Good afternoon
markets are having a little break ahead of the weekend…equities slightly weaker, base metals the same, bonds as well!
The week to the 10th of Feb saw all time record of inflow into equity funds - 58 bill US$, mainly into US-equities and into the tech sector! Bank of America indicator for sentiment has reached “extremely bullish” - may people are using this as a contra-indicator.
Platinum got the headlines this week, as some investors are playing it as a green metal because of it´s use in fuel cell technology, which is very small at this stage, but has a lot of people talking about it. The precious metal made new 6-year highs and I have to say, it´s looking great on the charts! Gold is continuing to see outflows from the ETF´s - every day this week!
Liontown - the long-time muted change of MD has happened! Tony Ottaviano became CEO and MD - previously a senio manager for BHP and RIO. The market is pretty happy with him, and some people I know in Perth, also! Sounds like a good choice, as they develope their major lithium deposit in Australia! LTR are probably not dirt cheap - but not unreasonable, like most other lithium stocks!
Tietto - announced some more positive drilling results. The new program is in full swing, and many results are still outstanding. The PFS is still on track for delivery by the end of this Quarter.
Horizon Gold - I am a little disappointed by their new resource update today, which incorporates recent infill drilling results. Swift and Swan indicated underground resource is 150.000oz at 6,7g/t, while the open pit , indicated resource is 323.000oz at 2,4g. I had expected lower grades than the previously stated, inferred resource - but still a little bit higher than today´s numbers. Nevertheless - highly profitable ounces at current gold prices, especially, if they plan to toll-treat the ore, as previously planned. I guess the enxt step will be to see numbers from an updated scoping study, using the indicated resources, which should indicate the value of this resource. I fear for now, the share price might languish somewhat. I will talk to them next week to get a feel fore what the new MD is planning to drive the project forward!
Despite some good moves in oil, base metals, and precious metals this week, the market was pretty tired and is waiting for some inspiration!
Have a nice weekend!
WS