Wednesday, December 20, 2017

Rick Rule: 2018 Is Going to Be a Great Year for Gold Miners


Rick feels the market needed time to consolidate the gains from 2016 and this was accomplished in 2017. Many mining companies were able to put in strong corporate performance and generate cash relative to the gold price. 

Gold did better in the face of a strong U.S. dollar than many believed and has outperformed the gold equities. This coupled with good corporate performance, and low expectations will likely lead equities higher in 2018. Rick has just returned from meetings with a lot of retail and large institutional investors from around the world. 

There is a lot of smart money waiting on the sidelines. Rick says, “Perhaps I am an incurable optimist, but it feels not too hot, not too cold, just right.” Rick doesn’t see the negative attitudes towards mining stocks since he begins with this basic assumption: “If there are a thousand mining companies in Canada, eight hundred of them will return to their intrinsic value which is zero. 

If you buy the sector, you will go broke.” He would argue that the better juniors are still selling at a good value. You make money buying individual stocks, and you should start with the best of the best juniors. He expects that from a speculative position the uranium equities will perform well due to the supply cuts and because 2017 used up the sellers. 

He feels the rally will be short lived because companies will issue shares to stay afloat. The cutbacks are good news as they were not due to market manipulation but the economic realization that they were losing cash with every pound produced. 

These two companies realized that they could likely sell their resource base for $60 a pound in a few years.

- Source, Palisade Radio

Saturday, December 16, 2017

Eric Sprott Talks Global Demand for Metals, Impact in 2018


With metals up and down, it can be easy to think that the market won't rise. However, Eric Sprott talks gold and silver, the COMEX, and the potential for a rally in 2018.

The global precious metals demand is through the roof, Eric says. "There's a serious misallocation of physical gold and silver," he says. "This is not a little bit [of silver]. This will be interesting for us to study this whole play that's going on and the movement of the physical delivery."

And what about Bitcoin? "Most Bitcoin people don't know how bad [Bitcoin futures] would be," Eric says. "The reason [Bitcoin can rally] is it's essentially a closed loop."

- Source, Silver Seek

Tuesday, December 12, 2017

The Gold Mining Sector is Poised to Explode Higher


Canadian billionaire investor and gold bull Eric Sprott says the Pilbara conglomerate gold story could provide a huge economic boost for WA.

Talking from Melbourne yesterday, where he is a keynote speaker at the Precious Metals Investment Symposium, the 73-year-old chairman of Kirkland Lake Gold confirmed to WestBusiness that he was a believer in the story, which he described as already being 90 per cent proved.

The discovery of watermelon seed-shaped nuggets, talk of conglomerate-hosted gold and comparisons with the massive Witwatersrand gold basin in South Africa has sent the share prices of several Australian Securities Exchange-listed Pilbara explorers soaring recently.

But it is the Sprott-backed, Toronto-listed Novo Resources which has led the charge by securing vast tracts of land in the Pilbara (12,000sqkm) and striking a joint venture with the ASX-listed, David Lenigas-chaired Artemis Resources over the Purdy’s Reward prospect south of Karratha.

Novo’s shares have soared from C82¢ at the beginning of July to a high of $C8.55 earlier this month, giving it a market capitalisation of more than $C1.2 billion.

Artemis shares have surged from 8¢ to more than 50¢ over the same period, giving it a value of more than $250 million.

Having visited the Pilbara recently and used a metal detector to find nuggets, Mr Sprott said he believed the region could host a gold resource of the same scale as Witwatersrand, from which more than a third of the world’s gold has been mined.

“We know conglomerate rock exists over a wide area of the Pilbara and we’ve discovered gold nuggets unlike any other nuggets in the world,” he said.

“We now need drilling and assays to test the grade and thickness of the mineralisation.

“It’s not yet conclusive but it’s looking good.”

The former Merrill Lynch analyst said large-scale gold mining in the Pilbara would be a big economic boon for WA.

“It would create huge opportunities. Wouldn’t we all want this type of thing in our backyard,” he said.

Besides Novo, Mr Sprott also recently made $5 million investments in Pilbara explorers De Grey Mining and Kairos Minerals, but signalled it was unlikely he would make further plays.

“I think the time for a steal is finished, unless there are other data points that emerge,” he said. He also conceded that he stood to “lose a lot of money” if drilling failed to reveal economic gold mineralisation in the Pilbara.

Mr Sprott’s comments came as Kairos enjoyed a 20 per cent share price rise yesterday after announcing it had identified prospective conglomerates at its Croydon project south-west of Port Hedland as well as discovering visible gold from panning.

Meanwhile, shares in West Wits Mining jumped 16 per cent after it said it was close to finalising the acquisition of the 224sqkm Mt Cecelia project in the East Pilbara, which it believes is prospective for conglomerate-hosted gold.

- Source, The West

Friday, December 8, 2017

Moving Just A Little Crypto Profits Into Gold and Silver Could Blow Up the Market!


Eric says the physical market is tight already, and if smart crypto holders move into gold & silver, the market could blow…

“More of the same” – that seems to be the refrain for precious metals this year, according to Eric Sprott. It’s been tough, and gold and silver bugs may be feeling a bit low this holiday season. But, says Eric, a renewed rally in 2018 may be possible.

“We’ve never seemed to be able to get that large short position down,” says Eric. “It just shows they [Central Banks] have control of the market. Whatever their purpose is, they get there. Once they can cover this, we probably will find a creative low, here. It’s been tough.”

But, Eric says, there may be hope. “We may have lost all our game, but we have things that will happen here shortly that I think will change things rather quickly.”

Bitcoin’s massive capital rush just may be positive for a rush into precious metals – and Eric definitely believes physical commodities will be affected by Bitcoin and other cryptocurrencies. “When people cash out their Bitcoins, where are they going to put their money? Some people will be selling here and look for a place to put it – it won’t take much for things to move around in the precious metals markets [as a result].”

As always when it comes to speculating, anything can blow up – the key is to keep your ear to the ground and remain patient.


Thursday, November 30, 2017

Investors May End Up Selling Their Mining Shares To Take A Tax Loss For The Year



Eric begins the week discussing the phenomenon of EFPs (Exchange For Physical) where contracts on the COMEX are being settled for the physical but out in London.

Eric says there must be tightness here because these numbers of EFPs issued are not insignificant.

Also, Eric says that if there is a rate hike in December, gold is going up regardless because of the yield curve and the long bonds, so if there is going to be selling, Eric says bring it so that he can buy even more.

Rounding out the discussion is the recap of the fundamental news in the economy, as well as talk about the mining sector, which Eric says may involve some “tax loss selling” to take the tax write off. If that happens, Eric says the price of some of the miners that are down this year could go down even further, and that means a good buying opportunity.

- Source, Sprott Money

Monday, November 27, 2017

Eric Sprott: The Whole Premise For Gold Being Weak is Misguided and Flat Out Wrong


Eric and Craig begin the conversation with the recent gold price smashings. Eric says it’s sickening to see, but at the same time, it’s good to see the price pop right back up.

The conversation then shifts to silver, where it is hard to watch as silver is only up slightly on the year whereas the other metals have rallied like crazy.

After discussing the metals, the conversation turns to the fundamentals of the economy. The fundamentals are deteriorating, and now there are signs of trouble in the stock markets. There is specific focus on the lack of wage growth in conjunction with “shrinkflation” (paying the same but getting less of the good or service).

Finally, there is a recap of the precious metals sector including the miners.

- Source, Sprott Money

Tuesday, November 21, 2017

Gold Investor Fatigue Is Going to Lead to a Rally of Epic Proportions


Rick agrees that there is capital misallocation on locating and extracting gold from the ground. Precious metals historically have been the most volatile part of the resource market. 

Reasons for this include the narrative around gold and silver being more interesting than say that of copper and coal. There is an allure to it. Thus there is a flaw in the way investors think. Investors that focus on precious metals likely do themselves a disservice. 

Gold itself has been strong this past year in spite of the dollar also being strong. This is unusual and encouraging. Investor fatigue in the gold sector is not the fault of gold it is the investor's fault as they have unrealistic expectations in regards to time. Gold stocks haven’t kept pace this year probably because they did so well in 2016. Gold may never be good enough to satisfy the wild interest of speculators but indeed good enough for contrarians to make a tidy sum. 

Mr. Rule discusses battery metals including nickel and why there are opportunities in the space. He likes cobalt as increased supply is unlikely to reduce the price. There is plenty of available lithium worldwide; however, that demand has increased faster than the processing capacity of the lithium industry. 

Rick feels that outside of urban areas electric vehicles are unlikely to reach operating cost parity with gasoline based cars. Electric cars are unlikely to be practical for long-range transport. Platinum and palladium need to see a global, sustained recovery that increases the number of vehicles sold. 

Since 2008 the market has been constrained worldwide. Demand could rise if China pushes for cleaner diesel fuel standards something they have discussed but so far failed to do.

- Source, Palisade Radio

Saturday, November 18, 2017

Forget the Noise, Look at the Fundamentals, Gold and Silver Are Going Higher


Eric reminisces about the early days of Sprott and where we are today in the gold market. He points out that Gold holds it's value, unlike fiat money. It’s hard at times to recognize that we are in fact in a bull market; however, we are as the TSXVenture Exchange has had an excellent rally over the past couple of years. Price increases in the gold market have a significant impact on the profit line of a company. 

Price is more important than production. We are in an exciting environment for speculation. Some things are speculative, and some investments are well reasoned sure bets with limited down-sides. 

Eric says to look for opportunities where you can get multiples on your money and where the downside risk is less than 50%. If you know you have a good investment than all you have to do is sit back and wait for it to play out. Mr. Sprott discusses several companies that he has a stake in and why he thinks they are good opportunities. 

It’s difficult when you have a winner to determine how much further a stock can go up. You need to look at how much higher it can go up and look for even better opportunities. Try not to get scared out of your trade. Eric doesn’t believe in technical analysis he prefers fundamentals. Company management shouldn’t be conservative when it comes to pricing things they should be realistic. 

As investors, we need to know what is going on. You want to see the future early and know where things are going today not next year. How do you find out what is going on? First of all, you listen very carefully, and you have to read things critically. Connect the dots. 

If the information is in the public domain, you can use it. Sometimes smart people are talking about companies and what they are into. You have to learn to use whatever you can, and the Internet can be a great resource.

- Source, Palisade Radio

Wednesday, November 15, 2017

The Commercials Have Dangerously Shorted Silver in Massive Quantities


With all the fundamental news and the data releases, gold and silver so far look to be set to eek out weekly gains here, and this encouraging, but Eric says that the commercials still aren’t done yet because the open interest is just too high.

There is discussion of the BLS Jobs Report released just today.

Eric and Craig also discuss the latest news of the Fed Chair nomination in Jerome Powell.

Eric points to signs of hyperinflation all around, namely as evidenced by a recent trip and the soaring cost of Bitcoin in fiat dollar terms.

Finally, there is discussion of the mining sector.

Eric is optimistic however, and he says that gold and silver investor’s day in the sun is still coming.


Thursday, November 9, 2017

Rick Rule: Gold Investor Fatigue Is Going to Lead to a Rally of Epic Proportions


Rick agrees that there is capital misallocation on locating and extracting gold from the ground. Precious metals historically have been the most volatile part of the resource market. Reasons for this include the narrative around gold and silver being more interesting than say that of copper and coal. There is an allure to it. Thus there is a flaw in the way investors think. Investors that focus on precious metals likely do themselves a disservice.

Gold itself has been strong this past year in spite of the dollar also being strong. This is unusual and encouraging. Investor fatigue in the gold sector is not the fault of gold it is the investor’s fault as they have unrealistic expectations in regards to time. Gold stocks haven’t kept pace this year probably because they did so well in 2016. Gold may never be good enough to satisfy the wild interest of speculators but indeed good enough for contrarians to make a tidy sum.

- Source, Palisade Radio

Tuesday, November 7, 2017

Eric Sprott: This is the Key to Outperform in the Gold Markets



Craig and Eric start off by discussing what is turning out to be a slow, drawn out flushing of the speculators on the COMEX.

The conversation then shifts to the bad data that keeps coming out, regardless of what the GDP statistics say.

Since we are in the midst of a short-covering flush, and since the covering has been slow and painful, there is discussion about the mechanics of market manipulation.

Finally, discussion shifts towards the mining industry.

Eric discusses simple strategies that investors can use to research companies to look for returns on their investments in the mining industry.


Friday, November 3, 2017

Eric Sprott: Make No Mistake The Resource Bull Market is Back


Eric reminisces about the early days of Sprott and where we are today in the gold market. He points out that Gold holds it's value, unlike fiat money. 

It’s hard at times to recognize that we are in fact in a bull market; however, we are as the TSXVenture Exchange has had an excellent rally over the past couple of years. 

Price increases in the gold market have a significant impact on the profit line of a company. Price is more important than production. We are in an exciting environment for speculation. 

Some things are speculative, and some investments are well reasoned sure bets with limited down-sides. Eric says to look for opportunities where you can get multiples on your money and where the downside risk is less than 50%. 

If you know you have a good investment than all you have to do is sit back and wait for it to play out. Mr. Sprott discusses several companies that he has a stake in and why he thinks they are good opportunities. It’s difficult when you have a winner to determine how much further a stock can go up. You need to look at how much higher it can go up and look for even better opportunities. 

Try not to get scared out of your trade. Eric doesn’t believe in technical analysis he prefers fundamentals. Company management shouldn’t be conservative when it comes to pricing things they should be realistic. 

As investors, we need to know what is going on. You want to see the future early and know where things are going today not next year. 

How do you find out what is going on? First of all, you listen very carefully, and you have to read things critically. Connect the dots. If the information is in the public domain, you can use it. 

Sometimes smart people talk about companies and what they are into. You have to learn to use whatever you can, and the Internet can be a great resource.

- Source, Palisade Radio

Sunday, October 29, 2017

Eric Sprott Just Made A Prediction On President Trump’s Nomination For Fed Chair


Here’s the latest wrap up of macroeconomic fundamental news on the on the economy in general, and the gold and silver markets in particular.

Craig and Eric begin the discussion with the latest moves in the metals markets, with a round robin from the base metals to the precious. Eric wonders which metal will start to show physical tightness first.

Then the conversation shifts to the nomination for Fed Chair. Eric thinks President Trump will choose the absolute most dovish person possible, and with an expectation of early November at the latest for an announcement, we will know soon enough.

Tune in for Eric’s Fed Chair prediction, as well as an update of the gold and silver mining industry.


Wednesday, October 25, 2017

Eric Sprott: Are We Going To See A Shortage Of The Metal Here?


Eric starts off with discussing the latest data releases of the week, and he says that these numbers must be suspect. One can only assume they are massaged and manipulated to paint a certain picture.

Eric moves on to discussing palladium, and he says the palladium market may be thirty years behind in supply. Eric wonders if the shortage is set to break-out with one of the metals and that could bring everything down.

The conversation then moves on to gold and silver. Eric notes that silver is also short on supply nearly half of a year.

Ultimately, Eric hopes the palladium or silver shortage issues can expose the COMEX for the fraud it is.

There is also discussion of the other metals including the base metals.

After going over the macroeconomic picture and the metals markets, the conversation turns political with the latest happenings in the Trump Administration.

Eric says that it will create weakness for the dollar because everything is uncharted.

Finally, Craig and Eric conclude the week with a discussion on the mining shares.

- Source, Sprott Money

Saturday, October 21, 2017

Eric Sprott: I MUST Warn You


Eric Sprott starts off with a warning “I’m grumpy today and we’ll leave it at that”. The focus immediately turns on the negative jobs report, and on top of Eric breaking down just how bad it was, he is especially angry at the precious metals price suppression and market manipulation going on.

The significance of this week’s move is one of the main events the gold cartel uses as cover to smash price. Eric reminds us the key smashing favorites of the cartel are the FOMC meetings and the monthly non-farms payrolls report (which was today).

Now is a great time to be buying gold to take advantage of this latest whack job on the precious metals. Right now they have succeeded in working the price back down, and they do over and over and over again.

Here’s the latest wrap up of macroeconomic fundamental news on the on the economy in general, and the gold and silver markets in particular.

- Source, Sprott Money

Tuesday, October 17, 2017

Eric Sprott: They Do Whatever The Hell They Want To


Eric Sprott is all fired-up on the smashing of the metals this week by the cartel. The constant bombarding of the precious metals market is not easy to watch, but fortunately, Eric says it is not as violent as it could be.

Eric is also amazed at how the financial press is able to spin Trump’s every move. If he is siding with the democrats on something, it is good for the markets, if he sides with the republicans that’s also good for the markets. Eric says for the time being, the central banks are in full control, and they can move markets wherever they want and do “whatever the hell they want to do”.

In this recap, there is also discussion of the economic impacts of the two hurricanes, as well as a look at the macro level of the economy.


Sunday, October 8, 2017

Eric Sprott: You’ve Got To Put Up With It So The Commercials CAN SCALP


Eric Sprott says that the commercials have been scalping at the COMEX hedge funds and speculators to cover their shorts. However, recent events are very bullish for gold and silver prices going forward…

Craig Hemke interviews Eric Sprott on Sprott Money News

Topics this week includes the latest round of flushing of the specs from the markets. The good news is that once the latest flush is finished, the price will again start to rise.

There is also discussion of macro economics pertaining to the Trump Tax Plan and the developing crisis with the pension and retirement systems in the U.S.

Finally, Eric discusses recent mining and exploration efforts that have been going on in Australia, which includes some pretty interesting discoveries along what has long since been a seabed.

Now is a great time to be buying gold to take advantage of this latest whack job on the precious metals. Right now they have succeeded in working the price back down, just as they do over and over and over again as long as the paper scheme goes on...

- Source, Sprott Money

Thursday, October 5, 2017

Bull Market In Gold Is Just Beginning

“In terms of the near-term on gold, Eric, I’m never fussed about these types of pullbacks. My own feeling going back 40 years is that the most important determinant of the gold price is faith in the US dollar. This faith is expressed by the US 10-Year Treasury, and the delta between the yield on the US 10-Year TIP and the US 10-Year Treasury.

If you believe that past is prologue, that is if you believe that the gold price is going to be primarily determined by faith in the US 10-Year Treasury, and you observe that the US 10-Year Treasury has been in a bull market since 1982, and that as a consequence the yield has fallen from 15.6% to 2%, I think you’re struck with the fact that the bull market in treasuries is closer to the end than to the beginning. Which means that the bull market in gold is closer to the beginning than the end.

If gold sells for $1,300 or gold sells for $1,350, neither price point is of any particular interest to me. I hold physical gold because it’s a medium of exchange that’s simultaneously a source of value. And a $20 move, $30 move, or a $50 move in either direction isn’t even background noise from my point of view. I’m in this for the long-term because gold is headed a lot higher than what it is trading for today.”

- Source, Rick Rule of Sprott Asset Management, via King World News

Monday, October 2, 2017

Rick Rule On Comments From Paulson & Co. About Gold Miners, Plus What’s Next For Gold

Today one of the wealthiest street smart pros in the business spoke with King World News about the comments from Paulson and Co. criticizing the gold mining industry as well as what to expect from the gold price going forward.
Eric King: “Rick, the comments about the mining industry coming from Paulson and Co. were fascinating. Your thoughts on what unfolded.”

Rick Rule: “Well, I think its hugely useful what he is proposing. Marcelo Kim was proposing that some of the bigger mining investors in the world, ourselves included, form a shareholders council — sort of like the World Gold Council — and advocate for change among the major mining companies. I think this is so important, Eric, because the change needs to come from us (investors)…

“If you look back to what started the current sort of paradigm around gold stocks, in my opinion it was the move in the 1970s of the gold price from $35 an ounce to $850 an ounce. And despite that incredible move in the bullion, many of the gold shares generated even larger returns. The consequence of that is that investors have looked at the gold mining industry to provide them one thing, which is leverage to the gold price. Now, amusingly, when you ask a gold company to exhibit leverage, what you are really asking them to do is be marginal because the high cost producer gets the best margin increase from an increasing gold price."

- Source, King World News, Read More Here

Friday, September 29, 2017

Eric Sprott: A Group of Suckers That Get Wiped Out All The Time


Eric Sprott says that Fed meetings are one of the two key cover events used to really whack gold and silver prices. Eric says that now is a good time to be buying physical, but those playing the paper games will get wiped out again. Here’s the latest…

The commercials are disgustingly more coordinated than ever. They are both long and short paper gold and paper silver in the markets, and they have been playing this game for years.

Now is a great time to be buying gold to take advantage of this latest whack job on the precious metals. Right now they have succeeded in working the price back down, and they do over and over and over again.

The significance of this week’s move is one of the main events the gold cartel uses as cover to smash price. The other being the monthly non-farms payrolls report.

Here’s the latest wrap up of macroeconomic fundamental news on the on the economy in general, and the gold and silver markets in particular.

- Source, Sprott Money

Tuesday, September 26, 2017

A wild theory and a bit of gold has sparked a 500% rally in this Canadian gold explorer

Quinton Todd Hennigh has spent 13 years scouring the Earth for clues to back a hunch: that the world's biggest gold resource has lost siblings elsewhere on the planet.

Now, the president of Novo Resources Corp. thinks he may have found a counterpart of South Africa's Witwatersrand in the ancient red rocks near Australia's northwest coast. In July, his company zeroed in on a gold find that's confounded geologists and sparked a 500-per-cent surge in the explorer's share price.

The first test on land south of the coastal town of Karratha looked good. Employing two men, a metal detector and a jack hammer, Vancouver-based Novo extracted gold nuggets as long as 4 centimetres from an exploration "trench" little more than a half-metre deep. That tiny sample hinted at ore grades that could be among the highest of any operating mine in the world.

Mr. Hennigh, who's worked as a geologist for Newmont Mining Corp. and Newcrest Mining Ltd., isn't screaming bonanza yet. "Can I say 100 per cent that this will turn into a mine right now? No, I don't know," he said in a phone interview, acknowledging that hard work remains to determine if watermelon-seed-like specks of gold can be economically mined.

Still, the potential upside is seen by some as huge.


- Source, Globe and Mail

Sunday, September 24, 2017

Precious Metals Are Hugely Manipulated, But Eventually They Will Lose Control

Eric discusses the recent gains in gold and silver. In 2016 stocks went up 160% in six months, we could be looking for something similar in the gold sector. It’s a tiny part of the overall market that could explode quickly.

The dollar index had support at the 93 level, but it seems to have broken to the downside. If you look logically at the U.S. financial situation, you will realize that they are bankrupt. There will be a shocking wake-up call at some point when people realize things are unsustainable and pensions can’t be paid out.

There is a lot of chaos happening in politics in Washington, and it doesn’t seem like much will be accomplished. Foreign countries are going to continue selling U.S. dollar treasuries. It’s not ridiculous to think that gold can’t go many multiples higher. The way the system has evolved is a good reason to hold gold for the next decade.

Eric discusses the ICO frenzy in cryptocurrencies and why he feels that there are too many different versions of cryptos. He prefers gold and silver but thinks cryptocurrencies may have a place especially if they find a way to tie themselves to gold and silver.

He expects the market to move similar to 2001 he expects it to be volatile. He says “I am a huge believer that metals are manipulated by central authorities when they lose control we could be looking at a sustained gigantic bull market in precious metals.”

Mr. Sprott discusses Novo Resources (TSX.V: NVO) and why he is excited about the potential. He finds the geology of the site to be quite fascinating.


Thursday, September 21, 2017

Forced Selling Creating EPIC Opportunities: Eric Sprott & Keith Neumeyer


The demand for junior precious metals mining company stocks is soaring, and as a result VanEck's GDXJ is being forced by stringent regulations into rebalancing - forced selling to reduce positions that have become too large, which is creating tremendous opportunities. As Eric Sprott says, "There's too much interest. Isn't the funny thing? There's so much interest that the stocks are going down! It's the most ironic situation that we've ever been in, but there will just be new vehicles created. " Keith Neumeyer & Eric Sprott join me to discuss this, the precious metals manipulation, the problems at the LBMA and much more. Thanks for tuning in.


Monday, September 18, 2017

The Recent Action in Gold and Silver Broken Down



Eric Sprott returns this week to discuss the latest moves in gold, silver and the mining shares.

- Source, Sprott Money

Friday, September 15, 2017

A New Bull Market is Well Underway



This week we're joined by John Embry, longtime Chief Investment Strategist for Sprott Asset Management. John discusses the recent surge in gold prices and why he believes a new bull market is well underway.

- Source, Sprott Money

Monday, September 4, 2017

Eric Sprott: Gold to $5,000 and Then on to $10,000 per Ounce


Eric discusses the recent gains in gold and silver. In 2016 stocks went up 160% in six months, we could be looking for something similar in the gold sector. It’s a tiny part of the overall market that could explode quickly. The dollar index had support at the 93 level, but it seems to have broken to the downside. If you look logically at the U.S. financial situation, you will realize that they are bankrupt.

There will be a shocking wake-up call at some point when people realize things are unsustainable and pensions can’t be paid out. There is a lot of chaos happening in politics in Washington, and it doesn’t seem like much will be accomplished. 

Foreign countries are going to continue selling U.S. dollar treasuries. It’s not ridiculous to think that gold can’t go many multiples higher. The way the system has evolved is a good reason to hold gold for the next decade. Eric discusses the ICO frenzy in cryptocurrencies and why he feels that there are too many different versions of cryptos. 

He prefers gold and silver but thinks cryptocurrencies may have a place especially if they find a way to tie themselves to gold and silver. He expects the market to move similar to 2001 he expects it to be volatile. He says “I am a huge believer that metals are manipulated by central authorities when they lose control we could be looking at a sustained gigantic bull market in precious metals.”


Saturday, August 19, 2017

Bonterra Resources Has Eric Sprott, Kinross Gold as Investors


In this interview with SmallCapPower at the recent Formula 1 Capital Conference in Montreal, Bonterra Resources Inc. (TSXV: BTR) Corporate Development Head Todd Hanas talks about Bonterra’s promising gold projects on both sides of the Ontario/Quebec border. Find out more about Bonterra Resources’ upcoming resource estimates by watching our video interview.

- Source, Small Cap Power

Tuesday, August 15, 2017

Sprott Energy Fund joins exodus from Canada’s energy patch


Foreign oil producers aren’t alone in beating a retreat from Canada’s energy sector. In an interview on BNN, Sprott Asset Management Portfolio Manager Eric Nuttall, who manages the $146.3 million Sprott Energy Fund, said the energy investment landscape in the United States is much more attractive due to fewer regulatory headaches.

“We’ve taken our capital out of Canada, largely,” he said. “There’s such profound sentiment headwinds as a result of both provincial and federal government [measures.] Whether its carbon taxes, royalty regime changes and pipeline takeaway issues: we don’t get that in the U.S., we get the same commodity exposure, with equally good fundamentals without all that noise.”

Nuttall said his fund is currently about 85 per cent weighted to the United States, the largest exposure in its 14-year history.

“I just got sick of having to come on shows and talk about bloody pipeline takeaway capacity,” he said. “A company drills a great well, well great, are you going to have a pipeline [to] put the volume of oil or gas through? It was utter stupidity for us to not be able to build a pipeline after 12 years or 10 years of review, where in the U.S, in Texas, it takes you six to nine months to get a permit and get shovels in the ground.”

Nuttall said multiple levels of government need to take decisive action, lest the issue becomes more severe.

“We as a nation have to fix this, it’s a large part of our overall economy, and capital is fleeing: my capital has been fleeing,” he said. “When you look at the majors selling out oil sands, Petronas not going ahead with LNG projects, these should all be like shocking warning signals to our federal and provincial governments, and yet there just seems to be a total apathy.”

“It’s beyond my imagination why it’s not becoming more of a national priority.”


- Source, BNN

Saturday, August 12, 2017

The Latest US Political Turmoil and GDP Numbers


This week, Eric Sprott discusses the latest US political turmoil and GDP numbers. He also addresses the latest trend in gold prices and physical demand.

- Source, Sprott Money

Tuesday, August 8, 2017

The Latest Economic News and the Impact This Has on Metals


This week, Eric Sprott discusses the latest economic news and the impact this has on gold and silver prices.


Friday, August 4, 2017

The Ongoing Central Bank Market Interventions


This week, Eric Sprott discusses the latest economic news as well as the ongoing Central Bank market interventions.


Friday, July 21, 2017

A TOTAL REVERSAL In Silver



This week, Eric Sprott discusses the how the U.S. political situation and falling dollar might impact the prices of gold and silver.

- Source, Sprott Money

Friday, July 14, 2017

It’s Been A STUNNING Reversal - Eric Sprott Breaks Down Historic Silver COT


With Silver Prices Popping Back Above $16, Are the Commercials Ready to GUN the Metals Higher?

Eric Sprott Breaks Down the “STUNNING STUNNING Reversal” in the Silver COT…

- Source, Sprott Money

Monday, July 3, 2017

Eric Sprott: This Thing Could Come Apart In A BIG Hurry!


Billionaire Eric Sprott Warns A “Financial TSUNAMI” is Coming. The question is, will the system be able to stay together, or is it all going to come crashing down on our heads?

The only one true protection is gold and silver.

- Source, Sprott Money

Tuesday, June 27, 2017

Eric Sprott - It’s Incredible What Could Happen Here


“The Bond Market’s Calling Bull**it on the Fed!”

Legendary Silver Investor Eric Sprott Breaks Down the Gold and Silver Markets in the Wake of This Week’s FOMC Rate Hike.

- Source, Sprott Money

Saturday, June 24, 2017

Decisions in Washington Are Directly Impacting Gold and Silver


This week, Eric Sprott is discussing the troubles in Washington and how this is impacting the prices of gold and silver.

Tuesday, June 20, 2017

Eric Sprott: How the FED's Recent Announcements Will Effect Gold and Silver


Eric Sprott discusses the latest statement from the Federal Reserve and how this might impact gold and silver prices in the weeks ahead.

- Source, Sprott Money

Saturday, June 17, 2017

The latest US jobs Report and How it May Impact The Fed's Plans


This week, Eric Sprott discusses the latest US jobs report and how it may impact The Fed's plans to hike the Fed Funds rate later this month.

- Source, Sprott Money

Wednesday, June 14, 2017

Sprott Lifted Position in Seabridge Gold

Eric Sprott increased its stake in Seabridge Gold Inc (SA) by 15.71% based on its latest 2016Q4 regulatory filing with the SEC. Sprott Inc bought 49,769 shares as the company’s stock declined 8.47% while stock markets rallied. The hedge fund run by Eric Sprott held 366,489 shares of the basic industries company at the end of 2016Q4, valued at $2.99M, up from 316,720 at the end of the previous reported quarter. Sprott Inc who had been investing in Seabridge Gold Inc for a number of months, seems to be bullish on the $571.42M market cap company. The stock rose 2.49% or $0.25 reaching $10.3 per share. About 371,950 shares traded. Seabridge Gold, Inc. (USA) (NYSE:SA) has declined 18.80% since June 2, 2016 and is downtrending. It has underperformed by 35.50% the S&P500.

Coldstream Capital Management Inc increased its stake in Visa Inc (V) by 789.76% based on its latest 2016Q4 regulatory filing with the SEC. Coldstream Capital Management Inc bought 21,829 shares as the company’s stock rose 5.74% with the market. The hedge fund held 24,593 shares of the business services company at the end of 2016Q4, valued at $1.92M, up from 2,764 at the end of the previous reported quarter. Coldstream Capital Management Inc who had been investing in Visa Inc for a number of months, seems to be bullish on the $221.96B market cap company. The stock rose 0.73% or $0.69 reaching $96.1 per share. About 5.68 million shares traded. Visa Inc (NYSE:V) has risen 20.29% since June 2, 2016 and is uptrending. It has outperformed by 3.59% the S&P500.

More notable recent Seabridge Gold, Inc. (USA) (NYSE:SA) news were published by: Globenewswire.com which released: “Seabridge Gold Confirms Sale of Castle-Blackrock Claims to Columbus Gold” on February 22, 2017, also Globenewswire.com with their article: “New Study Finds Significant Further Gains for Seabridge Gold’s KSM Project” published on October 06, 2016, Streetinsider.com published: “Seabridge Gold, Inc. (SA) Reports Unfortunate Death of Board Member Douglass” on April 12, 2017. More interesting news about Seabridge Gold, Inc. (USA) (NYSE:SA) were released by: Seekingalpha.com and their article: “Why Seabridge Gold Won’t Be Producing Anytime Soon” published on June 07, 2016 as well as Seekingalpha.com‘s news article titled: “Seabridge Gold: Deep Kerr Falls Short” with publication date: October 18, 2016.

Sprott Inc, which manages about $3.27 billion and $1.17 billion US Long portfolio, decreased its stake in New Gold Inc Cda (NYSEMKT:NGD) by 1.58 million shares to 31,750 shares, valued at $111,000 in 2016Q4, according to the filing. It also reduced its holding in Tahoe Res Inc (NYSE:TAHO) by 446,594 shares in the quarter, leaving it with 1.05 million shares, and cut its stake in Apple Inc (NASDAQ:AAPL).

Coldstream Capital Management Inc, which manages about $1.42B and $614.55 million US Long portfolio, decreased its stake in Vanguard Index Fds (VB) by 9,008 shares to 65,121 shares, valued at $8.40 million in 2016Q4, according to the filing. It also reduced its holding in Vanguard Index Fds (VNQ) by 109,070 shares in the quarter, leaving it with 79,648 shares, and cut its stake in Ishares Tr (MUB).

Investors sentiment increased to 1.05 in 2016 Q4. Its up 0.12, from 0.93 in 2016Q3. It is positive, as 86 investors sold V shares while 540 reduced holdings. 132 funds opened positions while 525 raised stakes. 1.69 billion shares or 1.50% more from 1.66 billion shares in 2016Q3 were reported. Veritable Lp has 70,667 shares. Florida-based Raymond James Svcs Advsrs Inc has invested 0.34% in Visa Inc (NYSE:V). Psagot Investment House Limited reported 8,572 shares or 0.03% of all its holdings. Harvey Inv Co Limited Liability Company holds 0.04% in Visa Inc (NYSE:V) or 2,666 shares. Aristotle Capital Mgmt Ltd Limited Liability Company reported 2,700 shares or 0% of all its holdings. Charter Tru Com holds 0.16% or 18,744 shares. Freestone Capital Ltd Liability Corporation has invested 0% of its portfolio in Visa Inc (NYSE:V). 421,609 were reported by Waters Parkerson & Limited Liability. Lateef Invest Mngmt Lp, California-based fund reported 1.05 million shares. Ww Investors invested in 33.33M shares. Credit Agricole S A invested in 1.78M shares or 0.45% of the stock. Svcs Automobile Association, a Texas-based fund reported 3.30 million shares. 6.37M are owned by Allianz Asset Mgmt Ag. Strs Ohio holds 0.88% or 2.56M shares. Oregon Public Employees Retirement Fund, a Oregon-based fund reported 441,399 shares.

Among 23 analysts covering Visa Inc. (NYSE:V), 18 have Buy rating, 0 Sell and 5 Hold. Therefore 78% are positive. Visa Inc. had 44 analyst reports since July 21, 2015 according to SRatingsIntel. JP Morgan maintained the stock with “Overweight” rating in Friday, August 14 report. The rating was maintained by Stifel Nicolaus with “Buy” on Friday, February 3. S&P Research downgraded the shares of V in report on Tuesday, July 28 to “Hold” rating. The stock of Visa Inc (NYSE:V) has “Hold” rating given on Tuesday, September 1 by Vetr. The company was maintained on Tuesday, October 25 by UBS. The firm has “Mkt Perform” rating by FBR Capital given on Friday, July 24. The firm has “Outperform” rating given on Tuesday, November 3 by RBC Capital Markets. The stock of Visa Inc (NYSE:V) earned “Outperform” rating by RBC Capital Markets on Friday, July 24. The stock has “Buy” rating by Sterne Agee CRT on Thursday, December 17. The stock of Visa Inc (NYSE:V) has “Outperform” rating given on Thursday, October 22 by Wells Fargo.

More notable recent Visa Inc (NYSE:V) news were published by: Seekingalpha.com which released: “Visa Is The Exception To The Rule” on May 29, 2017, also Seekingalpha.com with their article: “Visa: This Payments Powerhouse Is Not Done Yet” published on May 29, 2017, Seekingalpha.com published: “Warren Buffett Stocks In Focus: Visa” on May 31, 2017. More interesting news about Visa Inc (NYSE:V) were released by: Zacks.com and their article: “Are Options Traders Betting on a Big Move in Visa Inc. (V) Stock?” published on June 02, 2017 as well as Nasdaq.com‘s news article titled: “Visa Inc. (V) Ex-Dividend Date Scheduled for May 17, 2017” with publication date: May 16, 2017.

Since February 6, 2017, it had 0 insider buys, and 2 selling transactions for $11.71 million activity. On Monday, February 6 the insider HOFFMEISTER JAMES H sold $957,390.

- Source, Flint Daily

Saturday, June 10, 2017

Goldmoney Announces Investment, Partnership in UK Bases Lend and Borrow Trust

Toronto-based Goldmoney, a gold-based payments and savings platform that allows users to acquire, store, and spend gold that is stored in a secure vault, has announced a partnership with Isle of Man, United Kingdom-based investment company LBT Holdings. Goldmoney is also making an undisclosed private investment into the company.

“We are delighted to invest in this early stage, and potentially revolutionary, peer-to-peer lending model and provide our precious metal infrastructure to LBT clients.”

LBT Holdings is the parent company of the Lend & Borrow Trust Company (LBT), an online platform that offers auction-rate peer-to-peer lending and borrowing.

Through the partnership, eligible Goldmoney clients with Full Holdings will be able to access LBT auction rates and earn interest income from loans fully secured by precious metal collateral. Borrowers will be able to monetize their precious metal holdings in their choice of five national currencies.

Goldmoney said the investment will give it the ability to nominate a board member and provide metal dealings and storage solutions to LBT’s clients. The company also said that clients with a Goldmoney Holding, which consist of UK residents and businesses, may gain access to LBT’s auction rates and earn interest income from secured loans.

“It’s a small balance sheet investment,” said Josh Crumb, chief strategy officer and CFO at Goldmoney. “We have a meaningful enough stake, and good partners that we can scale up with later. It’s the kind of deal we want to do at this stage in our business, one that helps us grow our core ecosystem without taking on a lot of the early stage risk.”

Goldmoney’s investment into LBTH includes common shareholders Eric Sprott, and James Turk, lead director and chairman at LBT. The company says that LBT’s offerings will first be available to businesses and UK residents at roll out, and other countries will be added over time.

“Goldmoney was founded on a mission to provide clients with unparalleled access to precious metals ownership with minimized counterparty risk,” said Roy Sebag, CEO of Goldmoney. “LBT has a similar goal of providing clients with an alternative for their national currency savings. LBT currency deposits have no banking counterparty risk, a revolutionary idea and one I believe many clients seek in the prevailing artificially-low interest rate environment known as return-free risk. We are delighted to invest in this early stage, and potentially revolutionary, peer-to-peer lending model and provide our precious metal infrastructure to LBT clients.”

In December, Goldmoney added the Royal Canadian Mint’s precious metal storage vault to its vault network. The company was also listed on the Toronto Stock Exchange in April 2016.

- Source, Beta Kit

Wednesday, June 7, 2017

Billionaire Eric Sprott Builds Position In Gold Mine


Now having lots of acreage doesn’t necessarily mean it’s all ripe with nuggets of gold just waiting to be picked up, but in Kerr Mines (TSX: KER) (OTC: KERMF)’s case, its damn near that rich – and WAY UNDERVALUED in share price, which we’ll explain further on.

The [property] is fully-permitted with extensive infrastructure in place, meaning Kerr Mines has a 450 ton-per-day mill already onsite and the tunnels going down to the high-grade gold ore are already there.

Now to its ore bodies.

There are 942,000 ton of Measured and Indicated gold ore with a grade of 10.3 grams per ton. That’s some high-grade gold!!! On the Inferred side, there are another 335,000 ton with a grade of 12.2 grams per ton. That’s in the soon-to-be further explored “South Zone”, which has GREAT POTENTIAL TO EXTEND THAT ORE BODY. But in the Proven and Probably category, Kerr Mines (TSX: KER) (OTC: KERMF) has 910,000 ton with an average grade of 8.8 grams per ton. So, what does that spell? MONEY, BABY…. MONEY!!. Now you can see why the great Eric Sprott got his checkbook out and bought into the project.

There are many factors that determine the value of a mine. The grade of gold is obviously first in determining an investment into a gold stock like Kerr Mines. But with such HIGH GRADES of gold, from Proven, Measured and Indicated to Inferred, the numbers are OFF THE CHARTS.

So, is Kerr Mines a takeover target? Perhaps, but not from the likes of the majors, like Barrick Gold (NYSE: ABX), Newmont (NYSE: NEM), or GoldCorp (NYSE: GG). Why? Too small… but with Kerr permitted with a mill in place and the tunnels opened up to access the three zones previous not mined and the heavy hit Kerr Mines (TSX: KER) (OTC:KERMF) discovered in the South Zone, its most likely going to be in production next year. In fact, the feasibility study needed to go into production is expected in the fourth quarter of this year. So that tells us that Kerr Mines intends to go into production.


- Source, Financials Trend

Monday, May 29, 2017

The Cartel Could Get Busted THIS MONTH: EVERYTHING’S Been Reversed In 3 Weeks For Silver!


“Silver Could EXPLODE – The Cartel Could Get Busted THIS MONTH”

Eric Sprott Explains How Everything Has Been Reversed in 3 Weeks For Silver…


Monday, May 15, 2017

Eric Sprott Gives Exhaustion BUY ALERT For Silver


This week, Eric Sprott discusses the recent selloff in the precious metals but also notes some "light at the end of the tunnel".

- Source, Sprott Money

Monday, May 8, 2017

Eric Sprott Warns Of Major Sell Off In Gold Mining Stocks As Top ETF Is Forced To Rebalance Holdings


The demand for junior precious metals mining company stocks is soaring, and as a result VanEck's GDXJ is being forced by stringent regulations into rebalancing - forced selling to reduce positions that have become too large, which is creating tremendous opportunities. 

As Eric Sprott says, "There's too much interest. Isn't the the funny thing? There's so much interest that the stocks are going down! It's the most ironic situation that we've ever been in, but there will just be new vehicles created. " Keith Neumeyer & Eric Sprott join me to discuss this, the precious metals manipulation, the problems at the LBMA and much more. Thanks for tuning in.


Friday, May 5, 2017

This Has Never Happened Before - Eric Sprott Breaks Down Historic Silver Rout



Hear Eric Sprott discuss the current selloff in gold and silver prices while adding perspective with an eye toward the future.

13 Days In A Row: Eric Sprott Breaks Down the “Salami Slicing” of Silver by the Shorts, and Explains that “This Has Never Happened Before”.





Monday, April 24, 2017

What They’re REALLY After Is Silver!



In A Critical Update, Eric Sprott Dissects This Week’s Mauling of Silver:

What They’re Really After is Silver. The HUGE Short Position in Silver, if it Ever Got Out of Control, Every Dollar Up is $1 BILLION in Losses. They’re Trying to Get it Under Control, But They Can’t Get the Longs to Capitulate!

- Source, Sprott Money

Monday, April 17, 2017

Latest US jobs report and the potential impact of the pending FOMC rate hike


Eric Sprott discusses the latest US jobs report and the potential impact of the pending FOMC rate hike on gold and silver prices.

Friday, April 14, 2017

Eric Sprott discusses the ongoing political battles in Washington and how they might impact gold


This week, Eric Sprott discusses the ongoing political battles in Washington and how they might impact gold and silver prices.

Monday, April 10, 2017

Eric Sprott discusses the latest moves by the US Fed, in the context of a slowing economy


This week, Eric Sprott discusses the latest moves by the US Fed, in the context of a slowing economy and rising inflation, and how this should lead to higher precious metals prices in 2017.

Saturday, April 1, 2017

Gold Financier Takes a Stake in Sudbury Junior Miner

Northern Superior Resources announced that a numbered company controlled by gold financier Eric Sprott will make a $2 million investment in the Sudbury junior miner, and is out to raise $2.5 million more.

"Northern Superior looks forward to the involvement of Mr. Sprott and his associates with the Company,” said Northern Superior president-CEO Tom Morris in a Feb. 13 statement. “These financings could raise up to $4,500,000, allowing Northern Superior to aggressively advance exploration on the Company's key properties in Québec and Ontario. We look forward to the initiation of a series of exciting exploration programs on our two key properties over the coming months."

Northern Superior Resources has started a 30-hole, 9,000-metre drilling program on its Croteau Est gold property in north-central Quebec to examine the eastward extension of mineralization linked to the company’s Croteau Bouchard Shear Zone which has an inferred gold resource of 640,000 ounces of gold.

Morris said defining that extension “will not only lay the foundation for increasing the resource already reported, but could potentially lead to the discovery of other areas of mineralization.”

Sprott’s company is acquiring 40,000,000 units at a price $0.05 per unit with each unit comprised of one common share and one non-transferable share purchase warrant exercisable at a price of $0.075 per share for a period of two years from date of closing.

Sprott is entitled to nominate one person to Northern Superior’s board, so long as he maintains a minimum 10 per cent interest in the company.

Northern Superior has a portfolio of gold and diamond projects in Quebec and Ontario, including the Ti-pa-haa-kaa-ning gold property in northwestern Ontario, Croteau Est and Lac Surprise gold projects in central Quebec, and Ville Marie diamonds in west-central Quebec.


Tuesday, March 28, 2017

Eric Sprott - This Presidency Should Be VERY GOOD FOR GOLD!


This week, Eric Sprott assesses how the new Trump Administration in the U.S. might affect gold and silver prices in 2017.

- Source

Thursday, March 23, 2017

Eric Sprott On Trade Wars With Mexico & China: It’s Scary


Eric Sprott Analyzes Trump’s Trade War With Mexico (and likely China Next): “It’s scary to be honestYou could see Russia, China, even the EU stop buying US bonds… ” How Will This Affect Gold and Silver?

- Source

Sunday, March 19, 2017

Silver Just Did Something That “Shocked” Billionaire Investor Eric Sprott


Eric Sprott Has Good News For Silver Bugs: It Looks Like 2016 All Over Again – It’s A Great Time To Be In the Game! The Billionaire Explains Silver Just Did Something That “Shocked” Him.

- Source

Tuesday, March 14, 2017

Sprott Asset Management’s 2017 Outlook For GOLD

During the past three months, market sentiment has shifted on fundamentals dominating short-term trading in gold markets. Consensus views have gravitated towards further Fed tightening, rising Treasury yields and a strengthening U.S. dollar. In the body of this report, we have outlined our reasoning as to why each of these assumptions may be short-sighted.

In our view, cumulative and immutable imbalances (debt levels, valuations, dollar liquidity) will soon test recent sentiment shifts, we expect decidedly in gold’s favor. While we are not stocking canned goods, oiling muskets, or bottling water, we are suggesting that a modest portfolio allocation to gold has never been more prudent.

A consistent theme at investment conferences during 2016 has been the compression of investment returns. Especially in the pension and endowment world, very few institutions are achieving chartered rates of return. While institutions might have expected historically to achieve real rates of return of 5% on equities and 2 ½% on bonds, the realities of achieved returns during the past several years are tracking (at the high end) roughly half these historical levels.

We believe the root cause for compressed returns is far simpler than much of the sophisticated quantitative analysis we have encountered. The United States has a structural debt problem, and the Fed has employed ZIRP for eight years to forestall rationalization of this untenable debt load. As every student of economics is aware, marginal returns gravitate towards marginal costs.

The longer the U.S. economy operates in a ZIRP environment, the closer to zero will migrate the sum-profit-total of U.S. economic agents. Recognizing this, the Fed has telegraphed for years a desire to normalize rate structures. Consensus has recognized the Fed’s poor track record in achieving rate normalization but, in our view, has failed to grasp the true impediment to higher rates.

It is not popular to suggest U.S. debt levels cannot sustain higher rates, but we believe these are the root facts. During the past decade, global productivity has collapsed to its lowest level in the modern financial era. Optimists shrug off these statistics as outdated and unreflective of vast productivity enhancements enabled by the internet, I-Phones and social media. We cite this example (which we will develop further in our February report) as a metaphor for a broader condition in global asset markets.

Most investors sense that there are looming risks in financial markets and troubling impediments to healthy global growth. Yet, the relentless performance of the S&P 500 Index has reinforced the inclination to ignore these nagging concerns. In the institutional arena, excessive bearishness or even adoption of defensive and hedged strategies can handicap performance and introduce career risk. To us, an allocation to gold is a powerful tool to help insulate portfolios from potential dislocations in a complicated financial world. In essence, a gold allocation can provide a bit of cheap insurance to any ongoing investment program.

We continue to marvel at gold’s lack of sponsorship in the institutional arena. During the past hundred years, even a modest portfolio commitment to gold has been proven to push total portfolio returns further to the right along return frontiers for any reasonable asset mix, generating equal returns with less risk and standard deviation, or superior returns with equivalent risk and standard deviation, versus identical portfolios without a gold investment component (World Gold Council).

During the past 16 years, gold’s non-correlated and market-leading returns have provided invaluable portfolio alpha in an increasingly challenging investment environment. During the next several years, mounting monetary, economic and financial imbalances, which appear to be approaching important tipping points, suggest gold is a portfolio-diversifying asset worthy of serious consideration.

We view corrections in gold markets during the fourth quarter of 2016 as fairly standard retests of early 2016 breakouts from established downtrends. To us, underlying fundamentals suggest significantly higher gold prices during the next several years.

Gold’s Prospects in 2017 and Beyond

Trumponomics

Over the long run, we believe the gold investment thesis rests squarely on monetary, economic and financial imbalances which continue to be resolved to the measurable benefit of investors choosing to denominate a portion of their wealth in assets which can neither default nor be debased. Over the short run (one-to-two years), gold’s performance can be impacted by consensus views on a wide array of market variables.

We would highlight five such variables as motivating the lion’s share of trading patterns in gold markets: Fed policy, the U.S. dollar, 10-year Treasury yields, U.S. economic performance and U.S. equity risk premiums. It is unusual for any single event to impart significant impact on all five of these variables simultaneously. The Trump election has certainly proven to be such an event!

Trump’s victory has unleashed one of the strongest expressions of business and financial optimism in history, starkly affecting variables central to gold’s short-term trading patterns. While optimism is never a bad thing, we suspect financial markets are reflecting classic emotional blow-off.

Investors, admittedly parched for a more normalized economic world unfettered by QE and ZIRP, have, in our view, temporarily lost sight of immutable realities such as debt, valuation, debasement and mathematics.

Should our suspicions bear out that reigning euphoria proves short-lived, recent market dislocations will provide excellent entry points for a wide array of investment assets. Given our confidence in underlying fundamentals relevant to precious-metals, we view the Q4 back-up in gold markets as a rare opportunity to achieve a significantly discounted entry point in gold’s unfolding advance.

- Source, Sprott

Thursday, March 9, 2017

Silver Soars Through $18/oz As Trump Meets With Abe


A Mini Squeeze Has Sent Silver Prices Up 50 Cents This Morning. Billionaire PM Investor Eric Sprott Breaks Down The Action.

- Source