and go away! Not really ,but do note that resources such as gold ,coal and platinum group metals have soared in the last couple of months , coming off lows and driven by speculators.
There is really no sign that there is an increased demand at this stage. The recovery continues, but at a snails pace.
Best to wait till August before entering any large buying moves.
Showing posts with label Gold. Show all posts
Showing posts with label Gold. Show all posts
Wednesday, May 4, 2016
Tuesday, March 1, 2016
ADDITIONAL ASSET CLASSES
Most of us have read at certain times that money is not worth the value of the paper its printed on!
Unfortunately this is turning out to be the norm , more often than we would like!
It was obvious that there was not enough gold in the world to cover all the paper currencies as in the past. Coming up with PAPER GOLD as it was called was not the answer, but the chosen method politicians decided on. It was thought that the working endeavours of ordinary citizens would always be equal to the value of a currency. As time has gone on cracks have started to emerge, but the method of dealing with this situation is to ignore it and never mention the bind we find our selves in.
So this has now led to a even more dangerous phenomenon called the BITCOIN ,which we are told is mined out of thin air, according to a complicated mathematical formula, which no one fully understands with no backing of any kind.
TANGABLE ASSET CLASSES are now forming additional methods of preserving wealth so as all our hard earned value is not lost.
GOLD,PLATINUM GROUP METALS,SILVER ,DIAMONDS ARE TRUE WEALTH PRESERVERS, AS THEY CAN BE USED AND STORED AS BARS,COINS OR AS JEWELLERY OR A COMBINATION OF THESE (EXCUDING DIAMONDS OF COURSE).
ANOTHER ADVANTAGE IS THAT THEY CAN BE EASILY CARRIED OR SOLD.
REAL ESTATE UNLESS IN VEHICLES SUCH AS REITS,, CAN BE A BIND IN TIMES OF DISTRESS AS THE FORMER ARE EASILY DEPOSED OF.
STOCK EXCHANGE SHARES ARE ALSO EASILY DEPOSED OF OR BOUGHT IN THE RIGHT SECTORS,MUCH BETTER THAN FIXED DEPOSITS ETC.
Stamps and paintings might not be easily deposed of in times of stress and similar objects such as antiques.
THE LATEST PAGE UPDATES ARE AT THE TOP ARE ALWAYS AT THE TOP OF THE INDEX ABOVE
Unfortunately this is turning out to be the norm , more often than we would like!
It was obvious that there was not enough gold in the world to cover all the paper currencies as in the past. Coming up with PAPER GOLD as it was called was not the answer, but the chosen method politicians decided on. It was thought that the working endeavours of ordinary citizens would always be equal to the value of a currency. As time has gone on cracks have started to emerge, but the method of dealing with this situation is to ignore it and never mention the bind we find our selves in.
So this has now led to a even more dangerous phenomenon called the BITCOIN ,which we are told is mined out of thin air, according to a complicated mathematical formula, which no one fully understands with no backing of any kind.
TANGABLE ASSET CLASSES are now forming additional methods of preserving wealth so as all our hard earned value is not lost.
GOLD,PLATINUM GROUP METALS,SILVER ,DIAMONDS ARE TRUE WEALTH PRESERVERS, AS THEY CAN BE USED AND STORED AS BARS,COINS OR AS JEWELLERY OR A COMBINATION OF THESE (EXCUDING DIAMONDS OF COURSE).
ANOTHER ADVANTAGE IS THAT THEY CAN BE EASILY CARRIED OR SOLD.
REAL ESTATE UNLESS IN VEHICLES SUCH AS REITS,, CAN BE A BIND IN TIMES OF DISTRESS AS THE FORMER ARE EASILY DEPOSED OF.
STOCK EXCHANGE SHARES ARE ALSO EASILY DEPOSED OF OR BOUGHT IN THE RIGHT SECTORS,MUCH BETTER THAN FIXED DEPOSITS ETC.
Stamps and paintings might not be easily deposed of in times of stress and similar objects such as antiques.
THE LATEST PAGE UPDATES ARE AT THE TOP ARE ALWAYS AT THE TOP OF THE INDEX ABOVE
Friday, April 3, 2015
Commodities Prices
Commodities including precious metals, oil ,iron and manganese prices will continue to stay low as long as the producers are reluctant to reduce production as the only way they can stay in business! Take Saudi Arabia the worlds largest exporter of oil refuses to produce less although the oil price has halved. Same goes for iron ore miners as they feel they can profit at lower prices so putting smaller rivals out of production.
LATEST UPDATE PAGES ARE POSTED AT THE TOP OF THE INDEX ABOVE
FINAL AUTUMN UPDATE 27 Apr
20 Apr My Specialist Revised list
7,11,16 Apr Small Caps
11 Apr Spring Derivative and Share List
11 Apr Winter Derivative and Share List.
14,22 Apr METAL AND MINERAL LIST
LATEST UPDATE PAGES ARE POSTED AT THE TOP OF THE INDEX ABOVE
FINAL AUTUMN UPDATE 27 Apr
20 Apr My Specialist Revised list
7,11,16 Apr Small Caps
11 Apr Spring Derivative and Share List
11 Apr Winter Derivative and Share List.
14,22 Apr METAL AND MINERAL LIST
Monday, September 1, 2014
THE WORLD IS ON THE EDGE OF A PRECIPICE
The Ukranian crises could well get out of control. Time is running out .It is every ones interest to find a political solution. It has already had a economic effect on Russia its satellites and the
West. We here in the Southern Hemisphere will also suffer economiclly as there will be little demand for our resources.
Rest of post published below notes and alerts.
NOTE 5 OUR BET SMALL CAP SHARES 24/9/2014 SEE ABOBE LIST
NOTE 4 PROPERTY INVESTMENTS HAVE BEEN UPDATED 15/9/2014 SEE ABOVE
Note 3 See especially part C of My Specialist Watchlist above as well as parts A & B updated 8/9/2014
Note 2. Summer small cap list has been updated above 3,17/9/2014 AND THE WINTER LIST 10/9/2014
Note 1.The newest update is always posted at the bottom of the index above
5/9/2014 ALERT There is about as much gold left in the Witwatersrand Basin as has been mined since 1886 when the first discovery was made, namely about 1.9 million ounces. How ever it can not be mined by the traditional methods used in the past as due to the depth there too many accidents , difficult and expensive methods that make this not profitable as well.
New as well as experimental methods are being sought. One such method is ULTRA HIGH STRENGTH BACKFILL used by ANG(Anglo Gold Ashanti) to be able to mine areas too dangerous to mine in the past such as the natural stone pillars that had to be left to hold up the roof. These pillars contain a large quantity of minable gold.
Funnily I felt Sevastopol belonged to Russia,but did not agree on the rough method they used to reclaim it. How ever they now might have over played their hand as the majority of Ukraine would like to come out of the recession that came about after the end of the break up of the Soviet Union. Ukraine would now like to hold a democratic election to decide its future ,but the incursion of thousands of Russian troops with the most sophisticated weaponry on what ever pretext is making this impossible.
West. We here in the Southern Hemisphere will also suffer economiclly as there will be little demand for our resources.
Rest of post published below notes and alerts.
NOTE 5 OUR BET SMALL CAP SHARES 24/9/2014 SEE ABOBE LIST
NOTE 4 PROPERTY INVESTMENTS HAVE BEEN UPDATED 15/9/2014 SEE ABOVE
Note 3 See especially part C of My Specialist Watchlist above as well as parts A & B updated 8/9/2014
Note 2. Summer small cap list has been updated above 3,17/9/2014 AND THE WINTER LIST 10/9/2014
Note 1.The newest update is always posted at the bottom of the index above
5/9/2014 ALERT There is about as much gold left in the Witwatersrand Basin as has been mined since 1886 when the first discovery was made, namely about 1.9 million ounces. How ever it can not be mined by the traditional methods used in the past as due to the depth there too many accidents , difficult and expensive methods that make this not profitable as well.
New as well as experimental methods are being sought. One such method is ULTRA HIGH STRENGTH BACKFILL used by ANG(Anglo Gold Ashanti) to be able to mine areas too dangerous to mine in the past such as the natural stone pillars that had to be left to hold up the roof. These pillars contain a large quantity of minable gold.
Funnily I felt Sevastopol belonged to Russia,but did not agree on the rough method they used to reclaim it. How ever they now might have over played their hand as the majority of Ukraine would like to come out of the recession that came about after the end of the break up of the Soviet Union. Ukraine would now like to hold a democratic election to decide its future ,but the incursion of thousands of Russian troops with the most sophisticated weaponry on what ever pretext is making this impossible.
Saturday, February 1, 2014
Emerging Market Sell off.
Lets face it ALL markets , have run ahead of the slow recoveries world wide
(See ARTCLE,ALERTS below NOTES.)
NOTE 10 SEE MY SPECIALIST UPDATE FOR 2014
NOTE 9 SEE TRANSFER TO SMALL CAPS LIST 26/2/20
NOTE 8 SEE FEB UPDATE AUTUMN LIST
NOTE 7 SEE TRANSFER TO RESOURCES NAOMI'S UPDATE
NOTE 6. ADDITIONAL UPDATE MY SPECIALIST SHARES 15/2/2014
NOTE 5 TRANFER TO SMALL CAPS PAGE 1 UPDATED 14/2/2014
NOTE 4 REAL ESTATE UPDATE 12/2/2014
NOTE 3 SEE MY SPECIALIST WATCHLIST UPDATE ABOVE 10/2/2014
NOTE 2 TRANSFER TO RESOURCES NEWS 6/FEB ABOVE TO SEE NAOMI'S NEW SMALL/MID CAP COMMENT
NOTE 1 The latest update is always put at the bottom of the index above.
ALERT `14/2/2014
The State president mentioning the crippling platinum mine strike in his national address, now gives the parties
a chance at resolving their differences in a face saving way for the new labor union which promised their members that there would be no negotiation and all their demands would be met!
In the turbulent markets we have at the moment ,investors are seeking safe havens. Gold that has been out of fashion is beginning to shine again and although it fell initially as the emerging markets came off sharply. The question now is ,should take a chance and buy gold mines or rather the metal exchange traded funds. More discerning traders are looking to mines that can produce greater profits than just holding the metal.
Well South Africa has settled her gold strikes and there is unlikely to be another major strike for the next two years when this agreement ends.
A GOLD MINE overlooked by overseas buyers is SIBANYE (SGL).THIS RICHEST GOLD PRODUCER IN THE WORLD HAS COME OUT WITH A WONDERFUL UPDATE.ALL OTHER GOLD PRODUCERS WOULD GIVE THEIR "EYE-TEETH" FOR THEIR ASSETS.A CASH COW INDEED!
(See ARTCLE,ALERTS below NOTES.)
NOTE 10 SEE MY SPECIALIST UPDATE FOR 2014
NOTE 9 SEE TRANSFER TO SMALL CAPS LIST 26/2/20
NOTE 8 SEE FEB UPDATE AUTUMN LIST
NOTE 7 SEE TRANSFER TO RESOURCES NAOMI'S UPDATE
NOTE 6. ADDITIONAL UPDATE MY SPECIALIST SHARES 15/2/2014
NOTE 5 TRANFER TO SMALL CAPS PAGE 1 UPDATED 14/2/2014
NOTE 4 REAL ESTATE UPDATE 12/2/2014
NOTE 3 SEE MY SPECIALIST WATCHLIST UPDATE ABOVE 10/2/2014
NOTE 2 TRANSFER TO RESOURCES NEWS 6/FEB ABOVE TO SEE NAOMI'S NEW SMALL/MID CAP COMMENT
NOTE 1 The latest update is always put at the bottom of the index above.
ALERT `14/2/2014
The State president mentioning the crippling platinum mine strike in his national address, now gives the parties
a chance at resolving their differences in a face saving way for the new labor union which promised their members that there would be no negotiation and all their demands would be met!
In the turbulent markets we have at the moment ,investors are seeking safe havens. Gold that has been out of fashion is beginning to shine again and although it fell initially as the emerging markets came off sharply. The question now is ,should take a chance and buy gold mines or rather the metal exchange traded funds. More discerning traders are looking to mines that can produce greater profits than just holding the metal.
Well South Africa has settled her gold strikes and there is unlikely to be another major strike for the next two years when this agreement ends.
A GOLD MINE overlooked by overseas buyers is SIBANYE (SGL).THIS RICHEST GOLD PRODUCER IN THE WORLD HAS COME OUT WITH A WONDERFUL UPDATE.ALL OTHER GOLD PRODUCERS WOULD GIVE THEIR "EYE-TEETH" FOR THEIR ASSETS.A CASH COW INDEED!
Sunday, September 1, 2013
NEW MINING METHODS, INNOVATION A GAME CHANGE.
For over a centuary starting in the eighteen eighties South Africa was the largest Gold producer in the world.Since platinum has been taken into general use we are still the largest producers of this metal.We are amongst the leading produces of a whole raft of metals and minerals currently.How ever now costs and increasing difficulty of extracting these metals and minerals is beginning to weigh on our returns.
See rest of this article beneath Alerts and Notes.
20/9ALERT
DE BEERS which is owned by Anglo American is doing very well this year.This is now mainly been driven by China which is expected to drive the market for the next five years as Chinese brides now prefer diamonds to gold.All other diamond mines should also benefit from this trend.
11/9 ALERT
The world now seems a safer place ,if the Russian plan to hand the Syrian weapons to the United Nations goes ahead.Anyway the pedal has been removed from the war stance and markets are recovering again.Chinese trade figures have also turned positive this week.Our local strikes all now seem to be going to be resolved in a more amicable manner with increases below 10%.Workers now understand the gravity of our local situation.Our weaker Rand will lead to an increase in the price received for our local products and minerals.
3/9 ALERT
OFFICIAL STRIKE ACTION has started in earnest this morning at mostly gold related mines.As the mines are on a tight -rope alread running at near losses they can ill afford these actions.There can be no increases in wages with out increases in productivity levels.These levels have been declining for several years now.
Note 4 We have changed the format of the TOP 40 index to reflect more contemporary movements see above.
Note 3 The newest updates are always put at the bottom of the index list above.
Note 2 Use labels below articles and in the side-bar to group articles on similar subjects.
Note 1.Do read in the side-bar interestng items and ads., especially chosen to enhance your knowledge.
Mechanisation was tried about ten years ago by LONMIN in it platinum mines.It was the first company to do so.It turned out to be a complete failure.Our Gold mines are very deep and by conventional methods the gold is nearly worked out.It has been partly political pressure that has kept the mines on a large manual footing,employing hundreds of thousands of workers.
All that is about to change and the realisation by all the parties that things have to change is slowly dawning on all.
A completely new method of mining GOLD
is coming to the fore.Instead of bringing rock carrying the gold to the surface to crush etc.It has been found that with a new method just the GOLD REEF can be removed with chemical and other methods and the rest of the granite left in place.In the past sections of the mines had to be left in place ,if I remember correctly every 27 yards of a square of 27 yards were left to keep the roof up and in between pillars of wood would be put in place for further reinforcement.NOW A METHOD OF BACK FILL is to be used and all the Gold areas not yet mined can be utilised.
GRAHAM ,Ceo of Harmony has pointed that as much gold as has been removed from the mines in the last hundred years remains to be removed.Most of it at reasonable shallower levels.
THE MAIN GAME CHANGER WILL BE ROBOTICS NOT JUST MECHANISATION.THE ADVANTAGE OF THIS WILL BE LESS DANGEROUS WORKING CONDITIONS AVOIDING PRESSURE BURSTS THAT ARE LIFE THREATENING AS THE MINES BECOME DEEPER.ALL THIS WILL OF COURSE TAKE TIME,BUT WILL BE LESS LABOUR INTENSIVE AND ALLOW THE MINES TO SURVIVE,SO ATTRACTING CAPITAL TO EXTEND THE LIFE OF MINES.
See rest of this article beneath Alerts and Notes.
20/9ALERT
DE BEERS which is owned by Anglo American is doing very well this year.This is now mainly been driven by China which is expected to drive the market for the next five years as Chinese brides now prefer diamonds to gold.All other diamond mines should also benefit from this trend.
11/9 ALERT
The world now seems a safer place ,if the Russian plan to hand the Syrian weapons to the United Nations goes ahead.Anyway the pedal has been removed from the war stance and markets are recovering again.Chinese trade figures have also turned positive this week.Our local strikes all now seem to be going to be resolved in a more amicable manner with increases below 10%.Workers now understand the gravity of our local situation.Our weaker Rand will lead to an increase in the price received for our local products and minerals.
3/9 ALERT
OFFICIAL STRIKE ACTION has started in earnest this morning at mostly gold related mines.As the mines are on a tight -rope alread running at near losses they can ill afford these actions.There can be no increases in wages with out increases in productivity levels.These levels have been declining for several years now.
Note 4 We have changed the format of the TOP 40 index to reflect more contemporary movements see above.
Note 3 The newest updates are always put at the bottom of the index list above.
Note 2 Use labels below articles and in the side-bar to group articles on similar subjects.
Note 1.Do read in the side-bar interestng items and ads., especially chosen to enhance your knowledge.
Mechanisation was tried about ten years ago by LONMIN in it platinum mines.It was the first company to do so.It turned out to be a complete failure.Our Gold mines are very deep and by conventional methods the gold is nearly worked out.It has been partly political pressure that has kept the mines on a large manual footing,employing hundreds of thousands of workers.
All that is about to change and the realisation by all the parties that things have to change is slowly dawning on all.
A completely new method of mining GOLD
is coming to the fore.Instead of bringing rock carrying the gold to the surface to crush etc.It has been found that with a new method just the GOLD REEF can be removed with chemical and other methods and the rest of the granite left in place.In the past sections of the mines had to be left in place ,if I remember correctly every 27 yards of a square of 27 yards were left to keep the roof up and in between pillars of wood would be put in place for further reinforcement.NOW A METHOD OF BACK FILL is to be used and all the Gold areas not yet mined can be utilised.
GRAHAM ,Ceo of Harmony has pointed that as much gold as has been removed from the mines in the last hundred years remains to be removed.Most of it at reasonable shallower levels.
THE MAIN GAME CHANGER WILL BE ROBOTICS NOT JUST MECHANISATION.THE ADVANTAGE OF THIS WILL BE LESS DANGEROUS WORKING CONDITIONS AVOIDING PRESSURE BURSTS THAT ARE LIFE THREATENING AS THE MINES BECOME DEEPER.ALL THIS WILL OF COURSE TAKE TIME,BUT WILL BE LESS LABOUR INTENSIVE AND ALLOW THE MINES TO SURVIVE,SO ATTRACTING CAPITAL TO EXTEND THE LIFE OF MINES.
Thursday, August 1, 2013
RESOURCES THE WORLD NEEDS
Central and Southern Africa have many strategic minerals in abundance and are amongst world leaders in producing these.
South Africa produces over 72% of the Platinum used in the world
and 83% of the Rhodium for Catalytic converters and other industrial uses.
See rest of this article beneath Alerts and Notes
28/8 ALERT
Tensions are rising world-wide this morning as the Syrian crises is likely to spill over into
more bloodshed with the world powers taking sides.In South Africa we have serious trade union wars in a fight about turf escalating now.The more moderate NUM union has also upped its demands to compete with the more radical unions.Most of the demands now are completely unnatainable,which could bring our country to its knees.The mining of minerals is likely to decrease to a trickle and many mines would forced to close permanently.
9/8 ALERT
SOUTH AFRICAS gold and platinum production continues to decline,year on year.Figures are issued by the governments stastistical department.Bad news for labour and balance of payments.Gold the once dominant metal is down YOY on June by 14%.
Platinum Group Metals is down by 18%.Not good news for these labour intensive industries also bad news for our GDP.
Coal is now our number one export ,bringing the most money.Iron ore also brings more than Gold
3/8 ALERT
We are not the only country with a foreign exchange deficit it seems! India also is having problems at the moment.They have banned the import of physical gold to help balance their books.Soon they will only allow the import of gold that will exit in jewellery.As gold pays such a big part in their culture,this move has sent the price of their own gold sky high!
-------------------------------------------
NOTE 6 See Naomi's recource updates above in the index
Note 5 See international property update on 8/8/2013 above,"PART A"
Note 4. Whats happening to Naomi?....bnlifestyle10. blogspot .com
Note 3 . See the NEW resource pages on large caps by Barry in the index above.
Note 2. Use the LABELS in the side-bar and at the bottom of articles to group subjects you might want to research.
Note 1 . Remember the newest updates are at the bottom of the index above.
According to the world bank and South African chamber of Mines last year over half a million people were still employed in the mining industry.We are also the fifth largest producer of gold ,also produce 47%of the worlds chrome used in super alloys,also a large exporter of coal and diamonds.
Our immediate neighbours sharing borders with us name Namibia is a large exporter of Uranium alsoDiamonds,Botswana diamonds and Mozambique coal and one of the few producers outside China of Rare earth minerals. In Central Africa there is the DM Congo that supplies rare earths such as tantalum,cobalt and also diamonds.
South Africa produces over 72% of the Platinum used in the world
and 83% of the Rhodium for Catalytic converters and other industrial uses.
See rest of this article beneath Alerts and Notes
28/8 ALERT
Tensions are rising world-wide this morning as the Syrian crises is likely to spill over into
more bloodshed with the world powers taking sides.In South Africa we have serious trade union wars in a fight about turf escalating now.The more moderate NUM union has also upped its demands to compete with the more radical unions.Most of the demands now are completely unnatainable,which could bring our country to its knees.The mining of minerals is likely to decrease to a trickle and many mines would forced to close permanently.
9/8 ALERT
SOUTH AFRICAS gold and platinum production continues to decline,year on year.Figures are issued by the governments stastistical department.Bad news for labour and balance of payments.Gold the once dominant metal is down YOY on June by 14%.
Platinum Group Metals is down by 18%.Not good news for these labour intensive industries also bad news for our GDP.
Coal is now our number one export ,bringing the most money.Iron ore also brings more than Gold
3/8 ALERT
We are not the only country with a foreign exchange deficit it seems! India also is having problems at the moment.They have banned the import of physical gold to help balance their books.Soon they will only allow the import of gold that will exit in jewellery.As gold pays such a big part in their culture,this move has sent the price of their own gold sky high!
-------------------------------------------
NOTE 6 See Naomi's recource updates above in the index
Note 5 See international property update on 8/8/2013 above,"PART A"
Note 4. Whats happening to Naomi?....bnlifestyle10. blogspot .com
Note 3 . See the NEW resource pages on large caps by Barry in the index above.
Note 2. Use the LABELS in the side-bar and at the bottom of articles to group subjects you might want to research.
Note 1 . Remember the newest updates are at the bottom of the index above.
According to the world bank and South African chamber of Mines last year over half a million people were still employed in the mining industry.We are also the fifth largest producer of gold ,also produce 47%of the worlds chrome used in super alloys,also a large exporter of coal and diamonds.
Our immediate neighbours sharing borders with us name Namibia is a large exporter of Uranium alsoDiamonds,Botswana diamonds and Mozambique coal and one of the few producers outside China of Rare earth minerals. In Central Africa there is the DM Congo that supplies rare earths such as tantalum,cobalt and also diamonds.
Monday, July 1, 2013
IMPORTANT VISITOR
President Obama has visited our shores.This is of great importance to us as we are the leading most advanced country on the African continent. He has agreed to push congress to pass an extension to the AGOA agreement which gives forty four countries in Africa almost duty free entry for a variety of products.He also asked for South Africa to consider an agreement which let USA products into our country duty free. Such a free trade agreement could only be to our advantage in the future.
Rest of article below Alerts and Notes
18/7 ALERT
Great news for us is that the private sector will also help to overcome our electricity shortage by generating and selling direct to ESCOM,our largest
coal mining group ,namely EXXARO will also get in on the act by setting up ,with the help of a French firm a power station on the new Limpopo coal field.This is still in the first phase so power shortages are likely to be with us for at least five years.Coal burning power stations are eco friendly these days ,so are not likely to decrease our carbon credits.
9/7 ALERT
The Gold price is shrinking and some econominsts and traders think it could plummet to around $300 per ounce.
I myself think this is highly unlikely as Gold forms part of every reserve bank in the world.It is the source of last resort in a crises ,when paper money fails.As an example Cyprus was told to pay over their entire gold holding over,when they ran into trouble last year by the European Union.
For the sakes of the reserve banks they are likely to buy in gold around $700 per ounce if for now other reason than to preserve their assets.
At the moment the Indian wedding gold market is dead as they are relying on scrap gold to fund their needs.They and every other buyer are not buying to see how low gold will go as then they can get in at bargain prices.
NOTE 4 Go to Pawsitively Adorable Pets to see how to train potty train your puppy with out bribery or harsh methods.See Naomi's blog below for the address.
NOTE 3 See Naomi's latest Resource update 17/7/2013
http://2010plusstocktrends.blogspot.com
Note 2 Remember the latest update is always at the bottom of the index above.
Note 1 See Naomi's Technical update mentioned above.
He also pledged funds for the supply of electricity for some of the most backward countries in Africa, a good start.Hopefully other major countries will add to this fund.As we all know,electricity leads to a higher standard of living and will lead to the advancement of the continent .
Finally I heard him say in one of his speeches that corruption must be eliminated as no company would be willing to enter a new mining venture say if they had to employ a relative of a government official! Also our government and others on the continent must keep taxes realisticly lower to encourage trade so all can make a living and make it worthwhile to invest.
Rest of article below Alerts and Notes
18/7 ALERT
Great news for us is that the private sector will also help to overcome our electricity shortage by generating and selling direct to ESCOM,our largest
coal mining group ,namely EXXARO will also get in on the act by setting up ,with the help of a French firm a power station on the new Limpopo coal field.This is still in the first phase so power shortages are likely to be with us for at least five years.Coal burning power stations are eco friendly these days ,so are not likely to decrease our carbon credits.
9/7 ALERT
The Gold price is shrinking and some econominsts and traders think it could plummet to around $300 per ounce.
I myself think this is highly unlikely as Gold forms part of every reserve bank in the world.It is the source of last resort in a crises ,when paper money fails.As an example Cyprus was told to pay over their entire gold holding over,when they ran into trouble last year by the European Union.
For the sakes of the reserve banks they are likely to buy in gold around $700 per ounce if for now other reason than to preserve their assets.
At the moment the Indian wedding gold market is dead as they are relying on scrap gold to fund their needs.They and every other buyer are not buying to see how low gold will go as then they can get in at bargain prices.
NOTE 4 Go to Pawsitively Adorable Pets to see how to train potty train your puppy with out bribery or harsh methods.See Naomi's blog below for the address.
NOTE 3 See Naomi's latest Resource update 17/7/2013
http://2010plusstocktrends.blogspot.com
Note 2 Remember the latest update is always at the bottom of the index above.
Note 1 See Naomi's Technical update mentioned above.
He also pledged funds for the supply of electricity for some of the most backward countries in Africa, a good start.Hopefully other major countries will add to this fund.As we all know,electricity leads to a higher standard of living and will lead to the advancement of the continent .
Finally I heard him say in one of his speeches that corruption must be eliminated as no company would be willing to enter a new mining venture say if they had to employ a relative of a government official! Also our government and others on the continent must keep taxes realisticly lower to encourage trade so all can make a living and make it worthwhile to invest.
Saturday, June 1, 2013
CHANGING STRATERGIES
The South African Economy has hit a speed bump. For about six months our balance of payments have been in deficit A main contributor is that our main trading zone namely Europe is also in recession.There for all the resource products we supply prices have been softer than usual.
See rest of article below notes and alerts
28/6 ALERT
With the price of gold falling ,some investors are confused,about the safe haven aspect of the metal.Well,lets see whats happening now.First of all,many mines are on the ropes and are closing or coming very near to close as they are already working at a loss,due to high wages ,fuel and electricity costs.In the case of an increase in price these mines mostly are unable to take up where they left off as water drainage,unsafe working areas and dwindling gold ores will make it almost impossible to contemplate mining with out a sustained doubling of the gold price.Gold is a last resort source of money in a crises.Every one was relying on China to provide never ending demand for all types of products.This is now proving to be a false asset.Shares to a certain extent are also a store of wealth if chosen in a sector that that can be traded for other goods.As less is being mined it is likely to rise in price due to shortages in due course.
21/6 ALERT
SHALE GAS IS THE THE NEXT BIG THING THAT CAN DRIVE OUR ECONOMY.WE HAVE TRILLIONS OF RANDS WORTH IN THE KAROO REGIONS,WE MUST JUST GET ON WITH IT.MOZANBIQUE AND OTHER AFRICAN REGIONS ARE GOING TO BY PASS US AS WE ARE PLACING TOO MUCH EMPASIS ON RULES AND REGULATIONS AND ON DOWN LINE BENEFICATION! LETS FIRST GET STARTED THEN DECIDE ON LEGISLATION!
6/6 ALERT PRESIDENT ZUMA has declared zero tolerance against wildcat strikes as these harm the economy as there are legal means that can be followed if the workeASrs feel they must strike after negotiations have broken down with employees. Further he stated turf wars between different trade unions won't be tolerated again as this has led to loss of life in the past year.
NOTES.
NO 5. Definitely NOT worth a visit is http://bnlifestyle10.blogspot.com
so avoid at all costs!
NO4. Naomi has re-set and updated her resource page .See her Tech and Resource blog on 11June above.
No 3 Do read Part A and Part B of the real estate round up on the pages index above.
No 2 The newest updates above are always at the bottom of the above index.
N0 1 The two most popular pages above are the Autumn and Spring Share and Derivative Comments .In third place is My specialist Watchlist .In fourth place is the Real Estate pages and fifth place the
Top 40 watchlist
Article Continued:
The USA economy is showing signs of picking up,meanwhile their stock exchange has run ahead of the real economic growth and is reaching all time highs.This state of affairs is also being fed by their reserve bank printing money with out fiscal backing,also known as quantitive easing.Europe is following a more conservative monetary policy so their Euro is weakening against the Dollar.Most of our resources are quoted and sold in USA Dollars.
To add to this mix there is a genuine fear of third world politics interfering with profits.Our inarticulate top politicans unfortunately do not help matters by making wild statements with out much thought.
The South African Rand has stayed very strong till last week.It has suddenly lost 12% of its value,but shows signs of not going to fall much further and might stage a recovery later in the year.
Our Stocks and Shares all came off this week rather sharply.
Most are now oversold,but knowing how the market reacts its likely to retreat further.Probably it will pick up again from July onwards.Resources and shares with foreign content are now coming into vogue.
See rest of article below notes and alerts
28/6 ALERT
With the price of gold falling ,some investors are confused,about the safe haven aspect of the metal.Well,lets see whats happening now.First of all,many mines are on the ropes and are closing or coming very near to close as they are already working at a loss,due to high wages ,fuel and electricity costs.In the case of an increase in price these mines mostly are unable to take up where they left off as water drainage,unsafe working areas and dwindling gold ores will make it almost impossible to contemplate mining with out a sustained doubling of the gold price.Gold is a last resort source of money in a crises.Every one was relying on China to provide never ending demand for all types of products.This is now proving to be a false asset.Shares to a certain extent are also a store of wealth if chosen in a sector that that can be traded for other goods.As less is being mined it is likely to rise in price due to shortages in due course.
21/6 ALERT
SHALE GAS IS THE THE NEXT BIG THING THAT CAN DRIVE OUR ECONOMY.WE HAVE TRILLIONS OF RANDS WORTH IN THE KAROO REGIONS,WE MUST JUST GET ON WITH IT.MOZANBIQUE AND OTHER AFRICAN REGIONS ARE GOING TO BY PASS US AS WE ARE PLACING TOO MUCH EMPASIS ON RULES AND REGULATIONS AND ON DOWN LINE BENEFICATION! LETS FIRST GET STARTED THEN DECIDE ON LEGISLATION!
6/6 ALERT PRESIDENT ZUMA has declared zero tolerance against wildcat strikes as these harm the economy as there are legal means that can be followed if the workeASrs feel they must strike after negotiations have broken down with employees. Further he stated turf wars between different trade unions won't be tolerated again as this has led to loss of life in the past year.
NOTES.
NO 5. Definitely NOT worth a visit is http://bnlifestyle10.blogspot.com
so avoid at all costs!
NO4. Naomi has re-set and updated her resource page .See her Tech and Resource blog on 11June above.
No 3 Do read Part A and Part B of the real estate round up on the pages index above.
No 2 The newest updates above are always at the bottom of the above index.
N0 1 The two most popular pages above are the Autumn and Spring Share and Derivative Comments .In third place is My specialist Watchlist .In fourth place is the Real Estate pages and fifth place the
Top 40 watchlist
Article Continued:
The USA economy is showing signs of picking up,meanwhile their stock exchange has run ahead of the real economic growth and is reaching all time highs.This state of affairs is also being fed by their reserve bank printing money with out fiscal backing,also known as quantitive easing.Europe is following a more conservative monetary policy so their Euro is weakening against the Dollar.Most of our resources are quoted and sold in USA Dollars.
To add to this mix there is a genuine fear of third world politics interfering with profits.Our inarticulate top politicans unfortunately do not help matters by making wild statements with out much thought.
The South African Rand has stayed very strong till last week.It has suddenly lost 12% of its value,but shows signs of not going to fall much further and might stage a recovery later in the year.
Our Stocks and Shares all came off this week rather sharply.
Most are now oversold,but knowing how the market reacts its likely to retreat further.Probably it will pick up again from July onwards.Resources and shares with foreign content are now coming into vogue.
Friday, May 3, 2013
MAY UPDATES: COAL'S FUTURE ROLE IN SOUTHERN AFRICA
ALERT 16/5/2013
The supply of coal will have a positive effect upon the economies of Southern Africa, during this centuary and well into the next one.
Luckily we are well endowned with reserves in Southern Africa.
The new methods of working with coal gives a cleaner burn and the new lower use of water will keep this as the primary source well into the next centuary as coal burn power stations are more economical to build than nuclear power stations.
Our present coal power stations are mostly in the Mpumalanga province and are built on the coal fields.This coal is now likely to run out in about fifteen years time.Luckily we have vast reserves of all grades of COAL in the LIMPOPO Province in the Waterberg range of moutains that are both in this province and the neighbouring country of BOTSWANA.
Since coal is supplied to Escom at a lower price it will be necessary to export at least one third of the better coal to pay for the costs of developing this coal field.
The government understands the value of this vast project.There for they are backing the building of new rail links to export and supply existing power stations.
This rail link is likely to extend into Botswana and to the nearest export port which is developed for coalexports,namely Richard's Bay.
These coal fields give themselves to mechanical means of extraction and therefore not require vast amounts of labour.Surely EXX will probably gain the most traction from this venture?
ALERT 8/5/2013
PLATINUM GROUP AND GOLD MINERS have become "leaner and meaner" as time has gone on and have cut off all the wastefull methods they used in the past.The good news is they will survive.The prices of metals is likely to rise during wage negotiations in South Africa ,but later in this year fall back again.How ever the absence of new mines owing to the high costs and the falling of production in both the United States and South Africa will add to the demand side not meeting their targets.The price is then likely to increase steadily from late next year onwards
NOTES
1. SEE NAOMI'S RESOURCE UPDATE ON 6,8 MAY.SHE THINKS SMALLER PLATINUM MINES ARE SHOWING THE FIRST GLIMMER OF RECOVERY.
The supply of coal will have a positive effect upon the economies of Southern Africa, during this centuary and well into the next one.
Luckily we are well endowned with reserves in Southern Africa.
The new methods of working with coal gives a cleaner burn and the new lower use of water will keep this as the primary source well into the next centuary as coal burn power stations are more economical to build than nuclear power stations.
Our present coal power stations are mostly in the Mpumalanga province and are built on the coal fields.This coal is now likely to run out in about fifteen years time.Luckily we have vast reserves of all grades of COAL in the LIMPOPO Province in the Waterberg range of moutains that are both in this province and the neighbouring country of BOTSWANA.
Since coal is supplied to Escom at a lower price it will be necessary to export at least one third of the better coal to pay for the costs of developing this coal field.
The government understands the value of this vast project.There for they are backing the building of new rail links to export and supply existing power stations.
This rail link is likely to extend into Botswana and to the nearest export port which is developed for coalexports,namely Richard's Bay.
These coal fields give themselves to mechanical means of extraction and therefore not require vast amounts of labour.Surely EXX will probably gain the most traction from this venture?
ALERT 8/5/2013
PLATINUM GROUP AND GOLD MINERS have become "leaner and meaner" as time has gone on and have cut off all the wastefull methods they used in the past.The good news is they will survive.The prices of metals is likely to rise during wage negotiations in South Africa ,but later in this year fall back again.How ever the absence of new mines owing to the high costs and the falling of production in both the United States and South Africa will add to the demand side not meeting their targets.The price is then likely to increase steadily from late next year onwards
NOTES
1. SEE NAOMI'S RESOURCE UPDATE ON 6,8 MAY.SHE THINKS SMALLER PLATINUM MINES ARE SHOWING THE FIRST GLIMMER OF RECOVERY.
Monday, April 1, 2013
The Stripping of South African Resource Assets Part 2
Unfortunatly remarks by members of our government from time to time harm our image.Things are not that bad on the ground,but those utterings take center stage in the overseas news media which unsettles investors.
See rest of article below Alerts and Notes.
ALERT 17/4/2013
Investors and some traders have been surprised by the fact that GOLD and PLATINUM prices dropped when China and other countries failed to meet their targets and their currencies declined.After all these resources were supposed to be the final currency which should protect them from such events!
Well all reserve banks world-wide still carry GOLD as a reserve currency so it certainly has value as a basis for paper currencies.
In the past gold went up when paper printed currencies went down,but not of late.Now gold increases as the stock market of a country increases in value.The price increases for all the wrong reasons.So speculators had driven the price up.
The physical demand accounts for about a third of newly mined gold ,reserve banks absorb another third and finally hoarders and speculators hold the rest.The price is unlikely to fall below $900 per ounce as this would have a devistating effect upon governments capital held.
.
ALERT 12/1/2013
COMMeERZ BANK noted at the beginning of this month that "Monetary turmoil is not easing notably,but accelerating worldwide.The only true value currency out there is gold"
A startling statement to make for a rather conservative institution!I see that some other commentators include precious metals of the platinum group as well.Rhodium and Platinum both could be included as there is not enough gold to satisfy the demand of central banks worldwide.Many institutions feel these metals should back quantitive easing money as such easing can not carry on indefinitely as it devalues currency and leads to quickening of the inflation cycle.
ALERT 1/4/2013
There is a growing surplus of steel and coal starting to develop world wide,caused by industry "jumping the gun" and winding up production before there is a genuine demand for their products.The recession is easing and in time the world will recover,but the recovery is likely to be very slow this year.
Note 1.The latest update can be found at
the bottom of the index list above.
Note 2.Use the labels in the side-bar or at the bottom of articles to group subjects which makes research easier
Note 3.Thank goodness Naomi is back! See her technical analysis for derivatives above.
The minister of mining Shabangu was unsettled by the choice of the new CEO of Anglo American(Mark Cutifani replacing Cynthia Carol with out informing or consulting her beforehand.Actually its none of her business!),the international company with its main listing in the UK and remarked that it must be remembered that it was a South African company that had its main listing on the JSE before 1994, migrating to the FTSE there after.She conveinently forgets this company ( the fourth largest in the world) received about 90% of its development capital from overseas.They helped open up South Africa to be the resources gaint it is today,to say nothing of the taxes it pays and the knock on effect of many industries that serve the mining and other sectors. The Kumba storey where they gave their mining concession to a rival which had members of families of the government ministers comes to mind .Thank goodnes for our law courts which are untainted by scandal.They reversed this decision.Anglo American (AGL) has behaved impeccably as they have given a fair portion of their development capital to Southern Africa.See rest of article below Alerts and Notes.
ALERT 17/4/2013
Investors and some traders have been surprised by the fact that GOLD and PLATINUM prices dropped when China and other countries failed to meet their targets and their currencies declined.After all these resources were supposed to be the final currency which should protect them from such events!
Well all reserve banks world-wide still carry GOLD as a reserve currency so it certainly has value as a basis for paper currencies.
In the past gold went up when paper printed currencies went down,but not of late.Now gold increases as the stock market of a country increases in value.The price increases for all the wrong reasons.So speculators had driven the price up.
The physical demand accounts for about a third of newly mined gold ,reserve banks absorb another third and finally hoarders and speculators hold the rest.The price is unlikely to fall below $900 per ounce as this would have a devistating effect upon governments capital held.
.
ALERT 12/1/2013
COMMeERZ BANK noted at the beginning of this month that "Monetary turmoil is not easing notably,but accelerating worldwide.The only true value currency out there is gold"
A startling statement to make for a rather conservative institution!I see that some other commentators include precious metals of the platinum group as well.Rhodium and Platinum both could be included as there is not enough gold to satisfy the demand of central banks worldwide.Many institutions feel these metals should back quantitive easing money as such easing can not carry on indefinitely as it devalues currency and leads to quickening of the inflation cycle.
ALERT 1/4/2013
There is a growing surplus of steel and coal starting to develop world wide,caused by industry "jumping the gun" and winding up production before there is a genuine demand for their products.The recession is easing and in time the world will recover,but the recovery is likely to be very slow this year.
Note 1.The latest update can be found at
the bottom of the index list above.
Note 2.Use the labels in the side-bar or at the bottom of articles to group subjects which makes research easier
Note 3.Thank goodness Naomi is back! See her technical analysis for derivatives above.
The trade unions are letting us down by repeated wild-cat strikes,which our weak government almost condones.This plus the recession almost brought Angloplat to its knees.Now AGL has to find the funds to re-finance the company again.
Do read the stripping of our assets part 1.
See the side-bar for POPULAR POSTS
Friday, March 1, 2013
Major resources present OPPORTUNITY !
The sell-off of South African
mineral resources has been
over done. One finds it is
usually the overseas mutual
funds that are the most
skittish. (See the rest of the article below the Alerts and notes)
ALERT.26/3/2013
Utah in the United States passed a law a couple of years ago to make trading in SILVER and GOLD COINS LEGAL TENDER. Now Arizona is considering similar legislation.This all very revelent in the light of the Cyprus government seizing bank deposits of its citizens.
Now in Utah the holdings of silver and gold which private citizens use as currency has doubled.There is no tax upon currencies .This can have a stabilising effect upon Gold and silver.The coins are valued at their intrinsic value which varies daily.Many are kept in depositries or as we keep our coins at home.Then a coin card can be swiped.
ALERT.20/3/2013
We hope tht government does not fall into the trap the rest of Africa has in believing the mines are making a killing when they have an extra big pay out of dividends to their share holders as this is an event that happens rarely these days.They forget that a mining company can go years with out paying a dividend and such an event compensates the long suffering shareholders for their patience.They should stop talking about "windfall taxes" !
ALERT. 13/3/2013
1.The poor performance of the Rand is now caused by our foreign exchange deficit.The immediate way to improve the deficit is to attract more investment capital to South Africa,a difficult task as there are government politicians that discourage investment by their utterings at every turn.Also the tax regime on foreign investment should be made less onerous.A great many countries are vieing for these funds by giving all kinds of incentives.
2.The wild cat strikes at EXXARO over production bonuses is regrettable.This can lead to coal shortages and electriccal shortages this winter.
DAY 13 PM
THE STRIKERS ARE STARTING TO RETURN TO WORK.UNFORTUNATELY WILD CAT STRIKES SEEM TO BECOMING THE NORM ON ALL KINDS OF MINES FOR FRIVILOUS REASONS.THIS MUST BE BROUGHT UNDER CONTROL
ALERT. 7/3/2013
SHARES ON THE DOW HAVE REACHED THEIR HIGHEST POINT EVER.IF ONE REALISES THAT THE LAST TIME THAT THEY REACHED THAT POINT WAS FIVE YEARS AGO THEN REALLY THEY STILL HAVE A WAY TO GO THEY REALLY BECOME OVERBOUGHT.
THE PE RATIO NOW AVERAGES AROUND 14. AT THE HEIGHT OFTHE DOTCOM BUBBLE IT WAS AROUND AN AVERAGE OF 19.
THAT SAID,IT MUST BE REMEMBERED THAT ITS THE FED PUMPING MORE MONEY INTO THEIR ECONOMY(US $) THATS LETTING THEIR SHARE PRICES RISE AS ITS THE ONLY PLACE THEY CAN GET A DECENT RETURN ON THEIR CAPITAL.THEIR ECONOMY IS STILL SLUGGISH.
NOTE 1.The latest updates are at the bottom of the index list above
NOTE 2.Visit the NEW page six of Small/Mid cap shares on index above for the latest share movements.
NOTE 3.In the absence of Naomi I am updating Technical analysis this month-Barry see above.
NOTE 4. The Platinum report has been replaced by THE GOLD AND PLATINUM REVEIW . See the First new report above.
The major resource holding companies and mining groups continue to hold and increase their holdings when appropiate as now bargains abound.Since 1894 when Gold was first discovered in South Africa the mining of all kinds of resources has been fairly turbulent.How ever those that stayed invested were justly greatly rewarded.Of course our government does not always act in the best interests of mining and should be critisised for their actions,but it is worth mentioning that it is not government policy to nationalise the mines and this stance is unlikely to change.As with most of the world at the moment there is a great deal of discontent with a high unimployment rate.As the world recovers there will be more opportunity for jobs in industry and mining and then tensions are likely to ease.
mineral resources has been
over done. One finds it is
usually the overseas mutual
funds that are the most
skittish. (See the rest of the article below the Alerts and notes)
ALERT.26/3/2013
Utah in the United States passed a law a couple of years ago to make trading in SILVER and GOLD COINS LEGAL TENDER. Now Arizona is considering similar legislation.This all very revelent in the light of the Cyprus government seizing bank deposits of its citizens.
Now in Utah the holdings of silver and gold which private citizens use as currency has doubled.There is no tax upon currencies .This can have a stabilising effect upon Gold and silver.The coins are valued at their intrinsic value which varies daily.Many are kept in depositries or as we keep our coins at home.Then a coin card can be swiped.
ALERT.20/3/2013
We hope tht government does not fall into the trap the rest of Africa has in believing the mines are making a killing when they have an extra big pay out of dividends to their share holders as this is an event that happens rarely these days.They forget that a mining company can go years with out paying a dividend and such an event compensates the long suffering shareholders for their patience.They should stop talking about "windfall taxes" !
ALERT. 13/3/2013
1.The poor performance of the Rand is now caused by our foreign exchange deficit.The immediate way to improve the deficit is to attract more investment capital to South Africa,a difficult task as there are government politicians that discourage investment by their utterings at every turn.Also the tax regime on foreign investment should be made less onerous.A great many countries are vieing for these funds by giving all kinds of incentives.
2.The wild cat strikes at EXXARO over production bonuses is regrettable.This can lead to coal shortages and electriccal shortages this winter.
DAY 13 PM
THE STRIKERS ARE STARTING TO RETURN TO WORK.UNFORTUNATELY WILD CAT STRIKES SEEM TO BECOMING THE NORM ON ALL KINDS OF MINES FOR FRIVILOUS REASONS.THIS MUST BE BROUGHT UNDER CONTROL
ALERT. 7/3/2013
SHARES ON THE DOW HAVE REACHED THEIR HIGHEST POINT EVER.IF ONE REALISES THAT THE LAST TIME THAT THEY REACHED THAT POINT WAS FIVE YEARS AGO THEN REALLY THEY STILL HAVE A WAY TO GO THEY REALLY BECOME OVERBOUGHT.
THE PE RATIO NOW AVERAGES AROUND 14. AT THE HEIGHT OFTHE DOTCOM BUBBLE IT WAS AROUND AN AVERAGE OF 19.
THAT SAID,IT MUST BE REMEMBERED THAT ITS THE FED PUMPING MORE MONEY INTO THEIR ECONOMY(US $) THATS LETTING THEIR SHARE PRICES RISE AS ITS THE ONLY PLACE THEY CAN GET A DECENT RETURN ON THEIR CAPITAL.THEIR ECONOMY IS STILL SLUGGISH.
NOTE 1.The latest updates are at the bottom of the index list above
NOTE 2.Visit the NEW page six of Small/Mid cap shares on index above for the latest share movements.
NOTE 3.In the absence of Naomi I am updating Technical analysis this month-Barry see above.
NOTE 4. The Platinum report has been replaced by THE GOLD AND PLATINUM REVEIW . See the First new report above.
The major resource holding companies and mining groups continue to hold and increase their holdings when appropiate as now bargains abound.Since 1894 when Gold was first discovered in South Africa the mining of all kinds of resources has been fairly turbulent.How ever those that stayed invested were justly greatly rewarded.Of course our government does not always act in the best interests of mining and should be critisised for their actions,but it is worth mentioning that it is not government policy to nationalise the mines and this stance is unlikely to change.As with most of the world at the moment there is a great deal of discontent with a high unimployment rate.As the world recovers there will be more opportunity for jobs in industry and mining and then tensions are likely to ease.
Friday, February 1, 2013
Miners Dilemma !
PRECIOUS METAL MINERS have had to deal with unexpected circumstances of late in our country,South Africa and the rest of the world. See article below Notes and Alerts .
ALERT Day 20
SIBANYE mine has closed a shaft at the Beatrice Mine after a fire broke out there.The falling gold price has not helped matters .Now seperate from GFI it is mineral rich and consists of the older parts of the then GOLDFIELDS CONGLOMERATE.Sure its gold is expected to run out around 2030,but in the meantime it will produce good dividends.
ALERT Day 8.
25%OF SOUTH AFRICAS working population is either directly or indirectly dependent on mining,states Anglo American for their income.
NOTE 1.The newest update of the pages above is at the bottom of the index list above
NOTE 2.See above Naomi has updated her analysis
Both Platinum and Gold mines should be making a great recovery now as the share prices of other types of mines and industries recover as the world emerges from the long recession,but they are not.
The question should be asked why?
Well Gold has not as many industrial uses and is more a store of wealth to be held in times when the ecomonies are suffering.
Platinum group metals on the other hand are both in demand as precious metals and have a myriad of industrial uses.
So why is the Platinum price not increasing at a greater pace than it did after the last recession in the ninety nineties?In fact it is struggling to increase at a pace greater than the gold price.The platinum price is now around $1700 as is gold.The price after the last recession reached $2200 per ounce!
The answer is that then there was absolutely no platinum recovery process in place.Now there is a recovery industry which collects scrap platinum metal from spent catylitic converters. The recovery rate is above 90%.This can then be sold to the users at a price well below the newly mined platinum price.
Palladium and rhodium can also be recovered but as they are not such a threat as the scap platinum recovery is to newly mined platinum.
Rising costs and inflation has rendered about half the platinum group mines unprofitable.Many of the gold producers are suffering a similar fate. See the latest update in the index above on 12 feb 2013.
ALERT Day 20
SIBANYE mine has closed a shaft at the Beatrice Mine after a fire broke out there.The falling gold price has not helped matters .Now seperate from GFI it is mineral rich and consists of the older parts of the then GOLDFIELDS CONGLOMERATE.Sure its gold is expected to run out around 2030,but in the meantime it will produce good dividends.
ALERT Day 8.
25%OF SOUTH AFRICAS working population is either directly or indirectly dependent on mining,states Anglo American for their income.
NOTE 1.The newest update of the pages above is at the bottom of the index list above
NOTE 2.See above Naomi has updated her analysis
Both Platinum and Gold mines should be making a great recovery now as the share prices of other types of mines and industries recover as the world emerges from the long recession,but they are not.
The question should be asked why?
Well Gold has not as many industrial uses and is more a store of wealth to be held in times when the ecomonies are suffering.
Platinum group metals on the other hand are both in demand as precious metals and have a myriad of industrial uses.
So why is the Platinum price not increasing at a greater pace than it did after the last recession in the ninety nineties?In fact it is struggling to increase at a pace greater than the gold price.The platinum price is now around $1700 as is gold.The price after the last recession reached $2200 per ounce!
The answer is that then there was absolutely no platinum recovery process in place.Now there is a recovery industry which collects scrap platinum metal from spent catylitic converters. The recovery rate is above 90%.This can then be sold to the users at a price well below the newly mined platinum price.
Palladium and rhodium can also be recovered but as they are not such a threat as the scap platinum recovery is to newly mined platinum.
Rising costs and inflation has rendered about half the platinum group mines unprofitable.Many of the gold producers are suffering a similar fate. See the latest update in the index above on 12 feb 2013.
Tuesday, January 1, 2013
The new year awakens !
Obviously we are going to try to avoid last years mistakes and do the right things to be very successful ,but just remember;
"The greatest mistake you can make in life ,is to be continually afraid that you are going to make one" ELBERT HUBBARD.
ALERT 24 JAN TWO REASONABLY PRICED RAND HEDGES NOW WITH STRONG FLOWS OF INCOME. REDEFINE INTERNATIONAL(RIN),TRENCOR(TRE)
ALERT 10 JAN
RESOURCE SHARES ARE ON THE MOVE.THE PLATINUM PRICE IS QUITE RAPIDLY CLOSING IN ON THE GOLD PRICE.CHINA IS PROVIDING SUPPORT TO WORLD RECOVERY AND AMERICA IS SLOWLY RECOVERING.THE DEMAND FOR ENERGY AND OTHER MINERALS FUELED BY INDUSTRIAL PRODUCTION IS RAMPING UP. IN DEMAND NOW IS PLATINUM AND COAL
1.The latest updates are mentioned at the BOTTOM OF THE INDEX LIST ABOVE
See Barry's latest comment on commercial real estate on part A real estate page on
the following blogspot
and also see Naomi's update of small resource shares AND her first comment on technical analysis Jan16
http://2010plusstocktrends.blogspot.com
"The greatest mistake you can make in life ,is to be continually afraid that you are going to make one" ELBERT HUBBARD.
ALERT 24 JAN TWO REASONABLY PRICED RAND HEDGES NOW WITH STRONG FLOWS OF INCOME. REDEFINE INTERNATIONAL(RIN),TRENCOR(TRE)
ALERT 10 JAN
RESOURCE SHARES ARE ON THE MOVE.THE PLATINUM PRICE IS QUITE RAPIDLY CLOSING IN ON THE GOLD PRICE.CHINA IS PROVIDING SUPPORT TO WORLD RECOVERY AND AMERICA IS SLOWLY RECOVERING.THE DEMAND FOR ENERGY AND OTHER MINERALS FUELED BY INDUSTRIAL PRODUCTION IS RAMPING UP. IN DEMAND NOW IS PLATINUM AND COAL
1.The latest updates are mentioned at the BOTTOM OF THE INDEX LIST ABOVE
See Barry's latest comment on commercial real estate on part A real estate page on
the following blogspot
and also see Naomi's update of small resource shares AND her first comment on technical analysis Jan16
http://2010plusstocktrends.blogspot.com
Saturday, December 1, 2012
DECEMBER The "FISCAL CLIFF"
FINAL ALERT 28/12/2012
The canny American Politicians realise that the Americans will have to fork out more money in taxes if America is to keep its super power status and other steps have to be taken to balance the budget, as well as keeping positive programs in their society.Never a popular move for any demoncratically elected government to take.Certain political suicide for any party associated with increases.So they are likely to let some of the fiscal cliff go through.Then they can propose softening the most contentious parts and that will be well received by all.They might just increase the debt ceiling now.
The wildcat strikes have taken their toll on especially Gold and Platinum mines .With out further structurng the majority are in or will run into a monetary deficit soon.
(See article below other info.)
The final updates for 2012 small cap shares are below the 2013 list on the web-site below and on recovery shares below the recovery watchlist for 2012
GO TO SOME REALLY GREAT SMALL CAP GAINS ON THE ALTEX ON PAGE 4
GO TO http://popgames12.blogspot.com
NEW ALERT 5/12.
On the VIX INDEX the lows are creeping upwards since the 12 Sept.The highs show no pattern in particular yet,but we can expect an upward move as the FISCAL CLIFF nears in January.As most of our resources are counted in Dollar terms,it is likely to have a devistating effect upon our share prices over the short term if no agreement is reached.
Info item no1(scroll down to find)
MOST POPULAR POSTS
IN MARCH 2012
1. THE STRIPPING OF SOUTH AFRICAN ASSETS
2. APRIL 2012 ECONOMICS AND GOLD
3. SEPTEMBER 2012 MARIKANA BOILS OVER
4. OCTOBER 2012 A POLITCAL PLAY
5. NOVEMBER 2012 A SLOW RETURN TO NORMALITY
INFO ITEM NO2
THE LATEST PAGE UPDATE ABOVE IS ALWAYS AT THE BOTTOM OF THE INDEX LIST ABOVE.THIS IS TO MAKE IT EASIER TO FIND.THEN THERE'S NO REASON TO PAGE THROUGH THE WHOLE INDEX FROM THE TOP EACH TIME.
INFO ITEM NO 3
ON THIS POST'S PAGES IN THE COMING MONTHS THE SMALL CAPS WLL BE MOVED TO THEIR OWN WEB PAGE.
THE LINK WLL ALWAYS BE AVAILABLE ABOVE
also SEE THE BUSNESS WEEK POST ON THIS NEW HOME:-
http://popgames12.blogspot.com
ARTICLE:-
THE MOST DISTURBING THING THE STRIKES WAS THE INSTRANGIGENCE AND VIOLENCE THAT WENT WITH THE ACTION.IT HAS LEFT AN UNCOMFORTABLE FEELING THAT WE ARE NOT ALL ON THE SAME PAGE!
THE MINES COULD NOT EVER COME NEAR WHAT WAS ASKED,HOW EVER THEY LOST SO MUCH IN PRODUCTION,THAT THEIR FUTURE IS NOT ASSURED.
THE MINE BOSSES HAVE VERY VALIANTLY COME FORWARD WITH PLANS TO SAVE THE DAY.
THE FIRST ONE WAS THE PLATINUM MINER AMPLATS WHO HAVE INFORMED US THAT THEY ARE DOING A COMPLETE REVEIW OF THEIR OPERATIONS AND WILL INFORM THE MARKET IN THE NEW YEAR OF THEIR DECISIONS.
GOLD FIELDS ARE SEPERATING SOME OF THEIR ASSETS FROM THE REST OF THEIR HOLDINGS . LONMIN IS RAISING A RIGHTS ISSUE.
THE REST WILL PROBABLY TAKE ACTION SOON.
The canny American Politicians realise that the Americans will have to fork out more money in taxes if America is to keep its super power status and other steps have to be taken to balance the budget, as well as keeping positive programs in their society.Never a popular move for any demoncratically elected government to take.Certain political suicide for any party associated with increases.So they are likely to let some of the fiscal cliff go through.Then they can propose softening the most contentious parts and that will be well received by all.They might just increase the debt ceiling now.
The wildcat strikes have taken their toll on especially Gold and Platinum mines .With out further structurng the majority are in or will run into a monetary deficit soon.
(See article below other info.)
The final updates for 2012 small cap shares are below the 2013 list on the web-site below and on recovery shares below the recovery watchlist for 2012
GO TO SOME REALLY GREAT SMALL CAP GAINS ON THE ALTEX ON PAGE 4
GO TO http://popgames12.blogspot.com
NEW ALERT 5/12.
On the VIX INDEX the lows are creeping upwards since the 12 Sept.The highs show no pattern in particular yet,but we can expect an upward move as the FISCAL CLIFF nears in January.As most of our resources are counted in Dollar terms,it is likely to have a devistating effect upon our share prices over the short term if no agreement is reached.
Info item no1(scroll down to find)
MOST POPULAR POSTS
IN MARCH 2012
1. THE STRIPPING OF SOUTH AFRICAN ASSETS
2. APRIL 2012 ECONOMICS AND GOLD
3. SEPTEMBER 2012 MARIKANA BOILS OVER
4. OCTOBER 2012 A POLITCAL PLAY
5. NOVEMBER 2012 A SLOW RETURN TO NORMALITY
INFO ITEM NO2
THE LATEST PAGE UPDATE ABOVE IS ALWAYS AT THE BOTTOM OF THE INDEX LIST ABOVE.THIS IS TO MAKE IT EASIER TO FIND.THEN THERE'S NO REASON TO PAGE THROUGH THE WHOLE INDEX FROM THE TOP EACH TIME.
INFO ITEM NO 3
ON THIS POST'S PAGES IN THE COMING MONTHS THE SMALL CAPS WLL BE MOVED TO THEIR OWN WEB PAGE.
THE LINK WLL ALWAYS BE AVAILABLE ABOVE
also SEE THE BUSNESS WEEK POST ON THIS NEW HOME:-
http://popgames12.blogspot.com
ARTICLE:-
THE MOST DISTURBING THING THE STRIKES WAS THE INSTRANGIGENCE AND VIOLENCE THAT WENT WITH THE ACTION.IT HAS LEFT AN UNCOMFORTABLE FEELING THAT WE ARE NOT ALL ON THE SAME PAGE!
THE MINES COULD NOT EVER COME NEAR WHAT WAS ASKED,HOW EVER THEY LOST SO MUCH IN PRODUCTION,THAT THEIR FUTURE IS NOT ASSURED.
THE MINE BOSSES HAVE VERY VALIANTLY COME FORWARD WITH PLANS TO SAVE THE DAY.
THE FIRST ONE WAS THE PLATINUM MINER AMPLATS WHO HAVE INFORMED US THAT THEY ARE DOING A COMPLETE REVEIW OF THEIR OPERATIONS AND WILL INFORM THE MARKET IN THE NEW YEAR OF THEIR DECISIONS.
GOLD FIELDS ARE SEPERATING SOME OF THEIR ASSETS FROM THE REST OF THEIR HOLDINGS . LONMIN IS RAISING A RIGHTS ISSUE.
THE REST WILL PROBABLY TAKE ACTION SOON.
Thursday, November 1, 2012
NOVEMBER A slow return to normality ?
The after effects of the labour disruptions,are being felt by every one in our country,but we are ever hopeful that the worst is behind us and in time the economy will recover fast enough to give us all a sustainable better life ! (See article below)
SEE NAOMI'S RESOURCE UPDATE ABOVE
NAOMI SAYS SHE HAS NEVER SEEN THE MARKET SO OVER SOLD GO TO HER TECH ANALYSIS ABOVE FOR MORE INFO 19/11/2012
USE LABELS UNDER POSTS TO CLUSTER LIKE SUBJECTS TOGETHER.ALSO SEE LABELS IN THE SIDE-BAR .
IF YOU WISH TO FOLLOW BY E-MAIL SEE BUTTON NEAR BOTTOM OF SIDE-BAR
The Gold mines are using collective bargaining which seems to be working for them,how ever the Platinum and Chrome mines in mostly North West ,Mupumalanga and Limpopo provinces are working towards this model,but are finding the going sticky.
I for one cannot see how this is going to work as there so many different types of mining procedure and richer on poorer ore bodies,opencast and tunnels etc.
The workers in these provinces as well as those coming from the Eastern Cape are highly politicised and seem to have a political agenda as well.There is a rumour that some of their basic needs are been seen to ,by elements unknown. The National Union of Mineworkers which is reconised held a meeting this week which was well attended,when rival organisions turned up armed to teeth half way through their meeting and tried to disrupt it.The police had their hands full keeping the two groups apart!
The platinum mines are now looking for various ways to save money as they are mostly working at a loss and raise money to carry on.
THE WORD MECHANISATION IS BEING BANDIED ABOUT.Let us not forget that about ten years ago Lonmin went ahead with such a scheme.At the time the other majors did not.Well it was an absolute flop as they lost out and made much less money at a time that platinum was thriving than their rivals .Some ore bodies of the platinum group are more than a thousand meters below ground!
1
SEE NAOMI'S RESOURCE UPDATE ABOVE
NAOMI SAYS SHE HAS NEVER SEEN THE MARKET SO OVER SOLD GO TO HER TECH ANALYSIS ABOVE FOR MORE INFO 19/11/2012
USE LABELS UNDER POSTS TO CLUSTER LIKE SUBJECTS TOGETHER.ALSO SEE LABELS IN THE SIDE-BAR .
IF YOU WISH TO FOLLOW BY E-MAIL SEE BUTTON NEAR BOTTOM OF SIDE-BAR
The Gold mines are using collective bargaining which seems to be working for them,how ever the Platinum and Chrome mines in mostly North West ,Mupumalanga and Limpopo provinces are working towards this model,but are finding the going sticky.
I for one cannot see how this is going to work as there so many different types of mining procedure and richer on poorer ore bodies,opencast and tunnels etc.
The workers in these provinces as well as those coming from the Eastern Cape are highly politicised and seem to have a political agenda as well.There is a rumour that some of their basic needs are been seen to ,by elements unknown. The National Union of Mineworkers which is reconised held a meeting this week which was well attended,when rival organisions turned up armed to teeth half way through their meeting and tried to disrupt it.The police had their hands full keeping the two groups apart!
The platinum mines are now looking for various ways to save money as they are mostly working at a loss and raise money to carry on.
THE WORD MECHANISATION IS BEING BANDIED ABOUT.Let us not forget that about ten years ago Lonmin went ahead with such a scheme.At the time the other majors did not.Well it was an absolute flop as they lost out and made much less money at a time that platinum was thriving than their rivals .Some ore bodies of the platinum group are more than a thousand meters below ground!
1
Monday, July 2, 2012
July Updates,Resources reveiws,Info Alerts.
The market is likely to gain moderately this month,probably with some gut wrenching reversals!
We have almost completed the format changes we have implemented over the last couple of months ,that our veiwers have asked for.We hope this will make this page easier to understand.
All updates are listed above in the index.The newest updates are towards the BOTTOM OF THE INDEX.
1.THE ARTICLES AND OTHER INFO WILL BE GIVEN BELOW (See below 03)
2.THE CURRENCY CONVERTER WAS ALSO A REQUEST FROM A NUMBER OF OUR VEIWERS NOW APPEARS ON THE STOCHASTIC ANALYSIS BLOG
http://2010plusstocktrends.blogspot.com/
3.LABELS ARE NOW HIGHER IN THE SIDE-BAR TO MAKE IT EASIER TO CLUSTER LIKE MINDED ARTICLES TOGETHER
Jul 03
1.I feel the reason,that the Gold price keeps falling these days is that there is no real crises in the world.The general feeling is that all countries are over coming their monetary crises.Now the Gold price only rises when the American Dollar strengthens,which is the reverse of what would happen in areal crises when gold would form the currency of last resort.Most buyers have not enough extra cash in these straighted times to buy Gold.Unless a major war seems to be looming Gold is likely to continue drifting,this might continue for years.So Gold is basically out of favour.
2. This is not the case with Platinum as its price will be higher than Gold as soon as recovery is in full swing as besides being used in jewellery in Asia is a precious metal,is used in catalytic converters and the ever cleaner fuel cell technology.
We have almost completed the format changes we have implemented over the last couple of months ,that our veiwers have asked for.We hope this will make this page easier to understand.
All updates are listed above in the index.The newest updates are towards the BOTTOM OF THE INDEX.
1.THE ARTICLES AND OTHER INFO WILL BE GIVEN BELOW (See below 03)
2.THE CURRENCY CONVERTER WAS ALSO A REQUEST FROM A NUMBER OF OUR VEIWERS NOW APPEARS ON THE STOCHASTIC ANALYSIS BLOG
http://2010plusstocktrends.blogspot.com/
3.LABELS ARE NOW HIGHER IN THE SIDE-BAR TO MAKE IT EASIER TO CLUSTER LIKE MINDED ARTICLES TOGETHER
Jul 03
1.I feel the reason,that the Gold price keeps falling these days is that there is no real crises in the world.The general feeling is that all countries are over coming their monetary crises.Now the Gold price only rises when the American Dollar strengthens,which is the reverse of what would happen in areal crises when gold would form the currency of last resort.Most buyers have not enough extra cash in these straighted times to buy Gold.Unless a major war seems to be looming Gold is likely to continue drifting,this might continue for years.So Gold is basically out of favour.
2. This is not the case with Platinum as its price will be higher than Gold as soon as recovery is in full swing as besides being used in jewellery in Asia is a precious metal,is used in catalytic converters and the ever cleaner fuel cell technology.
Wednesday, February 1, 2012
Febuary Updates
On the day updated thus-(10) We follow the Chinese method of order.i.e. Newest updates at the bottom of the index page(above)!
10 Naomi has updated her resource blog see addresss on 1 below (25)
9 Part two comment down below (18)
8. WINTER SHARE AND DERIVATIVE COMMENT (17)
7.NAOMI has updated her 2nd Stoch for Feb,It is very interesting.See no 1 below for address (15)
6 RECOVERY SHARES (13), (28)
5.SMALL/MID CAP UPDATE (9)
4.Alert update (7)
3.Autumn Share and Derivative update(6)
2.Comment for Febuary part 1 below (3)
1.Naomi has updated her first Stoch (2),(15)
go to- http://2010plusstocktrends.blogspot.com/
Comment update for Febuary
(PART TWO)
South Africa has placed a sur-charge on Brazil chicken exports of 60% as they accuse them of dumping here.Brazil denies it.
What ever the case it will take a long time to reverse this decision.This is a wonderful opportunity for our chicken producers that have been struggling for years.The prices of ASTRAL,RAINBOW and SOVERIGN should soar
Retailers are doing very well of late.since August last year WHL was not well thought of by most punters but has increased by34% which is the highest on the top 40 of shops.Now every one is following Spar and Shoprite and Masmart(WalMart).Yes they are doing fairly well.The worst performer in the top 40 is Pick and Pay.that is the one I shall follow with a p/e round12
PART ONE
1.Adding on what I wrote about Platinum and Gold last month THE PRICE OF PLATINUM IS LEAPING UP AND SHOULD OVERTAKE THE GOLD PRICE SOON,TAKE TODAY ; THE GOLD PRICE INCREASED BY US$ 7 AND PLATINUM BY US$27 !!!
Do also read the latest updates on the page above. " A developing resource"
ALSO
HAVE A LOOK AT LINKS TO OTHER INTERESTING BLOGS
10 Naomi has updated her resource blog see addresss on 1 below (25)
9 Part two comment down below (18)
8. WINTER SHARE AND DERIVATIVE COMMENT (17)
7.NAOMI has updated her 2nd Stoch for Feb,It is very interesting.See no 1 below for address (15)
6 RECOVERY SHARES (13), (28)
5.SMALL/MID CAP UPDATE (9)
4.Alert update (7)
3.Autumn Share and Derivative update(6)
2.Comment for Febuary part 1 below (3)
1.Naomi has updated her first Stoch (2),(15)
go to- http://2010plusstocktrends.blogspot.com/
Comment update for Febuary
(PART TWO)
South Africa has placed a sur-charge on Brazil chicken exports of 60% as they accuse them of dumping here.Brazil denies it.
What ever the case it will take a long time to reverse this decision.This is a wonderful opportunity for our chicken producers that have been struggling for years.The prices of ASTRAL,RAINBOW and SOVERIGN should soar
Retailers are doing very well of late.since August last year WHL was not well thought of by most punters but has increased by34% which is the highest on the top 40 of shops.Now every one is following Spar and Shoprite and Masmart(WalMart).Yes they are doing fairly well.The worst performer in the top 40 is Pick and Pay.that is the one I shall follow with a p/e round12
PART ONE
1.Adding on what I wrote about Platinum and Gold last month THE PRICE OF PLATINUM IS LEAPING UP AND SHOULD OVERTAKE THE GOLD PRICE SOON,TAKE TODAY ; THE GOLD PRICE INCREASED BY US$ 7 AND PLATINUM BY US$27 !!!
Do also read the latest updates on the page above. " A developing resource"
ALSO
HAVE A LOOK AT LINKS TO OTHER INTERESTING BLOGS
Monday, January 2, 2012
PROSPECTS in 2012
I have no intention of dwelling in the past,but feel it must be pointed out that last year produced a loss on the TOP 40 shares for the first time since 2008 on the JSE.Although South Africa fared better than all the other BRICS countries(developing nations) the loss was heavier for foreigners as they lost on average 20% of value due to the weakening of the Rand.
Now as to this year ,the crises in the Euro Zone is likely to continue for some time to come.The ultimate answer will no doubt lead to a re-structuring of the Euro-Union,but that is unlikely to happen for a number of years.Partial answers buy time and as those economies tighten their belts, they will start pulling out of the worst of the problem probably towards the end of 2012.
Now all this will have an effect upon RESOURCE PRICES pushing them down to lower levels.How ever on the other side of the coin,mines cannot cut costs any further as they are in greater number starting to run at losses worldwide,most are already tightening their belts,soon the smaller operations will start to close down and therefore one should only concentrate on larger projects as they can survive longer.Platinum and Gold miners have been hard hit in Southern Africa as with the weakening Rand inflation is moving their costs much higher.
Eventually a shortage of essential minerals such as iron and other related ores will develop and the recovering world will lead to better conditions again. 2013 will in all likeness be the start of another great up-swing
Now as to this year ,the crises in the Euro Zone is likely to continue for some time to come.The ultimate answer will no doubt lead to a re-structuring of the Euro-Union,but that is unlikely to happen for a number of years.Partial answers buy time and as those economies tighten their belts, they will start pulling out of the worst of the problem probably towards the end of 2012.
Now all this will have an effect upon RESOURCE PRICES pushing them down to lower levels.How ever on the other side of the coin,mines cannot cut costs any further as they are in greater number starting to run at losses worldwide,most are already tightening their belts,soon the smaller operations will start to close down and therefore one should only concentrate on larger projects as they can survive longer.Platinum and Gold miners have been hard hit in Southern Africa as with the weakening Rand inflation is moving their costs much higher.
Eventually a shortage of essential minerals such as iron and other related ores will develop and the recovering world will lead to better conditions again. 2013 will in all likeness be the start of another great up-swing
Saturday, October 1, 2011
October Comment
2.16/Oct
Well we are in a MIGHTY BEAR MARKET and have been there for four years already.We can only reach this conclusion with hindsight.No wonder it has been so difficult to automatically make a profit!Taking the top 40 since November 2007,the capital loss on Anglo is -27% Amplats -42%,Billiton a measly 13% gain.Most of the other top 40 and second teir shares outside these showed a loss,dividends were cut or reduced to token amounts.Of course there have been mini runs in this time and some shares defied these circumstances such as Exxaro +80%,Kumba+100% SAB +56%. For a change to really occur countries will have to find answers to remaining really solvent and create growth opportunities.
1.1/Oct
WELL RESOURCE SHARES SEEMED TO TUMBLE IN THE LAST FORTNIGHT ALONG WITH THE DOW.SURELY ONE MUST ASK WHY DID GOLD AND PLATINUM SEEMINGLY JOIN THIS TREND? AFTER ALL THEY ARE SUPPOSED BE A STORE OF WEALTH !
BOTH WENT DOWN BY ABOUT 20% IN VALUE!
THE ANSWER IS ACTUALLY THEY DID NOT FALL THAT FAR AS THE
U S $ STRENGTHENED AGAINST THE EURO BY ABOUT 12% AS MOSTLY ALL RESOURCES ARE QUOTED IN U S DOLLARS. THAT STILL LEAVES A FALL OF 8% OVER THAT PERIOD AS ORDINARY PEOPLE PANICKED,NOT UNDERSTANDING THE MECHANICS AND SOLD PUTTING DOWNWARD PRESSURE ON PRICES.THIS IS THE SECOND TIME THIS YEAR THAT PHENOMINON HAS PLAYED OUT.AS LONG AS NOT ENOUGH IS DONE TO STABILISE EUROPE THIS SITUATION MIGHT CONTINUE
GOLD IS LIKELY TO START INCREASING AGAIN SOON AS TREASURIES YEILD IS LOW AND NOT THAT SAFE.PLATINUM MIGHT TAKE A WHILE LONGER TO INCREASE IN PRICEAS DURING A RECESSION THERE MIGHT NOT BE SUCH A GREAT DEMAND .
I must add that the South African Rand closely follows the Euro as these countries are our main trading partners.
Well we are in a MIGHTY BEAR MARKET and have been there for four years already.We can only reach this conclusion with hindsight.No wonder it has been so difficult to automatically make a profit!Taking the top 40 since November 2007,the capital loss on Anglo is -27% Amplats -42%,Billiton a measly 13% gain.Most of the other top 40 and second teir shares outside these showed a loss,dividends were cut or reduced to token amounts.Of course there have been mini runs in this time and some shares defied these circumstances such as Exxaro +80%,Kumba+100% SAB +56%. For a change to really occur countries will have to find answers to remaining really solvent and create growth opportunities.
1.1/Oct
WELL RESOURCE SHARES SEEMED TO TUMBLE IN THE LAST FORTNIGHT ALONG WITH THE DOW.SURELY ONE MUST ASK WHY DID GOLD AND PLATINUM SEEMINGLY JOIN THIS TREND? AFTER ALL THEY ARE SUPPOSED BE A STORE OF WEALTH !
BOTH WENT DOWN BY ABOUT 20% IN VALUE!
THE ANSWER IS ACTUALLY THEY DID NOT FALL THAT FAR AS THE
U S $ STRENGTHENED AGAINST THE EURO BY ABOUT 12% AS MOSTLY ALL RESOURCES ARE QUOTED IN U S DOLLARS. THAT STILL LEAVES A FALL OF 8% OVER THAT PERIOD AS ORDINARY PEOPLE PANICKED,NOT UNDERSTANDING THE MECHANICS AND SOLD PUTTING DOWNWARD PRESSURE ON PRICES.THIS IS THE SECOND TIME THIS YEAR THAT PHENOMINON HAS PLAYED OUT.AS LONG AS NOT ENOUGH IS DONE TO STABILISE EUROPE THIS SITUATION MIGHT CONTINUE
GOLD IS LIKELY TO START INCREASING AGAIN SOON AS TREASURIES YEILD IS LOW AND NOT THAT SAFE.PLATINUM MIGHT TAKE A WHILE LONGER TO INCREASE IN PRICEAS DURING A RECESSION THERE MIGHT NOT BE SUCH A GREAT DEMAND .
I must add that the South African Rand closely follows the Euro as these countries are our main trading partners.
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