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President Trump will add copper to trade protection

U.S. Commerce Secretary Howard Lutnick said nothing would stop President Donald Trump’s expanded 25% tariffs on steel and aluminum until U.S. domestic production is strengthened, and that Trump will add copper to his trade protections.

“We can’t be in a war and rely on steel and aluminum from some other country. I mean, it’s just not reasonable,” Lutnick said. “So the president wants steel and aluminum in America, and let me be clear, nothing is going to stop that until we’ve got a big, strong domestic steel and aluminum capability. And by the way, he’s going to add copper to that mix too.”

Source – Reuters

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    Gold prices, Silver gained

    Gold prices rose to a two-week high on Tuesday, supported by post-holiday buying from China and concerns over potential U.S. tariffs on pharmaceutical imports, while investors await the outcome of the Federal Reserve’s policy meeting.

    Spot gold was up 1.9% at $3,395.94 an ounce at 1200 ET (1600 GMT). Earlier in the session, prices rose around 2% to the highest since April 22, when they hit a record high of $3,500.05/oz.

    “The bull market is being driven by China’s latest gold investing surge, plus the ongoing bid from central banks wanting to cut their exposure to U.S. assets, most especially the dollar,” said Adrian Ash, BullionVault director of research.

    Spot silver gained 1.5% to $33 an ounce, platinum rose about 2.4% to $982.18 and palladium added 3.4% to $972.46.

    Source – Reuters

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    Barrick Gold temporarily suspended from mining in Mali

    News is from 1/14/2025
    This is a follow up on Barrick Gold and it’s current mining situation.

    Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX) today confirmed that the company remains restricted from shipping gold from the Loulo-Gounkoto mining complex in Mali. Additionally, the interim attachment order on the gold has now been executed by the Malian government by moving the existing gold stock from the site to a custodial bank, further preventing the shipment and sale of the gold.

    As a result, Barrick has regrettably initiated the temporary suspension of operations while it continues to work towards a resolution.

    Barrick remains committed to constructive engagement with the Malian government and all stakeholders to find an amicable solution that ensures the long-term sustainability of the Loulo-Gounkoto mining complex and its vital contribution to Mali’s economy and communities.

    Source – Barrick

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    Freeport – McMoRan Inc is developing new technology

    After 154 years of digging at Morenci, all the easily recoverable copper has been mined. Left behind are towering piles of waste rock that hold nearly 10 million tons of the metal seen as critical to global electrification. It’s a cache that could prove key to President Donald Trump’s ambition to boost US production of critical minerals.

    Freeport-McMoRan Inc., which owns Morenci, is trying to develop technology that can burrow within those gigantic waste piles and extract low-grade copper that miners previously saw as too expensive and difficult to process.

    “For a long time, we just didn’t think it was possible to recover any of this stuff,” said Robert Pollock, Morenci’s site manager, gazing up at a waste pile the size of a Manhattan office building. “But now, all this historical copper – we’re going after it.”

    Source – Bloomberg

  • Silver Assets for Retirement: Coins, Bullion and Stocks

    Silver has long been a fascinating investment vehicle for retirement planning, offering a unique blend of tangible assets and potential financial security. As I am continuing to learn that precious metals are a great investment, silver investments have historically provided a hedge against economic uncertainties.

    Let’s explore three primary options that can help you diversify your retirement portfolio and potentially protect your hard-earned savings.

    Understanding Silver as a Retirement Investment

    Let me be real – when I first started exploring retirement investments, silver coins were the only thing on my radar. But after doing research alternative investment strategies, I’ve learned that other silver options can be a game-changer for savvy investors.

    Silver has proven to be more than just a shiny metal. It’s a strategic asset that can help balance your investment portfolio. Here’s why:

    • Historical performance shows silver often moves inversely to traditional stock markets
    • It provides a tangible hedge against inflation
    • Silver has intrinsic value beyond financial markets
    • Multiple investment options allow for flexible strategies

    My first silver investment was a bit nerve-wracking. I remember wondering if I was making a smart move or just throwing money at a random commodity. Turns out, understanding the market dynamics is crucial.

    Key factors influencing silver’s investment value include:

    • Industrial demand (electronics, solar panels, medical technologies)
    • Global economic conditions
    • Currency fluctuations
    • Mining production levels
    • Geopolitical tensions

    Silver Coins – The Collector’s Investment Strategy

    Ah, silver coins – where investment meets collectibility! I’ll never forget when I saw a collection of rare silver coins, each piece telling a unique story while potentially increasing in value. I grew very invested in the idea of collecting silver for myself to later put aside for retirement. It was and is a slow process for me but here are some things I’ve learned since I’ve been collecting.

    Types of silver coins for investment include:

    • American Silver Eagles
    • Canadian Silver Maple Leafs
    • Numismatic collector coins
    • Commemorative silver coins
    • Pre-1965 U.S. circulated silver coins

    Pros of silver coin investments:

    • Potential for appreciation beyond metal value
    • Portable and easily stored
    • Collectible aspect adds potential value
    • Lower entry point compared to larger bullion

    Cons and potential challenges:

    • Higher premiums over spot price
    • Authentication and grading costs
    • Storage and insurance considerations
    • Market for collector coins can be volatile

    Pro tip: Always purchase from reputable dealers and get proper certification for valuable numismatic coins. If you’re going to a coin show or collectable show make sure you know what you’re looking at before purchasing.

    Silver Bullion – Pure Precious Metal Investment

    Nothing beats the simplicity of silver bullion. It’s like owning a chunk of pure potential, sitting right in your safe or investment portfolio.

    Different forms of silver bullion include:

    • Silver bars (various weights)
    • Silver rounds
    • .999 fine silver products
    • Industrial-grade silver blanks

    Advantages of physical silver bullion:

    • Direct ownership of precious metal
    • No counterparty risk
    • Universal recognition
    • Easy to liquidate
    • Potential hedge against economic instability

    Storage challenges to consider:

    • Secure storage requirements
    • Insurance costs
    • Potential transportation complexities
    • Physical security measures

    Cost-effectiveness varies. While bullion typically has lower premiums than collector coins, you’ll need to factor in storage and security expenses.

    Silver Stocks – Paper Silver Investment Options

    Silver stocks represent an alternative investment strategy that allows investors to gain exposure to the silver market without physically owning the metal. Think of these as a paper representation of silver’s potential value, offering a more flexible and potentially less complicated investment approach.

    Types of Silver Stocks:

    1. Silver Mining Companies These are stocks of companies that extract silver from the ground. It’s like investing in the machinery and workforce behind silver production rather than the metal itself.

    Key Characteristics:

    • Publicly traded companies on major stock exchanges
    • Revenue directly tied to silver extraction and sales
    • Potential for significant returns based on:
      • Successful mining operations
      • Efficiency of extraction
      • Management quality
      • Global silver prices

    Examples of Notable Silver Mining Companies:

    • First Majestic Silver Corp
    • Wheaton Precious Metals
    • Pan American Silver
    • Hecla Mining Company
    1. Silver Streaming Companies A unique investment model where companies provide upfront capital to mining operations in exchange for the right to purchase silver at predetermined prices.

    Unique Advantages:

    • Lower operational risks compared to direct mining
    • More consistent revenue streams
    • Diversified portfolio of mining projects
    • Reduced exposure to direct mining challenges
    1. Silver Exchange-Traded Funds (ETFs) These are investment funds traded on stock exchanges that track silver prices or hold physical silver.

    Types of Silver ETFs:

    • Physical Silver ETFs (directly backed by silver)
    • Silver Mining Company ETFs
    • Futures-based Silver ETFs

    Investment Dynamics:

    Pros of Silver Stock Investments:

    • High liquidity compared to physical silver
    • No physical storage requirements
    • Potential for dividend income
    • Easier portfolio management
    • Lower transaction costs
    • Opportunity for more significant returns

    Cons and Risks:

    • Indirect exposure to silver prices
    • Subject to stock market volatility
    • Company-specific performance risks
    • Management inefficiencies can impact returns
    • Potential underperformance compared to physical silver

    Performance Factors:

    • Global silver demand
    • Industrial sector performance
    • Technological innovations
    • Economic conditions
    • Geopolitical tensions
    • Mining exploration success
    • Extraction costs

    Investment Strategy Considerations:

    • Diversify across multiple silver-related stocks
    • Research company fundamentals
    • Monitor global economic indicators
    • Understand correlation with silver spot prices
    • Consider long-term growth potential

    Tax Implications:

    • Typically taxed as capital gains
    • Potential dividend income
    • Different tax treatment compared to physical silver
    • Consult with tax professional for specific guidance

    Recommended Allocation:

    • Financial experts typically suggest 5-10% of portfolio
    • Depends on individual risk tolerance
    • Part of broader precious metals strategy

    Silver stocks aren’t just about the metal—they’re about the companies’ ability to extract, manage, and profit from silver resources. It’s like investing in the potential of a garden, not just the seeds.

    Practical Advice for Investors:

    • Start with a small, diversified position
    • Use dollar-cost averaging
    • Stay informed about market trends
    • Don’t rely solely on silver stocks
    • Regularly rebalance your portfolio

    Emerging Trends:

    • Increased demand from green technology
    • Growing industrial applications
    • Potential impact of electric vehicle production
    • Renewable energy sector growth

    Silver stocks offer a dynamic, flexible approach to silver investment. They provide exposure to the silver market with lower barriers to entry compared to physical silver, but they come with their own set of complexities and risks.

    Comparing Investment Options

    Let’s break down the key differences:

    Silver Coins:

    • Best for: Collectors and those valuing tangible assets
    • Pros: Collectibility, potential numismatic value
    • Cons: Higher premiums, storage challenges

    Silver Bullion:

    • Best for: Direct metal ownership, long-term holding
    • Pros: Pure asset, no counterparty risk
    • Cons: Storage costs, limited liquidity

    Silver Stocks:

    • Best for: Investors seeking market exposure
    • Pros: Liquidity, potential dividends
    • Cons: Market volatility, indirect ownership

    Conclusion

    Silver investments offer a compelling avenue for retirement diversification, each option presenting unique advantages and challenges. By understanding the nuanced differences between silver coins, bullion, and stocks, you can make informed decisions that align with your financial goals and risk tolerance.

    Remember, successful silver investing isn’t about going all-in, but about strategic allocation. Consult with a financial advisor, do your research, and consider your personal retirement objectives.

    Your retirement portfolio is like a garden – diversification is key. Silver can be that interesting, potentially valuable plant that adds something special to your financial landscape.

    Disclaimer: Always conduct thorough research and consider consulting a financial professional before making investment decisions.

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    Gold up amidst Israel – Iran conflict

    Spot gold was up 0.2% at $3,374.54 an ounce, as of 0505 GMT. U.S. gold futures eased 0.5% to $3,391.90.

    “Gold has made a modest bounce as we await the next steps in the Israel-Iran conflict. If the U.S. does decide to get directly involved in the conflict this could raise the geopolitical stakes,” KCM Trade Chief Market Analyst Tim Waterer said.

    “The Fed was not as dovish as some had hoped, and I’d argue Powell was a tad more hawkish than many would like. The U.S. dollar is likely at oversold levels, and that is likely to cap gains on gold over the next few weeks,” said Matt Simpson, a senior analyst at City Index.

    Source – Reuters