Mining Review – Sunday update 21st Feb. 2021
Copper has had another good week due to Chinese demand, and now stands at a 9 year high, nickel a 7 year high, and tin a 10 year high, as industrial metals rise on worldwide stimulus demand hopes.
Gold has had a terrible week, resulting in the price of many gold juniors falling, due to lower bond prices, the US Treasury Bond 10 year yield rising, and a strong US dollar.
GoldMining Inc – Sao Jorge Aerial view
Mining Review – Sunday update 21st Feb. 2021
Copper had another good week due to increased Chinese demand as their New Year celebrations ended, and now stands at a 9 year high. Nickel now stands at a 7 year high, and tin a 10 year high.
Gold has had a terrible week, resulting in the price of many gold juniors falling, due to lower bond prices and a stronger US dollar. Silver performed better, perhaps as a result of the recent silver “short squeeze?”
It’s been another week of madness on the markets, with London finally getting the marihuana bug, years after the US and Canada, and crypto prices soaring.
A London Cannabis IPO has just stated they are ten times oversubscribed! This is surely a sign that the bubble is at the top? Investors follow excitement, and who can blame them? So we could be in for more volatility.
IG Index in the UK has just raised the margin on some stocks popular with UK retail investors to 100%! People with existing positions have a month to either pay the additional margin or close their position. This may result is some short and long squeezes on popular stocks.
Stocks on our watchlist in the news
- 03 Mining discovers a new zone at Marban, Quebec.
- Cornish Metals dual listed on the London AIM Market.
- Osisko Development announced a $23 million bought deal.
- Gold Royalty Corp. Announced their proposed IPO on the NYSE
Precious Metals
Gold had a poor week, due to a rising US Treasury Bonds Yield, and, I suspect, some investors switching to crypto, where the real excitement is at the moment.
Rhodium again took the plaudits with a 7% rise week on week!
| Gold | 1783 | ↓ | -2% |
| Silver | 27.27 | ↑ | 0% |
| Palladium | 2381 | ↓ | 0% |
| Rhodium | 23400 | ↑ | 7% |
Base Metals
This is where the action was last week, as falling covid infection rates across the world combined with government stimulus programs and “green” initiatives brought optimism to the sector.
Tin and copper rose strongly, both reaching multi year highs, the latter due to the anticipation of a supply shortage as EV infrastructure needs to be built around the world.
| Copper | 4.04 | ↑ | 7% |
| Nickel | 8.6 | ↑ | 2% |
| Zinc | 1.29 | ↑ | 4% |
| Tin | 12.77 | ↑ | 9% |
| Cobalt | 21.77 | ↑ | 5% |
| Manganese | 3.78 | ↓ | 0.01% |
| Lithium | 10602 | ↓ | 0.01% |
Bulk Commodities
Iron Ore continues to rise in price, but surprisingly coking coal is not yet following suit, despite the anticipated rise in demand for steel around the world.
| Iron Ore | 169.3 | ↑ | 5% |
| Coking Coal | 238 | ↔ | 0% |
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Companies featured here have either presented to the Circle in London, or have been selected because they are considered to have interesting projects, in good jurisdictions, run by an experienced management team.
All information used in the preparation of this communication has been compiled from publicly available sources that we believe to be accurate and reliable, however, we cannot, and do not, guarantee the accuracy or completeness of this.
These articles are for information purposes only, and are not recommendations in any form. Always consult an investment professional.
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Disclosure
The writer holds shares in 03 Mining bought in the market at the prevailing price on the day of purchase.