saveyourassetsfirst3 |
- Tiho Brkan is Short Junk Bonds, Equities & Long Silver
- Alliance Data Systems' CEO Presents at 2012 Citi Financial Technology Conference (Transcript)
- In Search Of Yield: Fifth Street Finance
- Sprott does another silver purchase/EU will not act by Nov 16/2012/European industrial production implodes/
- Real estate priced in gold
- Celente – Gold, Silver, Riots, Theft & Global Collapse
- The Greatest Fear Of A $100 Billion Asset Mgr. Going Forward
- ’87 Market Crash & Stocks Today, Apple, Gold, Silver & the VIX
- What’s Next For Gold As Governments Become More Desperate
- Zero Hedge: Fed, Bank of England Deceived Bundesbank on Coin-melt Bars in 1968
- Stuxnet goes out of control: Chevron infected by anti-Iranian virus, others could be next
- Peter Schiff on World Economy
- Bill Black: Jobs Now – Make Obama’s Priority Reality and Expose the Lie of Lazy Laborers
- Indian Gold Reserves. Forgotten History! New Opportunity?
- Christos Doulis Uses Cash Flow And A Good Story To Find The Next Mid-tier Producer
- Gold, Peace and Prosperity
- By the Numbers for the Week Ending November 9
- The Dumb Money Hates Silver; Why It's Time To Go Long
- Christos Doulis Uses Cash Flow and a Good Story to Find the Next Midtier Producer
- Proponent of Gold & Silver? Then Consider Cheering for the Obama Victory
- Mike Maloney: The “Holy Sh*t” Demographic Bankrupting of America
- Gold and Silver Disaggregated COT Report (DCOT) for November 9
- Balmoral Intersects 7.94 g/t Gold Over 19.70 Metres BL Footwall Zone, Martiniere Property, Quebec
- Huge Moves Coming In Gold, Silver, US Dollar & The Euro
- BullMarketRun’s Comments on Huldra Silver
- JC Parets: Gold & Silver Miners are Looking Bullish
| Tiho Brkan is Short Junk Bonds, Equities & Long Silver Posted: 10 Nov 2012 10:49 AM PST Tiho Brkan of the Short Side of Long joins us to discuss the equity market, bond market, precious metals as well as what soft commodities he favors at the moment.
This posting includes an audio/video/photo media file: Download Now | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Alliance Data Systems' CEO Presents at 2012 Citi Financial Technology Conference (Transcript) Posted: 10 Nov 2012 10:41 AM PST Alliance Data Systems Corporation (ADS) 2012 Citi Financial Technology Conference Transcript November 7, 2012 3:00 PM ET Executives Edward Heffernan - President and CEO Analysts Presentation Unidentified Analyst And so it's been a great story over the last few years and the one area where I want to start the segment that you admittedly gave the gold start to for the last couple of years is the private label segment. And can you just provide an update on, you guys have won some deals competitively, you continue to sign new retail private label programs? Can you give your perspective as to why ADS is winning in the marketplace and why you should continue to win going forward? Edward Heffernan Sure. In private label, essentially again, we view it is one of three platforms on the loyalty, being that we have at Alliance in general. From a win perspective, obviously, those Complete Story » | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| In Search Of Yield: Fifth Street Finance Posted: 10 Nov 2012 08:27 AM PST By Henry Lee: In Search of Yield: Fifth Street Finance, a 10% Yielder Investors who are looking for income or yield might want to consider investing in Fifth Street Finance (FSC). Fifth Street Finance current dividend yield is approximately 10.08% paying a little more than a dollar a year in dividends or $0.096 per month, a very competitive yield in the low interest rate world we live. Fifth Street Finance is a "Business Development Corporation" (or "BDC" hereafter) with a market capitalization of approximately $900 million. The company came public on June 17, 2008. They completed an initial public offering of 10,000,000 shares of common stock at the offering price of $14.12 per share. The stock was listed on the New York Stock Exchange until November 28, 2011 when the Company transferred the listing to the NASDAQ Global Select Market where it continues to trade under the symbol "FSC." FSC is in essence Complete Story » | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 10 Nov 2012 06:38 AM PST | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 10 Nov 2012 06:00 AM PST Throughout history many fortunes have been made and lost in real estate. Luck has of course played a part in these outcomes, but the main reason for changing fortunes is the decisions that were made, ... | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Celente – Gold, Silver, Riots, Theft & Global Collapse Posted: 10 Nov 2012 05:27 AM PST
from kingworldnews.com: Today top trends forecaster Gerald Celente spoke with King World News about gold, silver, increased riots, government theft and global collapse. Celente also spoke about the ongoing financial crisis. Celente is the founder of Trends Research, and the man many consider to be the top trends forecaster in the world. Here is what Celente had to say: "How could anybody believe a guy like the head of the European Central Bank, Mario Draghi, who keeps making up these games? How about breaking down the BS and calling it printing money out of thin air, backed by nothing? That's all this is." Keep on reading @ kingworldnews.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| The Greatest Fear Of A $100 Billion Asset Mgr. Going Forward Posted: 10 Nov 2012 05:26 AM PST
from kingworldnews.com: Today King World News spoke with the man who oversees more than $100 billion about his greatest fears going forward. KWN wanted to hear what Arnott's concerns were with the critical events now taking shape around the world. But first, here is what Arnott, who is Chairman of Research Affiliates, had to say regarding the Fed: "One of the problems is the triple mandate. If the Fed has a singular goal of maintaining steady purchasing power of the dollar, that's not difficult. If they have a double mandate of maintaining purchasing power of the dollar constant with full employment, that's difficult, but not impossible." Rob Arnott continues: "If they have a triple mandate in which sharp stock market declines aren't allowed, then that just becomes impossible. It's an interesting note that during the Weimar hyperinflation in the 1920s, stocks soared. Stocks did brilliantly, but not in real terms. Keep on reading @ kingworldnews.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ’87 Market Crash & Stocks Today, Apple, Gold, Silver & the VIX Posted: 10 Nov 2012 05:24 AM PST
from kingworldnews.com: With mounting concerns over the down-move in global stock markets, today Tom Fitzpatrick spoke with King World News about the 1987 stock market crash and we may be facing in stocks today. Fitzpatrick, a top Citi analyst, is expecting a frightening plunge in global stock markets. He also covers gold, silver, the VIX, and has some amazing charts to go along with his commentary. Here is what top Citi analyst Fitzpatrick had to say, along with some very powerful charts: "The downside action in stocks, both from a medium-term perspective as well as what we've been seeing over the last 24-to-48 hours, is confirming that stocks are indeed breaking down here. This may indeed be the start of a much more significant move to the downside. Keep on reading @ kingworldnews.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| What’s Next For Gold As Governments Become More Desperate Posted: 10 Nov 2012 05:22 AM PST
from kingworldnews.com: With gold and silver moving higher this week as stocks were trounced, today, Egon von Greyerz lets King World News readers know what to expect for the rest of this year as well as for 2013. Here is what Greyerz had this to say: "We are entering one of the most worrying times in history, maybe even for centuries or even for a millennia. I think we are going to see a turn in the world economic situation that is going to be long and extremely difficult." Egon von Greyerz continues: "We will see an economic collapse. The economic collapse will lead to more social unrest, and it will lead to wars. It will also lead to unlimited money printing, bonds collapsing and interest rates soaring. We will also see a stock market which will collapse in real terms (vs gold). Keep on reading @ kingworldnews.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Zero Hedge: Fed, Bank of England Deceived Bundesbank on Coin-melt Bars in 1968 Posted: 10 Nov 2012 04:47 AM PST ¤ Yesterday in Gold and SilverThe gold price traded in a tight range throughout the Friday trading session everywhere on Planet Earth. It appeared that every time gold tried to break above the $1,740 spot price mark, it got sold off...with the sell off at that London p.m. fix being the most obvious. The high tick of the day at the afternoon gold fix was $1,740.50 spot. From there, gold got sold off...and closed for a small loss...down $1.10 on the day at $1,738.80 spot. Net volume wasn't overly heavy at 117,000 contracts.
Silver traded sideways up until 10:00 a.m. in London...and then got sold down to its low of the day [around 32.05 spot] shortly after 1:00 p.m. GMT...about fifteen minutes before the Comex open. The subsequent rally got hit hard the moment that the London p.m. gold fix was in at 3:00 p.m. GMT...10:00 a.m. in New York...and then traded sideways into the 5:15 p.m. Eastern time electronic close. The high tick at the fix was $32.89 spot. Silver finished the Friday session at $32.63 spot...up 32 cents on the day. Net volume was pretty decent at 37,500 contracts...as I'm sure that JPMorgan et al were going short against all comers in that 2-hour early morning rally in New York, because it didn't look like a short-covering rally to me.
The dollar index opened at 80.81...and then traded lower...with the low tick [about 80.63] coming around 1:30 p.m. Hong Kong time. From there it rallied until precisely 8:00 a.m. in New York, before trading mostly sideways for the remainder of the day. The index closed just above the 81.00 mark at 81.05...up 24 basis points on the day. The dollar index and the gold price were in sync right up until 8:00 a.m. in New York...and then broke down entirely.
Despite the fact that gold's high tick came at 10:00 a.m. Eastern time, there was absolutely no sign of it in the share price action...as they were under selling pressure right from the 9:30 a.m. open of the equity markets in New York. The HUI finished virtually on its low of the day...down 1.60%.
Even though the silver price closed well into positive territory again, it didn't help the shares too much...and Nick Laird's Silver Sentiment Index closed down 1.09%.
(Click on image to enlarge) The CME's Daily Delivery Report showed that 4 gold and 8 silver contracts were posted for delivery on Tuesday. Over at GLD, an authorized participant withdrew 29,068 troy ounces of gold. But SLV went in the other direction. For the second day in a row, an authorized participant added a big chunk of silver. This time it was 1,452,249 troy ounces. On Wednesday it was 1,549,091 troy ounces of silver that was added, so a hair over 3 million ounces was added in those two day alone...and since last Friday [Nov. 2]...SLV has taken in almost 4.3 million ounces in total. I'm sure Ted Butler will have something to say about this in his weekend commentary to his paying subscribers later today. Well, the good folks over at shortsqueeze.com finally updated their website with the latest short positions for SLV and GLD...but it was in the wee hours of this morning that it finally happened. The short position in SLV declined by 9.24 percent...from 14,621,500 shares/ounces, down to 13,270,700 shares/ounces held short. That's still a lot of silver that's owed to SLV...but don't forget that 4.3 million ounces have been deposited in SLV since the beginning of the month, so this new short position number is probably wildly out of date by now. The GLD ETF went in the other direction, as the short position increased by 10.22 percent...from 16.99 million shares, to 18.73 million shares...or 1.87 million ounces in total. That's 58.16 tonnes of gold that should be on deposit at GLD, but isn't. It was another big sales day at the U.S. Mint. They reported selling 6,000 ounces of gold eagles...2,000 one-ounce 24K gold buffaloes...and 350,000 silver eagles. Month-to-date the mint has sold 37,500 ounces of gold eagles...5,000 one-ounce 24K gold buffaloes...and 1,548,000 silver eagles. Based on these sales, the silver/gold sales ratio is a bit over 36 to 1. And as I keep saying...I do hope you're getting your share, dear reader. The Comex-approved depositories showed that 935,196 troy ounces of silver were received by them on Thursday...and 554,126 troy ounces were shipped the door on the same day. Of the amount received, JPMorgan Chase took in 785,407 troy ounces, bringing their depository total up to 25,030,654 troy ounces. The link to that activity is here. Well, the Commitment of Traders Report showed improvements in the Commercial net short positions in both gold and silver...but certainly not as much as Ted Butler and I were expecting. In silver, the Commercial net short position declined by 4,054 contracts, or about 20.3 million ounces. The Commercial net short position in silver is now down to 248.4 million ounces. The 'Big 4' traders are short 240.3 million ounces...virtually the entire amount of the Commercial net short position of 248.4 million ounces....and are also short a hair north of 45% of the entire Comex futures market in silver on a net basis. The positions of the other 37 Commercial traders [the raptors] on the short side of the Comex silver market, are immaterial. Ted figures that JPMorgan Chase is still short a bit over 155 million ounces of silver on it's own...and didn't improve their position much during the reporting week, despite the big sell off on Friday, November 2nd. Ted said that the raptors...some of the other 37 small traders [other than the 'Big 4'] in the Commercial category...bought between 3,000-3,500 long contracts on that sell off. In gold, the Commercial net short position improved by 15,022 contracts, or 1.50 million ounces. The Commercial net short position is now down to 20.77 million ounces of gold. The 'Big 4' short holders are short 13.10 million ounces of gold...and 31.9% of the Comex futures market in gold on a net basis. The '5 through 8' traders are short an additional 5.41 million ounces of gold. So the 'Big 8' are short 18.51 million ounces of gold, or 45.0% of the entire Comex futures market in gold on a net basis...the same as silver. The short positions of the other 39 other traders in the Commercial short category are immaterial. As you can see, the tail is wagging the dog in both silver and gold. Here are the 'Big 4' and 'Big 8' short positions show in "Days of World Production to Cover Short Positions"...Nick Laird's most excellent graph that lays bare the price management scheme in all four precious metals for the world to see. The silver short position is particularly egregious...as it always has been.
(Click on image to enlarge) The Bank Participation Report for November also showed improvements in the short positions of both the U.S. and non-U.S. banks from the prior month. In silver, 4 U.S. banks are net short 35,252 Comex silver contracts. Ted figures that JPMorgan holds a bit over 31,000 contracts of that amount all by itself...and I'm guessing that virtually all of the rest are unequally divided up between HSBC USA, Citigroup...and one other U.S. bank...in that order. The 15 non-U.S. banks are net short 14,286 Comex silver contracts...and I'd bet that between 70 and 80 percent of that amount is held by Scotia Mocatta...with the balance split up between the other 14 non-U.S. bank...whose individual positions would be immaterial. From the October report to the November report in silver, the 4 U.S. banks reduced their net short positions by only 2,532 Comex contracts. The 15 non-U.S. banks reduced their collective net short positions by 2,826 Comex contracts. In gold, 5 U.S. banks are net short 98,101 Comex gold contracts, or 9.81 million ounces...a decline from 10.62 million ounces held short in October. The 21 non-U.S. banks are net short 59,436 Comex gold contracts, or 5.94 million ounces...a decline from 7.86 million ounces held short in October. As I mentioned in the Commitment of Traders report [from which the data for November's Bank Participation Report is extracted]...the big 4 in silver...and big 8 in gold...are short 45% of each of their respective markets on a net basis. On a gross basis [before all market-neutral spread trades are subtracted] the Bank Participation Report shows that...15 banks are short 23.6% of the entire Comex palladium market...17 banks are net short 35.7% of the Comex platinum market...19 banks are net short 39.5% of the Comex silver market...and 24 banks are net short 38.4% of the entire Comex gold market. Once the spread trades from each market are subtracted from the total open interest...then the short positions, on a percentage basis, shoot sky high...another 5.5 percentage points in silver...and 6.6 percentage points in gold. I'm sure platinum and palladium would be similar. This is precisely what Nick Laird's graph above shows in all four precious metals...except its shown in days of world production to cover those short positions...but the ratios remain the same no matter in what unit of measure the graph is computed. I thank reader 'David in California' for providing this Reuters chart that requires no further explanation on my part.
(Click on image to enlarge) This next chart is courtesy of reader Anthony D. Cattani...and it doesn't require any further embellishment from me, either.
(Click on image to enlarge) Since this is my Saturday column, here are all the stories that were still sitting in my in-box up until midnight last night. I hope you can find the time to read the ones that interest you. I still get the impression that there are forces beneath the surface that spell big changes ahead. Eric Sprott like you've never heard him before! Frank Holmes...Chart of the Week: Gold and an Ever-Growing Balance Sheet. Sprott's PSLV offering picks up a cool US$270 million. SLV adds 4.3 million ounces since Oct. 31st. ¤ Critical ReadsSubscribeDivided States of America: Notes on the Decline of a Great NationThe United States is frittering away its role as a model for the rest of the world. The political system is plagued by an absurd level of hatred, the economy is stagnating and the infrastructure is falling into a miserable state of disrepair. On this election eve, many Americans are losing faith in their country's future. After a brilliant century and a terrible decade, the United States, in this important election year, has reached a point in its history when the obvious can no longer be denied: The reality of life in America so greatly contradicts the claim -- albeit one that has always been exaggerated -- to be the "greatest nation on earth," that even the most ardent patriots must be overcome with doubt. This realization became only too apparent during and after Hurricane Sandy, the monster storm that ravaged America's East Coast last week, its effects made all the more devastating by the fact that its winds were whipping across an already weakened country. The infrastructure in New York, New Jersey and New England was already in trouble long before the storm made landfall near Atlantic City. The power lines in Brooklyn and Queens, on Long Island and in New Jersey, in one of the world's largest metropolitan areas, are not underground, but are still installed along a fragile and confusing above-ground network supported by utility poles, the way they are in developing countries. This in-depth 4-part essay was posted on the German website spiegel.de on Monday...and I thank Swiss reader B.G. for the first story in today's column. The link is here.  Max Keiser: 'Barack Obama is clueless. Mitt Romney will bankrupt the country'Some call Max Keiser a 'traitor' but America's most outrageous political pundit is about to become the most widely watched newscaster on the planet. Here, he explains why he won't be voting in Tuesday's US election. A serf in the days of King John, Max Keiser argues, was in many ways better off than some US voters in 2012. "Because in the age of Robin Hood," Keiser says, "at least the process of theft was transparent. The barons came to your house. They whacked you over the head then they took all your money." Even if the poor didn't exactly empathise with their oppressors, Keiser adds, they could at least comprehend their methods. "And the serfs," he continues, "did enjoy a modicum of stability. They got something in return for their enslavement. A small plot of land. Shelter. A relationship with the lord of the manor." In the modern age of "financial tyranny" orchestrated by what Keiser refers to as "the banksters" in charge of the major financial institutions in the US and Europe, he believes, "We have reverted to a more pernicious kind of neo-feudalism. The instruments of larceny have changed; that's all." This rather long [and pithy] exposé on Russia Today's Max Keiser was posted on the independent.co.uk Internet site last Monday...and I thank U.K. reader Tariq Khan for bringing it to our attention. The link is here.  New York Subway Repairs Border 'on the Edge of Magic'Inside a sprawling Manhattan command center, a board that detects subway activity by sensor had gone quiet. No trains were running; the Metropolitan Transportation Authority had shut the system down as Hurricane Sandy approached. Suddenly, the screens inexplicably crackled to life. Something was moving down there. And it was not the trains. To the subway's chief maintenance officer, the storm's encroaching waters were even more obvious. He was forced to flee with his flashlight from the South Ferry station in Lower Manhattan as the waters charged over the platform and up the terminal stairs, chasing him like an attack dog. This 3-page story was posted on The New York Times website on Thursday...and I thank Donald Sinclair for the first of many stories today. The link is here.  Hillary Clinton confirms she will step down as U.S. Secretary of StateWell, Hillary's off and running for 2016...and also running away from the disaster in Benghazi. One has to wonder if that story will hurt her chances as more details are revealed. We'll see. This story showed up on the dailymail.co.uk Internet site on Thursday afternoon GMT...and I thank reader 'David in California' for bringing it to our attention. The link is here.  CIA Director David Petraeus resigns, cites extramarital affairPetraeus disclosed the affair in a letter released to the CIA work force on Friday afternoon, writing: "Such behavior is unacceptable, both as a husband and as the leader of an organization such as ours." Petraeus told President Barack Obama of his affair and offered his resignation during a meeting Thursday, a senior official told NBC News. In a statement, Obama said he accepted Petraeus's resignation on Friday. This story was posted over on the NBC website yesterday...and I thank Manitoba reader Ulrike Marx for sending it along. The link is here.  Stuxnet goes out of control: Chevron infected by anti-Iranian virus, others could be next Posted: 10 Nov 2012 04:47 AM PST  America's cyber-war is already seeing collateral damage, and it's hitting the country's own billion-dollar companies. Oil giants Chevron say the Stuxnet computer virus made by the US to target Iran infected their systems as well. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 10 Nov 2012 04:45 AM PST The future is bleak and you must protect yourself against what is coming. Peter Schiff discusses the impact of the election on the economy and precious metals and what is likely to happen. His take is similar to mine. Share/Save | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Bill Black: Jobs Now – Make Obama’s Priority Reality and Expose the Lie of Lazy Laborers Posted: 10 Nov 2012 02:40 AM PST By Bill Black, the author of The Best Way to Rob a Bank is to Own One and an associate professor of economics and law at the University of Missouri-Kansas City President Obama gave a major speech today on his legislative agenda. He said that the overriding national priority had to be jobs. We agree. David Brooks published an op ed today calling on the Republican Party to become "The Party of Work." He put his primary message in his final paragraph for emphasis.
Other than the gratuitous and inaccurate slap at the Democratic Party, we agree. The problem is that Republicans and Democrats are pushing a "Grand Bargain" that would reduce jobs. (The so-called Grand Bargain would also produce a "Great Betrayal" that would begin the process of shredding the safety net. I have written separately about the betrayal and will be producing additional articles opposing that action. This article focuses on the austerity component of the proposed Grand Bargain.) The Republican and Democrats are incoherent about austerity. The immediate context for the budgetary discussion is the Congressional Budget Office (CBO) report on the "fiscal cliff." The fiscal cliff is a misnomer because it is not a cliff. It is a product of the deal made on the debt limit. It would produce (gradual) decreases in spending and tax increases that would begin to take effect in January 2013. The gradual nature of the decreases in spending and the near certainty that any tax reductions Congress make in 2013 will be made retroactive to the beginning of the year combine to mean that the fiscal cliff is a gradual decline into a self-destructive policy of austerity. We have months to prevent the self-destruction. The CBO, of course, knows Congress very well and knows that there is no fiscal cliff but that there is political advantage to be gained from warning that absent Congressional action there would be a disaster. The CBO deliberately issued its report immediately after the election to attempt to create a sense of Congressional urgency and push the adoption of the Great Betrayal. The internal inconsistency of relying on the CBO report to adopt austerity should be clear, but is almost entirely ignored by the Beltway types. I spent nearly two hours listening to MSNBC's midday coverage of the issue without hearing a single journalist, commentator, or politician recognizing the incoherence. The CBO report's primary thrust is that if Congress took no action during 2013 to reduce the tax and spending austerity measures that begin to take effect in 2013 then the result would be a serious loss of jobs and a gratuitous recession. We agree. The Obama administration says it agrees. The Republicans are indicating that they agree. Let's step back and analyze the implications of that paragraph. What follows relies on the views expressed by the proponents of austerity and the Great Betrayal, logic, and coherent economic theory and experience. Virtually everyone powerful inside the Beltway is not saying that they agree that "austerity now" (i.e., prior to achieving economic recovery from the Great Recession) would be a terrible, self-destructive policy. We agree. Keynes has again proven correct. Europe adopted austerity and needlessly and destructively hurled the Eurozone back into recession. We would have to be insane to engage in such financial suicide.
The administration has emphasized the desirability of spending on infrastructure, a very limited jobs program, and green energy programs. Those can all be good programs, but the administration and Boehner should be emphasizing two broader programs. Obama says his top three priorities are: jobs, jobs, and jobs. Republicans say that our nation's central malady is that we have too many moochers who want benefits without ever having to work. The answer to Obama's central goal is simultaneously the conclusive refutation to the Republican libels of tens of millions of Americans. Obama needs a real jobs guarantee program for every American able and willing to work. There is no greater waste than leaving over 20 million Americans underemployed. Republicans' ideological fantasies about the unemployed cannot survive a jobs guarantee program. As millions of Americans signed up for the jobs the Republican myths about moochers would be destroyed for all time. Brooks is correct to call for the use of any private or public sector program that works to increase opportunity and success. If Obama proposes a national jobs guarantee program we will discover whether Brooks' call for the Republican Party to become "The Party of Work" will either cause them to support the plan or expose the lie in Brooks' proposed label. The second major program the administration should fund is revenue sharing. The original stimulus plan had a major revenue sharing component. A coalition of conservative ("blue dog") Democrats and Republicans killed the revenue sharing component of Obama's proposed stimulus program. This was a travesty. A national government with a sovereign currency is not like a state or local government. It can and should run a deficit in response to a recession. A state or local government cannot do so. It was certain that state and local governments would suffer severe drops in revenues at the same time that the need for increased state spending to help the unemployed. The inevitable result was that state and local governments would have to fire over one hundred thousand workers and add to unemployment during the Great Recession. The win-win is revenue sharing – a Republican policy initiative. The federal government transfers hundreds of billions of dollars to the state and local governments, which allows them to avoid firing the workers and cutting social services when they are most needed. All of this allows the economy to recover more quickly and eventually reduces the deficit. It also makes America vastly more humane.
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| Indian Gold Reserves. Forgotten History! New Opportunity? Posted: 09 Nov 2012 10:30 PM PST 2ndLook | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Christos Doulis Uses Cash Flow And A Good Story To Find The Next Mid-tier Producer Posted: 09 Nov 2012 10:28 PM PST By The Gold Report: Christos Doulis is a mining analyst with Stonecap Securities covering emerging precious metals producers with market capitalizations under $1 billion. He combines financial modeling of current and future cash flows with detailed first-hand analysis to find out what is really going on at smaller producers, some of which he believes will outperform the market. Could one or more of these companies become the next big mid-tier producer? The future darlings of Wall Street need to start somewhere. One starting point is cash flow and a good story. In this Gold Report interview, Doulis discusses several companies that have both. The Gold Report: You have been involved in the mining space for some time, but not being a geologist or mining engineer, how do you approach the sector differently from other analysts? Christos Doulis: I've been a banker and a research associate before becoming a mining analyst. I prefer to focus Complete Story » | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 09 Nov 2012 10:00 PM PST Mises.org | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| By the Numbers for the Week Ending November 9 Posted: 09 Nov 2012 08:30 PM PST This week's closing table is just below. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| The Dumb Money Hates Silver; Why It's Time To Go Long Posted: 09 Nov 2012 07:11 PM PST The Dumb Money Hates Silver; Why It's Time To Go Long The Metal Peter Krauth Admittedly, it's been languishing near $27 since early May not far from where it was for the first time – in this bull market – back in late 2010. But as I'll show you, right now a number of technical, seasonal, and sentiment indicators are pointing upwards for this volatile metal. This could well be the critical turning point silver investors have been waiting for. One of these indicators is the resilient price of gold. Let me explain. The Silver/Gold Ratio Silver has always pretty much been gold's lapdog and on a relatively short leash at that. As a rule, silver prices usually follow the direction of gold. But as long time silver investors recognize, the moves are amplified both on the downside and the upside. Silver prices are simply more volatile than gold prices. As for gold, since it peaked about a year ago, it seems to be drifting aimlessly in zombie land. For the better part of the year it's been consolidating about 16% below its previous peak of $1,900. Today, at $1,600, gold is back to levels its first saw a whole year ago. What investors need to pay attention to is the gold to silver ratio. Before the financial crisis, the gold/silver ratio was around 50 and trending downward. That meant at the time an ounce of gold would buy you 50 ounces of silver.  That was short-lived, as silver's dramatic rise was unsustainable. I had said so at the time. Today, the ratio recently returned to a high level near 60 which is also unsustainable in its own right on the other side of the trade. It's why silver's looking rather undervalued relative to gold right now. My long term target for gold still remains $5,000. As this bull progresses, I think we'll see the gold/silver ratio move down closer to 20 which would imply that silver eventually reaches $250. Gold also normally starts its best seasonal period now, as the summer doldrums come to a close. Since its secular bull launched back in 2001, gold has averaged 19% gains between the end of July and the end of May. If silver follows and tacks on some leverage as well, we could enjoy substantially higher silver prices by next spring. But thanks to wildly bullish fundamentals, silver could retest its 2011 peak, or better it, by then. As you know, it's no secret that Europe is mired in ongoing bank and sovereign bailouts, the U.S. presidential election will bring further uncertainty, and China could be set for a marked slowdown unless it makes its move on stimulus. I expect lots more money printing as a result, whose inflationary effect is always kind to silver and gold. Technical Signs Point to a Silver Bottom On a pure technical price basis, silver is looking quite bullish as well.  Back in late 2010, $26-$27 acted as resistance where silver's price had stalled. Late in 2011, and again in the last couple of months, silver has retested those prices, but this time it's provided support, forming a "silver staircase" similar to the "golden staircase" I've written about before. It now looks like we could be near a new low. Since late June, silver's been establishing a series of higher lows, providing additional support for a bottom. Three More Reasons Silver is Headed Higher But those aren't the only reasons to be bullish on silver these days-or gold for that matter. Here are three other reasons why the outlook for silver is higher from here:
Stocks have been in a strong cyclical bull market since bottoming in March 2009. The S&P 500 has gained nearly 105% over the past 41 months. But it's getting long in the tooth, as the average cyclical bull during secular bears tends to last about 35 months. Yet precious metals have a tremendous ability to rally during cyclical bears. While the S&P 500 lost 57% from October 2007 to March 2009, gold staged a respectable move higher of 25%. Whenever the cyclical bear comes out of hibernation, I expect gold and silver to benefit from their established safe-haven status.
Silver contracts are traded on futures exchanges. A useful barometer of who's long and who's short silver can be garnered from the weekly Commitment of Traders (COT) reports prepared by the Commodity Futures Trading Commission (CFTC). Recent COT reports show that the big speculators (dumb money) are exceptionally bearish on silver right now, at levels reached only four times since this silver bull began in 2002. Each time that's happened since, silver has embarked on an impressive rally, climbing at least 70% and even clocking up to several hundred percent gains. Dumb money, especially at extremes, usually makes for a great contrarian indicator.
Worldwide, investors are gravitating toward physical bullion, having tripled their... http://www.silverbearcafe.com/privat...dumbmoney.html | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Christos Doulis Uses Cash Flow and a Good Story to Find the Next Midtier Producer Posted: 09 Nov 2012 06:56 PM PST TICKERS: AXR; AXU, AR, AUN; AUNFF, RVM; RMV, RIO, SGR, SVL; SVLC, SAS Source: Alec Gimurtu for The Gold Report (11/9/12)
Companies Mentioned : Alexco Resource Corp. : Argonaut Gold Inc. : Aurcana Corporation : Revett Minerals Inc. : Rio Alto Mining Ltd. : San Gold Corp. : SilverCrest Mines Inc. : St Andrew Goldfields Ltd.
The Gold Report: You have been involved in the mining space for some time, but not being a geologist or mining engineer, how do you approach the sector differently from other analysts? Christos Doulis: I've been a banker and a research associate before becoming a mining analyst. I prefer to focus on producers, but I also cover advanced-stage developers. Generally, I look for production stories with market capitalizations of less than $1 billion (B). I focus on gold and silver, but have a stronger representation of silver than most industry analysts. TGR: Is silver more interesting to you than gold at the moment? CD: I'm equally interested in both gold and silver. However, silver is a much smaller space compared to gold for most mining analysts. Most analysts' coverage universe is gold; mine is 50/50 gold and silver. TGR: You have a lot of great research available on your website at Stonecap. I noticed one of your covered companies appears to be a copper developer. How do base metals fit into your analysis? CD: I am looking for outstanding companies. I don't cover anything that doesn't have a precious metal component. One company I cover has significant base metal value— Revett Minerals Inc. (RVM:TSX; RMV:NYSE.MKT), which has an approximately 50/50 silver–copper revenue mix. TGR: Revett is a little different than most of your other companies. It is in Montana and it has been a long running story. Anything investors should be looking at there? CD: Revett has been a sleepy story for quite some time. But, the Troy mine is a consistent money maker and it has a project called Rock Creek, which is an analog to Troy but ultimately could have a production profile five times larger. The project has been mired in permitting issues but it looks as if we're seeing light at the end of the tunnel. At the current stock price, investors get fairly valued cash flow from the Troy mine. The potential upside of Rock Creek comes for free.
The Troy mine by itself, at 1 million ounces (Moz) silver and 10 million pounds (Mlb) copper annual production, doesn't get anybody terribly excited, but it does provide cash flow. Rock Creek would produce 5 Moz silver and 60 Mlb copper annually. That's an asset that a senior mining company would be very interested in. Also, Revett is in a politically safe jurisdiction. TGR: Can you tell us about some of the more typical producers that you cover? CD: I like Argonaut Gold Inc.'s (AR:TSX) story. The company produces from heap-leach mines in Mexico. It has just done an acquisition in Ontario that is a bit of a change for the company. I have covered Argonaut with an Outperform rating for quite some time, but I have recently changed to a Sector Perform. Argonaut is a great company. Valuation is the question. Argonaut is trading at a very high multiple of next year's cash flow because it has two mines in production with two more coming soon. Based on next year's cash flow the company is fairly priced at around $11/share. With the stock trading at around $10.50/share, it's hard for me to get very excited. However, that is based on my long-term gold price of $1,350/ounce (oz). If you believe we are in an environment where we're going to see $1,700/oz as the long-term gold price, Argonaut has upside from here. That value is unlocked by building out the pipeline of new mines giving Argonaut a high torque to the gold price. TGR: What does that production growth profile look like? CD: Argonaut's current production is approximately 100,000 oz (100 Koz) per year. Production can grow to 200+ Koz annually among its three key assets—San Antonio, La Colorada and El Castillo. If Argonaut can successfully develop the Magino project from Prodigy Gold Inc., it will produce 400–500 Koz annually. That growth from 100 Koz to 500 Koz is the story that makes this an exciting company. It has one of the greatest exposures to growth in gold production in a junior miner today. TGR: Do you have any silver producers you would like to talk about? CD: I'm rating Aurcana Corporation (AUN:TSX.V; AUNFF:OTCQX) a Buy with a $1.60 target. The stock is currently at around $1/share. La Negra, its current producing mine, generates good cash flow. There is a question about recovery at La Negra. I noted that while the company's Q3/12 throughput was up 11%, silver production was barely up at all from Q2/12. It's either a recovery or a grade issue. I suspect that it is a recovery issue. In my last note, I investigated Aurcana's historical recoveries, which appeared lower than the reported recoveries over the past 18 months. La Negra has a strong lead, zinc and copper byproduct stream so it is a very low-cost producer per ounce of silver on a net-of-credits basis. With production of 1.7 Moz at $5/oz cash costs in a $30+/oz silver price environment, that's top line approximately $40 million (M) of operating cash flow at the mine level. After factoring in capital expenditures, taxes and general and administrative expenses, the mine still generates significant positive free cash flow. Aurcana's other project is the Shafter mine, which is targeting commercial production this quarter. Shafter at 1,500 short tons per day (stpd) should produce around 3.5 Moz silver annually. Aurcana's goal is to take it to 2,500 stpd, which would get it to about 5 Moz silver production annually. La Negra is currently running approximately 2,000 tpd with a goal of 3,000 tpd. The goal at La Negra is to increase the head grade from the current 80 grams per tonne (g/t) silver to near 100 g/t silver. If Aurcana could get it to 3,000 tpd, 100 g/t silver produces around 3 Moz silver annually. Both mines, with successful expansions, get Aurcana an annual production of 8 Moz silver. That is two-thirds the production of an industry leader like First Majestic Silver Corp. (FR:TSX; AG:NYSE). Aurcana has a $500M market cap versus a $2.5B market cap for First Majestic. My base case outlines 5 Moz of annual silver production, which is 40% of First Majestic's silver production. That is 40% of the production trading at 20% of the value of a First Majestic. Even in my base case, I can see significant upside here. TGR: What is your base case price for silver? CD: $34/oz across the board. Silver itself is volatile and not easy to forecast. The price of $34/oz is close to where it's been trading for a while. The market looks to the spot price of silver as a valuation metric. TGR: Would you like to tell us about other companies that you cover? CD: SilverCrest Mines Inc. (SVL:TSX.V; SVLC:NYSE.MKT), despite the name, is a gold producer with a large silver credit. The Santa Elena mine produces about 550 Koz silver and about 30 Koz gold annually. At $1,700/oz, gold revenue totals $50M, while at $34/oz, silver revenue totals only $18M. In that light, Santa Elena is more accurately a gold mine with a silver credit. The current process is heap leach, which works better on gold than it does with silver. That's why the gold recovery is 70% while the silver recovery is 30%. In the grand scheme, silver represents a quarter of the revenue stream. TGR: Your report indicates SilverCrest just did a recent financing to retire its hedge book. Are there any other catalysts to move SilverCrest forward? CD: SilverCrest has an exploration project called La Joya, which is low-grade bulk tonnage but on occasion it has pulled some higher-grade holes there. Another thing to watch for is the installation of a mill at Santa Elena. The original mine was built as a heap leach because the financing took place during the financial crisis and the company couldn't raise the money to build a mill. Now it is looking to build a mill. That will result in much higher silver recovery and better gold recovery. Production should increase from approximately 2 Moz silver equivalent (Ag eq) to around 4 Moz Ag eq. Remember when we are talking about those 2 Moz Ag eq, that's really slightly more than 0.5 Moz silver and then the other 1.5 Moz is gold as though it were silver. Most of the catalysts are not really short term. However, a lot is planned for 2013 including ongoing work at La Joya, retiring the hedge book with the $30M it just raised and potentially doing a debt raise to fund the rest of the mill build out. By the end of 2013 SilverCrest should double its silver equivalent production. TGR: Let's talk about a few companies that you cover that are squarely in the gold space. One that you cover is St Andrew Goldfields Ltd. (SAS:TSX). The share price has really taken a beating over the past year. CD: St Andrew has struggled, but I think it has turned a corner. The company is not a high-grade operation and it has some heavy royalty payments from the vendors. The royalties are sliding-scale so the higher the price of gold goes, the higher the royalty is. While high gold prices are good for the company, royalties and costs have gone up faster than the gold price. I think the stock may have bottomed in the $0.30/share range area. I've had a Sector Perform on it for some time but have recently gone back to an Outperform. Here is how I see the St Andrew story. The company has three operating mines and a 3,000 tpd mill. One of the mines is a low-grade open pit that is used to maintain mill feed at capacity. Going forward, we should see crowding out of that lower-grade ore from the pit with higher-grade ore from the Holt mine that has recently come on-line. The head grade at the mill should go up quarter over quarter. Additionally, St Andrew is bringing on a project called Taylor. That project includes a bulk sample in the near future that will produce some gold but, more importantly, push the project toward a 2014 operational start. At that time, I see St Andrew as a 125 Koz producer. It will be relatively high cost, but in a safe jurisdiction. Funding is complete for the mines and the mill. In summary, St Andrew has turned the corner and has a compelling story and valuation. TGR: Another producer in a similar stock price trend and geography is San Gold Corp. (SGR:TSX.V). What is the story there? CD: San Gold is another company that I was neutral on for some time and have recently gone positive. It's a situation where no more capital is needed to complete development. All required funding comes from internal cash flow and existing resources. San Gold had a real problem in the second quarter with its mill shut down for a month. That hit its Q2/12 numbers. The new CEO, George Pirie, has started to turn San Gold around. Part of the current situation with the stock may be the result of the stock being oversold at the beginning, where the company was promoted as a 150 Koz high-grade producer. It's now a 100 Koz producer that is growing. Both St Andrew and San Gold are stories that were promoted faster than they could deliver and the market punished them severely. At these price levels, both are buying opportunities. TGR: Those are underground high-cost mines from Canada. Another producer you cover is Rio Alto Mining Ltd. (RIO:TSX.V; RIO:BVL) far south in Peru. The stock is performing extremely well. What is your outlook and is there still upside? CD: I have been positive on Rio Alto in the past, but when it hit $4.50/share, I went to a Sector Perform. The stock continued to run to the $5.50/share range. In the past couple of weeks I have re-evaluated my position and went back to a Sector Outperform. I had been at a Sector Perform because I wanted to see an update on the oxides and/or an update on the sulfides. Rio Alto is mining the oxides now. I had some dialogue with management after the latest production numbers that led me to believe that I was underestimating the recoveries. Furthermore, management convinced me that we would see some good news in either Q4/12 or the new year when the company tables a new mine plan for the oxide deposit. As long as there are no permitting issues, the mine should go to 36,000 tpd. That is 200 Koz/year for seven or more years from the La Arena project. That is at the top end of the previous range of 150–200 Koz, depending on the year and the mine sequencing. I expect the new plan to be no lower than 200 Koz/year. I like Rio Alto's story because the company has executed well and a mine of that size is an obvious acquisition target for a major. Barrick Gold Corp.'s (ABX:TSX; ABX:NYSE) Lagunas Norte mine is nearby, providing synergies with procurement and infrastructure. Then there is the sulfide project. I'm not necessarily 100% convinced on the merits of the sulfide project because it's been a long time since we've seen any economic numbers wrapped around it. Plus, input costs have gone up and the sulfides are not high-grade. The sulfide deposit adds potential sizzle to the story that there is life here beyond the oxide mine. Because of all of this, I am back to an Outperform here. Based on my models, the upside is limited. My target is $6.60, which is a 20% upside. TGR: You just briefly touched on mergers and acquisitions as one exit strategy for these emerging midtier producers. Do you see any of these companies becoming consolidators in this space? CD: Argonaut is a good example. First it did the Pediment acquisition and now it has done the Prodigy acquisition. Argonaut has paper that's priced at the high end of the range relative to near-term cash flow. That implies it may still be in acquisition mode. While this latest acquisition gives Argonaut all the horses in the stable to get to 400–500 Koz of production, its long-term goal, there's nothing to say it couldn't move the goal post and target becoming a 1 Moz producer. TGR: Would you like to talk about other companies? CD: A recent one that I've picked up is Alexco Resource Corp. (AXR:TSX; AXU:NYSE.MKT), which is a silver producer in Canada's Yukon. I've come out with an Outperform rating and a $5.75 target. The stock is around $3.75/share today. This was an $8/share stock that got crushed down to $3.50/share. I'm a little opportunistic here, but these sub-$4/share prices hold a lot of upside potential. Alexco has had a little trouble in the last year with feeding its mill. The mill is rated at 400 tpd, but it has never been able to get it more than 300 tpd. Part of the reason is that Alexco only has had one mine, Bellekeno, feeding the mill. It is bringing on two other regional mines, Onek and Lucky Queen, in Q1/13. That will allow it to start feeding the mill at its rated capacity of 400 tpd, which will change it from a 2 Moz producer into a 3+ Moz producer. Alexco is in a politically safe jurisdiction and has very high grades. It's a prolific past-producing camp with lots of potential to find new discoveries. TGR: The Yukon is not an inexpensive place to do business. What do cash costs look like? CD: High cash costs in 2012 were one of the reasons the stock has been punished this year. Costs were in the $13/oz range, while in 2011 they were below $10/oz. Alexco should be able to get back to that $10/oz range when the mill feed gets to 400 tpd. TGR: Are there significant co-products in that deposit? The economics of lead and zinc in remote areas can be a challenge. CD: This is super high-grade ore with 700–800 g/t silver with around 5% each lead and zinc. The $10/oz number is net of credits. It takes these robust lead and zinc credits for this project. TGR: You have mentioned a lot of projects with strong economics at current prices. Does it concern you that there's a lot of silver coming on-line from many diverse sources that could put downward pressure on the silver price? CD: It is something to consider, but I expect the monetary base to grow faster than miners can bring the silver to market. There will be a lot of volatility in the silver price and massive ups and downs. However, as long as the money supply grows faster than the precious metals supply, the price momentum for both gold and silver will continue to be positive. TGR: Do you have other comments? CD: My research is available for readers who would like to get a more in-depth view of the companies that I cover. There is no cost associated with my research. It's primarily for an institutional audience, but I'm always willing to send copies of my reports to the retail shareholder. My email is cdoulis@stonecapsecurities.com. TGR: Thanks for mentioning that. I was impressed with the depth and clarity of the reports. A lot of readers can benefit from that research. And thanks for your insights today. Christos Doulis, before joining Stonecap Securities as a mining analyst in September 2010, spent 16 years in a wide variety of roles with a focus on the global mining sector. Most recently, Doulis was a partner at Gryphon Partners, a diversified global corporate advisory consultancy specializing in mining and resource company mandates. From 2006 to 2008, Doulis was a vice president in the Mining Investment Banking group at Blackmont Capital. Doulis began his professional career in 1994 with Scotia Capital as an equity research associate. Want to read more exclusive Gold Report interviews like this? Sign up for our free e-newsletter, and you'll learn when new articles have been published. To see a list of recent interviews with industry analysts and commentators, visit our Exclusive Interviews page. DISCLOSURE:
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| Proponent of Gold & Silver? Then Consider Cheering for the Obama Victory Posted: 09 Nov 2012 06:31 PM PST Many folks in the gold and silver community write to me, voicing their distaste in the economic and monetary policies of the Obama administration, and in particular, the "monetary easing" conducted by the US Federal Reserve. At surface, I understand—printing money (much like the printing of shares) is like watering down your milk in order to make a cup for fat Albert, who sits at home all day and watches tv. However, when you're a beneficiary of this paper asset dilution process–why spend all your time anguishing over it? Inflation and monetary expansion isn't just a fiscal disciplinary problem—it's a human problem. Wherever there are humans, there will be inflation. Period. The inflation may occur within a paper money system, or the inflation will occur in the production of fake coconut-shell currency units, or gold-dipped tungsten bars. The act of becoming emotionally bothered by a human phenomenon such as inflation, is my opinion, is to be ignorant of history. It happens all the time, and it's completely normal—get used to it. The idea in protecting yourself, is to own physical assets which offer a multitude of advantages. A producing farm for example, may offer you income, and the agricultural products will rise in value at the rate of (and sometimes much higher than) the rate of inflation. Additionally, you can eat your farm production, which offers you security, saves you time, money, and tax dollars. Lastly—you can have fun in your farm. You can learn to milk cows, slaughter chickens, ride horses, and even roll around in the hay if you wish. Owning a producing gold mine or oil well offers similar advantages (minus the "rolling around-in" option of course), in that you will have ownership of physical assets, and an income which rises with inflation. Owning assets in the ground held within an exploration company may also offer highly leveraged upside against inflation if the company is managed properly, however, there are a myriad of risks when considering publicly traded companies. If you're a fiscal conservative, gritting your teeth at another "4 more years"—I suggest relaxing the tension in your body, taking in a deep breathe, and allowing a pleasant smile to grace your face. Know that by building a fortress of hard assets, the Obama/Bernanke duo represent "good time Charlie's"—with their hands deep in the cherry jar. They're tossing out cherries one by one, and your job is to catch as many as you can during this time. Consider this reelection as a victory for your "hard asset team", and make plans to become sharper, wealthier, more skilled, and more adaptive than ever before. Cheers to four more years.
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| Mike Maloney: The “Holy Sh*t” Demographic Bankrupting of America Posted: 09 Nov 2012 06:05 PM PST Bloomberg reports UK prosecutors are ready to arrest former traders and rate setters at UBS, RBS, and Barclays for questioning over their role in the Libor scandal. We ask Michael Maloney, founder of Gold-Silver.com, if the larger crime is not LIBOR manipulation, but the ongoing war against the price mechanism itself through reckless central banks and fiscally irresponsible governments. from capitalaccount: Also, today House Speaker John Boehner and President Obama outlined plans for reducing the national debt, setting the stage for a contentious debate over the Fiscal Cliff. This morning Boehner announced "I outlined a responsible path forward to avert the fiscal cliff without raising tax rates." Meanwhile, a few hours later, Obama told reporters "If we're serious about reducing the deficit, we have to combine spending cuts with revenue. That means asking the wealthy to pay a little more in taxes." It seems politicians are nowhere near reaching a compromise anytime soon. Would it be so bad if the US fell off the Fiscal Cliff? According to a new Congressional Budget Office report the impact from going over the fiscal cliff would be recession in the US economy next year and an increase in the jobless rate from 7.9 to 9.1 percent by the end of 2013. A deal to avert this would mean a deficit of 503 billion dollars higher than it would otherwise have been in fiscal year 2013. We talk to Mike Maloney of Gold Silver about what the Fiscal Cliff would entail for the long term picture of the US economy, and if going off the cliff could at least be a wake-up call for politicians to do something at long last. We also speak with Mike Malony, author of "The Guide to Investing in Gold and Silver," about the "Holy Shit" demographic, as he calls it. This is the demographic of retirees or those nearing retirement, who wake up one day and realize that they have no savings, and that they can't rely on the government to protect them as they head into their later years. Plus Lauren responds to viewers in tonight's feedback segment, and she reveals a big name guest that will be on Capital Account next week! Hint…it's a CFTC commissioner with long, blonde hair! ~TVR | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gold and Silver Disaggregated COT Report (DCOT) for November 9 Posted: 09 Nov 2012 05:54 PM PST HOUSTON -- This week's Commodity Futures Trading Commission (CFTC) disaggregated commitments of traders (DCOT) report was released at 15:30 ET Friday. Our recap of the changes in weekly positioning by the disaggregated trader classes, as compiled by the CFTC, is just below. In the DCOT table above a net short position shows as a negative figure in red. A net long position shows in black. In the Change column, a negative number indicates either an increase to an existing net short position or a reduction of a net long position. A black figure in the Change column indicates an increase to an existing long position or a reduction of an existing net short position. The way to think of it is that black figures in the Change column are traders getting "longer" and red figures are traders getting less long or shorter. All of the trader's positions are calculated net of spreading contracts as of the Tuesday disaggregated COT report. Vultures, (Got Gold Report Subscribers) please note that updates to our linked technical charts, including our comments about the COT reports and the week's technical changes, should be completed by the usual time on Sunday (by 18:00 ET). | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Balmoral Intersects 7.94 g/t Gold Over 19.70 Metres BL Footwall Zone, Martiniere Property, Quebec Posted: 09 Nov 2012 02:30 PM PST Balmoral Resources reported today results from the first 3 of 20 holes drilled in the Bug Lake area of its Martiniere Property during the recently completed Fall 2012 drill program. Results include further confirmation of the very high grade nature of the Bug Lake Footwall Zone. Hole MDE-12-65 returned anomalous gold mineralization over an interval of 81.00 metres, including a high-grade Footwall intercept of 7.94 g/t gold over 19.70 metres. As with other previous intercepts from the Footwall Zone, this broader interval contains a sulphide-rich core which returned 21.18 g/t gold (0.62 oz/ton) over 6.45 metres (21.16 feet).The core of this intercept occurs at approximately 50 metres vertical depth. "With a shallow, high value target like the Footwall Zone continuing to expand in proximity to several other high-grade zones of gold mineralization, today's results further demonstrate the potential of the Martiniere gold system," said Darin Wagner, President and CEO of Balmoral. "While others are attempting to add, or access, high-grade ounces at considerable depth we are doing so in the near surface, on multiple fronts, in one of the best mining jurisdictions on the planet." The Footwall Zone is one of three high-grade gold zones which occur within the 100+ metre wide Bug Lake Fault corridor on the Company's Martiniere Property in Quebec. The Martiniere Property forms part of Balmoral's 82 kilometre long Detour Gold Trend Project located along the Sunday Lake deformation zone in Central Quebec adjacent to the developing Detour Gold deposit in Ontario.
Holes MDE-12-64 to 66 were collared from the same location, in the footwall east of the Bug Lake Zone, and were drilled at down hole angles of -45, -56 and -67 degrees. The intersection point of the Footwall Zone in hole MDE-12-65 is at approximately 50 metres vertical depth below surface and approximately 25 metres above/12 metres north of previously released hole MDE-12-63 (22.89 g/t gold over 4.10 metres, see NR12-29, October 31, 2012). Drilling continues to indicate that the very high-grade core of the Footwall Zone forms a moderate to steeply plunging body consistent with the typical geometry of high-grade gold zones in the Abitibi. Quality Control Mr. Darin Wagner (P.Geo.), President and CEO of the Company, is the non-independent qualified person for the technical disclosure contained in this news release. Mr. Wagner has supervised the work programs on the Martiniere Property, visited the property on multiple occasions, examined the drill core and/or photographs from the holes summarized in this release, discussed and reviewed the results with senior on-site geological staff and reviewed the available analytical and quality control results. Balmoral has implemented a quality control program for all of its drill programs, to ensure best practice in the sampling and analysis of the drill core, which includes the insertion of blind blanks, duplicates and certified standards into sample stream. NQ sized drill core is saw cut with half of the drill core sampled at intervals based on geological criteria including lithology, visual mineralization and alteration. The remaining half of the core is stored on-site at the Company's Martiniere field camp in Central Quebec. Drill core samples are transported in sealed bags to ALS Minerals Val d'Or, Quebec analytical facilities. Gold analyses are obtained via industry standard fire assay with atomic absorption finish using 30 g aliquots. For samples returning greater than 5.00 g/t gold follow-up fire assay analysis with a gravimetric finish is completed. The Company has also requested that any samples returning greater than 10.00 g/t gold undergo screen metallic fire assay. Following receipt of assays visual analysis of mineralized intercepts is conducted and additional analysis may be requested to ensure the accurate representation of mineralized zones. ALS Minerals is ISO 9001:2008 certified and the Val d'Or facilities are ISO 17025 certified for gold analysis. About Balmoral Resources Ltd. – www.balmoralresources.com Balmoral is a Vancouver-based precious metal exploration and development company focused on district scale gold opportunities in North America. With a philosophy of creating value through the drill bit and with a focus on proven productive precious metal belts, Balmoral is following an established formula with a goal of maximizing shareholder value through discovery. On behalf of the board of directors of BALMORAL RESOURCES LTD. Darin Wagner, President and CEO This press release contains forward-looking statements and forward-looking information (collectively, "forward looking statements") within the meaning of applicable Canadian and United States securities laws. All statements, other than statements of historical fact, included herein, including statements regarding the anticipated content, commencement, duration and cost of exploration programs, anticipated exploration program results, the discovery and delineation of mineral deposits/resources/reserves, the timing of the receipt of assay results, and business and financing plans and trends, are forward-looking statements. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions or are those which, by their nature, refer to future events. Although the Company believes that such statements are reasonable, there can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future performance, and that actual results may differ materially from those in forward-looking statements. Important factors that could cause actual events and results to differ materially from the Company's expectations include those related to weather, equipment and staff availability; performance of third parties; risks related to the exploration stage of the Company's projects; market fluctuations in prices for securities of exploration stage companies and in commodity prices; and uncertainties about the availability of additional financing; risks related to the Company's ability to identify one or more economic deposits on the properties, and variations in the nature, quality and quantity of any mineral deposits that may be located on the properties; risks related to the Company's ability to obtain any necessary permits, consents or authorizations required for its activities on the properties; and risks related to the Company's ability to produce minerals from the properties successfully or profitably. Trading in the securities of the Company should be considered highly speculative. All of the Company's public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including the latest technical reports filed with respect to the Company's mineral properties. This news release contains information with respect to adjacent or similar mineral properties in respect of which the Company has no interest or rights to explore or mine. Readers are cautioned that the Company has no interest in or right to acquire any interest in any such properties, and that mineral deposits on adjacent or similar properties are not indicative of mineral deposits on the Company's properties. This press release is not, and is not to be construed in any way as, an offer to buy or sell securities in the United States. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release. Balmoral Resources Ltd.
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| Huge Moves Coming In Gold, Silver, US Dollar & The Euro Posted: 09 Nov 2012 02:14 PM PST
from kingworldnews.com: On the heels of a $15 move in gold and 50 cents in silver, today King World News spoke with Marc Chandler, global head of strategy for Brown Brothers Harriman, which does over $600 billion each month in currency transactions. KWN wanted to get his take on where the US dollar and euro are headed from current levels because this directly impacts the gold and silver markets. Important implications for gold and silver are included here. Here is what Chandler had to say: "We are seeing general strength in the US dollar, despite the fact that the Fed is engaged in quantitative easing of an unlimited nature, and despite the fiscal cliff looming. Right now the euro is trading at two month lows against the dollar. Keep on reading @ kingworldnews.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| BullMarketRun’s Comments on Huldra Silver Posted: 09 Nov 2012 02:07 PM PST Here is some analysis on Huldra Silver from BullMarketRun.com: Huldra Silver (HDA, TSX-V) One of our favorite Silver plays hit a new 50-week high yesterday as Huldra Silver (HDA, TSX-V), which has started production from its high-grade Treasure Mountain Property near Hope, British Columbia, climbed 19 cents yesterday to close at $1.69…Huldra is guided by a smart and aggressive management team that has fast-tracked this property into production, and Treasure Mountain also has strong upside exploration potential which we expect the company to test through a major drill program next year…the story is not well known yet in the general retail community with the stock held mostly by institutions…below is an updated chart from John which shows a breakout above the top of a symmetrical triangle…one can only imagine how HDA (and other Silver situations) may perform next year if the metal were to really bust loose as we believe it will…
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| JC Parets: Gold & Silver Miners are Looking Bullish Posted: 09 Nov 2012 12:48 PM PST JC Parets, CMT founder of Eagle Bay Capital joined us to discuss the gold and silver miners, which he recently wrote about on his website.
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Christos Doulis is a mining analyst with Stonecap Securities covering emerging precious metals producers with market capitalizations under $1 billion. He combines financial modeling of current and future cash flows with detailed first-hand analysis to find out what is really going on at smaller producers, some of which he believes will outperform the market. Could one or more of these companies become the next big midtier producer? The future darlings of Wall Street need to start somewhere. One starting point is cash flow and a good story. In this 
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