Sunday, September 28, 2008
Friday, September 26, 2008
China Banks Cut Currency Trading With Foreign Lenders
Domestic banks are cutting trading with international firms in the interbank market, according to Zhuang Zhiqiang, a trader at Xiamen International Bank Co., which is partially owned by the Asian Development Bank. The move aims to control risks after the bankruptcy of Lehman Brothers Holdings Inc. stunned domestic investors, said Zhao Qingming, an analyst in Beijing at China Construction Bank Corp., the nation's second-largest lender.
``We've turned more cautious,'' said Zhuang, who is based in the southern Chinese city of Xiamen. ``Bank officials are worried about settlement risks as the ongoing crisis has weakened people's trust in U.S. banks.''
Washington Mutual Inc. today became the biggest U.S. lender to collapse and the nation's lawmakers have yet to agree on a plan to end the credit crisis. A Treasury proposal to buy $700 billion of troubled assets from financial companies using taxpayers' funds has been countered by a suggestion that holders of mortgage-related securities pay premiums into a fund that would insure their holdings.
Bank of China Ltd., the nation's biggest currency trader, has tightened control of foreign exchange trading with overseas banks, said a person at the bank, who asked not to be identified. Wang Zhaowen, Bank of China's Beijing-based spokesman, declined to comment today. "
Thursday, September 25, 2008
1. Even before recent market blow off its growth rate was deteriorating. With Financial sector under water its revenue streams are definitely effected.
2. Multiple market cap to FCF is unsustainable in a Bear market and nobody even The President is not questioning it any more.
3. US Dollar rally takes it toll on non US revenue and it will be lower this Q.
Bear Case continued:
As Democrats and the administration negotiated details of the package late into the night, the presidential candidates of both major parties planned to meet Mr. Bush at the White House on Thursday, along with leaders of Congress. The president said he hoped the session would “speed our discussions toward a bipartisan bill.”
Mr. Bush used a prime-time address to warn Americans that “a long and painful recession” could occur if Congress does not act quickly.
“Our entire economy is in danger,” he said.
On Capitol Hill, Democrats said that progress toward a deal had come after the White House had offered two major concessions: a plan to limit pay of executives whose firms seek government assistance, and a provision that would give taxpayers an equity stake in some of the firms so that the government can profit if the companies prosper in the future. Details of those provisions, and many others, were still under discussion."
Wednesday, September 24, 2008
Central banks or sovereign wealth funds are among those likely to buy gold to diversify their investments and hedge against the risk of a weaker dollar, given the government's $700 billion plan to support the banking system, Munk said today.
``That impact on holders of U.S. dollars in China or Russia or Abu Dhabi or Kuwait is that they're going to say, `What is that going to mean for the U.S. dollar, and what alternative are we going to have?' '' Munk said in an interview in New York. ``So gold is going to have very powerful support.'' Munk, 80, founded Toronto-based Barrick in 1983 and made it the world's largest gold producer.
Gold has surged about 20 percent since Sept. 11 as investors shifted assets into precious metals as a haven after the bankruptcy of Lehman Brothers Holdings Inc. Treasury Secretary Henry Paulson plans a rescue fund to allow banks to dispose of devalued assets such as mortgage-backed securities."
Monday, September 22, 2008
Dollar May Get `Crushed' as Traders Weigh Up Bailout
Sunday, September 21, 2008
"Sept. 21 (Bloomberg) -- Treasury Secretary Henry Paulson said he's confident several countries will take steps comparable to the $700 billion plan he proposed to buy bad mortgage-related securities to address the global financial crisis."
Saturday, September 20, 2008
"AIG’s Dangerous Collapse":
The Secretary's authority to purchase mortgage-related assets under this Act shall be limited to $700,000,000,000 outstanding at any one time"
U.S. Treasury Proposal to Buy Mortgage-Related Assets: Text
Friday, September 19, 2008
Let’s review the highlights of this important day:
Securities Regulators and State Attorney Generals came down hard on the practice of naked and/or manipulative short selling.
There was emphasis made on legal and illegal shorts that have had a habit of speaking poorly about situations they are short to others.
London followed suit to a reasonable but hopeful degree.
The Toronto Senior Exchange remains silent on the subject. If the TSX does not declare its participation by next week many companies who are suffering from these malicious actions, particularly those with dual Canadian and US exchange listings, will delist. Toronto listings will move to the London Stock Exchange while remaining with their AMEX, soon to be NYSE, listing facility. That strategy would maintain dual nationality listings.
A form of Resurrection Trust much touted today has no application to a derivative meltdown. Simply stated, it will not work. Those that favor this idea demonstrate their total lack of knowledge concerning what OTC derivatives are.
The stock market was impressed by the worthless concept of a Resurrection Trust plus the probability of naked short covering.
If the SEC really has zero tolerance for naked and/or manipulative short selling it is too late to borrow shares.
Gold did its usual major round number dance today. The dollar got a boost from the actions of US equities.
Respectfully yours, Jim"
Wednesday, September 17, 2008
"VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 17, 2008) - TNR Gold Corp. ("TNR") (TSX VENTURE:TNR - News; PINK SHEETS:TRRXF - News) is pleased to announce the incorporation of Bristol Explorations Co., Inc. ("Bristol"), a wholly owned US subsidiary. Bristol was incorporated in the state of Alaska and has obtained 100% of TNR's properties in Alaska which include the Iliamna project and the Shotgun project.
Bristol will focus on developing and exploring the Iliamna, Shotgun, and various Alaskan ventures. They have completed a $75,000 geochemical sampling program on Iliamna and results are pending.
TNR believes this new corporate structure will allow them to deliver enhanced shareholder value and focus on mineral exploration in Argentina and other areas of interest in South America. It will also allow them to participate in future developments in Alaska with its interest in Bristol, especially given the recent interest in the Iliamna region.
This news release has been prepared under the supervision of John Harrop, P.Geo, TNR's qualified person on this news release.
The Shotgun project is located 175 kilometres south of Donlin Creek within the Kuskokwim Gold Belt in Southwestern Alaska, an area emerging as a world-class gold district hosting more than 40 million ounces of aggregated gold resources. The Shotgun project includes a number of prospects, including Shotgun Ridge and nearby Winchester. Donlin is an intrusion-associated system and represents one of the largest undeveloped gold deposits in the world (see http://www.novagold.net/). The Company believes that there are several key similarities between prospects in the Shotgun area and that of the Donlin Creek gold deposit as well as other intrusion-associated deposits.
In July 2006, TNR announced 210.5 metres of 1.29 g/t Au at Shotgun Ridge, which led to the identification of a feeder zone and leaves the mineralization open at depth.
TNR has earned a 50% interest from NovaGold Resources Inc. in the Shotgun project. To date there has been 4,095 metres of drilling at Shotgun Ridge and 1,653 metres at Winchester.
Previous work at Shotgun Ridge by NovaGold Resources Inc. has estimated a historical resource of 980,000 ounces grading 0.93 gram per tonne (g/t) at a cut-off of 0.5 g/t (National Instrument 43-101 non-compliant resources). The geology and style of mineralization at Shotgun is very similar to the Dome area of the Donlin deposit.
The Iliamna property is a claim in Alaska covering 412 sq km of land approximately 100km from the highly-visible Pebble deposit held by Northern Dynasty Minerals Ltd. The Pebble deposit contains an indicated mineral resource of 31 million ounces of gold and 18.8 billion pounds of copper, making it one of the world's largest deposits of its kind. Initial target definition at Pebble occurred in areas covered by glacial overburden and/or Tertiary volcanic rocks, as is the case at the Iliamna Project. In 2000, Rio Algom carried out several phased exploration programs including an airborne magnetic survey, reconnaissance geology, and IP/Resistivity surveys. These surveys led to the successful identification of several geophysical anomalies, including the Iliamna Project. The airborne magnetic survey successfully outlined three regional anomalies: the Pebble intrusive complex, the Nushagak anomaly, and the Kvichak anomaly, which includes the Iliamna property. Following the regional geophysical programs, site-specific IP/Resistivity Surveys targeted and successfully located several anomalies that are similar in size and characteristics to the Donlin Creek and Pebble deposits, including the Iliamna Project. Subsequent drilling encountered copper-gold mineralization in an intrusive setting at Iliamna's H Claims.
A total of 1883.1 metres of drilling have been completed between 2003 and 2006. Some holes intercepted low-grade altered intrusive consistent with that which would be found near the periphery of a mineralized system.
ABOUT TNR GOLD CORP.
TNR is a base and precious metals exploration company focused on aggressively identifying new prospective projects as well as fostering work on its large portfolio of 17 properties in Argentina and Alaska. The company's focus over the next 12 months is the exploration and development of its Eureka, El Salto, and El Tapau in Argentina as well as Iliamna and Shotgun projects in Alaska.
On behalf of the board,
Gary Schellenberg, President
Statements in this press release other than purely historical information, historical estimates should not be relied upon, including statements relating to the Company's future plans and objectives or expected results, are forward-looking statements. News release contains certain "Forward-Looking Statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in resource exploration and development. As a result, actual results may vary materially from those described in the forward-looking statements.
CUSIP: #87260X 109
SEC 12g3-2(b): Exemption #82-4434
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release. "
Gold May Rise to $950 an Ounce as Miners Lower Output
Long-term outlook for commodities strong, despite short-term volatility - Argus
The new terminal to handle the compound, used mostly to make fertilizer, will serve Rio Tinto's $900 million, Rio Colorado mine, to enter construction in Mendoza province this year."
Monday, September 15, 2008
The People's Bank of China reduced the one-year lending rate to 7.20 percent from 7.47 percent, effective tomorrow, and lowered the reserve ratio at the nation's smaller banks by 1 percentage point. The changes were in a statement on the central bank's Web site today."
Last stage of operation should come into play: FED cut rates, awash market with liquidity, PPT will buy in the open market financial equity. They will try to talk all other central banks into rate cuts.
Anyway if systemic risk will be addressed by operations like BAC buying MER, US Dollar will go down and Gold will fly, against falling dollar and all other FIAT currencies. Ten global banks has created 70 billion dollar loan facility: time is not to fight the USD collapse, but to fight for financial system existence.
Today's action in Gold, Silver and commodities will be very important. Will Goldies finally decouple from financial economy mess and become new backbone of the Recovery?
Sunday, September 14, 2008
"Merrill and BofA begin acquisition talks
By Francesco Guerrera in London
Published: September 14 2008 22:13 Last updated: September 14 2008 22:13
Merrill Lynch is in talks to be acquired by Bank of America in a sign that the crisis gripping Lehman Brothers is forcing rival investment banks to seek partners to avoid suffering the same fate.
People close to the situation said Bank of America had entered discussions with Merrill after pulling out the bidding for Lehman in a dramatic about turn partly prompted by the US government’s refusal to supply financial help for a Lehman takeover."
Saturday, September 13, 2008
Credit default swaps market 45.5 trillion.
World stock market 51 trillion.
US stock market 21.9 trillion.
Mortgage securities market 7.1 trillion.
US treasuries market 4.4 trillion.
Google GOOG market cap 138 billion.
All 15 Gold/Silver mining companies in HUI Amex Gold Bugs Index 101 billion.
Friday, September 12, 2008
He said the bull run in crude oil prices is not over yet and expects prices of sugar, cotton and coffee to rise sharply.
“Zinc and silver prices may also witness some upside,” Rogers said. He said despite the fall in gold, he is not selling the yellow metal and will buy more if it falls further."
Tuesday, September 09, 2008
Gold now is at very important threshold testing long line support at 777USD. Further rise in USD did not brought Gold lower then previous low so far and this week will be very important. Rally in the markets spiked by bailout faded today and we are very close to Election Rate Cut just to keep things together. Euro now is in comfortable zone at 1.4 level and further "rally" by USD will bring US export to a hold. Something has to give and very overbought USD now is very vulnerable to sell off from important resistance at 0.8 on USD index.
The only hope of PPT (plunge Protection Team) is that this manipulated "wash out" has taken out a lot of speculators and investors from Gold, Silver, commodities and Junior mining markets and when US dollar responds to natural force of gravity and continues its Bear trend its move down will be manageable.
By JOHN R. WILKESeptember 9, 2008; Page B1
Washington -- The Justice Department has quietly hired one of the nation's best-known litigators, former Walt Disney Co. vice chairman Sanford Litvack, for a possible antitrust challenge to Google Inc.'s growing power in advertising.
Mr. Litvack's hiring is the strongest signal yet that the U.S. is preparing to take court action against Google and its search-advertising deal with Yahoo Inc. The two companies combined would account for more than 80% of U.S. online-search ads.
Google shares tumbled 5.5%, or $24.30, to $419.95 in 4 p.m. trading on the Nasdaq Stock Market, while Yahoo shares were up 18 cents to $18.26.
For weeks, U.S. lawyers have been deposing witnesses and issuing subpoenas for documents to support a challenge to the deal, lawyers close to the review said. Such efforts don't always mean a case will be brought, however."
Monday, September 08, 2008
TNR Gold TNR.v: Minera Andes MAI.v announces a mineral resource estimate of 922 million tonnes of 0.55% copper at Los Azules
At a 0.35% total copper cut-off, the Inferred Resource at Los Azules is 922 million tonnes grading 0.55% copper, containing 11.2 billion pounds of copper."
Sunday, September 07, 2008
The data may add to recent evidence that overseas investors are worried about the troubled mortgage giants.
The drop marked a seventh straight week of declines in offshore central bank holdings of bonds issued or guaranteed by government-sponsored enterprises like Fannie Mae (FNM.N: Quote, Profile, Research, Stock Buzz) and Freddie Mac (FRE.N: Quote, Profile, Research, Stock Buzz), which have recently taken center stage in the U.S. housing crisis.
Overall, the Fed's holdings of U.S. Treasury and agency securities kept for overseas central banks, including Treasury notes and bonds as well as agency securities, fell by $13.48 billion to stand at a total of $2.395 trillion in the latest week ending Sept. 3, the Fed data showed.
Overseas central banks reduced their Treasury debt holdings by $3.72 billion to stand at $1.437 trillion.
Overseas central banks, particularly those in Asia, have been huge buyers of U.S. debt in recent years, and own over a quarter of marketable Treasuries."
Saturday, September 06, 2008
By Alison Vekshin and Dawn Kopecki
Sept. 6 (Bloomberg) -- Treasury Secretary Henry Paulson is preparing to announce plans to bring Fannie Mae and Freddie Mac under government control, seeking to halt the crisis of confidence in the companies that make up almost half the U.S. mortgage market. "