For the gold and silver markets, does it matter who gets elected?
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In this show Al discusses:
- Segment 1 – Sean Hyman, Editor of the Ultimate Wealth Report, discusses his outlook for gold and silver and ways to invest in these sectors.
- Segment 2 – Interesting changes within Lupaka Gold that could very well spell profits.
- Segment 3 – Rick Honsinger provides an update on Formation Metals.
- Segment 4 – Kelly McMillan expresses concern about Second Amendment Rights.
- Segment 5 – Bron Suchecki, Manager of Analysis and Stratagy for The Perth Mint discusses his organization.
- Segment 6 – Trader Rog, Carter Smith and Big Al are convinced that the re-election of the president would be good for the precious metals markets.
- Segment 7 – An old friend, Linda Thorstad, introduces Orsa Ventures with operations in both Oregon and Nevada.
- Segment 8 – Al and Peter Grandich wrap up the show discussing the question, “What do the employment numbers mean for gold?”
Click download link to listen on this device: Download Show
Click download link to listen on this device: Download Show
Click download link to listen on this device: Download Show
Click download link to listen on this device: Download Show
Click download link to listen on this device: Download Show
Click download link to listen on this device: Download Show
Click download link to listen on this device: Download Show
Click download link to listen on this device: Download Show
Richard have you formed an opinion about the development project in Sara Paleda, Brazil? Colossus Minerals has recently entered a gold/platinum stream with Sandstorm Gold as well as a palladium stream with Sandstorm’s sister company. DD of this project requires a firm understanding of Colossus 75% interest with 25% reserved for the historic wildcat miners. In addition the recent 35% Sandstorm takeoff stream of Colossus’ interest in PGM stream 1.5% gold stream with an across the board 1/2 of total stream buyback option. My largest concern with this project was the difficult mining conditions presented. However Sandstorm well-seasoned negotiators tossing them 75 million for this stream is a vote of confidence for this late stage non-Russian…non-South African…advanced stage PGM project with the advantage of occurring with a lot of gold. DYODD.
Dennis, Sandstorm doesn’t provide equity for any miner if they haven’t done their due diligence. Their success depends on not making huge mistakes. It’s hard enough for investors like ourselves to assess the strength of any miner but I would certainly watch the footprints of companies like Sandstorm and would put a lot of credence into their decision making. I also understand that Sandstorm has some of the best mining veterans guiding them in their selection of the mining companies that they are going to do business with. I might add Sandstorm’s stock price has done quite nicely lately and I’m personally hoping for a pullback to purchase them.
I have have owned Colossus for awhile. I was impressed by the grades and variety of metal historic to the land package Gold…Platinum…Palladium even Rhodium. Upon reviewing the SAND/Colossus deal I took a hard look at SAND resulting in me posting here a Cambridge interview of SAND CEO Nolan. I initiated a modest position at just under $12.
I have become a fan of the streaming companies, miners linking dividends to the the target metal and mining companies whose CEO’s both have skin in the game and articulate an firm understanding of Austrian Economics.
Caveat…..James Cramer featured Sandstorm 8 days ago. I usually view Cramer as a an indication to do the opposite. I certainly will not be shorting SAND…but be cautioned to enter into a company recently promoted by Mr. Cramer. You do not want to end up like a keystone cop chasing a bank robber.
No, you do not Dennis M.
I like your assessment of management, i.e. skin in the game and a firm understanding of Austrian Economics.
Big Al
I don’t watch Cramer very often but when I do, it’s interesting to look at the technicals when he recommends or doesn’t recommend a company.
My exposure to his Mad Money ways was derived from a Sandstorm site link.
I share your lack of enthusiasm for theatrical.
It is wise to be partial to fundamentals and technicals.
Hi Al,
Thanks for Formation update. Will look a bit into Orsa too.
Might be time to get John Williams back, if he’s not too busy — and he probably isn’t, at least as far as the main stream media is concerned. This morning, it’s on the news that Obama is taking credit for a 7.8% unemployment rate, but Romney doesn’t trust the numbers and thinks it’s 11%, etc. Of course, no one is talking to Williams about his 40+ years of research and collation of unemployment numbers. It’s all political, “Gee Norm, I think Obama has it on this one, blah, blah, blah…”
To think these people are arguing about 8 or 11%…trying doubling it and adding 50% more, if you want to get close. I know A LOT of unemployed or depressingly under-employed folks. I’ve met a few ex-NASA here. They’re working far below their ability, so yeah, they’re employed making $40K or 50K per yer, but their contribution to the economy (income taxes for the Keynesians, personal spending for the Austrians) is a fraction of what it was a couple of years ago. Same thing for a lot of telecom engineers. I also know some coders who can program in 5 languages competently…can’t get a job, because their resume is missing some line item. Voila…lower umemployment rate, but also a GDP that stinks.
Sorry I can’t do some of the economic research I used to and offer it up here, not at the moment at least. It’s enjoyable to correlate (Korelate??) such dichotomies and get to a relatively accurate answer. In the meantime, have to do some honest work. May get to watch the Space X Dragon launch tomorrow evening at Kennedy if all goes well. Lucky local yocals here…they’re so bored with rockets launches, it’s about as profound to them as a full moon. Got to go to the Vehicle Assembly Building and launch pad 39A too…it’s so sad, watching the activity slow to “care and maintenance”. Meanwhile, Soyuz’s (if that’s the correct plural) crash or run astray every 3rd flight. We need a healthy space program — one at home, preferably.
(that’s another one…I was trying to get into Orion at a local Phx Honeywell, but they’ve stopped hiring too…oh well, can go make $30K a year soldering cables I suppose…damn economy)
You need to hang in their.
Anything Kath and I can do to help?
Big Al
Hi Al,
(thanks)
I’m keeping busy on a contract here, in case that didn’t come through in my last message, so I’m having a great time here. But certainly looking for something for the long term too…
But, if I come up with some profound scoop re investing, I’ll let you know (like many of the good folks here, my investing problem is I’m usually a couple years ahead of the curve, but so is my research!) Also like many here, I’ve been predicting gold and silver’s rise since 2002 or so, and have been looking for the next paradigm in the next decade. The crystal ball has become hazy, though. It’s a strange world out there, right now.
KWonderful folks here in central Fla. And yes, Marc, just saw the Space X Falcon 9 take off from the Cape…wow, very cool. Though some of the shuttle watchers around me said the shuttle’s engines are MUCH louder. Still, well worth the drive. Nice to see some history.
John W.,
Good to hear from you…hang in there, buddy and dont get TOO CLOSE to the launch pad – could be bad for your complexion. 🙂 Ha!
Marc
more boykin vidio
Stevie
Please ask Kelly McMillan whether he contacted the NRA and if so what did they do?
I would expect that the NRA would be interested in situations such as his.
HI Tex,
I will for sure!
Big Al
GDXJ hit $42 in 2010 (gold around 1200?)and then again in 2011. Now it is around $25 only with gold higher by $600. Juniors are still lagging the gold price by far. I wonder when we can reach a $40+ level. Would it take $2000 gold? I am only in GDXJ now with a large holding as I gave up with the stocks with huge losses.
Paul, I’ve begun to move into GDXJ and selected PM stocks as well. You’re probably better protected in holding GDXJ then some of the miners.
Unemployment: U3 went down to 7.9%, but that is a less meaningful number than U6, which did NOT DROP and stands at 14.7%
And that, cfs, is the point that I tried to make!
Big Al
I would suggest the severity of the rate of the currency’s decline will bring about increased severity in capital controls. In this environment you are better off with Romney placing the USD decline more on a glide path as compared enduring a crash landing with Obama. Understanding Trader Rog’s lemming essay makes one understand the USD’s decline is properly understood measured in the metals and unfortunately global conflicts as compared to measuring the $ versus sister prostitute paper currencies. In this environment a gradual decline is preferred as compared to a crash landing. Romney is more likely to grab the yoke and continue the PM’s decade plus ascent.
4 more years of Obama may deliver us to $100 dollar/day moves in silver and $5/day moves in Silver more quickly but unfortunately in this environment much of your metal would be required to bribe the border guard.
The above post was in re Segment 6 and in the interest of clarity the last line should read;
4 more years of Obama may deliver us to $100 dollar/day moves in Gold and $5/day moves in Silver more quickly but unfortunately in this environment much of your metal would be required to bribe the border guard.
$100/day moves in gold you mean, don’t you!
Big Al
Al, I had to chuckle when TR made his statements about a large rise in the price of gold/silver next week. You kept saying that was “interesting” and a “little rich”. You’re actually right to hedge your statement. The precious metals in all likelihood won’t make a big move up next week based on momentum indicators. In fact it appears that silver will move down next week and you won’t see a big move in gold. The conventional markets still look okay at this point and could move higher relative to the precious metals. I wouldn’t be surprised to see silver move down to as low as $33.5. I don’t see any major move up next week.
Looks like you are spot on Richard, wish I had read this on Saturday.
Some good market charts:
http://www.gold-eagle.com/editorials_12/thomsons100312.html
Many thanks Paul L,
Big Al
Rigth to bear arms, eh?
If our gummit has it’s way the only thing the Second Amendment will allow is for us to wear a short sleaved shirt!
Hi Ken, if you ask Japanse north americans of the 40s you may fine you have 1 right, the right to “right this way”.
That, Ken, is assuming that it is not a camouflage shirt!
Big Al
Yeah, I was trying to be funny…bear arms…bare arms…oh, well.
Well, we have disagreements in which way the metals go next week, I always find this interesting. To me its a matter of at what price heavy buying comes from the east.
I find just about everyone to call things correctly 60 -65% of the time.(daily or week by week) Which is consistant with articles I have read saying that if you just call up, your right 67% of the time in a bull market. I think the market wrap is saying if profit taking takes hold there is support at every dollar down. Lousey to miss a move up from 1800- 2000 tho.
Maybe heavy buying will begin again when people figure out the gov is lieing about the jobs #s, you wouldnt think that would take too long (investers are supposed to be more astute than gerneral public) but who knows.
Good show Al.
Benb, I guess it really doesn’t matter what the precious metals do week by week unless you’re a trader. All I know is that we’re in a consolidation phase in a bull market. $1800 is a line drawn in the sand by traders. Eventually we’ll break through. The positive for gold is that on the weekly charts the strength indicators have finally turned up for the first time in weeks and months. I believe that gold will continue to move higher in “fits and starts”. It won’t go to the moon on this move like a lot of people wish and that’s quite healthy. The longer gold can move slowly higher the longer it’ll be before it’s explosive move.
Doc,
I agree completely!
Big Al
Hi, Al, how are you doing? Are there any good metal conferences in the south part of the US this winter that you might be attending? I’m looking at some warm environments to visit this winter and if possible might for the first time take in a conference.
Hi Richard,
I will be speaking at a conference in Indian Wells which takes place in February. There were some great speakers there last year.
Would be great to meet with you.
Best,
Big Al
Hi Richard, I have seen your predictions turn out well, Rogers too. I enjoy the input and I am trying to pick up a little of what you guys are looking at. For me tho, PMs are going up, I like to look at the 10 year charts especially. It would be nice to sell before a big drop and rebuy but overall, I havnt missed too many opportunities, For a physical holder you need some big drops and almost perfect timing to take advantage, premiums are really tuff to overcome. I just read David Morgans “weekly report” he is saying up next week too, and Faber warns of profit taking. If we had the crystal ball it would just be too easy to be any fun.
It’ll be interesting to see what plays out next week. I would love a strong week up since I have a large position in a miner that’s right at it’s 50 day MA that is slowly trending up and forming a massive bowl. I’m just waiting for a major breakup for the miner which appears to have formed it’s bottom.
So far, Doc, today is a bit of a lackluster example.
I think that it will stay this way at least for this week. Too much uncertainty and confusion. People seem to be focusing on the minutia.
Big Al
Howdy Benb,
I am really looking forward to seeing just how this upcoming week turns out.
In my opinion, an upturn of sorts is always possible but I really think 30 – 60 points in one day is too rich for the current environment.
Big Al
Hi Al,
Appreciate the discussion, and I’m still working through it, but hope you won’t mind a constructive suggestion: hold the mike away from your nose. Darth Vader has not entered the building. (grin)
Great point, Lore, and thank you very much!
Big Al
I am glad Mr. Kelly McMillan got on the show. I hope his company has a plan to favor his market growth that includes political inluence to remove all these infringements on the right of the people to keep and bear arms by the anarchists running the government.
Howdy Missive,
Kelly is a great guest to have on.
I will be discussing this subject more with him in the future.
Best,
Big Al
Pin my tail and call me a doyenk, that really helped.
ORN.V Actual Options…….
Latest Filings
Issuer Activity
Insider Overview :: Orsa Ventures Corp. (V:ORN) [?]
Filings by Transaction DateFilings by Filing DateFilings by InsiderMarker
Latest 10 SEDI filings (by transaction date) for ORN within the last 6 months [?]
Amended Filing
As of 11:59pm ET October 6th, 2012
Filing
Date Transaction
Date Insider Name Ownership
Type Securities Nature of transaction # or value acquired or disposed of Price
Jul 31/12 Jul 27/12 Pruitt, Rayford Lee Direct Ownership Options 50 – Grant of options 175,000
Jul 30/12 Jul 27/12 Barde, Bruno Direct Ownership Options 50 – Grant of options 175,000 $0.160
Jul 30/12 Jul 27/12 Thorstad, Linda Elaine Direct Ownership Options 50 – Grant of options 175,000 $0.160
Jul 30/12 Jul 27/12 Gieselman, Terese Direct Ownership Options 50 – Grant of options 175,000 $0.160
Jul 30/12 Jul 27/12 Flower, Brian Direct Ownership Options 50 – Grant of options 175,000 $0.160
Jul 30/12 Jul 27/12 Fair, Robert Bruce Direct Ownership Options 50 – Grant of options 175,000 $0.160
Jul 27/12 Jul 27/12 Attaway, Micheal Patrick Direct Ownership Options 50 – Grant of options 175,000 $0.160
May 24/12 May 23/12 Attaway, Micheal Patrick Direct Ownership Options 50 – Grant of options 200,000 $0.120
May 24/12 May 23/12 Attaway, Micheal Patrick Direct Ownership Options 00 – Opening Balance-Initial SEDI Report
Morning cfs,
The options are definitely not a surprise.
The fact that they were only issued 175K, with the one exception, is to me a good thing. For any of these folks to make any fairly significant dollars the stock needs to go up significantly.
Thanks for the information,
Big Al
expected returns blog, OCT. 4th:
Today the focus is on yesterday’s presidential debates, which is slightly comical, since they have absolutely no effect on where we’re headed. It’s frustrating because people steadfastly cling to the left/right paradigm without taking a step back and thinking. Have unnecessary and costly wars ended with either party? What about debt accumulation? What about corruption? Both candidates speak the same old platitudes I’ve heard all my life from politicians, and sometimes I wonder how people can’t recognize this.
In a period of economic distress, it is much easier for contagion and mass psychology to take hold, especially in the internet era. Riots and protests are breaking out throughout Europe, but somehow Americans don’t recognize this type of civil unrest is coming to our shores. Greece is about to drastically cut pensions, and it’s pretty clear this is going to push their population over the edge. 10-year bonds in Greece are still over 20%, which means they can not cut enough from the budget to offset rising interest costs. We face the exact same predicament very soon.
I wish I could bear good news, but this is just the truth. Gold is close to breaking out above $1800, and as I always say, it is a global leading indicator. We will surely see more volatility headed into 2013. The catalyst will probably be Europe or muni bonds, with an outside chance of volatility coming from Japan.
Per expected returns blog, Oct 5th:
Today the BLS reported that the unemployment rate fell to 7.8%. The underlying data in this report is actually not bad, so this is a decent report. The employment-population ratio rose 0.4% to 58.7%, which is positive, although the rate has been flat this year. Non-farm payroll employment the last 2 months was revised up by 86,000 jobs, or about 37%, so keep this in mind. In short, a good and, ahem, timely report for Obama leading up to the election. Downward revisions in coming months are very likely in my opinion.
Gold has sold-off on the report, as expected, but there’s nothing to be concerned about as long as we hold above $1760. This is an important level, and you can see that a battle is brewing at this level between bulls and bears. The next important level is $1800 for a number of reasons. First of all it’s a round number, which always attracts more buying or selling than normal. Also, gold has tested and retested $1800 numerous times without breaking out, which is normal for a bull market. I suspect once gold breaches $1800 this time around it will never turn back, but you never know. Just keep in mind that this is a critical level.
[gold]
It’s important in these times to understand the bigger picture. Volatility has collapsed and there is a certain complacency that has overcome the market. Most of the big money is getting bearish right now against the crowd, and I personally expect a correction soon. My strategy for now is to wait for the correction to arrive, because it will, and to start building a position in large-cap gold shares. Blue chip stocks with solid dividends and a global revenue stream are also a buy on corrections.
Sadly Roger you were quite wrong with the wave 3, Even Al couldnt believe it!
Silver got smashed down sunday night. Its still falling today Monday, probably go down to $33. Hope the bad boys dont take advantage of this!
When Al and Sean were talking about commodities and the PMs they did mention palladium and platinum. Along with the precious metals, one of the areas I have in the past taken a position in is palladium metal. I’m starting to take a strong position in the stocks again. From my viewpoint, palladium could outperform some of the other commodities. For the last 2 years, palladium has traded down from about $850.00 to $550.00/ounce. It now currently is $642.00. The chart looks particularly strong with palladium showing a bottoming pattern for over a year. Palladium like silver is starting to develop a supply/demand imbalance. The #1 producer is Russia and it appears their stockpiles of the metal have finally been depleted. The #2 producer is South Africa. As most of you are aware, the use of palladium is large in catalytic converters and is growing. In fact in diesels, it’s been said the manufacturers are converting to palladium from platinum due to the difference in pricing. As car production ramps up in China and other developing nations, the use of palladium will only increase. From both the demand and supply side palladium appears to be a metal that should be attractive.