"The history of Eureka lies in its future." - Lambert Molinelli, 1878


The author/editor of the Eureka Miner owns common shares of local mining stocks, General Moly (GMO) and Newmont Mining (NEM); together with benchmark miner Freeport-McMoRan (FCX). Please do your own research, markets can turn on you faster than a feral cat.

Friday, April 10, 2009

Buy the Ole Colonel a Beer (or two)!

Good Friday Miners!

The domestic markets are closed today so I thought I'd just clean the coffee pot. Say Eric, do you have any Break-Free?

In this business, don't ever believe someone that claims that they can predict the markets with 100% accuracy. Bernie Madoff was the only person who was always right and then we found out he wasn't even in the game! The trick is to be more right than wrong.

I made a bet in Monday's blog that copper would break 2-bucks this week and gold would close the week higher than it started. My second prediction doesn't sound too hard but there was a pretty loud Cassandra chorus earlier this week that gold was broken and headed for $700 country...phooey! Here's the numbers:

Copper, Monday morning $1.958, 4/9 close $2.071
Gold Monday morning $877.9, 4/9 close $883.3

We've been watching copper because it is a "tell" signal for improving global demand and to some extent, our economy:

"Copper futures extended five-month highs above $2 a pound on demand optimism as inventories of the metal fell substantially and equities rallied...Since copper is widely used in construction, electronics and automobiles, it often responds positively to bullish economic news or proxies for the economy, such as equities." (WSJ, 4/10/2009)

Yee-ha! Hey, since I'm sure I'll call some bloopers, I thought it might be fun to start "The Colonel's Beer Derby" (scoreboard is above the Moly Chart to the right). I'm retired and will do practically anything for a free brewski; if I'm wrong, y'all can drink on me! Send me some challenges.

The ole Colonel will be back in town May so belly-up to the bar buckaroos!


Colonel Possum

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