Bulls N' Bears (Commercial Content)

The dominos are starting to fall for ASX listed Medical Cannabis upstart MGC Pharma, with its third regulatory approval in 3 months being granted. The company will now have the right to market its unique medical cannabis based cosmetic line known as “MGC Derma” into the $1.9b a year Canadian market after the Canadian regulatory authority, Health Canada approved the product.

Good Morning, we’re a little tired this morning after a packed day yesterday in Perth, but hey, market was up last night (Dow + 145 points), so we should have another good day today….. We had a great day yesterday here in Oz, with the XJO rallying + 75 points, as banks rallied and commodities provided strong support… We feel that if the RBA cuts interest rates again next week, markets will rally as investors seek higher yields…..

ASX listed explorer Hammer Metals is in the final planning stages of executing multiple drilling programs across a host of exciting targets within its Mt Isa Copper/Gold/Cobalt project. Importantly it will follow up an impressive historic Copper/Gold/Cobalt hit on its Millennium leases that is the equivalent of a 19m intersection grading 4% Copper. 

MGC Pharma have broken into the $11b American skin care market after achieving US Food and Drug Administration approval for their “MGC Derma” cosmetics line manufactured from medical cannabis. They recently secured the notoriously hard to get FDA approval giving them the right to market their products into all US states and they have already secured a 1.2m Euro order. 

West Perth based explorer Drake Resources is now about to officially become a technology company after completing extensive due diligence on Israeli based cyber security firm Genome Technology Ltd. Both Drake and Genome have completed their respective due diligence programs and a reverse takeover of Genome by Drake will now occur.

There is growing speculation that Australian banks are vulnerable…. Growing bad and doubtful debts, weak net interest margins and a property market that looks “shaky” is putting pressure on banking stocks. Global hedge funds are benefiting from this trade by increasing their net-short positions by over 18x, the highest on record… yes, even greater than the GFC… so do we agree with them? In part, yes…. We feel that bank cash earnings will remain “flat” to “negative” over the next 6-12 months and we are concerned about banks’ exposures to the small-cap junior mining and oil companies…. We also feel that banks will not be able to pay their dividends, driving share-prices lower… red alert?

Good Morning,  It appears that global markets are looking for clear direction….. And aren’t getting it… Last week, markets remained “fragile”, as talks of a US interest hike in June put some fear on whether global growth will remain resilient… Given that US earnings are now out of the way, the market is closely monitoring macro-economic data, which largely, has been strong…. However, the stronger the data, the quicker the market will price in an interest rate rise in June…

Good morning. Trust that you had a nice weekend are raring to go for another busy week on markets… now that US earnings are out of the way, the key question will be what are the main catalysts that will drive markets?Global central banks have little to no “ammunition”, as both fiscal and monetary policies are ineffective…. The RBA may cut interest rates again next month but as AUS inflation is extremely low, cutting rates do not have a strong bearing on markets….. Our focus this morning is on a special opportunity, YPB… Make sure to listen to the podcast, as it is an interesting story…

Sipa Resources’ share price jumped 20% last week on the back of what looks to be a successful drilling campaign at the Akelikongo nickel/copper Project in Uganda. The market is eagerly awaiting the results of the latest drilling campaign after the company announced last week they had hit significant mineralization in 10 out of 12 holes with all results currently pending.

With only months to go before making the leap into production, Neometals have discovered a new highly mineralized zone at their celebrated Mt Marion Lithium project in W.A. Grades are all above the project average of 1.39% Li2O and include a 186m intersection grading 1.82% Li2O from 95m, 139m grading 1.69% Li2O from 116m and 92m @ 1.54% Li2O from just 54m down. 

Red Mountain Mining will now significantly ramp up their Batangas Gold project in the Philippines following the formalising of their joint venture agreement this week with UK based Bluebird Merchant Ventures. Red Mountain management negotiated a sublime deal with Bluebird that values the Batangas project at 3 times the entire company's market cap. 

Shark Mitigation Systems have announced the achievement of their first major milestone after only listing on the ASX last week. The company says that its “Clever Buoy” shark detection sonar is now ready for commercialization after successfully completing a trial at the iconic Bondi beach and receiving endorsement from  the Australian Professional Ocean Lifeguard Association. 

Good Morning, an early start this morning as we head into the Sky News studios to talk global markets. For those wanting to tune in, we’re on at 8:15am. So what happened last night? Global stocks fell (Dow Jones -190 points), as Atlanta Fed President Dennis Lockhart and San Francisco’s John Williams said two rate increases this year may be warranted.  Dallas Fed President Robert Kaplan said a hike may come soon.  Overall, strong US data is supporting this case… But is strong data having a negative bearing on equities?....

Good Morning, US Stocks rallied last night (Dow + 175 points), as crude oil rallied on the back of stronger retail sales (released Friday), while Apple finally broke through its recent downtrend, following Warren Buffet’s move to potentially buy the stock… Every time Buffet opens his mouth, he impacts the market in some shape or form.… incredible…  However, analysts believe that the rally is “short-lived” as US earnings are now out of the way, paving way for focus to turn to macro-data, including whether central banks will continue to stimulate the economy…  Housing data released last night showed that the US housing market, is holding up well… but what about AUS?

Blackham Resources have been furiously bolstering their gold resources at the Matilda Gold project in Wiluna on the eve of production which now looks imminent following the granting of a number of key approvals. In an extraordinarily good deal Blackham just paid $1.5m for a calcine tailings stockpile that has around $100m worth of gold in it - and Jorc compliant too. 

Good Morning, trust that you had a nice weekend and are looking forward to another busy week on markets… So what can we expect this week? Aussie gold stocks are “flying” as the AUD continues to fall and gold is well supported, following weak macro data… where to from here? 

There’s an old saying that everyone’s a genius with the benefit of hindsight. Looking back now it doesn’t seem that hard to understand why new Shark deterrent and detection company Shark Mitigation Systems jumped 30% above its listing price last week following on from its admission to the ASX on Thursday. The company's share price touched 26c last week after listing at 20c.

ASX listed Alterra are on the hunt for dairy land in WA suitable for a new style of dairy farming known as System 5. System 5 works on the theory that if cows are made comfortable and not exposed to extreme heat and cold and not made to walk many kilometres a day to be milked or get feed, then they will produce up to 50% more milk.

Good Morning,  It looks like the storm clouds are coming… again… US stocks fell for the first time in four days (Dow -217 points), reversing much of Tuesday's rally as disappointing results from Macy's Inc. to Walt Disney Co. heightened concern that American consumers remain hesitant to boost spending. The misses from Disney and Macy's sent consumer discretionary shares tumbling the most in three months as investors await Friday's government report on retail sales. What is interesting is that the latest rally in equities has been on near all-time-low trading volumes….Implications?

The European Commission’s Cosmetic Products Notification Portal has approved ASX listed MGC Pharma’s unique cannabis based skin care and cosmetic line to be sold in Europe. The approval marks a major milestone in the company’s strategy to distribute its MGC Derma Cannabidiol based cosmetic products throughout Europe via its partner network and online portal. 

Gold explorer Terrain Minerals has unearthed some exciting historic drilling results at Wilson’s Patch, about 3km from its Great Western Project just out of Leonora. The best results were 5m @ 4.2 g/t  gold from just 10m deep,  8m @ 3.89 g/t,  3m @ 6.56 g/t from just 22m, 7m @ 9.69 g/t which included a 1m intersection grading an impressive 33.6 g/t gold. 

Good Morning, no morning or afternoon note yesterday as we were on the road, but this is what we like to wake up to!Dow +222 points, Oil +3%, SPI + 29 points…. Go downstairs and grab your morning coffee, we should have a great day today… So BHP has come out stating that they will grow by over seventy percent without a commodities rally…. How are they going to do that? 

With only months to go before leaping into production in Wiluna, Blackham Resources have moved to de-risk the start up phase of the project by forward selling 20 000 ounces of gold at AUD$1701 an ounce.The company has a “Put” option over another 20 000 ounces that will allow them to sell gold at AUD$1575 even if the spot price drops below that figure.

Research house Pac Partners have tipped ATM player Stargroup's shares to reach 8.1c in the next 12 months, more than double their current price of 3.8c per share. Pac have undertaken an analysis of the company’s predicted forward earnings after tax and discounted them back to get a net present value of $33.4m worth of free cash likely to be generated.

Good Morning, trust that you had a nice weekend a, spent some quality time with family & friends and a great Mother’s Day…“Dear Malcolm, yesterday wasn’t all about you…. It was about our hard-working mothers, who give back so much to their families and the economy, itself… Couldn’t you have just waited for this morning to announce a 2 July Election?

Good Morning, today is the silver donut’s day… No, we’re not talking about Homer Simpson, we are talking about Macquarie Bank.. who releases their FY results. Unlike the Big 4 Banks, Macquarie’s earnings are largely based on deal origination, equity capital markets (ECM) and their fixed income and funds management businesses. Macquarie has done exceptionally well in diversifying their income streams in mortgage broking via Yellow Brick Roads (YBR), its investment in shopping centres and airports…

Good Morning, happy Thursday… Yes, it’s not quite Friday, but hey, we’re getting there… Last night, I went out for dinner with the management ofWeebit Nano (vending into RAD), an Israeli tech company “disrupting” Flash memory. Did you know that over 2% of America’s total energy usage is being used by data centres? Photos, videos, Instagram, emails…. The “cloud” is not somewhere in space…

Troy Resources have re-negotiated a debt deal with an excellent outcome that will free up cash to further develop their Karouni Gold Mine resource in South America. Karouni re-wrote the playbook when Troy managed to take the project from vacant land to producing gold bars in just 2.5 years having built the $130m mine in 9 months. it now produces gold at an amazing USD$412 an ounce. 

Accomplished base metals explorer Sipa Resources has experienced a breakthrough in their exploration activities at the Akelikongo project in Uganda. The company recently reported the discovery of an 11 meter mineralized zone that intersected matrix to semi-massive sulphides, potentially opening up a new high grade nickel/copper target area.

You might be forgiven for thinking commodities such as gold and Lithium are hot right now but MGC Pharma were literally knocked over in the rush during their recent medical cannabis capital raising. They went to market for just $3.5m at 4.4c a share but received $11m worth of bids into their book which was managed by Sanlam Private Wealth Pty Ltd.

Good Morning, an early start this morning as we head into Sky News to talk interest rate cuts, discuss impacts of the federal budget and last night’s movements… for those wanting to watch, tune in to Sky @ 8:15am.  Super Tuesday, you certainly lived up to expectations! Glen, thank you for listening…. It has taken you around 2 months to get off the couch and yes, the popcorn is nice and salty, but I do appreciate your input… it’s all about the budget this morning and ANZ, you’re the only bank to not pass yesterday’s interest rates cut in full… lift your game…

Good Morning, we have a “Super” Tuesday today… No… we’re not talking about the US election.. What is happening? At 2:30pm AEST, we hope that the RBA cuts interest rates to 1.75%.... then the much awaited, federal budget… will the new treasurer cut taxes? This is what we want to see… the question: how do we fund it?