Gold bars the weaponry of choice against Ebola market contagion
InvestorIntelReport Week-in-Review: It’s intriguing how paranoia and gold seem to go hand in hand. And one can argue that there are few things in the world more terrifying than a virus that offers a painful death. InvestorIntel Gold, Base & Precious Metals clients up +9.83% last week and intriguingly, 60 Minutes has elected to run a gold wealth building story this evening. Undoubtedly a yin-yang remedy against the revelations of a terrifying media storyline this evening on just how easy a viral contagion can alter our global economic balance, I am remiss as to why else they would run this dated story other than the benefits of living in the Yukon to counter contagion.
Tonight’s storyline is about Shawn Ryan who in his quest to secure special Yukon mushrooms (undoubtedly for a salad) devised one of the most lucrative gold extraction processes in the world. According to one site, “In a few short years the Yukon went from less than $7 million in mineral exploration in 2002 to more than $300 million in 2011.” – and they credit Shawn.
If you watch the promo, one would think that we have a 2014 gold rush! Hurrah, if only that was true as I reflect on how many capital starved gold companies have been on the street trying to claw enough cash not to be one of many facing untimely delisting death.
Or do we have it wrong?
I called in the “big guns” this last week and my sources have confirmed my thoughts. One stated that “we are in a bear run” and then continued with “prepare for a vicious bear cycle. “ Now the good news is that both sources have reiterated that predicting these run cycles are impossible, but they both said “short” and provided me with “the next 3-6 months” with no guarantees on timelines. While no one is telling me to buy gold, I am hearing that the agenda is to wait until things get even direr, and then their check books will be whipped out for a serious acquisition run just in time for the holidays.
En route to the New Orleans Investment Conference on Tuesday morning, I have emails with around scheduling with everyone from Doug Casey to Brien Lundin. Now this is the crowd that knows gold, and I was delighted to see that InvestorIntel member Levon Resources Ltd. will be in attendance. Perhaps I will discuss the market with Ron Tremblay, although I am more likely to invest time congratulating him on acquiring an approximate 9.9% interest in Pershing Gold Corporation (OTCQB: PGLC) for just under $10mm. Market and shareholders responded favorably, with OTCQX: LVNVF up +40.34% and TSX: LVN up +38.10% last week.
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So perhaps 60 Minutes knows something we do not? Speaking of this, we have all heard on the street that there will be an episode on sustainability and rare earths in the US with interviews done with Leslie Stahl and Molycorp that supposed will air this Fall. I am aware of one of the interviewees, plus I am hoping it will be Chairman Constantine E. Karayannopoulos as he is such an articulate and eloquent speaker. An email was sent to me on how his last keynote presentation he utilized the term “hubris” – and it seemed to be a theme word for him. Not knowing what it meant, I went online and it is an ancient Greek term used to describe the inevitable fate of anyone who goes against the plans of the gods. “It signifies the victory of greed and desire for instant gratification over doing what makes sense in the long term.”
So back to preparing for the New Orleans Investment Conference, I would like to thank Brien Lundin for throwing one of the best events in the US for depth and breadth of speakers. I asked Brien to comment on this years event, and he responded with: “Over the 40-year history of the New Orleans Conference, there have been few instances where investors experienced a level of volatility, uncertainty and insecurity approaching what we’re seeing right now. But in every one of those instances, those who attended the New Orleans Conference received investment tips and strategies that yielded fortunes. Attendance at New Orleans 2014 is the one thing an investor can count on in these markets.”
Ok, will let you know how it goes…
Speaking of updates, InvestorIntel Cleantech led the sectors — up +10.01% last week. Followed by Biotech +6.43%, Uranium & Nuclear Energy +4.25%, Oil & Gas +4.05%, Agribusiness +3.62% and the Rare Earths & Technology Metals clients were also up +3.18%. The correction perhaps was in the Graphite & Graphene sector, which was down -6.71%.
An accomplished entrepreneur and corporate finance professional, Tracy Weslosky is the CEO for InvestorIntel Corp. and the VP of Business Development for Bellotti Capital Partners ... <Read more about Tracy Weslosky>