Gains Seen for Palladium

Source: The Wall Street Journal, Devon Maylie (10/25/10)

"Spot palladium rose to $617.50/oz. Monday."

Investor interest in palladium isn't over, and the metal will likely build on the near 10-year high it hit Monday as a result, analysts said.

Spot palladium rose to $617.50 a troy ounce early Monday, the highest since June 2001. In mid morning, it was trading at $606 per ounce. Spot gold was trading at $1,345.10 per ounce, up 1.3% from Friday's closing level.

"From the perspectives both of supply and demand, the palladium market looks set to tighten further—and in the short term, palladium is in the hands of investors and speculators whose love affair with the metal shows little sign of abating," said UBS Analyst Edel Tully. He said palladium's rise was largely due to buying by funds, which boosted the price to levels that triggered further purchases.

The introduction of palladium and platinum ETFs in the U.S. at the start of the year was an important catalyst to boosting the industrial precious metals, which are used largely in equipment to clean car exhaust.

"Much of the reason for this year's rally is due to strong investor demand for ETF Securities' U.S. PGM ETFs," HSBC Analyst James Steel said. "Investor demand for hard assets has intensified in recent months, ignited by the resumption of quantitative easing policies in and outside the U.S."

ETFs' holdings of platinum and palladium are again on the rise after stagnating in the middle of the year. In October so far, platinum holdings are up 40 Koz. or 4%, and palladium holdings are up 117,700 oz. or 7% since September, Macquarie research shows.

Last week, HSBC raised its 2011 and 2012 forecasts for palladium. It kept its forecast for the 2010 average price at $525/oz. but raised the 2011 to $675/oz. from $425. HSBC raised its 2012 forecast to $650 oz. from $375.

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Source: Streetwise Reports (07/13/2020)

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"China's export quota could be opportunity for Canadian miners"

Latin America: Six Gold Juniors Amass 100M+ Ounces
Source: Marc Davis, BNW News (05/25/2010)

Latin America, the world's last great mineral frontier for prolific gold discoveries, is proving a godsend for some lucky investors.

Mexico: Gold's Next Powerhouse Player
Source: Marc Davis, BNW News (11/03/2009)

As the world's key gold producing nations struggle mostly in vain to replenish dwindling below-ground supplies, Mexico is bucking the trend in a big way.

Where Have All the Gold Mines Gone?
Source: Brent Cook, Exploration Insights (04/14/2009)

Given the declining global gold production, mining companies’ demand for reserve replacement and the acute dearth of new gold discoveries, there is no doubt that real economic discoveries will be exceptionally valuable. . .the opportunity for stellar profits is the best it has probably ever been. Identifying the few successes, however, will require vigilant and constant technical assessment of geology and drill results, always with an eye to mine economics.

Congo Completes Mining Review, Says Majors Quit Talks
Source: Reuters (12/20/2008)

"Review process is extended an additional 45 days to allow six companies to return to the negotiating table for direct talks with government ministers."

I haven’t spoken to my old mining stock friend, noted and universally respected gold stock guru, Bob Bishop, about Rare Element in a year, but I hear he is still a supporter and very large shareholder. I don’t believe he will hold it against me to remind you that this was one of his favorite holdings when he left the newsletter writing business. . .

It's Only the Beginning for Uranium
Source: www.financialinsights.com (06/03/2005)

Dr. Richard S. Appel, author of Financial Insights, first became bullish on uranium in mid-2003, when it appeared obvious that its supply versus demand equation was fated to seriously drive higher its price. Since then, a series of events in the uranium industry has led Appel to believe that uranium prices will reach never before seen levels.

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