focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Why would you think the share price would go up? Even if the export ban was lifted it its entirety and the GOT turned around and said ACA we love you really...keep the 300M...this won't make the share price move.
The only thing that will make the share price move is the Barrick share price as we are effectively "twinned" with their SP.
Tanzanian Government gives go ahead to Exports.
This news seems to be received with a whimper ..not a bang !
Hopefully sp rise when news filters out.
Interesting discovery in the Uk :-
https://www.mining.com/worlds-thinnest-gold-created-in-the-u-k/
18.19/0.168x0.83= £2.54 per share..still at a discount friends-)
Gold vs. the U.S. Dollar.....”courtesy of thebalance.com”
Gold is an asset. As such, it has intrinsic value. However, that value can fluctuate over time, sometimes in a volatile fashion. As a rule, when the value of the dollar increases relative to other currencies around the world, the price of gold tends to fall in U.S. dollar terms. It is because gold becomes more expensive in other currencies. As the price of any commodity moves higher, there tend to be fewer buyers, in other words, demand recedes. Conversely, as the value of the U.S. dollar moves lower, gold tends to appreciate as it becomes cheaper in other currencies.
Demand tends to increase at lower prices.
Here's one way of looking at this relationship: There are approximately 325 million people in the United States, while the total world population is around 7.4 billion. Less than 5% of the world lives in a nation where the U.S. dollar is the national currency. The role of gold as a currency is ubiquitous around the world. While the U.S. dollar gold price is a widely accepted benchmark, 95% of the world must translate the value of the metal to their local exchange rates.
All over the world, throughout history and today, gold is money. The ancient philosopher Aristotle wrote that money must be durable, divisible, consistent, and convenient and possess value in itself. Gold meets all of these characteristics. While the relationship between the value of the U.S. dollar and gold is important, the dollar is not the only factor that affects the price of the prized metal. Interest rates also affect the price of gold. Gold does not yield interest in itself; therefore, it must compete with interest-bearing assets for demand.
When interest rates move higher, the price of gold tends to fall, since it costs more to carry the metal. In other words, other assets will command more demand because of their interest rate component.
There is also a psychological factor attached to the value of gold. The price of gold is often sensitive to the overall perceived value of fiat or paper currencies in general terms. During times of fear or geopolitical turmoil, the price of the historic metal tends to rise as faith in governments falls. During times of calm, the price of gold tends to fall. As perhaps the world's oldest and most storied currency, gold is an important barometer in terms of global economic and political well-being.
https://www.bloomberg.com/news/articles/2019-08-09/hedge-funds-go-all-in-on-gold-as-currency-wars-lift-haven-buys
Also noticed Gold converted back into GBP is now up over 32% on the year. -Happy days.
Hi Franky - Yes I agree hy biggest holding is in Acacia ( although as I said the other week when told by Stock ABC I was an idiot, ha.ha) I am also in "CEY" Centamin, HOC -Hochschild, and even my Stobart nad Marstons have been doing well lately. The only shares I have that are below par are the Banks, and Oils, but they will come back eventually. I am really enjoying this run, and long may it continue, beats commuting up to the smoke to make a living!!
Just as an extra Super...the ACA shares are trading at around a 5% discount from Barrick shares (also including the usd to gbp conversion). Combine that with the special dividend and we should have around 8% more to enjoy! Better bet than trading on other stocks in a very dangerous market!
That's interesting VV..thanks for the extra BC views!
Super..just another way of dicing this up, I'd ignore the ACA share price and focus on the Barrick price as that's what we'll own once the deal is done. My shares at 0.168 converted into Barrick's usd, is already worth another 2.1K as we speak purely from the sterling drop, which is a nice little bump up. Critically and I say again, Barrick is only at the START of its recovery and August 12th will be very interesting with the Q2 results. We are at 18.19 USD today. Give it 2-3 years and we'll be sat on 40-50$ as a conservative guess. These are a long term hold for me:-))
I see market indicators are helping us here and I am not sure why we are not accelerating our rise? i.e. With sterling falling our earnings from Gold will increase our earnings when converted back.
Also the Gold price is advancing again today as everyone turns back to review the world trade wars. What we need soon are increased production figures from Acacia, to go with the increased earnings.
I did "mine" Bitcoin and other Alt coins in the early days with a homemade mining rig and managed to build up to 4 Bitcoins by trading on the fledgling exhanges.
However I was naïve and didnt take in to account that the exchanges themselves were bring run in some cases by scammers who cut and run when there was enough in customers accounts. So watch out Franky - things are more stable and reputable now especially the big exchanges but dont leave more in your trading account than you are ok to lose is my advice.
I hope it holds or rises overnight, and we can then recover today's slight drift lower.
Looking forward to see who is upping their stakes?
Lucky devil -I love Italian food and you will have a feast!!! I understand they also have some fantastic power boats so might be worth a trip out on the Lake one day.
I have been hedge cutting - now about to let the dogs out. ATB.
Guys ...now in Lake como..
What a beautiful place...heavenly
Highly recommended..no speculation and guaranteed a winner!
Speaking for myself I am happy to see some inflation better that deflation every day of the week. I think this drive to the bottom we have been through over the last decade is bad news - we fly things around the world so that the British consumer can enjoy non seasonal products all year around and penny pinch at the expense of quality. I know my circumstances are different to many but a lot of people would be prepared to pay more to improve quality, working conditions and animal welfare not to mention the environment. A falling £ encourages people to spend money on locally produced goods paying directly into the local economy securing jobs and creating revenue via taxation- entirely good in my view and yes I am totally prepared to pay more to go on holiday. As for the markets then a tweet can effect us more than fiscal policy but there are many tweaks that the government could use to stimulate the economy and business especially if we are prepared to print more money which is incidentally good for gold.
Reports are Carne may leave the BOE with a Bang and cut rates. Also the Fed is as you say under severe pressure to further cut. However my pointer to inflation is to the Uk in the future after Brexit. I am afraid I see goods coming in at a higher price and this will affect the prices consumers pay. I see inflation in the Uk rising and the Uk will actually then have to raise rates to counter the imported good prices. So longer term I see investment in the Uk banks that will have a greater margin on higher rates, but I will be less likely to buy house builders as their sales will be less as the price of money will be more in the Uk. However some builders like Telford who are primarily based in London will still sell as they are selling to foreigners who see the Uk as a cheap place to invest at the moment. My opinions of course.
Sorry big thumbs.
The trade war has been a long time coming and is in my view far from over. I do not agree with everything Trump does or says but he is right to fight on here the Chinese have been exploiting weakness in the west for too long and it has to stop. It may get messy but the time is right to level the playing field. If I am called upon to choose between an elected Trump in USA or despots in China or Iran I will choose Trump every time - his values may not be mine but he is much closer than others who despise us and our system. Don’t quite know where that rant came from but there you have it. ATB
A really great post VV I could not agree more about fiat money - central banks can and do print just as much as they like and nothing happens. Gold at $1900 quite possible it would still be historically low but the world will be in a mess by the time it gets there. Franky use caution with bitcoin it has not yet come of age and is shrouded in manipulation and generally doggy dealing being effectively controlled by a couple of big holders - I will not touch it but of course many do and a few even make a profit. The Tra
Couldn't agree more VV and I don t think 1900 is absurd in suggested timescale. Why i persist in talking myself out of bitcoin is beyond me as it's clear as daylight this hits 100 000 sooner rather than later. Probably owing to outrageous spreads and charges which makes me stick 2 fingers up but rather cutting nose off to spite face.
As Max Keiser repeatedly says BB, "You cant taper a Ponzi".
Trump wanted his 0.5% rate cut from the Fed but only got a 0.25%. The next day he reinvigorated the trade war with China which caused further devaluated and then said that the Fed are not doing their job properly. He knows how to get what he wants. He will continue to devalue as the rest of the world is. Only a couple of winners from currency wars, the major historic one has always been gold.
Its a race to the bottom to stave off a deflationary depression. Gold is already at record highs against most currencies. The dollar record high will follow as Trump increasingly dominates Fed policy and spends, spends, spends.
How this all ends, and when, is difficult to see but we cannot fend off the dramatic reset required indefinitely. So when ACA shares become ABX I'll be holding as the dollar declines and a potential sovereign debt crises occur. We all have to face the fact that FIAT money has no intrinsic value. In fact with negative bond interest rates in Germany and elsewhere it is becoming actually less than worthless. When banks can create unlimited amounts of the stuff with a stroke of a spreadsheet, the contrast with the effort required to create real hard currency from mining gold for example couldn't be clearer. Scarcity for a trading system is required to give it value. Why else would people be prepared to give $12000 for a bitcoin token that only exists in the cyber ether. Its because there is a Finite supply and its tradable. Same for gold and other PMs.
So lets stick my neck out for the short term. Gold will be over $1900 by November after 2 aggressive rate cuts by the Fed to fight Yuan devaluation.
One point of note though Super is that we re facing deflation not inflation. Not sure what that will mean but would think gold will hold value better than currencies in deflationary environment.
Hi Super - I can see no end in sight to the Trade Wars so anything could happen to the stock market over the next six months. If pressed I would speculate that oil/copper/banks etc will continue to feel the pressure whilst gold/silver breakout. I am beginning to take more of an interest (not invest in) builders as I feel they will continue to suffer and be forced still lower until after Brexit when with their massive dividend they will blossom but as has been pointed out before what the hell do I or indeed anyone else know, one tweet could change everything.
Well....all input are appreciated here and good to have a balance to be critical objectively too.
Gold at its highest since April 2013 and Oil so far this month which should be bullish historically ..lost 13% since the beginning of this month!
One has to question this as shale oil companies must be suffering now and making their debts even worse and if OP keeps on going down many will go bust sooner than later but this is surely must not happen in the national interests of the usa and opec countries too as many including SA and Iraq need OP to be much higher to survive and balance their budgets then Russia and others too wouldn’t accept very low OP.
There is a lot of fears of recession in the-market and china,usa trade war which Not many including myself believing is going to happen and deal will take place sooner than later than expected and the running to safe assets like Gold would stop..
Of course all this in my humble opinion that could be wrong but I agree to sell Aca gradually now at its peak and profit is profit and more so if you make a good one!