Good afternoon
Credit Growth in China is still strong, pointing to an ongoing recovery. PPI in US stronger than expected, but seems well in hand year-on-year.
German economic advisors cut their GDP estimate for this year and next…-5,4% and + 4,7% ( from -4,2% and + 5,8% ). Government is using -5,8% and +4,4%
Gold bounced again off a low of 1882 early in Asia, to 1905 currently. The US$ is slightly weaker - or better: slightly less strong! Base metals are up - especially nickel by nearly 2% to a new, recent high of 15315 US$ or nearly 7 US$lb. . In A$-terms, that´s 21343 or a very respectable 9,67A$/lb!! My friends at Panoramic would make very god money on that, if in production already!
Strike Energy - announced a problem with the drilling gear today…They believe, that it has been rectified, but you never know these things until you really know! I hpe and at this stage assume, that they will announce tomorrow or latest by Friday, that the well is drilling ahead as planned. A failiure wuld do nthing to the resource - but could well do some damage like 10 mill$ or so. Never good! In any case, a time delay of one week or so.
Resolute - announced the outcome of a prefeasibility study into mining Tabakaroni , where the open pit is finished, as an underground mine., The current resource ( before some very strong drilling results announced today ) is estimated to have a resource of 7,4 millt at 4,4 g for just over 1 mill z of gold. Resolute expects 80.000z of yearly production for an initial 4 years. That is very meaningful for RSG…the fact, that the stock did not do anything today is an indication of the credibility problem they have with investors. Today in Kalgoorlie they stated, that the underground at Syama is now at full production at expected grades - the market does not seem to believe them!
Have a nice evening
WS