Cic Mining Share Discussion Threads

[mikes5557] 19/5/2013 12:13

I did take profits; presumably SS and others did; which I reinvested in the company as the price fell back.

CIC production costs and capex pay back times are far below the industrial average at less than $200.

We only own 48% of most of the companies we are involved in that means if CIC are conducting ops for a.n.other under contract a sensible deal would be the extraction of all costs first then 50% of the profits at point of production.

Both cost and profit assumptions made on collected info.,are open to correction.

So in reality there is no real interest in the price of gold.

My belief that CICs own predictions for the price of gold are somewhat less then where the price is now,so making it of no concern.

Further its worth repeating than once the surface leeching ops are closed CICs interests have the hard rock assets to work or dispose of as seen fit.

So yet another savvy reason for acquiring CIC stock.

Meanwhile its engines are still running /producing,all the time getting closer to results.

[r 2 d 2] 18/5/2013 22:21

Gold price falls due to weak global trendhttp://www.thehindu.com/business/markets/gold-price-falls-due-to-weak-global-trend/article4727478.ece

[r 2 d 2] 18/5/2013 22:20

Gold price more likely to soften than hardenhttp://www.business-standard.com/article/pf/gold-price-more-likely-to-soften-than-harden-113051800622_1.html

[r 2 d 2] 18/5/2013 22:20

May 17, 2013Gold's Allure Is Starting to FadeBy MATT DAY and FRANCESCA FREEMAN

Gold prices skidded for their seventh consecutive trading session Friday, on track to mark the precious metal's longest losing streak in four years.

Recently, gold futures were trading 0.9% lower at about $1,374 an ounce on the Comex division of the New York Mercantile Exchange.

Traders pointed to the stronger dollar as a major culprit behind the latest leg of gold's decline. A dollar rising against other major currencies is a signal that many investors have abandoned inflation concerns, especially as some Federal Reserve officials have become more vocal about scaling back stimulus measures.

In the years immediately following the financial crisis, some investors had turned to gold as a hedge against inflation and a weaker dollar.

Late Thursday, San Francisco Fed President John Williams said he's open to cutting the central bank's bond-buying program "as early as this summer," provided the U.S. economy continues to grow.

A stronger dollar also dims gold's allure for buyers using other currencies because for them, gold prices have stayed relatively high.

"All odds are stacked against gold," said Joyce Liu, an investment analyst at Phillip Futures.

Chart watchers also point to the fact that gold has fallen below a key support at $1,384 an ounce. The next level where prices are supported by technical trends is $1,363, they say.

While this selloff is smaller than gold's record plunge in mid-April, the steady drop underscores gold's status as an out-of-favor investment in the current environment of ultralow interest rates.

The characteristics beloved of "gold bugs," the sizable army of large and small investors who swear by the metal, are precisely what bears are feasting on. Unlike most other assets, gold doesn't offer a steady return, or yield, and it is often seen as protection against inflation or currency devaluations.

At present, however, global economic growth is sluggish, interest rates in many developed countries are at or near record lows, and investors of all stripes are scrambling to find higher-yielding assets.

"There's basically no inflation, equities are taking off, and we've got a strong dollar," said Fain Shaffer, president of Infinity Trading Corp. in Medford, Ore. "All of those are just eroding away the investment value of precious metals." Mr. Shaffer this week recommended his clients bet on lower gold prices.

On Thursday, bears seized on a World Gold Council report showing that total demand for gold fell 13% in the first quarter, to a three-year low of 963 tons in the period. The decline was driven by investors yanking money out of gold-backed exchange-traded funds, and those redemptions have accelerated since March, according to ETF Securities, an ETF sponsor and data provider.

The redemptions have resulted in a decline in total gold ETF holdings of 380 metric tons, to the lowest level since July 2011, according to ETF Securities. That decline is more than the combined annual gold production of the U.S. and Canada. To compare, 279 tons of gold flowed into ETFs in 2012, according to the World Gold Council.

The selling by ETFs outweighed a rise in demand for jewelry, bars and coins, the council said in its report.

Numerous factors are sapping investors' interest in the precious metal, which is regarded as a haven because historically it has maintained much of its value in times of financial and political turmoil. Through 2012, gold handed investors 12 consecutive years of gains.

The global economy, while not in perfect health, has for now stayed clear of a crisis. Meanwhile, many stock markets are trading at record levels, further diminishing the allure of zero-yielding gold.

Investors "prefer to put their money to work elsewhere," said Nicholas Brooks, director of research with ETF Securities. "Those flows are overwhelming other demand. It's difficult to gauge how much of the selling has already been done."

Analysts with Deutsche Bank DBK.XE +2.64% estimated in a report this week that institutional investors could sell as much as another 226 tons if market forces continue to act against gold.

"There's a herd mentality" among gold investors, said Rachel Benepe, a portfolio manager with First Eagle Gold Fund, with $1.9 billion in assets. "When [gold] had this weakness over the last couple months, that scared people. They've made the decision to sell." Ms. Benepe said the gold fund, along with other First Eagle funds she advises, had kept their gold investments steady in an effort to hedge against weakness in paper currency and other assets.

"The printing presses are on across the word," Ms. Benepe said, referring to the easy-money programs deployed by many central banks. "Eventually, that will matter."

Other investors are taking the opposite view. John Workman, chief investment strategist with Convergent Wealth Advisors, said the firm late last year recommended that clients trim their gold holdings by about 25%. He cited gold prices that have stagnated despite more stimulus from the Federal Reserve in the form of asset purchases, the same money printing that galvanized gold bugs after the financial crisis. Falling prices were a signal that many investors just weren't concerned anymore that the stimulus measures would stoke inflation and weaken the dollar. "We felt that at that point, how much more upside is there?" Mr. Workman said.

[r 2 d 2] 18/5/2013 22:19

16 May 2013Gold Price Declines Show No Signs of Slowinghttp://www.dailyfx.com/forex/technical/ssi/gold/2013/05/16/ssi_gold.html

[r 2 d 2] 18/5/2013 22:18

May 18, 2013Gold comes under pressure as institutional investors fleeBy Emiko Terazono in London

Gold came under pressure this week, hitting a one-month low as financial investors turned to equities and continued to liquidate their holdings in the yellow metal.

The weakness came as the latest filings with the US Securities and Exchange Commission revealed that Northern Trust and BlackRock were leading sellers of the US SPDR GLD exchange traded fund in the first quarter of 2013.

John Paulson, the billionaire hedge fund manager and the largest owner of shares in the GLD fund, maintained his position.

ETF selling had continued into April, said Commerzbank. "The exit on the part of institutional investors is likely to have continued in the second quarter," said the bank.

Institutional investors have been consistent sellers of ETFs since late last year, and net outflows from the sector totalled 177 tonnes in the first quarter, according to the World Gold Council, the lobby group for gold miners. Gold demand totalled 963 tonnes, down 13 per cent in the first three months of the year, compared with the same time last year, said the council.

The gold price fell 5.5 per cent on the week to $1,367.65, falling below a technical support level of $1,400 a troy ounce.

Although buying of jewellery and coins has provided support for gold amid the consistent selling by institutional investors, analysts wonder how long the physical purchases can last.

According to the World Gold Council, Chinese demand rose 20 per cent in the first quarter, boosted by a 19 per cent rise in jewellery demand and a 22 per cent rise in bar and coin investments. Indian purchases increased 27 per cent, with jewellery demand up 15 per cent.

Suki Cooper, precious metals analyst at Barclays, said: "As we enter the period beyond seasonal demand, gold prices are likely to find reduced support from the physical market and are exposed to further downside risk in the near term."

One factor that could damp enthusiasm for gold in India, are the new import restrictions by the Reserve Bank of India that were announced on Monday.

The RBI in a circular said: "To moderate the demand for gold for domestic use, it has been decided to restrict the import of gold on consignment basis by banks, only to meet the genuine needs of exporters of gold jewellery."

Barclays forecasts an average gold price of $1,350 a troy ounce in the second quarter of this year, while Credit Suisse predicted that with worries about inflation and a eurozone collapse easing, the yellow metal would fall to $1,100 in a year's time.

[r 2 d 2] 18/5/2013 22:18

"Gold is going to get crushed"By Mike King - May 17, 2013

So says Ric Deverell, head of commodities research at Credit Suisse Group AG.

Mr Deverell sees gold trading at US$1,100 an ounce in a year and below US$1,000 in five years. He says the lower prices are unlikely to lure more central bank buying. While central banks like to have diversified reserves, their managers wouldn't want to lose money if gold enters a period of declines, he said.

"The need to buy gold for wealth preservation fell down and the probability of inflation on a one to three year horizon is significantly diminished", he has told Bloomberg.

Investors have lost faith in the world's traditional store of value, despite central banks continuing to print money on an unprecedented scale. However, it seems retail investors have seen the current price as an opportunity to buy gold bullion, bars and coins. The US Mint ran out of its smallest gold coins in late April, while the Perth Mint said volumes jumped to a five-year high. India's gold imports are expected to rise by 47% to 225 tons in the second quarter to meet consumer demand, according to the All India Gems & Jewellery Trade Federation.

But Mr Deverell says this is just bargain-buying, bringing forward activity, but is not massive buying. Possibly contradicting Mr Deverell's comments somewhat, the World Gold Council issued a report showing central banks bought 109 tonnes of gold in the first quarter.

Despite the retail and central bank buying though, fear over where the gold price will head is driving the market. With no real intrinsic value, and detached from its normal drivers such as inflation, it's anyone's guess where the gold price will be in six months or six years. A sudden global crisis could trigger a massive rise in the price; or the gold price could just meander down or crash below US$1,000 an ounce.

At that price, it's estimated most gold miners will be lucky to break even, and could offer opportunities to pick up gold miners on the cheap. As the chart below shows, gold equities have fallen much further than the gold price, since the start of this year. Overnight, the gold price lost 0.7% to US$1,387 an ounce.

[r 2 d 2] 18/5/2013 22:17

May 18, 2013
Traders increase bearish bets on gold
Open interest highest since AprilAfter Akshaya Tritiya, gold traders have became bearish. Trading in MCX futures in gold also reflects this as the open interest on the exchange has reached highest since April. While open interest can be of both side bets, brokers say most players are bearish in gold.

Open interest in gold used to be 15,000-16,000 lots from early April. But on Thursday, open interest was 18,812 lots, which is highest this financial year. Yesterday, however, it fell to 18,675 on profit taking. Open interest has been on the rise with a rise in volumes.

In the last one week, gold on MCX has fallen 4.3 per cent to Rs 25, 835 per 10g.

Ashok Mittal, chief executive officer, Emkay Commotrade, said: "Most traders have taken bearish view on gold as prices are expected to fall in the coming weeks. This has also been reflected in shrinking spreads in two contracts."

[goulding1215] 18/5/2013 14:59

Thank you for that mike5557. For a country, like Japan with a large manufacturing industry, no hydrocarbon resources in Japan itself, totally dependent upon imported hydrocarbons, EF will be of huge importance in fuel-saving. Therefore it has to be a priority for Japanese Government, business and consumers alike.

[mikes5557] 18/5/2013 11:57

Part of the japanese recovery is helped by the massive re investment by JAP.gov., into the companies power and infrastructure reorganisation which spreads money through the system and allows for a better consumer uptake.

Whilst on about Japan note that EF has lots to do with a number of wealthy Japanese business men so we can expect news with regard to EF which should arrive in a most efficient manner.

The results are getting closer,not often do I look forward to a companies results but this companies results will be different,just because expectations all round are high and they have a habit of delivering the vital bits about increasing the companies viability and success.

[jack shit] 17/5/2013 17:48

good luck here

[share_shark] 17/5/2013 10:35

Japan. Good news to continue ?.

Abenomics is aboutmore than just a policy change

'Abenomics' – the policy of reflation pursued by Japanese prime minister Shinzo Abe - seems to be working.

There's still plenty of nay-saying out there about Japan. That's only to be expected – this is a market coming out of more than two decades in the wilderness. But it's also extremely encouraging. As I've said before, the more scepticism there is, the more potential converts there are to a more bullish state of mind.

In the first quarter of the year, the Japanese economy grew by 0.9%, or 3.5% annualised. That was well above the 0.7% quarterly gain expected. Exports grew by 3.8% in the quarter, while consumer spending rose by 0.9%.

The shift in consumer spending is particularly striking. As Masaaki Kanno at JP Morgan pointed out to the FT, consumer spending is usually last to recover. "In the past, recovery was driven by an increase in exports, which led to a rise in cap ex [investment by companies], and eventually consumption followed with a time lag."

This suggests that if nothing else, Japanese consumers either believe that inflation is coming, so they should spend now, or they are convinced by the booming stock market that the good times are back.

They might also – just possibly – be anticipating better times in the job market. As Peter Warburton of Halkin Services points out, since April, companies have been awarded tax breaks to the value of 10% of the value of pay increases of 5% or more. "Abe's strategy is to transfer the profits windfall obtained through yen depreciation to the wage bill."

The shift in psychology is an important part of Abenomics, says Warburton. This is more than just a change of government or policy. "This is about the reassertion of Japan's place in the world." But can it continue?

The answer is yes. And one of the main reasons is because Japan has a very powerful ally behind it – the US. America has implicitly backed Japan's reflation policy, even although a weakening yen is not necessarily good news for US exporters. There are a couple of very sensible reasons for this.

One, which we've touched on in the past, is the fact that the US needs a strong Japan to act as an ally and counterweight to China in the region. A potentially far-reaching trade deal – the Trans-Pacific Partnership, which strengthens trading ties between the US and Japan, Australia and Vietnam among several others – is just one aspect of this.

But a second factor is that if the Federal Reserve ever wants to ease up on the business of money printing, it's helpful to have someone else in the world providing an unlimited supply of liquidity to pump up stock markets.

American backing isn't the only reason why Abenomics looks set to succeed. But it's certainly a great help.

How to invest in Japan

Markets of course, have gone wild recently. A correction could come at any moment. At the same time, you could have said much the same at any time since the Nikkei passed 13,000.

I'm not saying you should lob caution to the winds, but I don't think long-term investors will regret buying into Japan now. As I said the last time, if you're worried about getting your timing wrong, then you can avoid the pain of cognitive dissonance by simply drip-feeding money in on a regular basis.

We've mentioned several Japan funds in MoneyWeek magazine in the past. But in the latest issue, my colleague, exchange-traded fund (ETF) specialist Paul Amery, looks at ETFs that reflect the performance of both the wider index, and the smaller companies sector.

Paul also looks at some ETFs that hedge your yen exposure. One thing to bear in mind about this is that if you do choose to hedge the yen, you are making a more concentrated bet that Japan's rise will continue. Buying Japan in sterling offers something of a safety valve – if stocks fall, the currency is likely to rise, offsetting your losses to an extent.

[hulk2004] 17/5/2013 08:58

Morning all,back in the cold and wet uk!hopefully accounts next week and a trading update about IPO`s

[share_shark] 17/5/2013 06:51

Humour and useful comments by sense2 on LSE last evening.

Blessed sunshine.Thu 17:41While some are following the charts I am following the sun,got fed up with having what appeared to be a raincloud always taking a fancy to me by following overhead,now exchanged for sunshine which enabled me to have excellent connections with far flung phone numbers.

So do keep a check on the website for any changes and odd tittle tattle plus any fresh news that may appear.The problem with charting is that none really can predict odd additions to company information apart from the obvious and really you should be careful where you place those candlesticks.

Seems I am always out of order;

I am sure the expected results and news will be greatly in order we have not long to wait now.

[share_shark] 17/5/2013 06:36

Fantastic RNS on RRL yesterday and yet look at the response of the market to that column of oil !.

[yas27] 17/5/2013 00:23

O/t AME, 500k oz of gold jorc could increase, share price 2.65p mcap £2m, well undervalued, dyor jorc,etc news due.

[ultrapunch] 17/5/2013 00:10

share_shark. Good lunch? Who picked up the tab? Or did you all go Dutch? I hope SB didn't book it to CICR? LOL.

This lunch appointment seems to me like it was arranged so a group of fans could meet their idol, SB? Are you head of the SB fan club? LOL.

[goulding1215] 16/5/2013 20:15

You have a good night's sleep s_s.

[share_shark] 16/5/2013 14:31

Shssssssss goulding :we are still asleep and very tired !. :-)