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Something to Consider

Posted by Peter Grandich at 9:54 PM on Friday, October 31st, 2008

I had a late meeting today with the management of Donner Metals (DON-TSX-V $.09). They’re a client of mine. I must also tell you that I have no better friend in the junior resourcer business than company Chairman Dave Patterson ( so I’m highly bias but proud of it).Their latest press release shows what real confidence in the project, Xstrata Zinc has with partner Donner Metals on their Bracemac – McLeod discovery in Matagami, Québec. Earlier this week Donner reported that Xstrata Zinc is initiating a scoping study while step-out delineation drilling continues on the discovery. A scoping study is the first stage of the feasibility study process; what I think this means is that Xstrata has a sense that Donner may have already discovered enough tonnes to make their Bracemac – McLeod area viable – enough that Xstrata doesn’t need to bother waiting to see how large this discovery could grow to be or waiting for a published resource estimate. They must have a strong feeling that it’s already there, and are moving ahead.

The latest drill results in Donner’s October 27th news release show that the Bracemac – McLeod discovery continues to expand, and there’s still lots of room for it to continue growing. Xstrata is funding the scoping study so it runs alongside Donner’s delineation drilling.

It’s truly mind-boggling that a deposit this advanced has Donner’s stock trading at just $.09 a share and a market cap of less than $4 million. If you’re looking for companies that can more than survive the meltdown in the junior resource market, please allow me to suggest starting with Donner www.donnermetals.com

Posted in All Posts, Base Metals, Copper, Donner Metals, Exploration Shares, Mining Shares, Zinc | 4 Comments »

Hello from Vancouver

Posted by Peter Grandich at 6:23 PM on Friday, October 31st, 2008

Spent the last two days meeting with companies, financiers, financial advisors, etc. In over twenty years in and around the junior resource market, I’ve never seen more gloom and lack of any real optimism among industry players. There’s little doubt that severe damage has occurred and there will be no quick fixes. I’ll discuss this more in the next couple of weeks.

The U.S. stock market is simply correcting an extremely oversold condition while extremely bearish economic numbers continue to pour out. I would love the DJIA to rally back towards 10,400 as it would be a gift to go short again, but I suspect this bear market rally may top out as early as next week.

I’m concern about gold. Despite strong Asian and European buying, gold falls sharply on the Comex, especially after London closes. We can speculate that a group or groups is influencing the downside but we’re going to have to hold $700 and get back above $800 to turn the technical picture bullish again. A top again in the U.S. Dollar could help the bullish cause so next week’s trading needs to be watched closely.

The U.S. elections next week are all but certain to effect the outlook for all U.S. markets. I’ll discuss what I see the ramifications may be after the election.

 

Speak to you again on Monday

 

God Bless,

 

Peter

Posted in All Posts, Exploration Shares, Gold, Mining Shares, Precious Metals, U.S. Economy, US Dollar, US Stocks | 5 Comments »

Hello from Vancouver

Posted by Peter Grandich at 10:35 PM on Wednesday, October 29th, 2008

It takes about a day to get here and of course it’s raining.  Things are tough in town right now. I saw a few stock promoters on the corners with signs that said, “Will work for financings”. I hope to see some of you at the conference Saturday. I will be spending the next two days crying with various managment teams I work with.

 

I see the Fed cut interest rates. Another silver bullet now spent. It looks like we did have a key reversal in the U.S. Dollar which helped gold and some commodities.

Don’t let cash burn a hole in your pocket. It was refreshing to turn on the TV here and see a real financial network-BNN.

 

Godd night from Vancouver!

Posted in All Posts, Base Metals, Copper, Gold, Precious Metals, U.S. Economy, US Dollar | 12 Comments »

SUBSCRIBER ALERT: Video Tutorial + E-Mail Ends On November 30th

Posted by AGORACOM - George at 1:56 AM on Wednesday, October 29th, 2008

Good evening to you all.  I am pleased to provide Grandich subscribers with the following updates:

1] E-MAIL UPDATES END ON NOVEMBER 30th

Subscribers will continue to receive e-mail updates until November 30th.  This will give subscribers time to bookmark the site or use various other tools (see video below) to receive updates, while weaning off real-time e-mail updates.

However, given Peter’s frequent posting of information in his new blog format, subscribers will not be receiving real-time e-mail updates that you were used to in the past.

Rather, with the rare exception of critical news, subscribers will receive summary messages every few days.  As such, if you want to continue to benefit from Peter’s commentary, you need to start treating Peter as a website destination as opposed to an e-mail newsletter.

As thousands of subscribers will already attest to, we view this as a very positive development for the following reasons:

  • The new blog format allows Peter to provide members with shorter but more frequent updates on any number of topics.  The old fashioned e-mail process was cumbersome, meaning Peter had to be selective about his many great ideas.
  • The new blog format provides you with an opportunity to interact with both Peter and fellow subscribers by posting comments after every post.  Quite often, Peter will respond to questions and strong commentary.  All posts are moderated, so don’t worry about spam, profanity and other such non-sense.
  • The new blog format provides subscribers with a simple but fast way to view Peter’s previous posts, interviews and media appearances with just one click.

2] 5-MINUTE VIDEO TUTORIAL WILL MAKE YOU A GRANDICH BLOG EXPERT

For those of you that have not yet made the transition (and even for those that have done so), we are happy to provide you with the following succinct but powerful 5-minute “how to” video.  Please take 5 minutes to watch it and post any questions in the comments section below.  If you need it for future reference, please refer to the FAQ section in the top right side of this blog.

If you have any trouble viewing the video below, please use this link:

Thank-you and enjoy the video.

Posted in AGORACOM Notices, All Posts | 5 Comments »

Happy Days Are Here Again – NOT!!!

Posted by Peter Grandich at 5:26 PM on Tuesday, October 28th, 2008

I’ve sin Father…again! (watched CNBC-TV with the sound on again). The last 90 minutes of trading brought back memories of happier days at Wall & Broad St. Harry’s may actually have a patron or two tonight who won’t be drinking just to drown their sorrows. If the gitty picture looked familar, you’re right. We saw this same excitement just two weeks ago when the DJIA rocketed up from under 7,900 to 9,500.  Unfortunately, it didn’t last long and I don’t expect this rise to either.

Yes, I’ve been looking for a tradeable rally. In bear markets, rallies are very sharp but don’t last long. i wanted to see the market test the October 10th lows and in time, I believe we shall see that. I have no doubt we can see follow through and believe it or not, the DJIA could rally all the way back to 10,400 and still be in a bear market pattern. I doubt this will occur but if it did, I would look to go short again.

It’s critically important to realize that we’re going to see some of the worst economic quarters in decades. Corporate earnings estimates are way too high. Bear markets dramatically shrink P.E. ratios. In addition, there are tens of millions of baby boomers who are now very much underwater in their retirement accounts. Trust me, they will be sellers going forward.

The vast majority of financial advisors and investors were weaned on only bull markets. To them, it always comes back. Before you buy into that know two things:

  •  There have been several periods where it took years to get even again including investing in the 1920s. If you did back then, you weren’t even until 1957. Baby boomers won’t have the luxury of years.
  • The Japanese market hit 36,000 in the 1980’s. Ever since then, numerous advisors have predicted the bottom was in. It fell Monday to a 26year-low and Japan didn’t have one-tenth the probems we do.

Let the Rah-Rah crowd on CNBC-TV do their thing. Just remember, you don’t want to be someone’s dinner

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Posted in All Posts, U.S. Economy, US Stocks, world economy | 20 Comments »

Politics, Religion and Other Mens Wives

Posted by Peter Grandich at 7:59 AM on Tuesday, October 28th, 2008

When I started in the financial services industry 25 years ago, my sales manager told me if I want to get new clients don’t speak about politics, religion and other men’s wives. Because I have never really listened to that advice, I’m going to bring up a topic that just may become another concern for the U.S. stock market, economy, social, political and religious matters.

If the polls are right, the United States is about to make a hard “left” turn. The ramifications of this are profound. This WSJ article gives us some insight to what could occur.

Tags:
Posted in All Posts, U.S. Economy, US Dollar, US Stocks | 5 Comments »

Alert

Posted by Peter Grandich at 4:39 PM on Monday, October 27th, 2008

I have to come clean. I’ve been watching CNBC-TV with the sound “on” for a few weeks now (forgive me Father). Throughout the vicious sell-off, one perma-bull ( That’s someone you throw off the top of the Empire State Building and all the way down they say “so far so good”) after another says it’s a buying opportunity (Don’t believe me, just watch, they roll them out every few minutes). Now after all these “buying opportunities” I’m not sure what the average person would have left but just like a clock is right twice a day, so will these folks be one of these days.

As you know I’ve been waiting to see if the lows of October 10th could be tested and hold before considering some “trading” capital to the long side (remember, trading is really gambling, nothing more). The last couple of trading days, the U.S. market has fared better than overseas and looked like it may finally take a breather to the downside, but ends up selling off in the final hour. Make no mistake about it the final hour is the most important hour in the whole trading day. One of the reasons I believe this is occurring is if you want to buy or sell mutual funds, your order must be in before 3PM. It appears there are still net redemptions so funds sell what they need to in the final hour. Technically, this is also bearish. Today we fell like a rock in the final 30 minutes. Stay tuned.

U. S. Dollar – One day does not make a trend but we need to watch closely if today was a key reversal. The dollar is way off its highs of the day. I believe it has risen mostly because of various previous strategies of shorting it and going long foreign currencies and/or foreign stocks are being unwound. One never knows how long this can take but how could anyone think the U.S. Dollar is better off than the Euro, Yen or Loonie long term.

Gold – A significant drop in jewelry sales, hedgefund liquidations, a rising U.S. dollar, falling oil prices and the usual games played on the Crimenex (Comex) have brought gold to key support of $700-$725. I think we should hold, especially if we had a reversal in the dollar.

Base Metals – Still watching them from the sidelines but another 10% or so lower and I think I’ll fall in love with them again after two years of living apart.

Mining and Exploration Shares – I continue with daily prayer vigils.

Please note I will be travelling to Vancouver on Wednesday and be speaking at Michael Campbell’s conference on Saturday (www.moneytalks.net) I hope to be around the conference from noon to my speaking time at 3:30PM and hang around after it ends. I hope to see many of you there. Remember, no guns or knives.


Posted in All Posts, Base Metals, Copper, Exploration Shares, Gold, Lead, Mining Shares, Nickel, Oil, Precious Metals, Silver, U.S. Economy, US Dollar, US Stocks, Vanadium, Zinc | 5 Comments »

Alert, Alert, Alert 8:00AM EST

Posted by Peter Grandich at 7:57 AM on Monday, October 27th, 2008

Stock markets around the world are tanking. DJIA futures off 300 points. I’ve been looking for the DJIA to come back and at least test the lows of October 10th before any talk of a real tradeable bottom could be worthy. We’ll need to watch carefully today so stay tuned!

Posted in U.S. Economy | 3 Comments »

Two Videos Everyone Should Watch

Posted by Peter Grandich at 8:41 PM on Sunday, October 26th, 2008

 

60 Minutes has done a superb job of explaining how this worldwide financial crisis lies at the feet of Wall Street. Watch the two videos called Wall Street’s Shadow and Derivatives

Posted in A Grandich Company | 8 Comments »

Found a Great Website For Uranium Information

Posted by Peter Grandich at 8:04 AM on Sunday, October 26th, 2008

As I stated on BNN Friday night, I believe uranium is bottoming and want to establish some positions in related equities over the coming weeks. I discovered a very worthy website just on Uranium. Go to http://uraniumminer.net/

I’m off to the New York Jets versus Kansas City Chiefs game (Yawn-boring). I have a prediction regarding the Dallas Cowboys. Two more losses in a row and T.O. totally losses it. I made a promise to a great friend in Vancouver I will not negatively comment on the Vancouver Canucks for the rest of the year. That may be tougher for me than looking at my resources portfolio. Pray for me-lol

Peace Be With You!

 

Peter

Posted in Crosshair Exploration, Exploration Shares, Mining Shares, Uranium | 6 Comments »

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