It’s almost time to take in some of Kalgoorlie’s big blue sky at the annual Diggers & Dealers bash. Given the astonishing cash-build inside the gold producers, one of the key themes expected to emerge inside the big tent and various watering holes at D&D is a step up in merger & acquisition activity among the mid-tier gold producers. The feeling is that the dam wall is going to burst before long.
Good news has been hard to find this week but a determined prospector can always locate nuggets such as oil explorer, Carnarvon Petroleum, and an emerging potash producer, Danakali, which both rose to multi-year share-price highs.
The European Union is pressing China to open its economy to outsiders and help revamp an international trade system now under fire by the Trump administration (reports The Wall Street Journal).
The push follows an EU campaign to form free-trade agreements with other allies and counter the effects of rising protectionism. On Tuesday, the EU signed a deal with Japan, the bloc’s biggest-ever trade pact, and last month began free-trade talks with New Zealand and Australia.
Northern Star executive chairman Bill Beament says the gold producer is backing itself to discover more of the precious metal after committing to spend a record $60 million on exploration in the 2019 financial year (reports the Australian Financial Review).
Kerry Stokes-backed Saracen Mineral Holdings has flagged bringing forward its seven-year plan to achieve annual gold production of 400,000 ounces, after upgrading guidance for the 2019 financial year (reports The Australian Financial Review).
The economic expansion that began in mid-2009 and already ranks as the second-longest in American history most likely will end in 2020 as the Federal Reserve raises interest rates to cool off an overheating economy, according to forecasters surveyed by The Wall Street Journal.
Some 59% of private-sector economists surveyed in recent days said the expansion was most likely to end in 2020. An additional 22% selected 2021, and smaller camps predicted the next recession would arrive next year, in 2022 or at some unspecified later date.