Asiamet Resources Share Discussion Threads

[arf dysg] 05/7/2018 11:59

It's a signal from the queen to her lizard people that the attack is under way imminently.

[bmcb5] 05/7/2018 11:58

I've just doubled my very modest holding

[cupidstunt42] 05/7/2018 11:54

Christ my finances can't take any more good news.

[ifthecapfits] 05/7/2018 11:24

1 share traded at 11:04 - some might believe that this means news on the way :)

[dorset64] 05/7/2018 09:53

Mount Teide, interesting last post of yours and further to a recent meeting with Sir Olliver Letwin, amongst other things we discussed going forward how the Chinese & to a lesser degree the Indians are reintroducing themselves as the worlds leading power which they lost leading into the industrial revolution. Too long a discussion to post on here but fair to say they are more than keen to control precious metals and oil moving forward and thus, the worlds economy. It was also interesting to learn as to what the current government can get through right now as only anything to do with brexit is newsworthy & everything else is 2nd string and thus, not reported in the papers.

[mr roper] 05/7/2018 09:19

Goldman say buy commodities esp. industrial metals. Trade war fears overdone. Bloomberg.

Watch the bot change direction now

[mr roper] 05/7/2018 08:51

Good past, mt. “Don’t look at the finger, you miss out on all the heavenly glory”..Bruce Lee

[mount teide] 05/7/2018 08:50

The Baltic Dry Index has moved in a completely different direction to the industrial metals markets since the 'trade war' rhetoric ramped up at beginning of June. Unlike the metals markets, as a result of its size and scope the BDI is a market that is almost impossible to manipulate in any meaningful way and is therefore closest to a bellwether for the global economy.

The BDI is a measure of the cost of transporting commodities and finished goods - 95% of which at some point see the bottom of a ship's cargo holds.

The BDI has risen 50% since the beginning of June from 1,042 to 1,567 - up 440% from the 2016 lows. This move is completely opposite to what would have been expected were the reports of the risks of a trade war and slowing global economy as significant as is being made out in some quarters.

I believe Chinese interests - they have repeatedly attempted to control the pricing of the Copper and Zinc markets over the past year by 'managing'(manipulating) Chinese warehouse inventory - are using the present situation to push down the price of many of the key commodities they import, that are vital to their economy. Following the sharp rise in the oil price over the last year, the Chinese as the world's largest oil importers are now attempting something similar with the oil market by setting up a buyer's Nation cartel with which to fight Opec.

As with the underhand warehouse inventory manipulation of the last 18 months - this latest attempt to control the commodity markets is likely to have only very short term success at best before market fundamentals resume their control - as currently being signalled by the Baltic Dry Index.

Never underestimate the Chinese - they paid top dollar to purchase the London metals market - one of Britain's last great independent financial markets - largely according to the views of many of its traders to gain more control over industrial metal pricing. A friend who has traded the LME for more then two decades said the Chinese owners last month quietly announced a plan to introduce yuan-denominated metal products on the exchange - another move he believes, crafted to enable the Chinese Government to have more control over metal pricing.

The Chinese LME owners say of the plan:
“At present, investors are trading our products in US dollars. We would definitely like to explore the possibility of launching products denominated in offshore renminbi. We believe with the increasing number of Chinese trading in our market, there would be more Chinese companies wishing to join the LME,”

[mr roper] 05/7/2018 07:46

Especially if it coincides with a cratering of the global economy...just think...wouldn’;t it just be wonderful......err not really.

[charles clore] 05/7/2018 07:31

There is still a chance that we could see 8p but what an opportunity that would be!

[mr roper] 05/7/2018 07:27

Fingers crossed, we need some news to start the move up.

[andyforster1] 04/7/2018 21:57

I'm of the understanding the companies own drill will have completed the second drill and awaiting assays whilst the big drill shouldn't be far away.

[mr roper] 04/7/2018 20:28

Would’ve thought the deep drill would be at about 900m depth by now. Results first week in Aug perhaps?

[mount teide] 04/7/2018 16:54

China, the World's largest industrial metals consumer is not shy about taking advantage of real or imagined market uncertainty to carry out shorting practices to push down metal pricing.

Prudent low cost operators like CAML which set a 2018 budget on a $2.81 average copper price - has seen copper average $3.12 in H1/2018.

Highly leveraged/high cost operators like Kaz Minerals valuation tends to be much more sensitive to large short term movements up/down in copper pricing. That CAML has been targeted by the market in a broadly similar way to the leveraged players is surprising. I continue to view it as an anomaly and continue to add - largely on the basis i am more interested in where the copper price is likely to be in 3 years time than 3 months.

Interestingly, most commodity cycles often run diametrically opposite to the peaks and troughs of the global economy.

The previous global equity market peak in late 1999 saw the FTSE hit circa 7,000 while copper was at a 15 year low of $0.78.

The FTSE then tanked eventually bottoming in H1/2003 nearly 50% down, and by mid 2006 was still some 20% down. The Copper price during this entire period never dropped at all and by mid 2006 had risen by 375% to $3.70(some 493% better than a comparable investment in a FTSE tracker during that period)

From 2010 to Q1/2016 copper dropped 58% while the FTSE went largely sideways to finish at exactly the same level as 6 years before. Since then the FTSE is up 35%, while Copper is up 55%.(Oil price was in a similar downward trend from 2008 to the identical bottom in Q1/2016).

With the copper market forecast to go into a period of material deficit for most of the next 5 years(oil is already flirting with a deficit situation), and still 50% below its previous 2010 high(oil is still 88% below its 2008 high), and the FTSE close to an all time high valuation - the likely trend in comparative valuations over the medium term looks fairly predictable if the fundamentals and history is a reliable guide - particularly with the Saudi's, the Oil Industry's only swing trader planning to carry out the world's largest IPO in 2019.


AIMHO/DYOR

[mr roper] 04/7/2018 16:51

Best not to forget what China is really doing..

hxxps://www.metalbulletin.com/Article/3812425/May-China-copper-imports-up-22-y-o-y-copper-ore-concentrates-up-37.html

[tomcorvid] 04/7/2018 16:30

A few notes on current copper price weakness/long term outlook. From Adrian Day's news letter

hxxp://cdn.ceo.ca.s3-us-west-2.amazonaws.com/1djngo9-Screenshot%20%28152%29.png

I fear a large background seller/s but it seems their price is nailed at 10 ish.

[zho] 04/7/2018 16:25

I've noticed a steady downward drag on offer prices, even when all the trades are buys. Today, for example, I think the 14:30 trade of 252,491 shares marked as a 'buy' is actually a sell. The next 8 trades are buys and yet the prices paid subside from 10.095p to 10.0175p. Has anyone else noticed this and if so, what do you make of it?


Cyberbub - yes, the cu price is at its lowest for almost a year. Market commentators say that it's due to fear of tariffs but perhaps there's something else going on.

[cyberbub] 04/7/2018 16:22

What on earth is happening with the copper price, when supply is known to be under pressure? Is it being shorted?

[arhaych] 04/7/2018 15:03

Our seller seems to want it pinned at 10p.

[edjge2] 04/7/2018 14:58

davocon LOOOL. How much lower can this go?

[highly geared] 04/7/2018 10:05

No. Funding announcement will be late Autumn IMO. Paperwork will be complex with 3-4 parties involved hence timescales.

[dav37] 04/7/2018 09:27

Anyone think they will announce the BFS and the funding together to keep the predators away

[davocon] 04/7/2018 09:16

Put your snake away edjge2 , it'll only get sunburnt!

[edjge2] 04/7/2018 08:56

too early ship still sinking.

[edjge2] 04/7/2018 08:23

my adder out today.