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The Good Morning Report – 28th November

Posted on November 28, 2023

The latest market news, commentary and strategy by Adrian Rowney 

Today's Report proudly sponsored by:

 

5 Things that Grabbed my Attention

1.ETPMAG is up at a critical level on the chart once again. At some stage it is going to break through this resistance zone and head it's way into blue sky.

2. Kingsgate (KCN) has had further drill success close to its existing mining operation. BUY last sale $1.29

3. I worked out that the copper in the COMEX vaults has been sold 138.77 times over! (see random observation for the proof)....Naked shorting of metals is off the charts - one day something will give. Wakey wakey mining executives... BUY WIRE last sale $10.53

4. Treasurer Jim Chalmers just appointed Andrew Hauser a Bank of England stooge (who also spent time at the despicable IMF) to become 2IC @ the RBA.....Nice little cushy outpost for Andy who is leaving a trail of complete economic misery for the working class in the UK.

5. LITHIUM tanked another 5% in China....We'll be getting to the stage soon where new mines won't get funded.

ASX Market Update

ASX 200 down 53 points to 6987

While our market rolled over it was a good day for us with ETPMAG putting on 3.8% to once again test what has been a strong level of resistance since 2020.

I'm definitely happy to watch the premium in China continue to increase above that of COMEX SILVER....

The coming SILVER boom will be one for the ages. It's the best way I know to get out of the rat race - life changing event for those onboard with a decent holding.

Random Observation

It is a joke that copper miners are accepting prices determined by paper futures trading on the COMEX....Let me explain why:

1 COMEX copper futures contract = 25,000 pounds of copper or 12.5 short tons.

Open Interest (number of futures contracts outstanding) as at 24th of Nov  = 178,741

So total exposure is 178,741 x 12.5 = 2,234,262 short tons of copper

So how much copper is in the COMEX vaults?

Just 16,100 registered tons. (We can't count the Eligible tonnage because it has not been set aside for delivery against a futures contract).

So there we have it : 16,100t of copper in the COMEX is backing the open interest of 2,234,262t. Which means the 16,100t of physical copper has been sold 138.77 times. 

It is criminal that the paper futures market, controlled by the banks, actually sets the price of copper. Mining execs need to pull their heads out of the sand.

The Day Ahead

  • Our SPI is up 9 points
  • Bitcoin down 1.5% to $36,868
  • BHP in US down 1.09%
  • Newmont in US up 1.8%
  • Block Inc in US up 1.79%

Movements affecting our resource stocks today (USD)

  • Gold up 0.48% to $2012
  • Paper Silver up 1.3% to $24.67
  • Platinum down 1.2% to $925
  • Copper down 0.79% to $3.75
  • Brent Crude down 0.83% to $80
  • Iron ore down 0.9% to $132.65

Asian Market Update

Japan down 0.53%, China off 0.3% and Hong Kong dipped 0.2%

The pounding continues....There is a stack of LITHIUM explorers with giant market caps that are likely to get absolutely reamed once the market realizes their projects are now economically unfeasible.

Global Market Update

US Market

DOW down 56 points to 35,333

As Bill Gates was dumping his Beyond Meat shares at sky high levels in 2019, he was telling us this fake meat was the future!

European Markets

Germans off 0.39%, Brits down 0.37% and Frenchies fell 0.37%

Remember when they told you the sanctions were going to destroy Russia?....LOL!...The EU kicked one of the greatest self goals of all time.

Key Market Summary

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