Business

Bullish cocktail fueling strong gains in gold, silver – Kitco NEWS

Published

4 years ago

July 27, 2020

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(Kitco News) – Gold prices are sharply higher in midday U.S. trading Monday and hit a new record high of $1,941.90, basis nearby Comex futures. The previous record was $1,920.70 scored in 2011. The next upside price objective for the very powerful gold market bulls is $2,000. Meantime, silver futures hit a seven-year high of $24.82 in overnight trading. August gold futures were last up $33.80 an ounce at $1,930.90. September Comex silver prices were last up $1.50 at $24.355 an ounce.

The feature in the global marketplace to start the trading week is gold and silver prices surging amid a bullish cocktail of fundamental and technical factors. A continued worrisome rise in Covid-19 infections in major industrialized countries, a new U.S. government stimulus package totaling $1 trillion, a slumping U.S. dollar index that hit a nearly two-year low today, rising U.S.-China trade tensions, and a big surge in buying of gold-back exchange traded funds, including the Robinhood platform, are all propelling the safe-haven metals sharply higher. Add in very bullish chart postures for both precious metals.

Global stock markets were mixed in overnight trading. The U.S. stock indexes are firmer at midday. U.S. shares are boosted in part on weekend news that a $1 trillion U.S. government economic stimulus plan is moving through the legislative process more quickly than expected.

The Federal Reserve’s Open Market Committee (FOMC) will meet Tuesday and Wednesday to discuss U.S. monetary policy. No changes in policy are expected but the Fed is expected to reiterate U.S. interest rates will remain low for a long time amid the challenges of dealing with the pandemic.

The important outside markets today see Nymex crude oil prices weaker and trading around $40.50 a barrel. The U.S. dollar index is solidly down and hit a nearly two-year low overnight. The yield on the benchmark U.S. Treasury 10-year note is currently dipping a bit and trading around the 0.58% level.

Technically, August gold futures bulls have the strong overall near-term technical advantage, to suggest still more upside in the near term. Prices are in an accelerating seven-week-old uptrend on the daily bar chart. Gold bulls’ next upside near-term price objective is to produce a close above technical resistance at $2,000.00. Bears’ next near-term downside price objective is pushing prices below solid technical support at $1,850.00. First resistance is seen at today’s high of $1,941.40 and then at $1,950.00. First support is seen at today’s low of $1,899.00 and then at $1,875.00. Wyckoff’s Market Rating: 10.0

September silver futures bulls have the strong overall near-term technical advantage to suggest still more upside. Prices are in an accelerating 4.5-month-old uptrend on the daily bar chart. Silver bulls’ next upside price objective is closing prices above solid technical resistance at $25.00 an ounce. The next downside price objective for the bears is closing prices below solid support at $22.00. First resistance is seen at today’s high of $24.82 and then at $25.00. Next support is seen at $24.00 and then at $23.50. Wyckoff’s Market Rating: 9.5.

September N.Y. copper closed up 50 points at 289.75 cents today. Prices closed near mid-range today. The copper bulls have the solid overall near-term technical advantage. Prices are in a 4.5-month-old uptrend on the daily bar chart. Copper bulls’ next upside price objective is pushing and closing prices above solid technical resistance at 300.00 cents. The next downside price objective for the bears is closing prices below solid technical support at 275.00 cents. First resistance is seen at last week’s high of 298.20 cents and then at the July high of 299.30 cents. First support is seen at last week’s low of 286.65 cents and then at 284.50 cents. Wyckoff’s Market Rating: 7.5.

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Business

TC Energy cuts cost estimate for Southeast Gateway pipeline project in Mexico

Published

18 hours ago

November 7, 2024

Anne Joseph

CALGARY – TC Energy Corp. has lowered the estimated cost of its Southeast Gateway pipeline project in Mexico.

It says it now expects the project to cost between US$3.9 billion and US$4.1 billion compared with its original estimate of US$4.5 billion.

The change came as the company reported a third-quarter profit attributable to common shareholders of C$1.46 billion or $1.40 per share compared with a loss of C$197 million or 19 cents per share in the same quarter last year.

Revenue for the quarter ended Sept. 30 totalled C$4.08 billion, up from C$3.94 billion in the third quarter of 2023.

TC Energy says its comparable earnings for its latest quarter amounted to C$1.03 per share compared with C$1.00 per share a year earlier.

The average analyst estimate had been for a profit of 95 cents per share, according to LSEG Data & Analytics.

This report by The Canadian Press was first published Nov. 7, 2024.

Companies in this story: (TSX:TRP)

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Business

BCE reports Q3 loss on asset impairment charge, cuts revenue guidance

Published

18 hours ago

November 7, 2024

Anne Joseph

BCE Inc. reported a loss in its latest quarter as it recorded $2.11 billion in asset impairment charges, mainly related to Bell Media’s TV and radio properties.

The company says its net loss attributable to common shareholders amounted to $1.24 billion or $1.36 per share for the quarter ended Sept. 30 compared with a profit of $640 million or 70 cents per share a year earlier.

On an adjusted basis, BCE says it earned 75 cents per share in its latest quarter compared with an adjusted profit of 81 cents per share in the same quarter last year.

“Bell’s results for the third quarter demonstrate that we are disciplined in our pursuit of profitable growth in an intensely competitive environment,” BCE chief executive Mirko Bibic said in a statement.

“Our focus this quarter, and throughout 2024, has been to attract higher-margin subscribers and reduce costs to help offset short-term revenue impacts from sustained competitive pricing pressures, slow economic growth and a media advertising market that is in transition.”

Operating revenue for the quarter totalled $5.97 billion, down from $6.08 billion in its third quarter of 2023.

BCE also said it now expects its revenue for 2024 to fall about 1.5 per cent compared with earlier guidance for an increase of zero to four per cent.

The company says the change comes as it faces lower-than-anticipated wireless product revenue and sustained pressure on wireless prices.

BCE added 33,111 net postpaid mobile phone subscribers, down 76.8 per cent from the same period last year, which was the company’s second-best performance on the metric since 2010.

It says the drop was driven by higher customer churn — a measure of subscribers who cancelled their service — amid greater competitive activity and promotional offer intensity. BCE’s monthly churn rate for the category was 1.28 per cent, up from 1.1 per cent during its previous third quarter.

The company also saw 11.6 per cent fewer gross subscriber activations “due to more targeted promotional offers and mobile device discounting compared to last year.”

Bell’s wireless mobile phone average revenue per user was $58.26, down 3.4 per cent from $60.28 in the third quarter of the prior year.

This report by The Canadian Press was first published Nov. 7, 2024.

Companies in this story: (TSX:BCE)

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Business

Canada Goose reports Q2 revenue down from year ago, trims full-year guidance

Published

18 hours ago

November 7, 2024

Anne Joseph

TORONTO – Canada Goose Holdings Inc. trimmed its financial guidance as it reported its second-quarter revenue fell compared with a year ago.

The luxury clothing company says revenue for the quarter ended Sept. 29 totalled $267.8 million, down from $281.1 million in the same quarter last year.

Net income attributable to shareholders amounted to $5.4 million or six cents per diluted share, up from $3.9 million or four cents per diluted share a year earlier.

On an adjusted basis, Canada Goose says it earned five cents per diluted share in its latest quarter compared with an adjusted profit of 16 cents per diluted share a year earlier.

In its outlook, Canada Goose says it now expects total revenue for its full financial year to show a low-single-digit percentage decrease to low-single-digit percentage increase compared with earlier guidance for a low-single-digit increase.

It also says it now expects its adjusted net income per diluted share to show a mid-single-digit percentage increase compared with earlier guidance for a percentage increase in the mid-teens.

This report by The Canadian Press was first published Nov. 7, 2024.

Companies in this story: (TSX:GOOS)

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