Craig Hemke from TF Metals Report – Thu 29 Mar, 2018

By Cory The Bond Market Will Make The Fed Change Course

Craig Hemke joins me for another look at the bond market. We have been chatting a lot about the rollover in long term yields but that is because it might be the telling sigh of what is to come. With all the work of the Fed to try to raise the long end the last few weeks have shown that growth story may not be in the cards.

Download audio file (2018_03_29-Craig-Hemke.mp3)

Click here to visit Craig’s site.

…read more

Source:: The Korelin Economics Report

The post Craig Hemke from TF Metals Report – Thu 29 Mar, 2018 appeared first on Junior Mining Analyst.

Company Reports – Thu 29 Mar, 2018

By Cory

Anaconda Mining – Primed for the perfect ride

Here is an article I found on Bob’s site, 321gold.com. The author Kevin Dougan is a listener of the show and is invested in Anaconda and does a good job of summarizing where the Company stands with its projects.

I will be chatting with the Company in the coming weeks. Please email me with any questions you have for management – Fleck@kereport.com.

Click here to listen to the prior interview with Dustin Angelo over at Anaconda.

…Be sure to visit Bob’s site for more great metals and other commentary – click here to visit 321gold…

Catching the perfect wave requires a couple of things lining up at the right time.

Patience – wait for the perfect wave
Momentum – start before the wave crests and catch it at its peak for the fullest ride

Anaconda Mining is setting up the same way as the “perfect wave” and primed for the “perfect ride”… one where investors getting in early… can really take advantage of all the great prospects the company has now and lined up in the near future.

The three most important factors when investing in a mining company are:

Properties must have a substantial amount of obtainable gold or another mineral resource that processes very high grade as well as an abundance of ounces.
Management must have top level key contributors in the right positions.
Location in a mining friendly district which appreciates the creation of jobs as well as increased revenue it can provide to the region.

Anaconda Mining (ANX.TO) has a management team with over 100 years of combined experience in mining operations. The leader of the team is Dustin Angelo, CEO and President. He comes from an accounting background and has an undergraduate degree from Georgetown University and a MBA from Columbia University.

Dustin is a very sharp “numbers guy” and knows how to stretch a dollar and maximize value. He also has the skill set to motivate employees and keep everyone focused on the task at hand.

Dustin has managed to keep the company together through the lean years with plenty of grit and determination… The company has been able to keep a mine operating with relatively low-grade ore… yet still has managed to turn a small profit. These were very lean years indeed for almost all junior miners… survival was the modus operandi for most mining companies and many sadly fell by the way side.

There is a positive aspect as there are further properties coming online soon that will be able to feed the mill with much higher-grade ore and will add profits. I met Dustin for the first time at the Beaver Creek Mining show and was very impressed and had a hard time tracking him down. He was busy talking to various analysts and investment bankers. Dustin was pitching the story of Anaconda, as many have yet to discover… it was fun to watch. This was an excellent opportunity and evolving story that is by no means ready to end. Investing for growth with the …read more

Source:: The Korelin Economics Report

The post Company Reports – Thu 29 Mar, 2018 appeared first on Junior Mining Analyst.

George Gero – Managing Director RBC Wealth Management – Thu 29 Mar, 2018

By Cory Interest In Gold… Options Already Over 1 Million

George Gero, Managing Director at RBC Wealth Management shares some of his insights on the open interest in gold and the recent volatility after options expiration day. We look at time frame for when he thinks a pop and more interest will enter the market.

Download audio file (2018_03_29-George-Gero.mp3)

…read more

Source:: The Korelin Economics Report

The post George Gero – Managing Director RBC Wealth Management – Thu 29 Mar, 2018 appeared first on Junior Mining Analyst.

ASML Stock Price and Research (Nasdaq: ASML)

asml stock price asml research nasdaq asml 2

By Rob Otman

ASML (Nasdaq: ASML) is an $84 billion company today. Investors that bought shares one year ago are sitting on a 46.85% total return. That’s above the S&P 500’s return of 13.79%.

ASML stock is beating the market, and it reports earnings soon. But does that make it a good buy today? To answer this question we’ve turned to the Investment U Stock Grader. Our research team built this system to diagnose the financial health of a company.

Our system looks at six key metrics…

[iu-adbox]

✗ Earnings-per-Share (EPS) Growth: ASML reported a recent EPS growth rate of 21.95%. That’s below the semiconductor industry average of 136.87%. That’s not a good sign. We like to see companies that have higher earnings growth.

✓ Price-to-Earnings (P/E): The average price-to-earnings ratio of the semiconductor industry is 52.71. And ASML’s ratio comes in at 36.08. It’s trading at a better value than many of its competitors.

✓ Debt-to-Equity: The debt-to-equity ratio for ASML stock is 28.34%. That’s below the semiconductor industry average of 48.71%. That’s a good sign. ASML’s debt levels are not out of control.

✗ Free Cash Flow per Share Growth: ASML has decreased its FCF per share over the last year relative to its competitors. That’s not good for investors. In general, if a company is growing its FCF, it will be able to pay down debt, buy back stock, pay out more in dividends and/or invest money back into the business to help boost growth.

✗ Profit Margins: The profit margin of ASML comes in at 25.11% today. And generally, the higher, the better. We also like to see this ratio above competitors. ASML’s profit margin is below the semiconductor average of 28.4%. So that’s a negative indicator for investors.

✓ Return on Equity: Return on equity tells us how much profit a company produces with the money shareholders invest. The ROE for ASML is 20.67% and that’s above its industry average ROE of 18.2%.

ASML stock passes three of our six key metrics today. That’s why our Investment U Stock Grader gives it a Hold.

Please note that our fundamental factor checklist is just the first step in performing your own due diligence. There are many other factors you should consider before investing. That’s why The Oxford Club offers more than a dozen newsletters and trading advisories all aimed at helping investors grow and maintain their wealth.

If you’re a mining and metals investor who doesn’t own copper stocks, you’re missing out on some huge gains. Check out 5 Copper Mining Stocks You Must Own. We’ll show you the best ways to profit from the one commodity that every investor should own in 2018. Click here to learn more. …read more

Source:: Investment You

The post ASML Stock Price and Research (Nasdaq: ASML) appeared first on Junior Mining Analyst.

Why Mapping the Mind of the Market Matters

By Nicholas Vardy

“It’s insane to expect a trading system to work in all market types.”

– Dr. Van K. Tharp
This past weekend, I reread Jack Schwager’s classic book, Market Wizards: Interviews with Top Traders.

Although first published in 1989, the book’s wisdom of world-class traders like Paul Tudor Jones, Bruce Kovner, Ed Seykota and Michael Steinhardt remains eternal.

Rereading these interviews always reminds me of the dedication, discipline and flexibility it takes to be a profitable trader.

It’s that last characteristic – flexibility – that took me the longest to learn.

Just because you have an investment strategy that’s worked well for a long time doesn’t mean that same strategy will work in the future.

That’s because change is the only constant in the financial markets.

And if the character of the market changes…

Traders (and investors) must adjust their trading strategies as well.
How to Map the Market’s Mind
Investors have been spoiled by the U.S. stock market over the past two years.

Markets have been trending up. Volatility has been low.

Merely staying invested in the stock market has worked wonders in a quiet, bullish market.

It’s the kind of market that makes the average investor look like a genius.

But as the old Wall Street saying goes… never confuse brains with a bull market.

As the last two months confirm, it’s a lot tougher to make money riding the market’s momentum when that momentum fades.

One of the most important lessons I’ve learned as a trader is to identify “market types.”

Here’s the way I like to think about it…

There are three primary market types: bullish, bearish and sideways.

And different strategies work for each market type.

So how do you identify today’s market type?

Sure, you can use formulas, calculations and arcane technical indicators.

But I prefer good old-fashioned common sense.

Or as Justice Potter Stewart put it in his definition of pornography… “I know it when I see it.”

Take a look at a chart of the S&P 500 over the past six months…

The S&P 500 was in a low-volatility, bullish phase up until the end of January.

The market went up steadily almost every day.

And then on January 29, the bull market got the rug pulled out from under it.

Since then, the S&P 500 has traded sideways.

Instead of offering a smooth and steady ride upward, the market became choppy and more volatile.

Is it any surprise strategies that worked up until then have stopped working since?

[iu-adbox]
Trading Different Market Types
I like exchange-traded funds (ETFs) for many reasons.

They allow you to invest in assets you couldn’t otherwise invest in, like timber and private equity, for example. They also allow you to trade a wide range of market types.

I like to think of investing in stocks and ETFs in terms of playing checkers and chess.

If you just buy and hold stocks, you are investing along a single dimension.

That’s a strategy that worked well enough in a low-volatility, bullish market.

But it’s also like playing checkers… All of your pieces are the same, and (with one exception) you can move in only one direction.

In contrast, investing in ETFs is more like playing chess… That’s because ETFs …read more

Source:: Investment You

The post Why Mapping the Mind of the Market Matters appeared first on Junior Mining Analyst.

Short Term Market Signals

By Pater Tenebrarum

SPX Trendline Battle, Relative Strength in RUT

We reviewed the daily charts after yesterday’s close and noticed that the Russell 2000 Index, the NYA and transportation stocks all exhibited relative strength (the same holds actually for the DJIA), particularly vs. the FANG/NDX group. This is happening just as the SPX is battling with an extremely important trendline. As we pointed out before, relative strength in the RUT in particular served as a short term reversal signal ever since the sell-off started in February. The question is if this signal will continue to work. Here is an updated chart:

The SPX, the RUT and the RUT-SPX ratio. Relative strength in the Russell persists, and it has acted quite firm over the past several days in the face of growing weakness in the big cap tech sector. On previous occasions this has indicated an imminent short term upside reversal. At the same time, the SPX is sitting on the decisive trendline recently discussed by Dimitri Speck in connection with “crash analogs”. Interestingly, the Modified Ned Davis Method flipped to a 50% net short position on the Russell last Friday – will it be whipsawed again?

Market Psychology Revisited

We also want to briefly show another short term signal, in this case a well-known sentiment/positioning measure, namely the equity put-call ratio. Below is a weekly chart (candlesticks) of the CBOE equity p/c ratio. This is quite interesting to us, as it confirms something we pointed out in yesterday’s “GBEB Death Watch” article: the recent sell-off has so far utterly failed to generate any fear.

CBOE equity put-call ratio, weekly candles: “no worries mates!” – the peaks reached in the two selling squalls since early February came in at essentially meaningless levels. Even the tiny dips of 2017 generated more fear or invited more intense downside speculation.

It appears traders are well-trained by now: there is nothing to fear, all downturns represent dip buying opportunities. As long as the trendline shown in the SPX chart above holds, they may well be right of course – and yet, this nonchalant response to one of the biggest selling waves of recent years is definitely out of character. And once again, we are mildly surprised how little attention such factoids seem to be getting these days.

Instead, a quite common refrain is this: “the economy is strong, therefore the stock market is safe”. Naturally, valuations do not rate a mention in these analyses, and admittedly valuations have not mattered for quite some time. Perhaps the little tidbits no-one seems to be looking at anymore will though.

Charts by: StockCharts

…read more

Source:: Acting Man

The post Short Term Market Signals appeared first on Junior Mining Analyst.

Miners ask Congo to introduce sliding royalty scale

By analyst

By Cecilia Jamasmie

Miners operating in the Democratic Republic of Congo submitted Thursday a new proposal for the government related to the recently passed new mining code, which substantially increases the cost of doing business in the central African nation.

The likes of Glencore, Randgold, Zijin, China Molybdenum and Ivanhoe, among others, are suggesting a sliding scale of royalty rates for key commodities instead of the windfall tax introduced in the new legislation.

Miners argue a sliding scale, whereby royalties move in line with the commodity prices, would give Congo higher share of revenues at current prices than what the new code stipulates.

The proposal, signed by companies responsible for 85% of the DRC’s copper, cobalt and gold output, suggest that obtaining royalties based on average production and commodity prices “would immediately give the government a higher share of revenues than what is provided in the new code,” they said in the joint statement.

The scheme suggested by the companies also deals with stability arrangements, state guarantees and mining conventions.

It’s the second proposal in less than a week the industry submits, hoping to soften some provisions of the code in exchange for higher royalties.

The miners said their proposal accepted 76% of the articles in the new code, signed into law in early March, adding that proposed revisions aim to “ensure the effectiveness and legality of the code”.

Congo supplies more than 60% of the world’s cobalt, metal whose price has quadrupled in two years, and that share will only grow over the medium term. It is also could poised to soon overtake the US as the world’s number four copper producer.

Both commodities are key components in computer chips, mobile phones and lithium-ion batteries that power electric vehicles (EVs).

Experts believe that cobalt consumers will be the most affected by the higher taxes imposed to producers and exporters in Congo.

“Given the tight nature of the cobalt market at present, we would expect miners to attempt to pass through higher royalty costs to consumers,” Colin Hamilton, an analyst at BMO, said earlier this month.

British corporate advisor Numis Securities went even further, saying that higher royalties will deter investment in Congo, leading to skyrocketing cobalt prices.

“The mining industry representatives believe these changes will resolve issues with the code and contractual relationships while giving the DRC and its people increased participation in the proceeds of mining,” the companies said.

The other miners behind the proposal are Ivanhoe Mines, Gold Mountain International/Zijin Mining Group, MMG Ltd, Crystal River Global Ltd, China Molybdenum and AngloGold Ashanti.

The post Miners ask Congo to introduce sliding royalty scale appeared first on MINING.com.

…read more

Source:: Infomine

The post Miners ask Congo to introduce sliding royalty scale appeared first on Junior Mining Analyst.

REVEALED: Facebook’s CIA Connections…

IQT mission

By Jody Chudley

This post REVEALED: Facebook’s CIA Connections… appeared first on Daily Reckoning.

Has the recent Facebook data scandal got you a little paranoid about sharing information on the internet?

I don’t blame you. After all, Facebook has access to some of your most personal information.

I’m talking about every message you’ve ever sent or been sent, every contact in your phone and even access to your computer’s camera and microphones.

Now would you like to get a lot more paranoid?

OK.

Let me introduce you to a company called In-Q-Tel…

In-Q-Tel is a venture capital firm funded by the CIA.

The stated reason for In-Q-Tel existing is to expand the research and development efforts of the CIA into the private sector in order to deliver innovative technology solutions that support the missions of the CIA and broader U.S. Intelligence Community.

In-Q-Tel was launched in 1999 with former CIA Director George Tenet explaining the vision behind it as being:

We [the CIA] decided to use our limited dollars to leverage technology developed elsewhere. In 1999, we chartered… In-Q-Tel… While we pay the bills, In-Q-Tel is independent of CIA. CIA identifies pressing problems, and In-Q-Tel provides the technology to address them. The In-Q-Tel alliance has put the agency back at the leading edge of technology.

I love the part about how Tenet says that while the CIA pays the bills, In-Q-Tel is still “independent.” That is so cute!

Not surprisingly, according to The Wall Street Journal, the reality is that In-Q-Tel runs virtually all investment decisions by the CIA.1

In-Q-Tel’s Focus — Data, Data and More Data

Now, the way the venture capital business works is that the venture capitalist provides capital to a startup business that is in desperate need of that cash.

There are great, revolutionary ideas out there that just need some cash to get them rolling.

These early-stage investments put the venture capitalist in on the ground floor of operations with an extremely large amount of influence over the decisions made at the firm that the venture capitalist has invested in.

What I’m trying to say is that the venture capitalist (in this case, the CIA) is going to be able to steer the future of these companies, how their technologies evolve and what they can be used for.

With that in mind, you should be interested to know that one of In-Q-Tel’s early investments was in a company called Keyhole EarthViewer. In 2004, Keyhole EarthViewer was acquired by another little startup that you may have heard of — Google.

At Google, the Keyhole EarthViewer technology that was born from CIA/In-Q-Tel funding was renamed Google Earth. Isn’t it good to know that the CIA and Google are on such close terms?

Since it was founded, In-Q-Tel has made at least 167 investments that we are aware of.2 In-Q-Tel doesn’t disclose everything it invests in, but of the investments that have been disclosed, the focus of a large number of them has been data.

“Data” again being a very hot word today given the Facebook controversy.

As far back as 2005, The Washington Post reported that …read more

Source:: Daily Reckoning feed

The post REVEALED: Facebook’s CIA Connections… appeared first on Junior Mining Analyst.

Canada’s Asanko, South Africa’s Gold Fields team up in $203m Ghana JV

By analyst

By Cecilia Jamasmie

South Africa’s Gold Fields (JSE, NYSE: GFI) and Canada’s Asanko Gold (TSX: AKG) are teaming up to develop one of Ghana’s newest gold mine, the Asanko Gold Mine (AGM), is located in the country’s Ashanti Region.

As part of the deal, Gold Fields is acquiring a 50% stake in Asanko’s local subsidiary, which gives it a 90% ownership in AGM, for a total of $203 million. The Vancouver-based firm is also getting associated properties and exploration rights in the African country.

Gold Fields is paying $165 million upfront on closing of the transaction and a deferred payment of $20 million. Its local unit has also agreed to subscribe to a 9.9% share placement in Asanko by way of a private placement of 22,354,657 Asanko shares at a price of approximately $0.79 cents.

Deal consists of an upfront payment of $165 million on closure of the transaction and a deferred payment of $20 million. Gold Fields will also grab a 9.9% in Asanko for $17.6 million in a share placement.

The South African miner, whose net debt stood at $1.3 billion at the end of its last financial year, said the deal fitted in with its growth strategy, focused on improving its portfolio by lowering all-in costs and extending mines’ lifespans to enhance cash generation.

It also mentioned it it could fund the joint venture and the share subscription through cash and existing debt facilities. The company has $400 million in cash and another $1 billion in credit facility.

The Canadian gold miner’s main assets in Ghana are the Obotan operation and the Esaase deposit, collectively the AGM, which are situated 100km north of Gold Fields’ Tarkwa and Damang operations along the prospective and under explored Asankrangwa greenstone belt.

AGM has a 15-year mine life, but Asanko president and CEO, Peter Breese, has long spoken of expansion. In June, his company completed a bankable feasibility study regarding the expansion of AGM in which it would increase production to some 230,000 ounces of gold a year through a expansion.

Asanko said at the time it would then extend annual gold output to 460,000 ounces, possibly from 2022, spending a total of $200 million. According to Gold Fields, its new business partner has the potential to make further discoveries.

The Canadian miner will remain the operator of the asset, although Gold Fields CEO, Nick Holland, said today in a conference call that his company would establish a joint steering committee, which would have oversight of budgets and planning.

Investors didn’t react very positively to the announced deal. Gold Fields shares dropped to at 4,738 Rands, down more than 3% in Johannesburg by 4 PM, and were also falling in New York in early trading — down 1.48% to $4 by 10:15 AM ET.

Asanko Gold’s stock went the opposite way, soaring almost 21% in Toronto to Cdn$1.13 by 10:00 AM local time.

[With reporting by Reuters]

The post Canada’s Asanko, South Africa’s Gold Fields team up in $203m Ghana JV appeared first on MINING.com.

…read more

Source:: Infomine

The post Canada’s Asanko, South Africa’s Gold Fields team up in $203m Ghana JV appeared first on Junior Mining Analyst.

Aura Minerals wants to reactivate projects under care and maintenance

By analyst

By Valentina Ruiz Leotaud

Mid-tier gold and copper miner Aura Minerals (TSX:ORA) announced that it is working towards reactivating its Aranzazu and São Francisco gold projects in Mexico and Brazil, respectively.

During a conference call held to announce its consolidated financial statements for the years ended December 31, 2017 and 2016, President and CEO Rodrigo Barbosa said that besides making efforts to bring the mines on standby back into production, the company is planning to cut costs associated with its active mines.

In Mexico, Aura is ready to restart operations at Aranzazu, its 11,380-hectare copper-gold-silver project located within the municipality of Concepción del Oro in the northeastern region of the state of Zacatecas. According to Barbosa, management is already hiring new staff.

The open pit and underground mine was placed on care-and-maintenance on January 15, 2015, due to low commodity prices and the absence of available additional financing needed to maintain or expand the operation.

However, earlier this month, Aura announced that it has entered into a $20 million loan facility and an off-take agreement with Louis Dreyfus Company Metals for the restart of operations and copper concentrates to be produced from Aranzazu.

Further south, in Brazil, the management is assessing the possibility of restarting its São Francisco gold mine, where only processing from previous production continues.

São Francisco is an open-pit, heap leach gold mine located in western Mato Grosso state, approximately 50 kilometres southeast of the São Vicente mine in the Guapore gold belt. The property consists of four contiguous mining and exploration permits, covering approximately 16,370 hectares.

“We initiated our fines recovery project from the tailings in São Francisco. We had very positive results in the first two months. However, we do not maintain minimum production due to a number of reasons,” Barbosa said. “We’re currently conducting an exploration program at São Francisco and we’re analyzing the possibility or probability for a restart.”

At the Honduran San Andrés gold project -the CEO added-, Aura continues to invest in care and maintenance and is now analyzing samples to further assess its potential.

In terms of last year’s results, the Tortola-based miner produced 136.168 ounces of gold at San Andrés and Brazil’s Ernesto/Pau a Pique. “We brought an increase of 11% over 2016 that we sold 131.500 ounces. Our cash cost in Brazil was $108 per ounce, 2.3% decrease versus 2016 and $126 per ounce in Honduras, which is 2.8% increase,” Barbosa said.

For 2018, the company expects to achieve 130,000 to 160,000 ounces with the cash cost averaged between $760 to $950 per ounce.

The post Aura Minerals wants to reactivate projects under care and maintenance appeared first on MINING.com.

…read more

Source:: Infomine

The post Aura Minerals wants to reactivate projects under care and maintenance appeared first on Junior Mining Analyst.