Adam Hamilton dives deep into the fundamentals. In this thorough analysis, Adam breaks down what has been going on with silver mining, but more importantly, he explains what to look for as we wind down 2017…
We may have just seen the worst with two very simple but telling indicators
The miners are hanging in there so far, but here’s what to look for
At some point the paper control of the gold market is going to fall prey to animal spirits.
The silver miners’ stocks have had a roller-coaster ride of a year so far. They surged, plunged, and then started surging again last week on a less-hawkish-than-expected Fed. Such big volatility has spawned similar outsized swings in sentiment, distorting investors’ perceptions of major silver miners. But their recently-reported fourth-quarter operating and financial results reveal the true underlying fundamental realities.
Great Panther Silver Is Preparing For A BULL Market In Silver:
Well, THIS Is Interesting:
The discovery of a widespread oxide gold system at the Oro deposit in New Mexico creates a second prospect for Southern Silver Exploration.
Talking to executives from junior companies, one comment just keeps surfacing: they are seeing overwhelming interest from majors.
The silver miners’ stocks have enjoyed an epic year, skyrocketing higher with silver’s new bull market.
At best since mid-January alone, some of these elite stocks had actually septupled!
The bottom line is the major silver miners just reported an amazing Q2’16, with silver’s young new bull fueling radically-higher operating earnings.
The great inherent leverage of silver-mining profits to silver prices was the fundamental justification underlying silver stocks’ epic gains so far this year.
And with silver’s bull only just starting, the best gains in silver-mining profitability and thus stock prices are yet to come…
Well, THIS certainly is a breath of fresh air…
The low price of silver has finally claimed is first victim.
U.S. Silver Mining Production Doesn’t Cover American Silver Eagle Demand.
Since 2010, the amount of silver required to mint American Silver Eagle coins has exceeded U.S. silver mining production by over twenty-five million ounces.
The deficit in 2015 alone is projected to be approximately twelve million ounces.
In a stunning development, the world’s largest silver producing countries reported big declines in recent months. This was surprising because the top two producers, Mexico and Peru, stated positive growth in the first two months of the year.
However, silver production from these two countries reversed this trend by declining in April and May.
With the rapid fall in the price of oil, the primary silver miners production costs declined in the first quarter of 2015.
How much? Well, actually a bit more than I forecast:
Expert PM analyst Steve St. Angelo (SRSRocco) joins the show this week discussing:
- How long can the bankers manipulate the price of gold & silver? Can it continue another decade or two?
Steve explains why the price of silver is poised to rise EXPONENTIALLY
- Steve explains why When the Light Bulb goes on (for global investors), you’re going to see see a MAD RUSH into precious metals, and crazy prices!
- With the oil price cut in half over the past 6 months, is Peak Oil a Myth of the past, or is it closer than ever- and what are the implications for gold & silver?
- Steve believes the numbers indicate that Silver investors are becoming complacent in 2015- the time to buy insurance is BEFORE your house burns down and its TOO LATE!
- We’re going to see convulsions in the market- by 2020 the world will be a totally different place, and it will be difficult to obtain physical precious metals!
- “What happened to Ammo will happen to Gold & Silver!”
The SD Weekly Metals & Markets With The Doc, Eric Dubin, & SRSRocco is below:
Like Christine, in the Phantom of the Opera, most of us have been seduced by that Phantom called “the mining sector” at some point. We’ve all been taken by the hand into some dark lair, and lulled into a spell, with sweet, sultry whispers about “wonderful profits”. All that was asked of us was that we just forked over more of our cash to these knowledgeable and responsible companies. Many of us have done so, only to end up in a terrifying place, that we did not wish to be!
If gut-wrenching twists and drama is what you’re looking for, then knock yourself out with these with paper distractions. Yes, there are some profits to be made….if……if your dart hits the right part of the dartboard, and you make it out of that gauntlet with all of your digits(financially and literally) intact.
I hope you do make out with huge paper profits! I truly do.
As for me however, I’m sticking to physical silver ounces, in my hand! When I want more drama in my life, I’ll plunk down the cash for a box-seat at my local theatre, thank you very much!
At least there, my entertainment won’t be in wondering whether my future and livelihood are going to evaporate with the latest company press release!
While the recent silver price smash is a dream for us stackers...it is a LIVING NIGHTMARE for these guys:
With silver prices going down, down down, now might finally be the time for the “movers and shakers” in the mining and precious metals communities to call a major press conference to make their case and actually defend themselves from the years-long assault on their businesses.
“The market itself is very healthy. You are seeing a transition…a transition that doesn’t suggest, but rather screams that [junior resource issues are] under accumulation—which is a very, very bullish sign.”
While it’s true that the entire financial system is rigged today, some markets are manipulated more than others. This is certainly true for the precious metals… particularly SILVER.
This metal is the whipping boy of the Fed and Cartel Bullion Banks. Most would believe it’s impossible to manipulate a metal for decades… it isn’t.
If we look at the two charts below, we can see just how much more of a beating silver has taken compared to copper over the past 3 years: