After a bit of excitement last Friday we now have the opposite - no trades whatsoever since Tuesday at 12.00! Who knows what will happen next? Perhaps as leas suggests the mms were playing with the price and it generated a bit of short term interest. Still, no trades at all yesterday takes the biscuit a bit.
I too, struggle to read anything into the current trades and volumes. Maybe the trend is to try and generate a bit of movement to earn the brokers a little cash. There was not that many shares bought below this price, so any movement north should be swift on good news. Not many investors will be in profit at this current level and most of the nervy investor was taken out on the way down. imo the only negative pressure now is the uncertainty into the IO sell off. We have to remember though, that it is an asset we are selling off and the company is not depending on that sale to move forward and advance the business. You could also argue that the sale would be better done in more favourable times. You cannot predict the unexpected but all the negatives are known when it comes to PGM producers in S.A. From that group of producers SLP have the better set of fundamentals. I also believe that producers of platinum will not make the same mistakes and those likely to profit are those with low extraction costs and shallow deposits. Just like oil, the deeper assets will be mined as the minerals become more scarce. As a poster has already pointed out, emmision targets set will increase demand for platinum which should offset any slow down in emerging economies. No apologies for this sounding like a 'ramp' but I guess we already know the reasons to remain positive. £44 million MC is a joke, it is just more than 3 x what we are selling the IO asset for. GLA
Morning all. I topped up Friday only a small amount though and suspect market is nervous of the IO deal not going through and expect people are waiting to recycle the shares in to SLP. I for one will be doing that with most of my holdings although some exposure to Iron ore wouldn't be so bad. Wonder how productions gone this month?? Im confident for 48,000 oz for the year end. Not long to find out.
Morning leas. Yes, the idea of a Mandela Rand distributed to shareholders is not a bad one at all. The way things are going with the MRG deal though we will probably end up with a recycled Coke can instead. Shares down nearly a penny today on volume of just 20,000! I have given up trying to read any sense into it all.
even better if SLP minted their own coin and gave it to share holders by way of a dividend. lol. Or the ANC gifted the out of work miner a coin to compensate them for being made redundant. Good article on miningmx about foreign investment in S.A. Worth a read. Enjoy your weekend.
Great article. Makes sense for the SA GOvt to buy a million oz. Remove the surplus and they will be getting it at a cheap price.
I alos think SLP is a bit leaky and without a doubt I think IO news early next week. Hopefully then we will see a bit of recycling of MRG shares in to SLP and build some momentum in anticipation for quarterly results. Im expecting great news :-)
You're welcome leas. I certainly hope this is the beginning of a reversal as I think we're all due some payback here. When I topped up last week I think I was one of only two trades on that day but look today at the number, it does make you wonder doesn't it? Perhaps all will be revealed next week as AT suggests. Good article you posted by the way AT - a number of facts in there I wasn't aware of.
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