Kitco NEWS Roundtable

The gold market is spinning its wheels, caught in a stalemate, which could create some profit-taking among investors and weigh on prices in the near term, noted mining audiences manager Michael McCrae. On Saturday McCrae recorded Kitco Roundtable. Heading into the weekend, markets continue to digest the disappointing nonfarm payrolls numbers. The U.S. economy created 175,000 jobs last month, according to the Bureau of Labor Statistics. The monthly figure missed expectations as economists were looking for job gains of 238,000.At the same time, the unemployment rate increased, and wages didn't rise as much as expected.This was initially good news for the gold market, and prices briefly popped; however, in a fatigued market, many traders used the rally to sell. The gold market has managed to hold support above $2,300 an ounce, but it is ending the week with a roughly 1% loss.After its massive $400+ rally, the gold market continues to consolidate and trend lower as sentiment normalizes. The focus again turns to the Federal Reserve's monetary policy and interest rates.According to analysts, gold investors need more clarity from the Federal Reserve as a rate cut this summer becomes increasingly unlikely.

Given higher than expected inflation print this week, the Federal Reserve is less likely to lower interest rates. On Friday mining audiences manager recorded Kitco Roundtable. Gold investors could see higher volatility next week as the Federal Reserve is expected to signal it will not be ready to lower interest rates before the summer.The weakness comes as the Federal Reserve's preferred inflation gauge – the core Personal Consumption Expenditures (PCE) index – showed that inflation remains higher than preferred, rising 2.8% over the prior year in March, above estimates for 2.7% On Wednesday the Fed will make an interest rate announced followed by a press briefing by U.S. Federal Reserve Chair Jerome Powell.Mid week Bloomberg reported that BHP Group has made an unsolicited offer for Anglo American. BHP Group is the world's largest diversified miner with a market cap of about $150 billion. The deal could equal $39 billion making it one of the largest mining deals in decades. BHP is interested in Anglo American's copper assets. Anglo American is expected to produce 730–790 kt of copper in 2024 mostly due to operations in Chile and Peru.

With Middle East conflict unwinding, a focus on the Fed could slow gold's momentum. On Saturday mining audiences manager Michael McCrae recorded Kitco Roundtable. For now, the Israel-Iran conflict seems to have tamped down, which removes some safe-haven demand for gold and puts renewed focus on the Federal Reserve's monetary policy.This week Federal Reserve Chair Jerome Powell surprised markets with a brief hawkish comment. While speaking at an event in Washington, D.C., Powell said that after the release of hotter-than-expected inflation data, the central bank has less confidence it is ready to cut interest rates. A June rate cut is basically off the table, and markets only see a 50/50 chance of a July rate cut.In mining news the Biden Administration denied the building of an access road to Triology Metals' base metals project in central Alaska. The the Upper Kobuk Mineral Projects is a joint venture with South32 50/50. Triology dropped about 25% for the week.

Gold jumped another 5% this week with June gold futures hitting $2,350 an ounce.On Saturday mining audiences manager Michael McCrae recorded Kitco Roundtable. Copper was also on fire, which were up 4.6% for the week to close above $4.20. The copper miners are up 20% year to date and trading at a 52 week high. Gold miners are up just 10% year to date, according to the GDX. U.S. job growth blew past expectations in March and wages increased at a steady clip. However the strong job numbers suggest that the Federal Reserve will put off a rate hike to later this year.

Metals could get a lift with the Fed signaling that it wants to cut interest rates, note mining audiences manager Michael McCrae.On Saturday McCrae recorded Kitco Roundtable.Gold ended the week flat with spot at $2165.The metal did spike mid-week. The Federal Reserve has given the all-clear to gold after signaling it still wants to cut interest rates three-times this year, even as inflation remains above the 2% target.In mining news Calibre Mining (TSX: CXB) announced a C$100 million bought-deal financing at a price of $1.68 per common share of Calibre. Calibre is a mid-tier gold producer with operations in Newfoundland & Labrador in Canada, Nevada and Washington in the U.S., and Nicaragua.Digging Deep: https://www.buzzsprout.com/2326395Green Rush: https://www.buzzsprout.com/2326398

Copper gained nearly 6% this week to trade above $4 pound, noted mining audiences manager Michael McCrae. On Saturday McCrae recorded Kitco Roundtable. Copper got a boost with news that potentially less metal will be available. According to Reuters, China announced that it was cutting production at some loss-making copper smelters. Copper bulls see years of low prices along with diminishing production as a good sign for the metal when the energy transition theme fully kicks in. The lithium sector looked bullish with big financings announced. Lithium Americas received a record $2.2 billion loan from the US Department of Energy (DOE) to finance the construction of processing facilities at Thacker Pass in Nevada. Liontown Resources (ASX:LTER) announced this week a A$550 million debt facility to fund the company's Kathleen Valley lithium project through first production and ramp-up to the 3Mtpa base case.

Gold's run is having limited benefit for gold miners, noted mining audiences manager Michael McCrae. On Saturday, McCrae recorded Kitco Roundtable. After an impressive seven-day rally, which pushed prices to an all-time high of $2,203, the gold market could see some consolidation in the near term, writes editor Neils Christensen. Profit taking and the lack of any near term catalysts could dampen gold's run going forward. Gold's run has had muted impact upon gold equities. Although gold companies are up 9% this month, they are still down for the year and more than half their all time high early last decade. According to a report by Reuters, the Romanian government said on Friday it won an arbitrage trial filed by Canada's Gabriel Resources (GBU.V). The company planned to build Europe's largest open pit gold mine in the western Romanian town of Rosia Montana.Gabriel Resources had sought at least $4.4 billion in damages from Romania.

Both copper and gold were higher this week with signs that the Fed may be easing as soon as June. On Saturday mining audiences manager Michael McCrae recorded Kitco Roundtable with correspondent Paul Harris.

Gold recovered after tumbling mid week due to a hotter than expected CPI number, noted mining audiences manager Michael McCrae. On Saturday McCrae and Kitco correspondent Paul Harris recorded Kitco Roundtable. On Tuesday the Labor Statistics said that its Consumer Price Index rose 0.3% in January, higher than the Consensus forecasts of 0.2% increase. Markets tumbled and gold dropped below the 2000 level.The week started with a tragic mine accident in Turkey. SSR Mining suspended production at its Copler mine after a landslide resulted in at least nine miners missing.

New Gold announced a big production update this week, noted mining audiences manager Michael McCrae. On Saturday, McCrae recorded Kitco Roundtable with correspondent Paul Harris.New Gold reported that consolidated gold production is expected to increase by approximately 35% from 2023 to 410,000 to 460,000 ounces in 2026 driven by increasing production profiles at both Rainy River and New Afton as growth projects are completed in the near-term. The company still sold off in a down market for gold miners, off 6% for the week to $1.58 a share. New Gold is a Canadian-focused intermediate mining Company with a portfolio of two core producing assets in Canada, the Rainy River gold mine and the New Afton copper-gold mine. The other precious metal, silver, shows promise. According to Christopher Vecchio, Head of Futures & Forex at Tastylive.com, the metal is near a year low. It also does well during periods of volatility. The U.S. is heading into an election year. The congress is also setting up for a budget fight.

Metals traded lower end of week when jobs data came in stronger than expected, noted mining audiences manager Michael McCrae. On Saturday McCrae recorded Kitco Roundtable with Kitco correspondent Paul Harris. On Friday jobs data showed the U.S. economy created a whopping 353,000 jobs last month, significantly beating expectations. Markets see only a 20% chance of a rate cut in March, and they have pared back expectations for a rate cut in May.Copper spiked mid-week, nearing $4 pound to settle back where it started, due to the strong job's number. Gold finished the week near the 2050 level, mostly flat for the week. In mining news British Columbia's Nisga'a Nation is establishing Canada's largest majority Indigenous-owned public company. The new royalty company includes mining heavy hitter Frank Giustra, who will be strategic advisor to the newly-formed Nations Royalty.

The copper market is setting up nicely and prices for the metal should head higher, noted Kitco correspondent Paul Harris. On Monday Harris, mining audiences manager Michael McCrae and Soar Financial CEO Kai Hoffmann recorded Kitco Roundtable at the Vancouver Resource Investment Conference. Harris noted that copper supply is starting to dwindle, while energy transition is increasing demand. The three panelists also noted the downbeat mood at the first major mining show of 2024, as resource companies hope to turn the page on a mostly forgettable 2023.

A Chinese miner made a large investment into a Latin American copper developer, noted Kitco correspondent Paul Harris. On Saturday Harris and mining audiences manager Michael McCrae recorded Kitco Roundtable. Earlier this week Solaris Resources announced a $130 million strategic investment by Zijin Mining Group. Solaris is advancing its Warintza project, a high-grade open pit copper resource in Ecuador. McCrae noted that both gold and copper were under pressure due to a hawkish turn by the Federal Reserve.

Uranium leaped to a new high, noted mining audiences manager Michael McCrae. On Saturday McCrae and Kitco correspondent Paul Harris recorded Kitco Roundtable. Uranium traded as high as $100 this week according to pricing data provider UxC. The metal is has tripled in the past two years. Uranium was propelled higher when mining giant Kazatomprom announced a production shortfall of the metal due to lack of sulphuric acid needed for production.

Gold has had a solid year, overcoming the Fed's higher interest rate regime, noted mining audiences manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable. Spot gold managed to finish the final trading day of 2023 in the 2060 range, up about $200 from the start of the year. In mining news top ten gold miner, Agnico Eagle (NYSE: AEM), announced today it was investing $23.12 million in Canada Nickel Company (TSXV: CNC). Agnico will own about 12% of the Ontario-focused, early-stage nickel company.

On Friday gold prices fell on strong job numbers from the U.S., noted mining audiences manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable. Friday was jobs day. The U.S. economy created 199,000 jobs last month, beating expectations. At the same time, the unemployment rate dropped to 3.7%, down from 3.9% in October.The strong economy implied that the Fed is further away from easing. On the news gold prices hit a two-week low and silver a three-week.According to some analysts, Monday's rally and subsequent selloff was not helpful for gold's long-term price action. In mining news depressed platinum prices have forced miners to lay off workers. Anglo American is preparing to freeze spending on growth and widen job cuts in South Africa. Reuters reports that the miner is preparing to mothball some high-cost platinum mines. Last week Sibanye-Stillwater, the other major platinum producer, said it was cutting about 100 employees and 187 contract workers at its Stillwater West mine in MontanaPlatinum prices have declined 11% for the year.

Gold finally hit a record high, and the copper markets had a big supply shock, said mining audiences manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable. February gold futures last traded at $2,091.90 an ounce, up more than 4% from last Friday's close. Gold's previous record was at $2,089.20 in August 2020, wrote Kitco editor Neils Christensen.Gold is seeing renewed buying momentum as markets continue to price in a potential rate cut as early as March. The precious metal's rally comes even as the central bank maintains its tightening stance. Friday, Federal Reserve chair Jerome Powell said that he is still not confident monetary policy is sufficiently restrictive enough to bring down inflation to 2%.In mining news, First Quantum was the story. Panama's top court declared that First Quantum's contract with the government to operate a key copper mine was unconstitutional. Panama's president, Laurentino Cortizo, then closed the mine. First Quantum is a top 10 copper miner.

To end the week gold has spent much of the time trading above $2,000 a ounce, noted mining audiences manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable. After the good CPI numbers earlier this month that may allow the Fed to stop hiking, gold has found room to rise. Notable economic number this week were the the S&P Global Flash U.S. manufacturing and services PMI. Manufacturing contracted while services expanded. Bottomline is that the numbers put the U.S. economy at neutral. Copper was up again this week, nearing the $3.80 lb point. Supply disruptions favored the metal, which segues to mining news. In mining news, First Quantum is facing supply disruptions and a looming court decision. Protestors in Panama are blocking supplies from reaching the mine. Without relief, the company warned that production could be halted. The mine also faces legal challenges. It's recently signed mining contract it signed with the government is being challenged in the supreme court. A decision is expected in the coming days or weeks. A majority of lawyers surveyed by Reuters saidthe Supreme Court is likely to rule against the company, citing a precedent.

Commodities and markets were up this week off the good consumer price index report, which came in below market expectations, noted mining audiences manager Michael McCrae. On Saturday McCrae recorded Kitco Roundtable. The GDX, a index of gold miners, was up 5% on the week. The S&P was up half that amount. Gold added about $40 for the week to end at the 1980s range. Mid-week consumer price index report was below Wall Street estimates, which sparked a major rally on Wall Street. The core CPI rose 0.2% and 4%, against the forecast of 0.3% and 4.1%. The annual rate was the smallest increase since September 2021, according to CNBC.Copper was up 4% this week. Even better for miners is that oil prices were mostly flat on the week with WTI trading in the mid 70s. The big mining news from the start of the week is when Glencore bought 77% of Teck Coal Business for $6.93 Billion. Nippon Steel took the remaining portion. In a news release Jonathan Price, President and CEO, Teck. said the sale will ensure Teck is well-capitalized and able torealize value from its base metals business and re-focus Teck as a Canadian-based critical minerals champion

Commodities traded down this week after the Federal Reserve Chair Jerome Powell made hawkish remarks at a news conference. On Sunday mining audiences manager Michael McCrae recorded Kitco Roundtable. Powell warned markets that although inflation has come down from last year's 40-year highs, the Fed still has work to do. He said that the central bank is not “confident” that it has inflation under control enough to shift its current tightening bias, according to reporting by editor Neils Christensen.Powell also said that the Federal Reserve wouldn't hesitate to raise interest rates if inflation pressures start to rise again.Gold investors did not like Powell's latest message to financial markets as prices have dropped below support at $1,950 an ounce and ended the week down nearly 3% from last Friday.Copper followed gold down, too. The metal was off nearly 3% after last week's rise. It traded at $3.60. De Beers sales plunge in ninth cycle of 2023, which was $80M lower than the same cycle a year ago. Al Cook, CEO of De Beers, commented, "Macro-economic challenges continue to affect the diamond sector. The retail recovery in China remains slow.

Gold is deferring a break higher, noted mining audiences manager Michael McCrae.On Saturday McCrae recorded Kitco Roundtable with correspondent Paul Harris.Key economic news this week was the jobs report. Non-farm payrolls number come in at up 150,000 versus market expectations of 170,000. The report fell into the camp of the U.S. monetary policy doves, who want the Federal Reserve to stop raising interest rates.Gold was helped but not much. Spot gold finished the week at $1,998 ounce.Gold's inability to convincingly break above $2,000 an ounce is creating some cautious sentiment in the marketplace, with some analysts saying that prices might need to consolidate in the near term before the precious metal takes a run at its all-time highs, wrote Kitco editor Neils Christensen.In mining news Harris noted that Ero Copper agreed with Vale to enter into an earn-in agreement for a 60% interest in the Furnas copper project.

A Fed rate-hike pause at next week's FOMC meeting is likely, noted mining audiences manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable with correspondent Paul Harris. Also noted during Roundtable was Piedmont Lithium and partner Atlantic Lithium obtaining permits for the Ewoyaa project in Ghana.

War worries and a possible end to Fed tightening are some of the reasons gold is rebounding, noted mining audiences manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable with correspondent Paul Harris and QC Copper & Gold CEO Stephen Stewart. The gold price has been on an unstoppable move higher when war fears entered the marketplace last week, that according to Kitco contributor David Erfle. Despite the U.S. 10-year bond yield rising to 5%, the safe-haven metal has risen from $1825 just two weeks ago to move closer to the key $2000 level notching up an impressive gain of 9%, so far this month.Adding to support is the Federal Reserve. At the Economic Club of New York Thursday, Fed Chair Jerome Powell reiterated his stance that interest rates will have to be higher for longer, but he provided little new guidance on monetary policy heading into year-end.Analysts have noted that the gold market has priced in a lot of bad news already, and the Federal Reserve, near the end of its tightening cycle, should not provide the same headwinds for the precious metal, wrote Kitco's Neils Christensen.Stewart's QC Copper & Gold (TSXV: QCCU) is focused on acquiring and developing copper projects in Quebec. The company is focused on its Opemiska property. A maiden resource estimate for the property showed 81.7M tonnes @ 0.88% CuEq of pit constrained measured and indicated mineral resources and 21.3M tonnes @ 0.73% CuEq of inferred mineral resources. "Historically speaking, billions and billions of pounds of copper have come out of Quebec," said Stewart.

The set up for copper looks good, said EMX Royalty CEO David Cole. On Friday Cole recorded Kitco Roundtable with mining audiences manager Michael McCrae. With the Federal Reserve looking to be near the end of its tightening cycle and geopolitical concerns, the vice-grip that monetary policy has exerted on gold through most of 2023 is starting to weaken, giving the market room to run.After hitting a seven-month low a week ago, the precious metal is seeing its best weekly gains since mid-March, noted Kitco's Neils Christensen. Prices are over $90 higher than last week's closing price, with December gold last trading at $1,941.50 an ounce, and are up more than 6% from last week's lows.EMX Royalty (TSX-V:EMX) is a precious, base and battery metals royalty company. Some highlight assets are Timok Magmatic Complex in Serbia and Caserones, a copper and molybdenum mine in Chile. The company asset mix is 56% gold and 22% copper."I do expect the copper side of that equation to continue to increase with our exposure to Caserones..operated by Lundin Mining and of course Timok," said Cole. "Those are two generational copper assets with very long lives within our portfolio. Generally speaking, we love the metals across the periodic table and are happy to be exposed to them all, but if you ask me what my favorites are I'd say that copper is the most strategic." 3:00 - Focus on royalties4:00 - More deal flow for royalty and streaming companies during a downturn4:33 - Timok settled dispute5:20 - Asset mix at EMX Royalty

Many commodities were routed in October, noted mining audiences manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable with Kitco correspondent Paul Harris. Gold prices dropped to a fresh seven months below after data showed that the us economy created 336,000 jobs last month, significantly beating the market's expectations. However, according to some analysts, disappointing wage growth and an unchanged unemployment rate gives the federal reserve room to leave rates on change next month. And with that gold recovered slightly and finished the week in the 1840 range, copper traded lower this week to hitting its lowest point since May. The big commodity surprise was oil. Early this month, oil looked like it might crest $100 a barrel prices, but prices retreated sharply, and now a barrel can be had for the low 80s.

During the last week of September, gold suffered its second largest monthly decline of 2023 with only February having a greater devaluation of gold futures, noted mining audiences manager Michael McCrae. On Saturday McCrae recorded Kitco Roundtable.The precious metal droped 5%, nearly $100. According to Kitco contributor Gary Wagner, the root cause the Federal Reserve including a major revision that was announced at last week's September FOMC meeting. In mining news, battery metal investments led the headlines. Swedish lithium-ion battery manufacturer Northvolt announced that it will establish a fully integrated lithium-ion battery gigafactory near Montreal, Quebec. Spend is $5 billion and the plant will employ up to 3,000 people.

Due to travel schedules, we reprised an interview with Exploration Insights' Joe Mazumdar. Mazumdar spoke to Kitco in mid-September at the Precious Metals Summit 2023 in Beaver Creek, Colorado. Mazumdar is editor and analyst of Exploration Insights. Brent Cook, who is founder of Exploration Insights, also joined the interview.

There is a big disconnect between gold prices and gold miners, noted panelists on Kitco Roundtable. On Friday mining audiences manager Michael McCrae, Kitco Correspondent Paul Harris and David Erfle with the juniorminerjunky.com recorded Roundtable at the Precious Metal Summit in Beaver Creek, Colorado. During the first quarter of the year, gold futures traded above $2,000. Since then, the metal has mostly traded within a healthy band of $1,900 to $2,000. Yet, the gold mining index, the GDX, is down 3% year-to-date, while the tech-heavy NASDAQ composite is up nearly one-third. Gold mining shares..."look like the gold price, you just have to turn the charts upside down," noted Erfle. "It's an amazing dichotomy."Erfle said there are just better options for investors with elevated inflation, good rates on T-bills and other parts of the market showing more promise. Harris noted the toll the gold market is taking on investors and companies. "It's grinding down the management teams," said Harris "People have commented to me that they love the sector...but the joy has gone out of it, because it's relentless—the endless calls from disgruntled investors about when it's going to turn around." Kitco Roundtable is sponsored by Snowline Gold.

While gold and copper slipped 1% and 3.5% respectively this week, oil is gaining, noted mining audiences manager Michael McCrae. On Saturday McCrae recorded Kitco Roundtable with correspondent Paul Harris. Copper prices dropped 3.5% this week to finish at the low $3.70 level. Gold trended downward this week, with prices falling around 1% after the Labor Day holiday finishing the week at $1,919 an ounce.But oil is surging. On Tuesday Brent crude saw $90 a barrel for the first time since November, a 10-month high. Oil gained on news that Russia and Saudi Arabia committed to reducing production over a longer period of time.

Base metals are trading higher due to China's efforts to shore up its struggling property sector, noted mining audiences manager Michael McCrae.On Friday, McCrae recorded Kitco Roundtable with correspondent Paul Harris and Srini Godavarthy, the CEO of Li-Metal.China is issuing directives to prop up its property sector, such as easing borrowing rules to aid homebuyers. Other measures included lowering the existing mortgage rate for first-home buyers and the down payment ratio in some cities, noted Reuters.Worries about China's economy has been a drag on metals through most of the summer, but cvopper prices rallied this week adding nearly 10 cents. As of 2:23ET, copper futures were trading at $3.88.Godavarthy noted that there has been significant investment in battery technology as energy transition and EV adoption gather pace. Li-Metal is focused on metal anode and lithium metal production technologies.

All eyes were on the Jackson Hole meeting in Wyoming, noted mining audiences manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable with correspondent Paul Harris and Stillwater Critical Minerals' CEO Michael Rowley. Stillwater Critical Minerals (TSX.V: PGE | OTCQB: PGEZF) is a Canadian mineral exploration company focused on its flagship Stillwater West Ni-PGE-Cu-Co + Au project in the Stillwater mining district of Montana, U.S. 2023 drilling is currently underway. In the spring the company received an investment from mining giant Glencore. On Friday Fed Chair Jerome Powell gave a much-anticipated speech at the key economic gathering striking a hawkish tone on U.S. monetary policy, saying that the inflation fight is not finished and the Fed still “has a long way to go” to get inflation tamed. Powell said the U.S. economy may not be cooling down like the Fed wants to see in order to choke off inflationary pressures. He also noted that the U.S. central bank is prepared to raise interest rates further, if warranted. Bottom line from Fed observers: hawkish, but not that hawkish. The world's largest diversified miner, BHP Billiton, released its fiscal year end. BHP had its weakest annual profits in three years – weighed down by soft iron ore prices. China's sluggish economic revival and the West's hawkish response to inflation were hurting the miner's numbers. Regarding China, the key commodity country's economic fate is in the government's hands. BHP wrote that trajectory is contingent on the effectiveness of recent policy measures.

Metals are sliding due to recession worries, higher for longer rates and China concerns, noted mining audiences manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable with correspondent Paul Harris.   China is the story that is dominating commodity markets. A handful of large Chinese property development companies are under stress. Today Evergrande announced it filed for bankruptcy protection in the US. Earlier this week China's largest private real estate developer Country Garden missed a bond payment.   With China worries, investors fled to the U.S. and the dollar gained. The dollar hovered around a two-month high on Friday. The dollar is set for its fifth consecutive week of gains in the longest winning streak for 15 months, according to a report by Reuters.   As of noon ET Friday, gold had dropped through $1,900 level to trade in the $1,890 range. Oil is at the $80 barrel level, and copper is near $3.70 lb.   Even critical metals are not immune.   Tesla (TSLA) has trimmed prices on its Model S and Model X cars in China. The prices are being reduced by more than 6%.   Tesla is down 10% for the week.   The lithium index is down 5% over the past five days and trading at a 52-week low.   There was some bullish news. On Thursday a consortium of Ford and South Korean companies announced a C$1.2 billion ($887 million) plant to produce electric vehicle (EVs) battery materials in Becancour, Quebec.

Gold did not get much of bounce from the favorable job numbers, noted mining audiences manager Michael McCrae.  On Friday McCrae recorded Kitco Roundtable with Kitco correspondent Paul Harris.  U.S. nonfarm payrolls rose by 187,000 last month, according to the Bureau of Labor Statistics, which released the numbers on Friday. The monthly figure was below the market consensus estimates of 205,000.The gold market didn't react much. December gold futures last traded at $1,970 an ounce, roughly unchanged on the day.Companies are releasing their second quarter financial results. In its outlook, uranium giant Cameco raised its revenue forecast due to momentum in the nuclear sector and supply risk caused by geopolitical developments.Albemarle, a leading global producer of specialty chemicals, reported net sales of $2.4 billion in Q2. In its outlook the lithium miner said net sales are expected to increase 40% to 55% over the prior year, primarily driven by the continued global shift to electric vehicles. The year-over-year increase in Adjusted EBITDA is expected to be in the range of 10% to 25%, primarily due to higher energy storage pricing.

The gold market is seeking direction, noted Kitco's mining audience manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable with Kitco correspondent Paul Harris. McCrae noted that the big news this week was the  Federal Reserve pushing interest rates to a 22-year high on Wednesday. The Fed resumed its hikes from last month's pause. The big data point this week was core Personal Consumption Expenditures price index increased 0.2% last month, compared to May's increase of 0.3%. The report revealed that in June inflationary pressures continues to diminish while consumer spending continues to expand. The news sent equity markets higher. Despite the data, analysts say markets are too unsettled. "The market is desperate for any type of clarity. Right now, the Federal Reserve is going to maintain their hawkish bias because they want to see inflation go down further, so any soft data that will shift that bias will be good for gold," argued Kevin Grady, president of Phoenix Futures and Options, in an interview with Neils Christensen. The drop in commodity prices have been hitting the base metal miners.  Rio Tinto said its net earnings amounted to $5.1 billion  for the six months ended June 30 2023 (HY23), down 43% compared to HY22.  In a press release, Rio Tinto noted "softer” market conditions.  Teck that saw Q2 profits of C$510 million compared to C$1.5 billion a year prior.      

Gold approached $2,000 earlier this week but then fizzled as the upcoming Fed hike weighed, noted mining audiences manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable. The Fed skipped a raise in June. There were signs that the Fed is winning its inflation battle with favorable data about jobs and inflation, but the Fed will not be deterred. Analysts say that The Fed is almost certain to hike its policy rate by 25bp to between 5.25% and 5.50% at next week's FOMC meeting.  Gold finished the week in the $1,960 range. Copper was off for the week.  China did introduce a modest stimulus to boost automobile and electronics consumption, but it didn't climb the wall of worry.  Slow China growth has been an anchor on copper.  Copper futures dropped about 2%. Last checked copper was in the 3.80 a pound range.  Newmont (NYSE: NEM) (TSX: NGT), the world's largest gold producer, announced this week that its Q2 2023 attributable gold production decreased 17% y-o-y to 1.24 million ounces primarily due to lower production at Peñasquito, Akyem, Merian, Cerro Negro and Boddington. However, Newmont affirmed guidance. Newmont dropped three percent on the week. Newmont acquisition target, Newcrest, was down 2% for the week.  There may be some bullishness. Equipment makers have been reporting some strong quarters. Sandvik reported that its revenue grew 16% in the second quarter. Mining equipment company Epiroc said this week that revenue was up 34% in Q2  

A good inflation report pushed the gold market to a three-week high, with prices holding solidly above $1,950 an ounce, and sentiment turning bullish, noted mining audiences manager Michael McCrae. On Saturday McCrae recorded Kitco Roundtable. Roundtable covered the lift in metal prices due to good inflation numbers. The Consumer Price Index dropped to 3%. The Producer Price Index for final demand rose 0.1%. Economists surveyed by Dow Jones were expecting an increase in the PPI of 0.2%. Roundtable also features an interview with  Fastmarkets' CEO Raju Daswani. Last month Raju hosted his company's 15th Lithium Supply and Battery Raw Materials 2023 show held in Henderson, Nevada.

Lithium companies enjoy a funding advantage, noted Bradda Head Lithium CEO Charles FitzRoy.   On Friday FitzRoy recorded Kitco Roundtable with mining audiences manager Michael McCrae.   Bradda Head is advancing projects in Arizona and Nevada.   With energy transition underway and governments supporting critical mineral businesses, FitzRoy noted that lithium companies have more options to raise money to continue their work.   "There's a lot of support around funding," said FitzRoy. "Whether it's from [the Inflation Reduction Act] or from OEM's or major miners getting interested in the lithium space... that's enabling small companies like ours to grow." Roundtable also talked about the rebound in gold off the Friday's job's numbers and China restricting the export of gallium and germanium. 

Robert Friedland warned about a coming copper crunch due to increasing demand and dropping supply, noted Kitco correspondent Paul Harris.  On Friday Harris recorded Kitco Roundtable with mining audiences manager Michael McCrae. The bleak picture for gold stocks was also covered. Gold is seeing its worst month since February as markets shift expectations, pricing in a nearly 100% chance of a rate hike in July. After kicking off the month above $1,980 an ounce, gold finished June at the $1,910 level. McCrae talked about some of his favorite #MinTwit follows on Twitter: @michaelbhorner, @jrminingguy and @miningcatalyst. The book McCrae is reading is The World for Sale: Money, Power, and the Traders Who Barter the Earth's Resources.

Gold ended its worst week since February as the Federal Reserve's outlook of two more rate hikes weighed on the precious metal. But some analysts don't see the macro picture supporting that hawkish view.On Saturday mining audiences manager recorded Kitco Roundtable. The gold market was down around $40 on the week, with August Comex gold futures last trading around the $1,930 level.China unveiled on Wednesday a 520 billion yuan ($72.3 billion) package of tax breaks over four years for electric vehicles (EVs) and other green cars, its biggest yet for the industry as it seeks to boost slower auto sales growth, that according to Reuters.

Gold could make a decisive move either up or down next week, noted mining audiences manager Michael McCrae.  On Friday McCrae recorded Kitco Roundtable.  The gold market has been steady so far in June, trading between $1,940 and just under $2,000 an ounce, writes Kitco reporter Anna Golubova. But after weeks of sideways price action, gold could be ready for a significant move in either direction with gold retesting the $1,880 level or getting back up to around $2,000.In lithium news Delta Lithium (ASX:DLI) said today that Japanese conglomerate Idemitsu will invest about A$46.4 million in Delta at $0.7075 per share.Also this week Midland Exploration optioned several lithium properties in Quebec to Rio Tinto for up to $65.5M in expenditures and other payments

Unprecedented forest fires in Quebec forced shut downs at several mining operations in the province, noted Kitco correspondent Paul Harris. On Friday Harris recorded Kitco Roundtable with mining audiences manager Michael McCrae and CEO and Co-founder of VRIFY, Steve de Jong. Unseasonably warm weather resulted in over 150 active fires in Quebec. The plight of the province gained international attention when smoke from the fire enveloped New York City in a deep haze. Several miners, developers and juniors suspended operations due to operating hazards in Quebec. Wesdome Gold Mines (TSX: WDO) announced yesterday that it temporarily suspended underground activities and surface exploration activities at the Kiena Mine in Val d'Or, Quebec. Earlier in the month Hecla Mining (NYSE: HL) suspended operations at its Casa Berardi mine.Steve de Jong joined the podcast to talk about his company's recent raise, $6 million in Series A funding co-led by RCF Jolimont Innovation and Beedie Capital, with participation from Tiny. In its press release the company said the money will be spent on developing better communication tools.“A strong critical mineral supply chain is essential for reaching our global energy transition targets, but without a significant shift in the way the mining sector communicates to investors, this is unlikely to happen,” said Steve de Jong said in a news release announcing the investment. “The raise will help us redefine how deals are shared, understood, and secured.”    

Gold dropped end of week after less than rosy economic data was released, noted mining audiences manager Michael McCrae. On Friday McCrae recorded Kitco Roundtable with correspondent Paul Harris. The U.S. annual core Personal Consumption Expenditures price index came in at 4.7% in April versus the consensus forecast of 4.6%. The U.S. central bank favors this gauge because the core inflation strips out volatile food and energy prices. Gold fell following the data release, with June Comex gold futures last trading at $1,946.80 an ounce. Data shows that inflation may not be coming down fast enough could increase bets that the Federal Reserve still has more room to tighten.Major gold miners are down for the year. Newmont is off 18% year to date, Barrick is down about 5%. The lithium sector saw a spate of deals early this week. Ford Motor Company early this week inked supply agreements with Albemarle, Nemaska Lithium and Compass Minerals.Albemarle will supply more than 100,000 metric tons of battery-grade lithium hydroxide for approximately 3 million future Ford EV batteries. The five-year supply agreement starts in 2026 and continues through 2030.Nemaska will supply Ford with lithium products, including lithium hydroxide, over an 11-year period. The agreement calls for the delivery of up to 13,000 tons of lithium hydroxide per year. Ford's big move comes after a lot of major mining deals before it. Early this year GM announced a $650 million deal with Lithium Americas. Ford has done other deals. A year ago signing an offtake with ioneer and Liontown Resources. Ford is the second-largest U.S.-based automaker 

Lithium giant SQM plans to keep investing despite Chile's plan to exert more control. On Friday mining audiences manager Michael McCrae and  Melissa ‘Mel' Sanderson, President North America at American Rare Earths recorded Kitco Roundtable. American Rare Earths is developing its 100% owned magnet metals projects, Halleck Creek in Wyoming and La Paz in Arizona. Sanderson talked supply and demand in the rare earth sector. 

Despite a tough market for precious metal exploration companies, Canadian Gold interim president and CEO Ian Ball said he has a plan to attract investors.  On Friday correspondent Paul Harris hosted Kitco Roundtable with Ball and Rob McEwen, chairman and chief owner of McEwen Mining.  Canadian Gold is a Toronto-based mineral exploration and development company whose objective is to expand the high-grade gold resource at the past producing Tartan Mine, located in Flin Flon, Manitoba. The company holds a 100% interest in greenfields exploration properties in Ontario and Quebec adjacent to some of Canada's largest gold mines and development projects, specifically, the Canadian Malartic Mine (QC), the Hemlo Mine (ON) and Hammond Reef Project (ON). The company is 37.6 % owned by Rob McEwen.  Ian Ball was the former CEO and president of Abitibi Royalties. In 2021 Abitibi Royalties was acquired by Gold Royalty.    

During past precious metal run ups, gold investing was competing against rotations into cannabis or crypto, argued Soar Financial CEO Kai Hoffmann, but during this cycle the metal has the stage to itself. On Friday Hoffmann recorded Kitco Roundtable with Kitco correspondent Paul Harris and mining audiences manager Michael McCrae. The podcast was recorded at Hoffmann's Deutsche Goldmesse show in Frankfurt, Germany.   Gold hit an all-time high last week. Silver has also been at near yearly highs.   "We actually don't have any competition right now as gold investors," said Kai Hoffmann.   "We had cannabis and Bitcoin before, but now there's no competition. I may be missing it, but I don't see it right now." 

 After Chile's President Gabriel Boric announced a nationalization plan for his country's lithium sector, miners are still striving to understand what the ruling means, noted Fastmarkets William Adams.  On Friday Adams recorded Kitco Roundtable with mining audiences manager Michael McCrae and correspondent Paul Harris. Adams is head of battery metals research at Fastmarkets.  Last week lithium miners dropped on news that Chile plans to nationalize its lithium sector, the world's second largest producer of the metal essential in electric vehicle batteries. The government said that nationalization would boost the country's economy and protect its environment. After the news lithium giant Sociedad Quimica y Minera de Chile (SQM) dropped 18% to $63.44 a share. Albemarle slid 10% to $173.75. The lithium space had already been hit by falling lithium prices, which Benchmark Mineral Intelligence says is down by half since the start of the year. Adams said that there is not much clarity about the government's plans. Current contracts are supposed to be exempt from the government's new initiative.  "All these negotiations are going to take a long time," said Adams. "That creates a lot of doubt. It's going to take a long time before we get clarity. In the meantime, I think the danger is that it threatens further investment."

Despite lithium prices halving in 2023, Battery Materials Review Managing Editor Matt Fernley is optimistic about the metal.   On Friday Fernley recorded Kitco Roundtable with mining audiences manager Michael McCrae.   This decade lithium went on a stellar run, trading up 10x versus historical levels, but in 2023 the metal took it on the chin. In 2023 Benchmark Mineral Intelligence estimates that lithium prices have been cut in half. Fernley is sanguine.   "It is just a reasonable cyclical downturn," said Fernley, noting that there have been production cuts in Asia that should help the metal. "We're already below the marginal cost of production for a number of assets in China. That's going to continue in April. I believe that lithium prices will pick up over the next couple of months."   Other news weighing on the metal is Tesla's price cuts. Growth is still strong, noted Fernley, who expects 25% to 30% year-on-year growth in European EV demand.   Lastly, CATL said it is making advances in sodium-ion batteries. Fernley said the technology still needs to scale, and the material has to be sourced in large quantities. Lithium ion will not be substituted by the new technology.   "It would be quite difficult for the sodium ion supply chain to ramp up capacity. The problem is getting pure enough sodium hydroxide or sodium carbonate to use in your batteries." 

While gold M&A has dominated resource headlines, the focus turned to base metals this week.  On Friday Kitco correspondent and mining audiences manager Michael McCrae recording Kitco Roundtable.  Glencore made an unsolicited $22.5 billion bid for Teck. So far Teck has fended off Glencore's advances.  The other M&A deal in the base metal side of the business was Hudbay Minerals (NYSE: HBM) and Copper Mountain Mining (TSX: CMMC). On Thursday the two announced that they were combining in a $439 million deal.   

The surprise bid by Glencore for Teck was covered on Kitco Roundtable, recorded on Friday.  The week started with Glencore making an unsolicited $23 billion bid for Teck, which Teck rebuffed.  Also this week Pan American Silver, Agnico Eagle wrapped up their $4.8 billion deal to acquire Yamana Gold. Agnico Eagle now owns 100% of Canadian Malartic. The company's production in the Abitibi gold belt is forecast to be approximately 1.9 million ounces to 2.1 million ounces of gold per year through 2025.