U.S. Elections A Cyclone For Investors

The Calandra Report / By

Plus: SILVER (& Copper) Believer’s Latest — The Calandra Report 

Update Friday Nov. 8, 2024: 
Most metals and metals equities 
rebound dramatically from their  
dollar-strength losses. Then 
proceed sideways to close the week.
(See 3-day Ivanhoe Mines chart below.)
​TCRs, investment markets, after elections in the United States, are worth celebrating for blue-chip, technology, crypto investors. 

Flip side: an ascending dollar and those levitating blue chips, mid-caps and small-cos, along with those cryptos and especially technology, are damaging all metals.

Intermittently this week, metals and their explorers and producers gave up pre-election gains, erased those losses, went flat. In Brooklyn, we might call this a Coney Island Cyclone (wicked roller coaster).

ADDED FRIDAY: A well-sourced gold analysis (quotes Sprott’s Ryan McIntyre, economist Peter Morici, writer-analyst Brien Lundin — from my former colleague Myra Saefong at MarketWatch: here.)

Trump is expected to … continue to escalate trade wars with certain countries such as China, said Ryan McIntyre, managing partner at Sprott. “We see considerable risks in his approach, including likely higher inflation, increased debt and larger deficits.”

One day post-electon —  copper, gold, platinum are crushed as dollar gains vs. most currencies. Gold especially is (was) cringeworthy — see futures contract. Uranium is holding steady.

Two-days post election: What a difference a day makes.

The Republican victory, led by the incoming President-elect Donald Trump, I think shows voters’ disappointment with the country’s economic growth … and that GDP (productivity rates) is worthy of a big fix.

This MarketWatch piece about possible new Cabinet members (Fed, Energy, Teasury)  deserves a look, too. Here it is.

Ivanhoe Mines IVPAF Shares: A Coney Island Cyclone Across 3 Days

If you believe in copper, gold, platinum, this week was a good one to think about bargain-hunting. You all know my favorites, including Ivanhoe Mines, Alamos Gold, Xtra-Gold, Aberdeen Platinum Trust, CanAlaska Uranium, select others.

Passing this along, too:
​This following piece — tagging two Aussie miners (silver, copper) — is just out from London boutique banker and investor Simon Catt of Arlington Group. Simon’s intro is personal — here. Then he gets into the mining.

Metal Mick the Chaperone

 

Mick McMullen, CEO of ASX-listed Metals Acquisition Corp (MTAL US$1 billion), was chaperone to Dave Sproule, founder and Executive Chairman of ASX-listed Polymetals Resources (POL A$150 million market cap). Mick previously ran Detour Gold Corp until its takeover by Kirkland Lake Gold in 2020 and Stillwater Mining Company until its takeover by Sibanye Gold in 2017.
Mick McMullen, CEO of Metals Acquisition Corp

So, when Mick mentioned that both he personally and MTAL were invested in Polymetals,​ and that I should meet Dave, I took him at his word.
MTAL’s CSA Copper Mine is 40 km south of Polymetals’ Endeavour Mine in the polymetallic Cobar Basin.

Dave Sproule, Executive Chairman and founder of Polymetals, has built 11 mines; Endeavour is his 12th and, in his words:

“Endeavour is hopefully the largest, longest life and most profitable of them all.”

 
​Entire Simon Catt article here.

Thanks Simon.

— Thom Calandra


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.