Precious metal miners: fathoming the abyss
Posted: 07 Jul 2015, 13:59
A hectic start
(drafted last night after the Comex close)
Last trading week has been short, with Canadian markets closed on the first of July and American stock markets closed on the 3rd in compensation for the US National Day on Saturday. After the Greek referendum resulted in a firm 'No', global stock markets sold off, while interest rates in the US and the financially sound EU member states slid, sending sovereign bonds higher.
The sell-off witnessed among precious metals was counter-intuitive and we got a reversal, with both gold and silver rallying intra-day to end with modest gains. On balance gold still is down 0.37% since Friday June 26, while silver is flat. Platinum is left holding the bag, with a $20 or almost 2% loss since the London close last Friday. Intraday, platinum posted a fresh post 2009 low of $1045. Shorters have been successful in driving the platinum price to the triple digits in both Euro and the Swiss franc. Triple digit platinum in USD somewhere down the line may well result in supply destruction, as most platinum mines have been producing below all sustaining costs for a while now.
Despite today's recovery, the HUI index still is down 0.55% over he week, making HUI/Gold weaken little to 0.1294, after plunging to 0.1277 last Tuesday: barely above the December 16 all time low. Who was talking about a miner recovery? You find fresh graphs on the gold miner pulse blog page.
The damage is larger for our benchmark ETF's: GDX is off 1.33% since Friday 26, while GDXJ slid 4.59%. GLDX holds the middle ground with a 2.8% loss. With a tiny 0.24% loss our contributor driven explorer & junior miner spreadsheet compares favourably. We have 7 stocks up on the list against 10 down with Mirasol flat. Sandstorm leads the way up with a double digit gain, mitigating its long term loss. With a 6.9% loss, Platinum Group Metals is a predictable shaker and the major drag on the list. Could have been worse ...
This is the most recent posting of a sequence, which can be found on the thread: Precious metal miners: fathoming the abyss
Early 'historic' postings are still available at Selecting Explorers and Junior Miners
(drafted last night after the Comex close)
Last trading week has been short, with Canadian markets closed on the first of July and American stock markets closed on the 3rd in compensation for the US National Day on Saturday. After the Greek referendum resulted in a firm 'No', global stock markets sold off, while interest rates in the US and the financially sound EU member states slid, sending sovereign bonds higher.
The sell-off witnessed among precious metals was counter-intuitive and we got a reversal, with both gold and silver rallying intra-day to end with modest gains. On balance gold still is down 0.37% since Friday June 26, while silver is flat. Platinum is left holding the bag, with a $20 or almost 2% loss since the London close last Friday. Intraday, platinum posted a fresh post 2009 low of $1045. Shorters have been successful in driving the platinum price to the triple digits in both Euro and the Swiss franc. Triple digit platinum in USD somewhere down the line may well result in supply destruction, as most platinum mines have been producing below all sustaining costs for a while now.
Despite today's recovery, the HUI index still is down 0.55% over he week, making HUI/Gold weaken little to 0.1294, after plunging to 0.1277 last Tuesday: barely above the December 16 all time low. Who was talking about a miner recovery? You find fresh graphs on the gold miner pulse blog page.
The damage is larger for our benchmark ETF's: GDX is off 1.33% since Friday 26, while GDXJ slid 4.59%. GLDX holds the middle ground with a 2.8% loss. With a tiny 0.24% loss our contributor driven explorer & junior miner spreadsheet compares favourably. We have 7 stocks up on the list against 10 down with Mirasol flat. Sandstorm leads the way up with a double digit gain, mitigating its long term loss. With a 6.9% loss, Platinum Group Metals is a predictable shaker and the major drag on the list. Could have been worse ...
This is the most recent posting of a sequence, which can be found on the thread: Precious metal miners: fathoming the abyss
Early 'historic' postings are still available at Selecting Explorers and Junior Miners