Sunday, November 29, 2009

Equedia newsletter says...

A few weeks ago, Société Générale, one of the oldest banks in France and the 3rd largest Corporate and Investment bank in the Eurozone, released a 68-page report entitled 'Worst-Case Debt Scenario: Protecting Yourself Against Economic Collapse."

In their report, they advised clients on how to prepare their portfolios in the case of a complete global economic collapse.

Hoping for the best, but preparing for the worst.

Under each category, they presented a bull and bear case for sector performance, highlighting the positives and negatives for each scenario.

What caught our attention in the report for specific sector performances was their view on Mining and Metals. In particular, Gold. Take a look.

Bear Economic Scenario:


"(Gold) should outperform commodity benchmark as gold would be sought out as a hedge against dollar risk ."

The report gave gold a positive outlook rating for both the short term (12 months) and long term (2 years) under a bearish economic scenario.

Bull Economic Scenario:

"Strong demand for inflation hedging and physical purposes should outweigh increasing supply ."

Even under the Bull scenario, the report gave gold a positive outlook rating and suggested that gold will outperform for both the short term (12 months) and long term (2 years).
Click the image for the full report

Regardless of our economic outlook in this report, gold is set to thrive.

Combine that with the facts in our previous reports and you can see why our views on commodities and precious metals remain bullish. (see A New World Currency? What the US Goverment Doesn't Want You to Know - click here)

The U.S. dollar has been the world's reserve currency for the last 60 years. Many people believe this will never change. Perhaps not.

But that doesn't mean foreign countries won't find a workaround.

This year alone, China initiated more than $200 billion worth of swap agreements that allow their trading partners to pay for Chinese goods and services directly, without converting into dollars or having to trade their currency openly. The actual numbers could easily be more than double that but China and their trading partners may not want to anger the US or other European nations by disclosing the exact amount.

At the same time, you can bet that China will be looking to slowly unload more of their US Dollars in favour of Gold. (see Facts on Gold You Need to Know. - click here)

So while the US limps along attempting to sell bonds and implement further consumerism of their goods (Buy America), China and its trading partners are taking matters into their own hands and creating a new global marketplace for currency trading that's outside the traditional fiat paper currencies.

That's why investors continue their hurdle toward gold.

Despite recent events that should have fundamentally sent gold prices down, nothing has been able to stop gold in its tracks in this market:

  • The metal climbed 7.4 per cent in the previous nine sessions, the longest rally in 27 years.
  • The price has dropped only twice this month.
  • It has gained 33 per cent this year, heading for a ninth straight annual gain, while the dollar is down 7.7 per cent.
It's no wonder why every investor's focus is on gold and precious metals.

And the proof is in the pudding.

No other exchange is more dominated by resource and mining
stocks than the TSX Venture and the Canadian markets

Now take a look at the Venture's performance in the last year.
Compare that with the Dow Jones
Now with the S&P 500

They may appear similar at first, but if you look closely, you'll see that in the last 52 weeks, the TSX Venture has beat both the S&P 500 and the Dow in overall performance and relative gains, by more than doubling its own value.

Even more interesting is the fact the TSX Venture could have been an indicator for our economic market crash back in March. By losing most of its value in 2008, well before the major decline in the overall markets of the DOW and S&P 500, it inherently predicted the fall of the stock market before the masses.

It' no surprise why we look toward the Canadian junior market, not only for profit, but as our crystal ball.

That's why we continue to focus and evaluate mining companies in the Canadian and TSX Venture markets.

Right now we have our sights set on our featured silver company on the TSX Venture, Silvermex Resources Ltd. (TSX-V: SMR) as it continues to hold ground near its 52-week high since the launch of our report.



So, although we may see some sell-offs before Christmas, and possibly another bubble burst, you can be certain that the miners will remain strong in the long term.

Remember what happened back in March when the markets took its worst plummet ever in our modern age era? The miners and resource players were able to raise over $45 billion outside of the regular banking system! (see Playing Ball with Resources and Obama Talks G20 - click)

You can bet the investors who were part of the $45 billion investment are smiling from ear to ear.

Saturday, November 28, 2009

Stock Newsletter Picks: tested verus the results!




Canada's biggest investing newsletters have passed the biggest credibility check they may ever face.

In the midst of a historic stock market plunge a year ago, these newsletters told readers to chill out and buy stocks. With surprisingly few exceptions, that was just the right approach.

The Successful Investor told readers to buy Linamar Corp. (LNR-T14.650.211.45%), which had lost more than 60 per cent of its value since the beginning of 2008. Linamar has almost doubled since it was recommended. The Investment Reporter highlighted Toronto-Dominion Bank (TD-T66.190.350.53%), which has since risen almost 17 per cent.

There were misfires, too. General Electric (GE-N15.94-0.24-1.48%), Manulife (MFC-T18.49-0.01-0.05%)and TransCanada Corp. (TRP-T33.980.280.83%) were among the recommendations that didn't pan out. But a year after Canada's biggest investing newsletters met the bear market, we can describe the results as very good.

None of the highlighted stocks blew up. And while few of the picks outperformed the 20-per-cent gain of the S&P/TSX composite index since the end of October, 2008, most have done better than the bonds, guaranteed investment certificates and money market funds that investors have been clinging to lately.

It's not just the newsletters that survived this credibility check, though. At a time when lots of investors have been parking cash in do-nothing money market funds and savings accounts, the idea of buying quality stocks in a terrible market has also proved sound. Let's go through the newsletters one by one:

The Investment Reporter

Who's Behind It: MPL Communications, a major publisher of investing newsletters.

What it said in its five weekly editions in October, 2008: “Just keep in mind that the stock market selloff gives you an excellent buying opportunity. This is especially true of the hard-hit Canadian banks.”

“… it's impossible to consistently outsmart all other investors to buy at the bottom and sell at the top. Rather than attempt this feat, we feel that you'd do better holding a well-diversified portfolio of high-quality, dividend-paying companies.”

What worked: Potash Corp. (POT-T118.262.231.92%) and TD Bank have both snapped back nicely, and Petro-Canada merged with Suncor Energy (SU-T37.96-0.05-0.13%) in a deal that valued its shares at a 25-per-cent premium. That was a win for Petrocan shareholders.

What didn't work: General Electric is sort of a proxy for the global economy, which is in recession right now. GE might have worked out better here if not for a dividend cut this past February. Telus (T-T34.400.020.06%) is the more surprising blotch on The Investment Reporter's record. As a telecom stock, Telus should have held up better. The problem has been investor concern about heightened wireless phone competition. Note that Telus shares now yield about 5.5 per cent, which is roughly two to three percentage points more than you can get from a five-year guaranteed investment certificate.

The Successful Investor

Who's Behind It: Veteran stock picker and newsletter publisher Patrick McKeough.

What it said in October, 2008: “The market's drop seems to have turned into a panic reaction that is out of proportion to what's going on in the economy. … However, we think prices of many stocks are low enough now that we'll look back on them a few years from now as bargains.”

What worked: Calling a rebound for Bank of Nova Scotia (BNS-T48.180.270.56%) and IGM Financial (IGM-T41.360.601.47%) was hardly inspirational because these are dominant stocks in their sectors. But Linamar and ShawCor were true home runs. Both are smaller companies in sectors that were reeling last fall – auto parts for Linamar and industrials for ShawCor (SCL.A-T28.600.150.53%).

What didn't work: Gennum (GND-T4.11-0.04-0.96%), a tech stock that has fizzled after hitting $7.50 in January.

Money Reporter

Who's Behind It: MPL Communications

What it said in October, 2008: “What we will say is that this is no time to panic and sell all your stocks and income trusts, and move everything into bonds.”

What worked: Except for Royal Bank of Canada (RY-T56.700.821.47%), the Money Reporter went with a slate of defensive names. As it turned out, RBC was the pick of the bunch, thanks to a year-to-date gain of about 17 per cent. Two of the defensive choices, Fort Chicago Energy Partners (FCE.UN-T10.00----%) and Emera (EMA-T23.65----%), delivered solid gains and at no time fell as much as the broader market.

What didn't work: Canadian Utilities (CU-T40.46-0.19-0.47%) and TransCanada Corp. In a fast-rising market like we've seen this year, no one's much interested in playing defence. Final note: TransCanada has a dividend yield of 4.5 per cent. Just try getting that from a bond these days.

Internet Wealth Builder

Who's Behind It: Investing writer Gordon Pape.

What it said in October, 2008: “Over the long haul, those who invest in solid companies today will be richly rewarded. But in the short term, they may have to reach for the Tylenol.”

What worked: IWB was the one newsletter of the five to have a perfect record. Each of the five picks made last October was higher as of late this week, although some made it by mere millimetres. One impressive thing about IWB's picks is that they included only one defensive name, Enbridge (ENB-T45.070.621.39%). The other picks were nicely diversified throughout the economy.

Reality check: Diageo's (DEO-N68.09-1.20-1.73%) gains were eaten up by the appreciation of the Canadian dollar against its U.S. counterpart.

What didn't work: Not applicable.

The MoneyLetter

Who's Behind It: MPL Communications

What it said in October, 2008: “Each crisis is a little different, and this one is particularly special, in how it manifests itself. But each crisis is also similar, in that they all pass eventually, and they are very often followed by a significant rally as confidence in the future resurges.”

What worked: A trio of income trusts all made at least a little money. The best return came from Bell Aliant Regional Communications Income Fund (BA.UN-T27.09-0.09-0.33%), a good defensive name.

What didn't work: Manulife Financial, the worst performer in the S&P/TSX capped financials index in 2009 and, these days, the financial stock most likely to surprise shareholders in a bad way. Though it's disappointing to see Manulife down about 11 per cent while the capped financial index has gained 35 per cent year to date, it's worth noting that Manulife fell as low as $9.02 in March, 2009. Dark days, those were. Luckily, the newsletters saw past them.







Friday, November 27, 2009

Pescod Talks about Gold...

VENTANA GOLD
GOLD
Analyst Nicholas Campbell has been one of the hottest
of the gold analysts out there, picking some of the best
stories in the sector such as Colossus Minerals, Keegan
Resources and Ventana Gold, but today Ventana has a bit
of an owie. Today Campbell suspends coverage on the
stock and his price expectations because the original ven-
dors of the property apparently want to get it back...or get
a better deal.
Campbell writes, “This is a Thanksgiving turkey no one
was hoping for.” All payments have been made by Ven-
tana, but you know how greed can get into this and the
vendors suggests, “The agreement doesn’t comply with
Colombian law.” It is pointed out in an announcement
that an arbitration panel might take a year to come up with
some sort of resolution...ugly!
That would be a long time to wait and things can go
wrong, so we take some profits on what had been one of
the best gold stories of the day, until this hiccup hit us all.
But I must point out that I see an interesting dust-up
here because when you look at Ventana and who two of
their big shareholders are—first of all, there is Brazilian
Mining and Energy billionaire Eike Batista, who owns
about 16% of Ventana and Ross Beaty, the Vancouver
mining magnate who owns over 10%.
Will this squabble slow things down dramatically and
how long could it take for an agreement? Or what else
could go wrong! Or could it all be resolved quickly?
Meanwhile, the first small financial crisis since the big
one of a year ago and something like $59 to $80 billion of
loans out of Dubai are in trouble and the world markets
are in a bit of a tizzy...but what happens? The American
dollar goes up and gold goes down! Was that supposed
to happen?
We will reiterate one of our big points on the gold sec-
tor...the brokers have now issued so many shares of so
many gold companies, it’s like a flood of share certifi-
cated being issued out there. It means that many of the
gold companies simply don’t have any leverage to the
price of gold. How about a Barrick Gold with 1 billion
shares outstanding or Kinross with...well, you get the
drift.
Your first question before who is management, what is
the project, where is it, how much money in the bank or
how soon to production, should be how many shares out-
standing?

There are always lots good adventures in the market,
but one of our favorites right now is Amazon Mining, for its
potential fertilizer/thermal potash project in a country
(Brazil) that desperately needs the product. Currently over
90% of this is imported into Brazil because of the rain
leaching the soils and with many farmers getting two or
three crops a year, fertilizer is desperately needed.
Amazon has very few shares outstanding, offering the
speculator lots of leverage, but if you live in the greater
Toronto area Amazon is featuring a “Christmas with the
Chairman” evening in the Library Room at Verity, with
food being supplied by George Restaurant.
Amongst his other skills such as having been a former
significant insider at Potash Canada and having played in
the mining game in China, Chairman Peter Gundy is also
in the restaurant business and will be having a get-
together on December 7th that maybe you should attend.
We have certainly found him an amazing source of in-
formation on many things to do with mining and fertilizer
in particular. The food should be good and hey—if you
are looking for other information on other mining compa-
nies or even one—Amazon, remember that Jed Richard-
son, Vice President Corporate Development will be there
and he is a former mining analyst with Sprott Securities.
Should be a great meeting!
Meanwhile, Amazon has just put out a new 7-page look/
see at the company and what they heck it is all about. For
those with a bit of a technical background,
ROYAL BANK OF SCOTLAND:
Her Majesty's treasury in the United Kingdom now
owns an estimated 84% of the Royal Bank of Scotland...lucky
them after all those huge bail outs the British Government
has given RBS.
The RBS has become the poster child for bad loans,
poor risks, excessive management compensation, man-
agement being fired with exorbitant settlements to
leave...you name it. So are you at all surprised to learn
that they could be the biggest loser in the loans to Dubai?
For those of us who were involved in the Oilexco deba-
cle of last year, it was RBS—the banker, that pulled the
plug on Oilexco.

Canadian Arrow drills sulphide mineralization at Glatz nickel project

Canadian Arrow drills sulphide mineralization at Glatz nickel project

08:59 EST Thursday, November 19, 2009

Print this article

SUDBURY, ON, Nov. 19 /CNW/ - Canadian Arrow Mines Limited (CRO: TSX-V) (the "Company") is pleased to report it has intersected sulphide mineralization on its Glatz nickel copper project located 40 km south of Dryden Ontario and 70 km east of its flagship Kenbridge advanced nickel copper project.






Diamond drill hole GZ-09-02 intersected coarse blebby and finely disseminated sulphides from surface to the 90m interval. The mineralization is consistent with that displayed in trenches and outcrop exposures occurring at surface above the hole.

More significantly it also intercepted vein and stringer breccia sulphide bands over a 12m down-hole interval between 41.0m and 53.0m.

Initial examination of the core has identified encouraging widespread magmatic sulphide mineralization associated with breccia zones within a gabbro and pyroxenite intrusion. The geological model bears a resemblance to the Company's Kenbridge nickel-copper deposit.


The Kenbridge deposit is also characterized by near-surface, wide-spread disseminated nickel-copper sulphide mineralization suitable for open pit extraction that resolves at depth into narrower, high grade semi-massive lenses and disseminated mineralization suitable for underground extraction.

Kenbridge and Glatz are only two of the 23 recorded nickel-copper sulphide bearing occurrences hosted within the same 220km ring of volcanics and ultramafic intrusives located between Dryden and Kenora, Ontario.



To date two NQ size holes have been logged and sampled for a total of 416m. Core samples have been split and sent out for analyses at an accredited laboratory in accordance with NI 43-101 best practice guidelines. No estimation can be concluded at this time of the extent or true widths of the mineralization. Additional drilling has been allocated to follow up on the mineralization.

Hole GZ-09-02 was drilled on coordinates 26+00N at 45+35E, at an azimuth of 180 degrees and a dip 0f -60 degrees. Hole GZ-09-01 was drilled on coordinates 26+00N and 45+85E at an azimuth of 180 degrees and a dip of -60 degrees. The hole was drilled through the northern intrusive/volcanic contact. Although sulphide mineralization is weak, the presence of variable sulphide, potassic, chloritic and silica alteration are interpreted to be distal vector indicators of a regional mineralization package.

The Glatz Property is the first of six targets to be drilled on the Turtlepond Lake Group of projects. The Turtlepond Lake Group consists of three previously under-explored historic nickel-copper occurrences, (Glatz, Emmons and Prigg), coincident with recently surveyed electromagnetic conductor/magnetic anomalies, and three other newly discovered geophysical targets, North Glatz, Night Danger, and Double E. All targets are clustered within 1.5 km of each other and occur within a few kilometres either side of highway 502.

The exploration program is being carried out under the direction of The Company's Vice President of Exploration, Mr. Todd Keast P. Geo., a qualified person as defined by National Instrument 43-101. The information in this release was prepared under the direction of Mr. Kim Tyler, P. Geo., President of the Company, a qualified person as defined by National Instrument 43-101.

About Canadian Arrow Mines:

Canadian Arrow Mines Limited is focused on acquiring and developing nickel sulphide deposits near existing infrastructure. The Company's principal asset is the Kenbridge Project, a nickel-copper sulphide deposit containing over 44,000 tonnes of nickel in the measured & indicated classes, (Sedar, Aug. 19, 2008), as follows:

    <<     -   Measured Resource: 3,546,000 tonnes grading 0.45% nickel, 0.24%         copper, 0.015% cobalt.      -   Indicated Resource: 3,593,000 tonnes grading 0.79% nickel, 0.42%         copper, 0.018% cobalt.     >> 

The deposit remains open in three directions, is equipped with a 620 m shaft and has never been mined.

    <<     * National Instrument 43-101: Mr. E. Puritch, P. Eng., Ms. Tracy         Armstrong, P.Geo., and Antoine Yassa, P.Geo. of P&E Mining         Consultants Inc. are the independent qualified persons for the         Kenbridge resource estimates.     >> 

Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, socio-political, marketing, or other relevant issues.

Additional information relating to Canadian Arrow is available on SEDAR at www.sedar.com.

This press release may contain "forward-looking statements" within the meaning of the Canadian securities legislation and the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements are made as of the date of this press release and the Company does not intend, and does not assume, any obligation to update these forward-looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For further information: visit the website at www.canadianarrowmines.ca, or contact Mr. Kim Tyler, President and Director, toll free, 1-877-262-6354

© Copyright Canada Newswire

Canadian Arrow starts drilling Glatz Nickel Project

cnw


SUDBURY, ON, Nov. 9 /CNW/ - Canadian Arrow Mines Limited (CRO: TSX-V) (the "Company") announces it has begun diamond drilling the first of its high priority Turtlepond area nickel-copper projects located 40 km south of Dryden in northwestern Ontario. Over twelve first-pass holes are planned totaling 2,500 metres of drilling over six priority targets. The Turtlepond Lake Group consists of three previously under-explored historic nickel-copper occurrences, (Glatz, Emmons and Prigg), coincident with recently surveyed electromagnetic conductor/magnetic anomalies, and three other newly discovered geophysical targets, North Glatz, Night Danger, and Double E. All targets are clustered within 1.5 km of each other and occur within a few kilometres either side of highway 502.



The Glatz Property is the first of these targets to be drilled and will consist of four holes for an approximate total of 800 metres of NQ core. Mechanical trenching and ground geophysical surveys on the Glatz showing have delineated two parallel zones of mineralization which extend for 900 m and 700 m in length respectively. Widespread disseminated and blebby nickel-copper-iron sulphide mineralization has been exposed and channel sampled along both trends. Both anomalies are coincident with airborne geophysical anomalies and have not yet been drill tested. An 800m long VTEM anomaly is associated with the Glatz showing and eleven conductive targets have been identified. In 2007 Arrow investigated a series of historical trenches along this geophysical trend with grab sample assay results ranging between trace to 1.28% Ni, and trace to 4.56% Cu. More detail on the Glatz Property can be viewed on the company's website at:


http://www.canadianarrowmines.ca/glatz_property/


The exploration program is being carried out under the direction of The Company's Vice President of Exploration, Todd Keast P. Geo., a qualified person as defined by National Instrument 43-101. The information in this release was prepared under the direction of Kim Tyler, P. Geo., President of the Company, a qualified person as defined by National Instrument 43-101.


Canadian Arrow provides clarification on previous option grant

cnw

SUDBURY, ON, Oct. 23 /CNW/ - Canadian Arrow Mines Limited (the "Company") (CRO-TSX Venture) announced today that the exercise price of its previously disclosed grant of stock options (see press release dated October 6, 2009) has been amended from $0.05 per share to $0.10 per share in order to comply with the rules of the TSX Venture Exchange. All other terms of such options remain as disclosed in the October 6, 2009 press release.

Canadian Arrow prepares to drill nickel projects

cnw

SUDBURY, ON, Oct. 5 /CNW/ - Canadian Arrow Mines Limited (CRO: TSX-V) (the "Company") having recently completed a $1.83M financing is pleased to provide an update on the exploration programs planned on its nickel-copper properties located in northwestern Ontario.


"Over $1.5M is to be expended on resumption of our exploration activities," comments Company President Kim Tyler. "First pass drilling programs are prepared to evaluate the six highest priority targets on our regional projects in addition to drilling proposed on the open extensions of our flag-ship Kenbridge nickel/copper deposit."


The initial focus will be on the Turtlepond Lake group of projects located about 40 km south of Dryden, Ontario and 70 km east of Kenbridge. The Turtlepond Lake Group consists of three previously under-explored historic nickel-copper occurrences, (Glatz, Emmons and Prigg), coincident with recently surveyed electromagnetic conductor/magnetic anomalies, and three other newly discovered geophysical targets, North Glatz, Night Danger, and Double E. All targets are clustered within 1.5 km of each other. A map detailing the Turtlepond projects can be viewed on the Company's website at:


http://www.canadianarrowmines.ca/turtlepond_lake_projects/.




























- This company has connections to very well funded mining operations through decades of experience. I believe Mr. Tyler when he says they are speaking with 5 strategic partners for completion of there project through joint ventures. Joint venture speculation could drive our sp into a frenzy.


- The drill program which comprised our 253 million dollar property is open at depth and further drilling could significantly increase the resource. Some of our strongest results were on outer edges of the drill zone. De-watering of the 2500 meter mine shaft will allow them to get at these areas. The intersection I speak of is the 7% nickel over 5 meters that intersection comes from the end of the drill core. Further exploration could offer up amazing results. 0 summer 2008 drill results out, any significant finds in mine ready atikocan or kenora/dryden properties will lift stock.

- The company has contractual agreements with Opiwica explorations (OPW) on the TSX.V to mill there major gold and copper find with in close proximity of Canadian Arrows Planned site. Mining could begin on both projects in early 2010. This represents earnings and is a good partnership for a company seeking to be the next significant Nickel Copper producer in Canada.

- Canadian Arrow has the ability to produce nickel in its mine at 3.47 per pound nickel. That kind of number is unheard of in comparison to other mines. With production scheduled for early 2010 (around the same time our economy should be significantly rebounding) what if nickel prices return back to 15 dollars per pound? This site will look like a gem to any investor! (plus the property would be worth about 400mil at 15 dollars per pound nickel.

This is just a few of the key points that I believe make this company look attractive. If my predictions are correct we will see a significant rebound to normal multiples over the course of the next couple of months and with any significant news pertaining to my points and our sp and volume will be sent soaring. JV with cash on the books and abilitiy to help put project into production will send our sp back to .50 if not higher! I am Bull on Canadian Arrow mines.




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