ORENINC INDEX - Monday, April 15th 2019
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Last week index score: 39.79
This week: 28.46
Silver Spruce Resources (TSXV:SSE) said exploration work continues to expand the known mineralized areas and has identified additional drill targets at the Pino de Plata project in Chihuahua, Mexico.
The Oreninc Index fell in the week ending April 12h, 2019 to 28.46 from 39.79 a week ago as the number of financings shrivelled to a six-week low.
Gold had a volatile week, surging higher only to suffer deflation to return more-or-less to where it started after suffering a 1.5% drap on Thursday as US consumer prices increased by a seasonally adjusted 0.4% in March, slightly higher than forecast. Analysts expect a recovery in the week ahead as the US Dollar Index weakened.
On the political front, the US and China are still engaged in trade talks although an outcome still seems uncertain in terms of both timing and content.
The European Union (EU) gave the UK an extension until October to decide how or if it wants to leave the block. There is growing pressure in the opposition Labour Party to back a second referendum and make it a part of its official policy going forward rather than just an option.
On to the money: total fund raises announced decreased to C$40.1 million, a nine-week low, that included two brokered financings for C$3.0 million, five-week low and two bought-deal financings for C$3.0 million, a four-week high. The average offer size increased to C$1.8 million, a two-week high, whilst the number of financings decreased to 22, a six-week low.
Gold began the week strongly increasing to US$1,307/oz before falling back to close down a smidge at US$1,290/oz from US$1,291/oz a week ago. The yellow metal is up 0.62% so far this year. The US dollar index pulled back as it closed down at 96.97 from 97.39 last week. The van Eck managed GDXJ closed down at US$31.13 from US$31.79 a week ago. The index is up 3.01% so far in 2019. The US Global Go Gold ETF pulled back again as it closed down at US$12.64 from US$12.82 last week. It is up 10.85% so far in 2019. The HUI Arca Gold BUGS Index closed down at 168.27 from 171.18 last week. The SPDR GLD ETF continued to sell off as its inventory closed down at 757.85 tonnes from 761.87 tonnes a week ago. It was last at these inventory levels in November 2018.
In other commodities, silver spot fell below the US$15/oz level as it closed down at US$14.97/oz from US$15.11/oz a week ago. Copper gained ground as it closed up at US$2.94/lb from US$2.89/lb a week ago. Oil continued to see growth as WTI closed up at US$63.89 a barrel from US$63.08 a barrel a week ago.
The Dow Jones Industrial Average saw a volatile week although it closed slightly down at 26,412 from 26,424 last week. Canada’s S&P/TSX Composite Index closed up at 16,480 from 16,396 the previous week. The S&P/TSX Venture Composite Index closed slightly down at 625.64 from 629.82 last week.
For full update visit: https://bit.ly/2IEVXr3
