A recent headline blasted the breaking news: “India to Pay Gold Instead of Dollars for Iranian Oil: Markets Stunned.” I too was stunned. That is one of the dumbest ideas to cross my desk in a long while.
Taking all the various factors into account, I am bullish on the copper price in the near term. A general range of $3.50-$4.00 per pound in 2012 will provide high margins for producers and stimulate mine production.
For the diligent speculator, it makes sense to eliminate the many rare earth element pretenders from the few contenders as quickly and efficiently as possible. We can accomplish this task by employing simple economic parameters.
I've been waiting for indication of a long-term upside movement in the natural gas market for over three years. But in this case, it has never looked prospective enough for me to venture in. And frankly, that perplexes me.
My recent trip to Europe included four days in Portugal. The purpose was to examine Avrupa Minerals' Portuguese projects including its tungsten-gold project in the north and Pyrite Belt projects in the south.
Thorium as nuclear fuel is clean and safe and offers significant advantages over uranium. The technology for several types of thorium reactors is proven but still must be developed on a commercial scale.
In 1970, the plant started production of rare earth and specialty metals products and uranium processing ceased in 1990 concurrent with the fall of the USSR. In 1997, the formerly state-owned plant was privatized.
Mineral commodities trade in four to seven year boom and bust cycles within longer 20- to 30-year secular market trends. Since starting work I have experienced the end of a 30-year secular bull market, a 23-year bear and a seven-years on-going bull.
If copper prices continue to go higher, we will see a negative impact on major industrial activity with increasing capital and operating costs. This scenario happened previously in early to mid-2008 before commodity prices collapsed.