Categories: General Market Commentary
Topics: General Market Commentary

The Dollar is King

This is your Resource Stock Digest editor Gerardo Del Real here with some Monday coffee talking points.

What am I watching this Veterans Day morning?

All eyes continue to be fixated on the US Dollar as it has now surged beyond the 105 mark and looks to be headed to 106 and possibly higher. The greenback’s precipitous rise is having a consequential negative effect on gold, silver, copper, and the commodity space in general. And hence, it will be interesting to see if gold and silver are able to hold key support at the US$2,600 and US$30 per ounce level, respectively, over the near-term. 

Of course, this all comes on the heels of a landslide and historic victory for President-elect Donald Trump who, with Mr. Elon Musk firmly in tow, has vowed to come in very intentional in terms of finding and weeding out governmental waste. We’ll see if that actually happens once the new administration is sworn in. For the moment, the market seems to believe that that will indeed be the case.

Bucking the downward trend we’re witnessing across the commodities landscape is Bitcoin (BTC-USD), which has rocketed to all-time highs well above US$84K with the returning president promising a far friendlier regulatory environment for cryptocurrencies. 

That’s up from US$68K seven days ago. Of course, it was a much different world way back then! Our in-house crypto expert Chris Curl is our guide-in-chief to crypto gains as that bull run marches forward. 

Turning to company-specific news, we’re awaiting additional assays from Patriot Battery Metals (TSX: PMET)(OTC: PMETF) — specifically infill results from CV5 and step-out results from CV13 — at the 100%-owned Shaakichiuwaanaan lithium project (formerly Corvette) in James Bay, Quebec. The company continues to do an excellent job converting Inferred resources to Indicated resources as it progresses toward the Feasibility stage. 

That's what I'm watching this week, folks. The dollar is king as of right now… and we’ll see how the rest of November plays out.

Have a great week, and a very happy Veterans Day to all our veterans out there who make our American freedom possible. Our hats off to you!

Let’s get it!

Gerardo Del Real
Editor, Resource Stock Digest