- USD sliding vs. euro, other currencies - U.S gov't bonds weaker and weaker - Africa copper, gold, rhodium, platinum -- TRADING NOTE*
My weekend best insight tag goes to Tavi Costa at gold-heavy Crescat Capital:
“The euro has broken out above a key historical resistance level. FX trends often take time to develop, but once they do, they tend to persist for years. … at the core, this is about one simple thing: the U.S. is facing an interest expense problem approaching 5% of GDP – by far the largest of any other major economy.” — Tavi Costa
Commodities Corner
Gold is at a fresh record high. Does it still make sense to buy?
Gold has broken through $3,000 an ounce, but that number “isn’t a finish line — it’s a flare, a signal, an announcement that something much bigger is happening underneath the surface,” Jan Skoyles said. “Because when gold is surging, it doesn’t mean that the economy is booming — it means the opposite. It means things are breaking or have already broken.” See the MarkwtWatch article.
Just remember, TCRs, each and every one of the gold believers I have talked to this week and weekend believes along Jan’s lines.
In a behavioral investing sense, caution is advised. TCRs, my own overreaching enthusiasm for gold, silver, platinum and copper must be taken with a shaker of salt.
Chris Powell at GATA.org:
Let’s see what Asia does Monday morning with bullion futures. (Sunday evening in North America.)
See mining index. See gold futures: $3,255.
*Africa — copper, gold, rhodium platinum: Copper miner Ivanhoe Mines’ profitable investors I think realize that its copper, tariff free, has freedom to travel the world.
A plus: IVN’s DRC Congo anode-producing blister smelter kicks in this summer at Kamoa-Kakula.
Aside from the Kamoa-Kakula copper (and Kipushi Mine zinc), my three-cents on why IVN is my largest stake and has been since 2010 or so: Platreef in South Africa.
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*TRADING NOTE: TCRs, allow me to bite my tongue when I say, for those of us who have been decades-long patient — see: Reciprocal Gold at The Calandra Report — I aspire as best I can to hold tight to our largest mining investments here at home: Ivanhoe Mines IVN | Xtra-Gold Resources XTG | Alamos Gold AGI (sold a fraction the other day) | EMX Royalty EMX | Banyan Gold BYN | Sprott Physical Gold & Silver Trust CEF | Aberdeen Platinum Trust PPLT.
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STILL, with the gains of late, I intend to tighten our holdings. That includes, as indicated many times this year and last year, selling some of our very profitable Ivanhoe Mines in a taxable account that is not part of our family trust and moving some of the cash into that family trust and use some of the cash to continue to add to Ivanhoe in one or two retirement accounts (IRAs).
- As stated last year, here (see reference) and elsewhere, I am selling approx. 30,000 Ivanhoe Mines shares IVN IVPAF in that taxable account.
- More on taxes, trusts and so on for subscribers, as stated in 2024: we set up a family trust; about 30,000 or so of our 83,000 Ivanhoe shares (now approx. 79,000 in total) are at a Canada brokerage and the rest is in the U.S.
It seems like a good time to simplify our financial holdings, as we have been discussing last spring, summer and autumn 2024. I think a sale of a portion makes sense from a diversification point of view. Ivanhoe Mines is by far our largest resources holding. -
I see another 10 or so smaller stakes here at home, including Ivanhoe Electric (U.S., Saudi Arabia), Elemental Royalties (numerous), Integra Resources, (Nevada, Idaho), Avino Silver & Gold Mines (Mexico), Ridgeline Minerals (Nevada), multi-project Kenorland Resources, Namibia explorer Koryx Copper, Athabasca Basin’s CanAlaska Uranium and F3, F4 Uranium. Summa Silver — Nevada, New Mexico. Tiny Val-d’Or Mining, — Québec, Ontario. C3 Metals – Jamaica, Peru. Alaska producer Contango Ore … and the shovel-ready Hasbrouck deposit in Nevada for West Vault Mining.
I will be consolidating a few of these, reducing that list by half or more, as some of these gain in price with the miners and metals recovering their standing with investors. - WEDNESDAY APRIL 16 UPDATE: Gold futures now trading well abovce $3,300. Many of the obscure miners we have written about for years are rising smartly. I am taking the gold and silver ‘melt-up’ at its word yet will be peeling off, reducing shares of several of the mining names in this report.Many of these trade in Canada dollars and, if I am correct, with the gains in CAD vs. USD of late, will add value to the shares if you compute in USD.
See The Calandra Report for more Ivanhoe Platreef material
— Compounding Gold at The Calandra Report: 30 Years Making Case For Patient Gold
Thom Calandra is a writer and an investor. Research and material are meant as editorial opinion. He is not a professional investment adviser. Please do not consider his reporting as a recommendation to buy or sell securities. The Calandra Report, in its 13th year, offers a one-price, $139 yearly fee for all newcomers. Earlier subscribers keep their original cost. Sob stories listened to. No refunds after three weeks of service. Exceptions:groceries, mistaken ambitions.