• Precious Metals Expert Rick Rule Shares 'Gold Nuggets of Wisdom'

    Precious Metals Expert Rick Rule Shares 'Gold Nuggets of Wisdom'

    Source: Maurice Jackson for Streetwise Reports 06/25/2019 Maurice Jackson of Proven and Probable and Rick Rule of Sprott USA engage in a wide-ranging discussion covering Pareto's law, the importance of courage and conviction in investment, copper, mentors and the upcoming Sprott Natural Resource Symposium. Maurice Jackson: Joining us for conversation is legendary investor Rick Rule of Sprott USA. Mr. Rule, welcome to the show. In our interview last month, we addressed a number of topics regarding where and what Sprott USA is focusing their attention on in the natural resource space. And at the conclusion of the interview, Rick, you stated that we should discuss Pareto's law, which is known as the 80/20 law. But you put an interesting perspective on the law that I had not considered. Mr. Rule, expand the narrative on Pareto's law and please introduce us to the concept of the 4%. Rick Rule: Sure. And actually I'll take a little further than that with your permission. Most people have heard of the 80/20 principle, which suggests that in any sort of major field of human endeavor, 20% of the people engaged in that activity generate 80% of the utility. In other words, 20% of the people do 80% of the work. This turns out to be, broadly speaking, true. And it was pointed out in social sciences by an Italian social scientist at the turn of the last century named Pareto. Hence it's called Pareto's law. It's appropriate to junior mining speculation because among other things, the performance dispersion curves—that is, the performance of relative management teams—aligns well, meaning that 20% of the management teams in junior mining generate 80% of the money made. What's important for readers to understand is that if you take that successful population, the 20%, and you run them through the same performance dispersion curve, they conformably align. Meaning that 20% of the 20 do 80% of the 80. Or 4% of the population base generates about 65% of the positive utility in the sector. And I think it works for at least one more standard deviation, which would suggest that 20% of the 20% of the 20%, or eight-tenths of 1% generate about 40% of the total utility generated in the sector. Which is to say that one of the most important things that you can do as a speculator is identify and align yourself very patiently with the serially successful operators in the sector. And that is probably the most important work that you can do as a speculator. That isn't to say that identifying a Robert Friedland, or a Ross Beaty, or a Lukas Lundin, or a Bob Quartermain, is the only work you need to do. The truth is that when you buy stocks that are headed by those people, you are still subjected to risk. You're still subjected to volatility. You're still subjected to the vagaries of exploration. But your most ...read more
  • Beware the Feint

    Beware the Feint

    Source: Michael Ballanger for Streetwise Reports 06/25/2019 Precious metals expert Michael Ballanger looks at the recent run-up in gold and reveals his recent trades.I am so confused tonight that I had to crowbar the booze cabinet in order to calm my scrambled soul and ease the pain in my pseudo-analytical chest. That's right. "PSEUDO" as opposed to "QUASI" and as opposed to "FAUX." The latter two adjectives imply vagueness and deceit and I would expect that my ramblings are a far cry away from vague and, despite the fact that I spent thirty-seven years employed peddling securities to people, certainly not with "deceit." Well, maybe a tad of deceit but never of my making and always with honorable intent. Then again, deceit is deceit and it might take a hard look into the inner workings of the mirror to honestly decipher "intent." Outcome and impact are far better conditions to observe in order to make any semblance of "moral judgement" so I beg you all to be the final arbiters of this tripe. What sent me into veritable agony was the ease with which the surgeons of market operations were able to pivot from "fiscal integrity" to "monetary irresponsibility" with nothing more than a "written statement" and a "rehearsed press conference." Every single Federal Reserve Board "event" is rife with drama, suspense and the inevitability of surprise, but not this one. It was carefully scripted, cautiously crafted, and magnificently delivered by a man who claims that the current POTUS has no authority to "fire" him. The result is that we have just entered into the Twilight Zone of pre-election politics with the "mightily revered stock market" as the scorecard from which the U.S. voting public will decide. You will recall that in all elections prior to the Millennium, GDP and employment numbers were all that mattered while the stock market averages were a mere yawn on the face of John Q. Well, welcome to the world of instantaneous satisfaction, delivered by others and appreciated by none. The scorecard has been now officially rendered: Speculators 10, Savers 0 (as in a great big fat ZERO). No need to ever again shop the oh-so-trustworthy banks for a "competitive rate"; they have been ordered to screw you by taking your savings with a positive-return "teaser" with the full knowledge that in due course, you will be paying THEM for the privilege of using their "services," which is capsulized by the term "usury," which is a felony in most countries. We, as a global money-changing populace, are now officially embarked upon the ultimate fiscal and monetary voyage of "Spin 'til you Win" processing; it is government officials telling you upon which horse to bet, which lottery ticket to own, which roll of toilet paper to buy. It is about everything about to which Ayn Rand objected; she wrote "Atlas Shrugged" in 1957 and spoke of "totalitarian ...read more
  • Liberty Begins Gold Recycling Program

    Liberty Begins Gold Recycling Program

    Source: Bob Moriarty for Streetwise Reports 06/24/2019 Bob Moriarty of 321 Gold looks at the latest moves of this company with projects in Nevada, Utah and Idaho.The nice thing about having been visiting hundreds of projects in almost two decades is that I find myself talking about properties I know quite well but are now under new management. Liberty Gold Corp. (LGD:TSX) used to be named Pilot Gold. As a pilot, I thought that was a wonderful name. Their primary projects were in Turkey. No one wants to invest in Turkey until the nut cases there settle down so Pilot/Liberty Gold shifted direction to Nevada, Utah and Idaho. I first visited the Kinsley Mountain gold mine with Nevada Sunrise back in 2003. Liberty Gold did a deal with Nevada Sunrise in 2011 and drilled off a small but high-grade gold resource. Liberty Gold owns 79% of the project, Nevada Sunrise the remaining 21%. Kinsley has a gold resource of about 525,000 ounces. Drilling will begin again in Q4 of 2019. The primary focus for Liberty Gold right now is to recycle the Black Pine Gold Mine previously operated by Pegasus until 1998 when they went bankrupt. Pegasus mined 435,000 ounces of gold at a 2 g/t grade in an open pit using heap leaching. Later a new company called Western Pacific Resources staked the ground and began exploration. I told that story nine years ago. Alas their timing was terrible. Gold peaked in early September of 2011 and the funds necessary to keep young juniors in business dried up. Western Pacific turned the project over to Liberty Gold in 2016 for a cash payment of $800,000 and a 0.5% NSR. Liberty has the data from 1,874 short drill holes with a total of 191,500 meters. The "Rock Whisperer" Moira Smith is supervising the exploration and drill program. Results to date have been excellent showing 1.78 g/t Au over 47.2 meters including 3.24 g/t gold over 22.9 meters. The Black Pine deposit is on the same trend as the Long Canyon mine being put into production by Newmont. The newly discovered zone of mineralization is in between the open pit and a known area of high-grade mineralization. Mark O'Dea was the 2nd place winner in the 2000 Goldcorp Challenge. He was a bright young geo with some grandiose ideas. Now he's an older and wiser geo running a stable of interesting companies, of which Liberty Gold is just one. He founded and later sold Fronteer Gold, owner of the Long Canyon project, to Newmont in 2009 for $2.3 billion. Liberty Gold's next most important project is the Goldstrike deposit with about 1.2 million ounces of gold at a .2 g/t cutoff. This project is located in Western Utah, just east of the Nevada border. It is a Carlin style deposit and past producer of 209,000 ounces of gold in a heap leach operated from 1988 until 1994. Again Liberty has ...read more
  • Gold Is Starting to Look Toppy

    Gold Is Starting to Look Toppy

    Source: Bob Moriarty for Streetwise Reports 06/23/2019 Bob Moriarty of 321gold urges caution as the gold bulls revive.Gold bulls are coming out of hibernation, with even billionaires talking about how much they like gold. That tends to happen just before a correction. The gold bulls get frothy around the mouth; speculators pour money into gold contracts just in time to get whacked once more so they can whine about how gold and silver are manipulated and no one saw it coming. I've written a number of times about the importance of understanding bullish sentiment. I find the DSI of Jake Bernstein the single most valuable indicator I use. On both Thursday and Friday last, the DSI for gold hit 94. That doesn't suggest a major high marking a top for the next 200 years but it does say caution would be merited. Too many people turned bullish all of a sudden. The COTs agree. Gold sentiment is excessive. Bob and Barb Moriarty brought 321gold.com to the Internet almost 16 years ago. They later added 321energy.com to cover oil, natural gas, gasoline, coal, solar, wind and nuclear energy. Both sites feature articles, editorial opinions, pricing figures and updates on current events affecting both sectors. Previously, Moriarty was a Marine F-4B and O-1 pilot with more than 832 missions in Vietnam. He holds 14 international aviation records. Sign up for our FREE newsletter at: www.streetwisereports.com/get-news Disclosure: 1) Statements and opinions expressed are the opinions of Bob Moriarty and not of Streetwise Reports or its officers. The auther is wholly responsible for the validity of the statements. Streetwise Reports was not involved in any aspect of the article preparation. The author was not paid by Streetwise Reports LLC for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. 2) This article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports. 3) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market ...read more
  • Keith Barron of Aurania Hasn't Found the Lost Cities. Yet.

    Keith Barron of Aurania Hasn't Found the Lost Cities. Yet.

    Source: Bob Moriarty for Streetwise Reports 06/23/2019 Bob Moriarty of 321gold examines the potential of a new discovery in Ecuador. Aurania Resources Ltd. (ARU:TSX.V) seems to have turned into one of those bad news/good news stories. Keith hasn't found the Lost Cities Gold mines. Yet. However his team of crack geologists led by Dr. Richard Spencer may have stumbled across something a lot bigger and more valuable. They may have discovered the first Kupferschiefer copper/silver deposit found or at least recognized in the Western Hemisphere. These sediment-hosted systems tend to be very big in lateral extent and rich. Much of the copper for the Bronze Age derived from Kupferschiefer mines in what is now Germany and Poland. Archeological artifacts from smelters and slag heaps indicate production going back as far as 4,000 years ago and written records date from 1199. The KGHM Polska Miedz mining company in Poland ranks #8 in copper production worldwide and #6 for silver production. They are mining a Kupferschiefer copper/silver project. These Kupferschiefer deposits were formed in shallow freshwater seas with lower saline-rich layers filled with hydrogen sulphides from rotting vegetation that dissolve the copper and silver from a mineral source. When those fluids combine with carbonaceous material in shales and sediments the copper and silver precipitate out of solution as copper oxides. This is key for Aurania and Ecuador because these deposits tend to be so large. So far Aurania has tracked Kupferschiefer material as long as 22 kilometers (22 km) and 1 km wide. You can see in the picture above a classic Kupferschiefer material with over $400 rock. It's oxide copper highly suitable for inexpensive processing with SX-EW techniques. I would love to see Aurania and Keith Barron discover the Lost Cities and I have no doubt that in time they will. But if they screw up and stumble across a billion-dollar copper/silver prospect by accident, well, I'll take that too. The good news is that Aurania has a new highly potential target. The bad news is that big projects consume big money. Aurania is going to need to do a financing soon. I think the big boys understand that and are driving the share price down in order to get a lower price in a private placement. Not all sharks are found in oceans. Aurania is an advertiser. I have participated in two private placements and will participate in more. I am biased, do your own due diligence. Aurania Resources ARU-V $2.99 (Jun 21, 2019) AUIAF-OTCQB 32.9 million shares Aurania Resources website Bob and Barb Moriarty brought 321gold.com to the Internet almost 16 years ago. They later added 321energy.com to cover oil, natural gas, gasoline, coal, solar, wind and nuclear energy. Both sites feature articles, editorial opinions, pricing figures and updates on current events affecting both sectors. Previously, Moriarty was a Marine F-4B and O-1 pilot with ...read more
  • Coverage Initiated on Company with 'Strong Gold Project,' Experienced Team

    Coverage Initiated on Company with 'Strong Gold Project,' Experienced Team

    Source: Streetwise Reports 06/21/2019 The rationale for investing in this Canadian firm is presented in a ROTH Capital Partners report.In a June 19 research note, analyst Joe Reagor reported that ROTH Capital Partners initiated coverage on Integra Resources Corp. (ITR:TSX.V; IRRZF:OTCQB) with a Buy rating and a CA$1.40 per share price target. The company's stock is currently trading at around CA$0.88 per share. The updated resource estimate released June 17, 2019, prompted ROTH's move. "We view Integra as an early-stage exploration company with a strong management team looking to repeat its success by advancing its Idaho project and attracting an acquirer," Reagor summarized. "We also believe the project has significant resource expansion potential." He then individually reviewed the compelling aspects of the company. One is the updated resource estimate for Integra's flagship project DeLamar, a past-producing mine in southwestern Idaho that consists of the DeLamar and Florida Mountain gold and silver deposits. Per the new update, DeLamar now contains Measured and Indicated resources of 172.4 million ton (172.4 Mt) with an average of 0.7 grams per ton (0.7 g/t) gold equivalent (Au eq). Current Inferred resources are 28.3 Mt grading 0.55 g/t Au eq. These numbers result in 4.4 million ounces of contained Au eq, a 23.5% increase since the prior report. "With this increased resource estimate, we believe Integra is poised to release an initial preliminary economic assessment for the project in H2/19," which will be the next major catalyst for the stock," Reagor commented. He added that the DeLamar property likely offers further resource growth potential. Integra plans to tap into that by drilling another 13,000 meters there this year. Another benefit to Integra is the jurisdiction its project is in, Idaho, which has been mining friendly for a long time. Reagor noted permitting risk is lower for DeLamar because mining took place there historically. A third positive is Integra's management team that "has done it before," Reagor noted, referring to the company's CEO George Salamis and Chairman Stephen de Jong having advanced and sold Integra Gold to Eldorado Gold in 2017. Management's previous success, the analyst added, "will enable the company to raise the necessary capital to advance its DeLamar asset towards a construction decision." Integra is well positioned to move the project forward quickly. Sign up for our FREE newsletter at: www.streetwisereports.com/get-news Disclosure: 1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None. 2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees. 3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its ...read more
  • Mining the 'Sweat of the Sun' in Nevada

    Mining the 'Sweat of the Sun' in Nevada

    Source: Streetwise Reports 06/20/2019 As the gold mining majors increasingly focus on Nevada deposits, they have taken notice of a small-cap explorer with prime properties. For billions of years, exploding neutron stars have been mass-producing cascades of the proton-heavy atom that we humans called gold or, chemically, AU. Stardust-blasted meteoroids regularly transport "the sweat of the sun" across light years. Speeding space rocks vaporize in our atmosphere, showering gold upon our planet, where, over eons, the precious rain is buried and then uplifted by tectonic movements. It has been calculated that all of the Earth's encapsulated gold, if it had remained at the surface, would form a miles-deep crust. But, of course that is not how nature works. As mountain ranges rise and fall, fracturing, generating incredible pressures, AU atoms combine with themselves and other elements, percolating toward the surface following discontinuities. Reservoirs of gold can be mined, either by hammering at solid veins, or by crushing tons of ore to extract glittering grams of concentrated value. Of course, there are vast quantities of gold scattered deep and wide beneath our major cities and suburbs and oceans, but access to the element is best achieved in the desert lands, for obvious reasons. Enter: geologically roiled and sparsely populated Nevada, one of the most productive gold fields. Zooming in on Nevada, there is a stretch of thrust-faulted, erosion-revealed, gold and silver-laden land—five miles wide and forty miles long—called the Carlin Trend. Mined with modern methods beginning a decade ago, the Carlin Trend has produced more than 70 million ounces of gold. That comes to US$85 billion at 2010 prices. Major gold companies—including Newmont Goldcorp and Barrick Gold Corporation—are focusing substantial capital investment on exploring the wealth of deposits in the Carlin Trend. The majors are acquiring raw acreage and developing regional mining and milling infrastructure. Thousands of exploratory holes drilled in the region by large and small explorers are revealing a range of potentially profitable mineralization ratios—disciplined by the price volatility of the cyclical commodity markets for precious metals. And that is the wild-catting atmosphere in which a junior firm called Gold Standard Ventures Corp. (GSV:TSX.V; GSV:NYSE) now finds itself to be more wooed then wooer. Gold Standard Ventures has a large portfolio of gold mineralization resources in Nevada. Its flagship property is the Railroad-Pinion project covering tens of thousands of acres of land astride the Carlin Trend in Elko County. There, the Vancouver-based firm owns or has an option on 29,941 acres of subsurface mineral rights in the form of patented or unpatented mineral lode and 23,628 acres of subsurface mineral rights secured or controlled by a contractual interest in private surface and mineral property. Gold Standard Ventures has identified six deposits in its Carlin Trend project: Pinion Oxide, Dark Star, North Bullion, Bald Mountain, Jasperoid Wash and Dixie Creek. The company has announced mineral resource estimates at Dark Star, North Bullion ...read more
  • FOMC: Total Absurdity Prevails

    FOMC: Total Absurdity Prevails

    Source: Michael Ballanger for Streetwise Reports 06/19/2019 Sector expert Michael Ballanger offers his take on various factors affecting the stock and commodities markets prior to today's Federal Open Market Committee meeting.Question #1: With unemployment rates at 50-year lows, inflation below the Federal Reserve's target, housing (bankers' major collateral) at or near record highs, and stock markets within 2% of all-time highs, why in the Lord's name is a rate cut even being contemplated? Question #2: Can there be any doubt that the Federal Reserve Board is no longer "steward of the economy" but rather "Defender of the S&P"? Many, many years ago, long before central bankers became rock stars, and during an era of true free market capitalism, to even imagine a Fed funds rate of 2.5% was to paint a backdrop of high unemployment, negative growth verging on depression, and sagging asset prices verging on deflation. A Fed funds rate of 6-8% was associated with vigilant inflation controls, strong growth and tight labor markets, where bond market vigilantes controlled long rates by their (as opposed to Fed or U.S. Treasury trading desks) selling or buying of treasuries. This was the last period of non-interventionist monetary policy and it was a safer, kinder world within which investors could navigate their portfolio voyages with relatively reliable, simple indicators upon which to implement strategy. If one forecast accelerating growth and constrained supply, one bought gold and oil and waited for the reactions; if one predicted Fed tightening due to overheated labor markets, one sold bonds or shortened maturities while staying defensive in equity posturing. It was a dot-plotless, tweetless, FOMC-meeting-less, CNBC-less world, when the only financial show worth watching was Louis Rukeyser's "Wall Street Week." I suspect that by the time this missive is delivered, the Federal Open Market Committee (FOMC) has either cut or left alone the Fed funds rate, sending stocks either higher or lower, but what is painfully obvious, at least to this self-effacing scribe, is that economic performance no longer propels stocks. All stock price movements are either event-driven or interference-driven, and that might also be said for both gold and silver. Another idiosyncratic feature of all markets in the Year of Our Lord 2019 is that these FOMC circus shows are treated like Major League baseball final games, complete with interviews, guest appearances, and revisionist commentary with the only thing missing being the guy in the yellow frock selling beer and hot dogs. In the hours that lead up until 2:15 p.m. EST on FOMC day, stocks go into lockdown as the algobots are unable to focus on anything that doesn't have the word "Fed" in it. You could have an outhouse explode in Times Square and stocks would barely budge. . . The following charts are illustrations of just how benign the U.S. economy has become. There are no emergencies, financial crises, or political boondoggles that would prompt anyone to action in ...read more
  • Miner Releases Resource for Arizona Zinc-Lead-Silver Deposit

    Miner Releases Resource for Arizona Zinc-Lead-Silver Deposit

    Source: Streetwise Reports 06/19/2019 A BMO Capital Markets report gave the new figures for tons and grades and compared them to ones in a prior estimate.In a June 17 research note, BMO Capital Markets analyst Edward Sterck reported that South32 Ltd. (S32:ASX; S32:LSE) published a mineral resource for its Taylor deposit in Arizona. Sterck noted the new JORC compliant resource is generally similar to the NI 43-101 compliant one completed by Arizona Mining, the previous property owner, in January 2018, but with three differences, which he specified. One is that the new resource encompasses more tons, 155 million tons (155 Mt) versus 145 Mt. Secondly, grades in the new resource are lower across the board. When comparing South32 and Arizona Mining's resources, grades, respectively, averaged 3.39% versus 4.1% zinc, 3.67% versus 4.4% lead and 69 grams per ton (69 g/t) versus 78 g/t silver. Finally, the new resource reflects a 10% reduction in contained metal on a zinc equivalent basis when compared to Arizona Mining's resource, despite the same cutoff grade of about 4%. Sterck indicated that the prefeasibility study for Taylor is still expected before June 2020. In other news, noted Sterck, South32 also released an updated resource estimate for its Illawarra met coal project. Resources there have dropped to 22 Mt from 114 Mt because the company "relinquished a portion of the license area." BMO has a Market Perform rating on South32. Sign up for our FREE newsletter at: www.streetwisereports.com/get-news Disclosure: 1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None. 2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: ?????. Click here for important disclosures about sponsor fees. 3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security. 4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports. 5) From time to ...read more
  • Post-FOMC Commentary: Delusions of Grandeur

    Post-FOMC Commentary: Delusions of Grandeur

    Source: Michael Ballanger for Streetwise Reports 06/19/2019 Sector expert Michael Ballanger reacts to today's Federal Open Market Committee meeting. To the surprise of the many and the chagrin of the few, the Fed opted to do nothing with policy today and left rates unchanged despite clarion calls for a cut. As I wrote about earlier, there was (and is) zero rationale for a rate cut, what with GDP humming along and the best employment numbers in fifty years (if you believe them). Stocks moved higher despite several attempts at profit-taking, but that was no surprise because the Fed wanted to make damn certain the response to the statement and the ensuing presser would be a positive outcome. The victims were bond yields (lower) and the U.S. dollar (lower), but the S&P rose 8.71 (0.30%), while gold had at its highest close for 2019 at $1,364.45. The lower U.S. dollar contributed to the advance in the metals, but we are still caught in a resistance quagmire between $1,350 and $1,375, with the relative strength index (RSI) screaming "Overbought!" after an $80 advance. I am modestly short (hedged) via the GLD puts and await a signal that all is well and good with the gold trade before giving the "all clear" sign. On five occasions dating back to August 2016 has RSI for the GLD hit 70+, and every single time we got a sharp decline immediately thereafter. Each one of those events saw a sharp increase in the Commercial aggregate short position, which advanced sharply into the rise and led to each of the crashes. In the past two weeks, the aggregate short position held by the bullion banks has exploded from under 80,000 to over 200,000, and that, if nothing else, calls for caution. I also went back to our old friend Goldman Sachs and bought the Sept $180 puts for $3.70 in the morning, before the Fed decision was announced. It is noteworthy that the financials all sold off after 2:15, which was not the type of reaction I would have expected with rates remaining unchanged. Higher rates are bullish for banks, as their spreads are currently disastrous given the inversion of the yield curve. The "Squid" is right back to the zone where I got short back in May, and appears ready for another descent. We shall see. . . Last point on gold: The singular greatest danger over the intermediate term is that there is no "breakout" on this run, and that it catches an entire generation of generalists long at the top. As gold investors, we need a breakout above $1,375 that decisively surpasses that band of resistance in increasing volume and momentum, such that resistance becomes support and the entire metals complex undergoes a structural lift in valuation and sponsorship. I am currently hedging against that materializing but praying that it indeed happens, because the gold market since 2011 has ...read more