Al's morning thoughts from TC - boy I miss him here!!!
posted on
Apr 16, 2008 05:38AM
Discuss the various junior resource companies within the McFaulds Lake Area
Good morning.
Overseas indices are all green this morning on the backs of better than expected earnings from Intel and following the positive day on the US indices from yesterday. Earnings season is now the focus of Wall St so expect some volatility over the next week. Corporate profits are expected to fall 12% on the S&P 500 companies, so any suprises to the upside will create some buying. Today before the bell JPMorgan reports, a biggie for the financials. On the economic calendar at 8:30 am we get CPI #'s, housing starts and building permits #'s. At 9:15 industrial production #'s and capacity utilization #'s. Followed by crude inventories at 10:30 am. Futures are currently up but with all the earnings and economic #'s coming our way expect some crazy swings in futures #'s before the opening.
Back in McFaulds Lake once again we experienced low volumes yesterday. Investors are slowly losing patience from the long delay of assays in the lab from NOT. As the leader goes the rest of the stocks still follow in McFaulds Lake. The good news from the wts being excersised from investors in the previous PP did nothing for the share price of NOT as predicted. It was good news for the coffers of NOT but did nothing for the speculative fever of owning NOT shares.
After the intial exuberance from investors on the rumours from BMK that it had a hit on its current drilling program the stock is slowly sliding back to pre rumour prices. The lower volumes tell me investors are in show me mode. Some of these rumours do far more harm than good, especially if they are proven to be false.
FNC and PRB the two proximity plays to NOT have just totally lost interest with investors. There comes a time when investors no longer buy the hype they want facts. It appears that time is now. I have this feeling if we don't hear a drill date this week from FNC we will see a steep sell off. At some point investors will start jumping off the train if deadline after deadline is ignored with no word from management. Hopefully the word from the FNC of an announcement this week is true or I feel the pain for those still in this stock. With PRB at least Palmer the Pres talks to his investors.
SPQ/KWG/FWR, are still getting no respect from investors even after the excellent visuals announced last week. For those with a month or two of patience to wait for assays these stocks could be a good bet. I will say this once again the visuals looked very good. If the assays are anything close to as good as the visuals these three stocks should do very well. JMHO
Best of luck to all McFaulds Lake investors. Perhaps today is the day we get assays from NOT to lead us. Even visuals from the rumoured hit on DE4 would be welcomed. Keep the faith.
Al