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gold price is on a bit a freefall down from 1860 to 1760 in 2 days. i got distracted today and watched the pog early on and then walked away from the computer. Was tempted to sell up here and just break even but now it would be a loss, not happy--with myself really.
That 25k sell at the open today was mine. I just looked at the Fed minutes yesterday. Itâs nothing to do with PUR itâs sentiment. I wanted to protect profit so sold half my holding. I am figuring I may get back in lower. If not I have options.
Re the macro. I posted this on WSBN... kinda explains my view...
âUnfortunately the narrative is changing. The Fed have given hawkish hints which has spooked PMâs. Tapering is being discussed and interest rates may rise âsooner than expectedâ.
For sure with the 10year treasuries at 1.6 and the âaverage inflationâ at a tad over 4 it gives a net negative yield (-2.6%). But inflation is being imported hotter than expected due to the weak USD.
The soft US non farm payrolls are looking like a blip and the labour market is awash with vacancies hence the hawkish rhetoric.
I am hoping Jerome is just trying to talk up the dollar for now. If itâs more the markets WILL tank!
I sold 25k PUR at the off this morning. Half my holding to protect profits.
As for WSBN and other small cap gold miners. They wonât be immune but if they have cash on the balance sheet and are drilling or at another inflexion point, such as JV they will be ok. But expect risk to come off if the Fed taper. The BoE is already winding in QE. Those explorers in far flung risky territories will be worse hit.
Of course it may all come to nothing but in this game you gotta soak it in make your own decisions and position your pf accordingly. â
Imo, These actions are reflective of the market. PUR as a producer is now more closely aligned to the PM market.
It offers an option of holding some and trading some given that we âlagâ the US and TSX news.
I have done well on those principles and have posted sells as well as buys before. Today I sold my 78p buys. Iâm gonna put them back in hopefully soon!
Good luck with your investments
Usual caveats
Trek
Trek for all my madness I bought more , most likely some of yours. 2 to 3 years when the american financial system is shown to be the farse it is then gold will be king.
There is another factor at PUR too: I sold straight away yesterday to lock in my profits, because in reality I am still at a loss here due to holding through the fall in Q1. Bitter memories of not being able to sell this iliquid share too. As Trek says, there are plenty of options, I am looking more at uk manufacturing and retail businesses now. If anything, id buy copper miners who all went over sold yesterday, thanks to the enemy in the east.
Prophet,
I donât think itâs madness buying here. News will arrive soon and with such a low AISC and some top shareholders this will do well.
The 25k I sold were in my trading account. I paid 78p for them using cash for another target. I also picked up 5k shares PUR this morning in my ISA which is a longer term hold.
Dartron,
If you want to buy a copper minnow with a bit of gold and with a top top BoD in a safe juro, Oz and Canada, then check out CHF. Poly bought 25% of them and Altius (Canadian investment vehicle) now has 10% with options to increase holding at 20p.
You know how to research but not many folk heard of them, yet!
Trek
I wouldn't be so quick to suggest garbage like that Trek.
If they're mining 10yrs from now I'll eat my hat.
Interesting first postâŚ
â If they're mining 10yrs from now I'll eat my hat.â
And I am talking garbage! Lol
Fast forward 9 years 364 days hey!
Wonder what the SP and any divi would be? Hilarious!
Trek
I didn't say you were talking garbage. I said that stock is garbage.
Just my view.
I'm a quiet and optimistic holder of PUR. Don't have much to contribute here right now. Judt holding, and waiting.
Charlotte001
This kind of sums it up.
"In other words, bragging about growth on the back of extreme deficit spending is like a spoiled kid bragging about a new Porsche secretly purchased with his fatherâs credit card: It only looks good until the bill arrives and the car vanishes. In a financial world gone mad, itâs critical to look under the hood of what passes for growth in particular or basic principles of price discovery, debt levels or supply and demand in general. In short: âGrowthâ driven by extreme debt is not growth at allâitâs just the headline surface shine on a sports car one canât afford. And yet the crazy continuesâŚ"
Gold will have its day.
TDT
PUR don't need PoG at $2000/oz. The mine was designed to be operationally successful with gold price at $1250/oz. Upcoming commercial production announcement should tell us by how much we are going to exceed initial expectations.
Quick research shows that Commercial Production announcements usually bring flurry of buys and 15-20% SP rise. Let's hope this happens here!