Long may gold and silver run
It was another great week for gold and silver. Both hit new highs and soon we could see silver break into all-time […]
It was another great week for gold and silver. Both hit new highs and soon we could see silver break into all-time […]
Gold held at New York’s closing level of $1,486 in Asia on Monday before slipping slightly in London to fix at $1,484.50. This is somewhat misleading because the dollar recovered to $1.4300 on Monday up from $1.44 on Friday. Hence in the euro gold is slightly stronger at €1,036.81 up from Friday’s p.m. fix of €1,023.81.
The AP title says it all this morning. The recovery was produced by will of man (and woman, as Janet Yellen continues to work the 'good cop' side of the street with Ben Bernanke, opposite those thugs Plosser and Bullard on the other side, talking about withdrawing policy accommodation), allowing Wall Street and the greater financial services industry to calculate PE ratios, growth extrapolations and the like.
Nautilus Minerals' (TSX:NUS)(AIM:NUS) plan to open a new frontier of seafloor resource production has taken a major step forward, with the formation of a strategic partnership with German shipping company Harren & Partner ("Harren"). A joint venture company (the "Vessel JV") is to be formed to own and operate a production support vessel which will serve as the operational base for Nautilus to produce high grade copper and gold ore at its first development project, Solwara 1, in the Bismarck Sea of Papua New Guinea ("PNG").
MiningNews.net reports that the Cut, a simulated underground training mine in Perth, is attracting attention from mining specialists all over the world. Training specialist Barminco is arranging several tours in the next few weeks, with visitors from as far afield as Chile.
"We’ve put a bit of time and money into setting this up," Barminco training co-coordinator Steve Motion said. "From an induction point of view, I think it will be a pretty good idea for putting what we call green people or new people through, just to give them that feeling of what it’s like to go underground and how an underground mine works."
Nothing is cheap in today’s investment world. Because of the trillions of currency units that governments all over the world have created – and are continuing to create – financial assets are grossly overpriced.
Both metals have moved as money. Gold and Silver Exchange Traded Funds have attracted massive investments in the developed world where trust in the monetary system is far higher than it is in the emerging world. But it was the underlying gold and silver that attracted investors. Waning confidence in the value of paper currencies gave way to demand for precious metals as a store of value retainers for investors.
Consolidated Thompson Iron Mines announced that Cliffs Natural Resources has received approval under the Investment Canada Act for completion of the plan of arrangement pursuant to which Cliffs will acquire all the outstanding common shares of CLM. The closing of the Arrangement remains subject to certain other customary conditions, including obtaining approval of the MOFCOM filing with the Anti-Monopoly Bureau of the Ministry of Commerce of the People's Republic of China.
Lu’an Group, a large Shanxi-based coal producer, completed what was, according to state newsletter People’s Daily Online, China’s first manned test of an underground refuge chamber on April 10. A team of 80 miners, rescue workers and researchers stayed in a permanent refuge chamber in the company’s Changcun coal mine for 48 hours. Read more
There is no doubt my two favourite metals are stars again this year, especially my long-time favourite, silver. I’ve preached for years on the validity of owning the physical metals and hope you’ve done so. I’ve certainly put my money where my mouth is in a large way and it’s really paying off in spades.