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This week, I was joined by quite a few people – among which Menachem Sahler, Bannerman Energy CEO James Sykes, Dr. Quinton Hennigh, Kuya Silver CEO David Stein, and Lithoquest CEO Bruce Counts – and we discussed quite a few subjects.
How was your week? I could say mine wasn’t great because the value of my portfolio fell quite a bit. However, looking at some of the pictures from the met gala – that Twitter so aggressively shoves in my face – made me realize that there are worse things to spend money on than uranium stocks.
Anyways, almost everything besides the dollar fell last week. If I have this right, the main market mover was the FED. They increased interest rates by 50 basis points (0.50%) and said that we should expect “multiple double rate hikes” this year. However, Powell made it clear that the rate at which they hike will likely not increase. Meaning, he is not expected to hike rates at more than 0.50% per time.
Powell also promised to slow down inflation, without causing a recession which is nearly impossible. The market didn’t buy it either.
With this macro setting, we’ve seen the dollar go up yet again this week, and is now up 15% YoY, with interest rates on the 10-year treasury bonds now being up 99.8% YoY.
Believe it or not, I went to college. Twice. The way I learned it there, a rising bond yield is caused by falling bond prices, and falling bond prices come in a time when investors want to take on more risk so they offer their bonds for sale at a lower price, hoping to get out quicker and invest money into higher-risk investments.
However, that didn’t happen this week either, as the NASDAQ, the S&P, and even the Dow Jones Industrial average, all closed the week in the red and continued trading dangerously close to bear market territory.
Maybe it’s all because the market doesn’t buy the FEDs story of putting inflation down nicely without capping economic growth? Sure, but shouldn’t that cause panic and push investors into gold? Well, it didn’t. Gold & silver closed the week in the red, but surprisingly, platinum didn’t.
Uranium was generally flat, but the equities kept falling and decoupling from the very beautiful YoY performance of the uranium stock price. This might change if the moment picks up.
Next week will be very interesting to watch in uranium, as the URNM plays with a key technical support level.
10 questions you might find an answer to in this video
- Has the crash started?
- Can the FED tame inflation without putting the economy in a recession?
- Are the rate hikes going to cause panic and thus push people into gold?
- Is uranium done crashing?
- What do the charts say about uranium stocks?
- Will uranium equities outperform the uranium spot price?
- Do the Baselode news from last week matter?
- Did Kuya Silver make a mistake by doing a PEA thus early?
- Why is Nevada King digging deep holes in the desert?
- What’s wrong with the land Lithoquest just picked up?
00:00 Important warning
00:30 Performance overview
04:20 Has the crash started yet?
08:30 Will the FED go through with rate hikes & will that start the crash?
12:30 Will panic push people into gold?
16:10 My thoughts on the uranium moves
22:55 Baselode news
38:00 Kuya Silver PEA Q&A
01:14:00 Nevada King news
01:18:50 Why do Carlin-type deposits matter
01:31:00 Lithoquest news
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This video should not be considered investment advice of any sort. Some companies mentioned in this video are paying customers of this website. The contents of this video are general and impersonal in nature No trading recommendations are being made in this article. Be diligent and do your own research before risking your capital. The investment decisions of the author are based on their own investor profile. This includes, but is not limited to, their risk profile, their cash balance, and their debts. The author likely has a higher risk appetite than yourself. That’s why you may never assume anything on this website to be personally tailored to your situation. Resource Talks, nor the Author of this article are a registered advisory service and we do not give investment advice. Our comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to buy or sell a stock, option, future, bond, commodity or any other financial instrument at any time.
What else would you like me to include in these weekly updates? Did I miss something? Were there any wrong answers from the guests? Please contribute to the discussion by posting a comment.