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RonK2

RonK2
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  • Baffled By The Bifurcated Market [View instapost]
    This disconnect between relatively similar stocks is certainly baffling to me.
    Mar 13 12:26 AM | Likes Like |Link to Comment
  • 3 Reasons Why The Gold Bubble Did Not Burst In 2013 [View article]
    It is funny though - most people actually do own gold but it is in the form of jewelry. You are absolutely correct though when talking about gold as an investment.
    Feb 28 09:45 AM | Likes Like |Link to Comment
  • Weekly COMEX Gold Inventories: The New Year Brings New All-Time Lows [View article]
    There is major drop today in the registered inventories - down to roughly 370,000 ounces. In addition, the open interest has climbed to roughly 415,000. This means that our ratio is now roughly 112.
    Amazing.
    Jan 15 10:15 PM | 3 Likes Like |Link to Comment
  • Pretium Resources Bulk Sample Results Completed: Last Tranche Of Sampling Shows Even Higher Grades Than The Previous Results [View article]
    Also, the latest report shows the revised resource estimate at 8.7 million ounces of measured and indicated. http://bit.ly/1dniQrH
    What I found very interesting is their longer write up on how they have revised their estimating based on the results of bulk sample. They lowered their estimates on some parts of the rock while others they increased their estimates. They seemed to me that are trying to be careful - knowing that investors are skeptical - while still wanting to give the most accurate and useful resource estimate. It does seem to be a balance and I like what I read - it is a very worthwhile read.
    Dec 31 09:49 AM | 3 Likes Like |Link to Comment
  • Weekly COMEX Gold Inventories: Gold Available For Delivery Hits New All-Time Low [View article]
    If you look at the CME Open Interest http://bit.ly/KE4jvi, the preliminary report for Friday Dec 20th shows 394,057 contracts for gold futures. Each contract represents 100 ounces, therefore, those contracts control 39,405,700 ounces.
    As per Hebba article, there are 432,612 registered ounces.
    Therefore the 91.0 ratio (39,405,700/432,612) :)

    I wonder when it will get over a 100? Next week?
    Dec 22 12:32 AM | 1 Like Like |Link to Comment
  • Gold Completing Bottom As Cyprus 'Decides' Not To Sell? [View article]
    You got me there...I was one of the people who jumped on the train believing that gold would go higher. It was primarily viewed as insurance but a loss is a loss. However, this was a just a portion of my overall portfolio so it is OK.

    I certainly agree that this can last a lot longer than many people can withstand.

    However, I'm curious for your claim though that we are in the early innings. A drop of $700 (36%) from $1,900 to $1,200 over 15 months. If early innings then let's say that we are at the end of the 3rd inning. So this means that you think then that we will see at least another 36% drop ($432) to $768. And that it will last another 30 months?
    What evidence do you back that the view?

    Based on the physical demand for Gold, I believe that we are in the late innings. However, the price of gold certainly may go down more from $1,200.
    Dec 21 05:14 PM | 1 Like Like |Link to Comment
  • Gold Completing Bottom As Cyprus 'Decides' Not To Sell? [View article]
    What are "BKs"? of seniors.
    When you say you need a Lehman movement in Gold. Do you mean that you are expecting another big drop in Gold?
    What if we have already had it - wouldn't the $200 drop in one day back in April qualify for that Lehman event?

    On the other side, there are signs that tremendous pressure is building on the physical demand that the price of gold could spike higher and not lower.
    http://bit.ly/19jgeMN
    You might be right but I curious to know your reasoning for expecting another big drop.

    You say that there are too many SA gold pump articles. Yet even most of the gold bugs on those articles expect the price of gold to down a bit more in the short term. So who is left to sell?
    Dec 21 12:54 PM | 2 Likes Like |Link to Comment
  • Gold Completing Bottom As Cyprus 'Decides' Not To Sell? [View article]
    Invest2bfree, That is an interesting comment (Too many people are stuck in their mining positions) consider your bio states "I follow Contrarian Investing with deep value buying as my basis to buy stocks. ".
    If you were truly a contrarian, then you would be very intrigued by the current market for gold miners. One can't find a much more hated market right now.
    Dec 21 10:14 AM | 5 Likes Like |Link to Comment
  • Weekly COMEX Gold Inventories: JPMorgan Registered Gold Inventories Hit New Lows [View article]
    A big drop in the registered gold stocks today > down to a new low of about 490,000 ounces. With about 385,400 open interest contracts, the open interest ratio has now spiked to 78.6 a new high.
    Dec 19 11:01 PM | Likes Like |Link to Comment
  • Pretium Resources Bulk Sample Results Completed: Last Tranche Of Sampling Shows Even Higher Grades Than The Previous Results [View article]
    I agree, I would have expected more of a jump in the SP with these results. Perhaps it is the old line "buy on the rumour and sell on the news"?
    Dec 13 11:34 AM | Likes Like |Link to Comment
  • Copper: No Longer A Good Conductor For Profits [View article]
    You wrote in the article "The LME cancelled 36% of its issued warrants in June 2013..." And you wrote in your most recent comment "The 4 month drop in copper inventory levels on LME is because of the rise in warrant cancellations."

    I have been puzzling over your understanding of what cancelled warrants are on the LME. I could be wrong, so plus educate me if I am.

    When look on the LME, what a cancelled warrant is it states:
    Warrants that have been cancelled and are therefore no longer available for trade - tonnage waiting for the owner’s instructions to the warehouse company for removal from the warehouse or possibly re-issue of warrants. Please note that there is no overall effect on the closing stock until the cancelled tonnage is physically removed from the warehouse.

    So, if I look at LME inventory on December 12th, it shows:
    Opening Stock 399,875
    Live Warrants 131,775
    Cancelled Warrants 268,100

    So, the cancelled warrants simply mean that the inventory is allocated and cannot be traded. So a rise in cancelled warrants, to me, would mean that there is more demand because customers want control/ownership of the copper.

    I believe you wrong in stating "The 4 month drop in copper inventory levels on LME is because of the rise in warrant cancellations". Note, the last sentence of the cancelled warrants definition "Please note that there is no overall effect on the closing stock until the cancelled tonnage is physically removed from the warehouse.".
    This means the reduction of inventory from 675,000 to 489,000 (now 399,875) is not because of the increase in cancelled warrants, but the actual removal of the physical copper.

    Also it is wrong to state "The LME cancelled 36% of its issued warrants in June 2013". The LME doesn't cancel the warrants - it is the LME customers who cancel the warrants and the LME is simply awaiting instructions.

    You can correct me if I'm wrong in my understanding.
    Dec 12 10:11 AM | Likes Like |Link to Comment
  • Rubicon Minerals: An Interesting Bullish Case But Major Risk Remain [View article]
    Good discussion.
    Dec 9 02:31 PM | 1 Like Like |Link to Comment
  • The New Kindle Fire Is Not Selling Well [View article]
    Wow, I didn't realize that Amazon stock had move up that much in the valuable company by market cap. Shows how far down it will have to fall when it happens.
    Dec 8 10:38 PM | Likes Like |Link to Comment
  • Pretium Resources: Spectacular Bulk Sample Results Offer Investors A Terrific Opportunity [View article]
    I ignored the first 2,187 tons which only produced 281 ounces. http://bit.ly/18miYTs
    So, I figured that (roughly speaking) the processing of the most recent 6,000 tons generated 4,000 ounces (actually 3,934 ounces: 4,215 - 281).
    Dec 4 02:58 PM | Likes Like |Link to Comment
  • Pretium Resources: Spectacular Bulk Sample Results Offer Investors A Terrific Opportunity [View article]
    Any speculation on how many ounces will be in the final 2,000 tons of the bulk sample?
    I'm thinking that will be at least 1,500-2,000 more. We know that processing was from worst to the best. The previous 6,000 tons generated about 4,000 ounces. Which means that the final 2,000 should do no worst than 1,333 ounces (4,000/6,000 X 2,000). Since it is supposed to be better grades, then I'm leaning towards at least 2,000 more ounces.
    But it is possible that it is even higher because this is supposed to be the best grade where we see the 1,000+ grams per ton. But this is all speculation.
    Dec 4 10:19 AM | Likes Like |Link to Comment
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