What Happened in Mining Today

... and how things might not be so bad

Greetings Contrarian,

This is The Next Big Rush, a daily newsletter to keep you informed about the world of mining investing. Where we learn about mining together and lose money together. 👊🏼

Today, we have a special first edition, so buckle up your amazingly mined, processed and transported steel seatbelts.

So what happened in mining today?

  • Goldman Sach’s Lithium Lever is Broken

  • Your catalytic converter made better gains than you in 2022

  • LME stockpiles smaller than Mike Maloney’s stack

Goldman Sach’s Lithium Lever is Broken

This summer, our favourite town sheriff, Goldman Sach's put out an apocalyptic report on battery metals: The End of The Beginning (read with deep, echoing voice).

It is a well known fact GS has poo-pooed (technical term) lithium markets, only to go long at post-crash prices as paper hands give up in despair.

We would expect nothing less from a business whose only purpose is to print cash, not discriminating which fools they take it from.

Hate the game, not the player.

Or don’t hate either and profit from the game by playing it well.

However, ahem... prices are very much up from summer levels.

Most stocks slid from the report, had a rally as soon as Starbuck’s Pumpkin Spice Lattes hit the high street, and have now come down in price again.

Not exactly the popping of a massive bubble.

Albemarle, the biggest kahuna lithium producer, is bullish for 2023, and so is Benchmark Mineral Intelligence.

Was Goldman's report a prophecy that is soon panning out, or will electric vehicles like the one below be in such demand that demand will outpace supply for the next couple of years?

Your catalytic converter made better gains than you in 2022

In the mining investing world, if gold is the homecoming queen, silver is the drama queen and platinum is the girl that nobody cares about and everyone wants to marry 10 years later.

It’s got an actual yearly gain, which is something we have long forgotten how to spell, as it reaches $1069 20%+ in 2022.

That is the biggest gain since the first quarter of 2008 - BEFORE Lehman Brothers trained hundreds of suit-wearing geniuses to carry cardboard boxes .

We don’t want to poke at anyone, but if you’d like to send us hate mail, just know that it has gone up twice as much as uranium this year, which ended the year with a silly 10% bump from $43.50 to $48.25.

JK….we love uranium. Our portfolio losses are here to prove it. 🚀😩

LME stockpiles smaller than Mike Maloney’s stack

Oh great, just what we needed, another year of potential metal shortages and price fluctuations.

I'm sure the London Metal Exchange is bloody thrilled to kick off 2023 with the lowest stockpiles in 25 years.

We can't wait to see how much fun we have with potential shortages and price spikes.

The drop is around 70% across the board.

Just remember that every time you see someone who’s 25 or younger.

Financings:

And lastly, if you're having a bad day in the markets, remember this:

Happy Nuke Year,

The Editor

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.

Join the conversation

or to participate.