself, does Paul Matysek get in on a deal and a district AFTER the masses, or BEFORE the masses?????????? If you’re still skittish about CUZ, then certainly don’t ignore the two best lower market cap plays right now which are CSR and CPO, and I rank those as the top 2 opportunities in the district based on fundamentals and current market valuations.
Comment by Jon - BMR — February 23, 2017 @ 8:34 pm
Hello Jon, after you spoke with Frank Basa any thoughts on Granada (GGM)? This besides CSR. Thank you in advance and have a good weekend. Regards, Arjan
Comment by Arjan — February 23, 2017 @ 8:46 pm
GGM will be just fine, Arjan. I would refer investors to GGM’s Feb. 7 news release which has major potential ramifications for the Granada Property…and potentially the Greater Cobalt Camp as well…the catalyst for GBB will be a financing package…hopefully that comes sooner rather than later.
Comment by Jon - BMR — February 23, 2017 @ 8:51 pm
Cobalt hit 21.77 US! Silver hit 18.60 US
Comment by donald — February 26, 2017 @ 9:32 am
Law of supply and demand will drive Cobalt to at least $40 a pound, IMHO, and Silver is looking very good, too, for this year. John’s long-term chart shows something spectacular is probably in store for Silver sometime over the next 12 months.
Comment by Jon - BMR — February 26, 2017 @ 9:35 am