One of the consequences of strong inflation is that real rates—what you get when you subtract the current consumer price index (CPI) from the nominal rate—have turned negative. And when this happens, gold has typically been a beneficiary. This is the Fear Trade in action.
During a rather informative meeting with the Bloomberg Metals Team in New York last week and also add a little information that I have gleaned from a recent interview with the Mining Minister of Chile and I think it’s time to share with you my current viewpoint on Copper.
In a Feb. 27 press release, Integra Gold Corp.'s (ICG:TSX.V; ICGQF:OTCQX) announced an updated PEA for its 100% owned Lamaque South Gold Project located in Quebec. A few positives from the PEA included an increase in mine life from 4.5 years to 10.5 years, average gold production projected at 123,000 ounces annually and a reduction in total mining costs to C$86/tonne.
Gold made headway for the sixth day in a row in heavy trade on Monday as the metal continues to make up lost ground following Donald Trump's victory and as the dollar weakens and interest rates in the U.S. trend lower again.
Yesterday was just another period of back-and-forth movement for gold, silver, the USD Index and even the general stock market – but not for precious metals mining stocks. Gold stocks and silver stocks plunged very visibly - there are very important implications of this move and they are not bullish.
Chinese and European economic activities are finally showing signs of strength, and in 2017, any severe corrections should be viewed as opportunities to position more strategically for long-term gains, says Lior Gantz, editor of Wealth Research Group.
Silver rallied recently and at the first sight there’s nothing specific about the upswing, but after examining it closer, it appears that it’s a quite clear repeat of what we’ve already seen previously. What followed the previous pattern, was a very substantial and volatile price swing in the entire precious metals sector.