Market Update & Important Indicators
U.S. stocks climbed Tuesday, rebounding from midday losses, as a last-minute diplomatic scramble got under way to keep Greece from defaulting on its debt payments. Stocks swung in a wide range, with the Dow falling as much as 20 points at midday before rebounding into the afternoon. The gains come one session after the biggest loss of the year for major U.S. stock indexes, as investors grappled with the prospect of Greece defaulting on debt payments to the International Monetary Fund and ultimately leaving the eurozone. Earlier Tuesday, the Greek government submitted a new bailout proposal, just hours away from the expiration of its current rescue deal. Greece is set to default on a payment to the IMF at midnight Tuesday, heightening fears that the country could exit the currency union not long after.
European markets remained under pressure Tuesday, as investors cautiously awaited new developments in the Greek debt crisis. Stocks and bonds fell and the euro declined against the U.S. dollar, but most of the moves were smaller than those suffered a day earlier. Greece subsequently shut down its banking system for six days as the nation's central bank moved to impose controls to prevent money from leaving the country. Earlier Tuesday, the Luxembourg Bourse announced that it had suspended trading of bonds issued by Greece's biggest banks until further notice. It has also suspended trading in sovereign bonds and debt issued by Greek national railway company Hellenic Railways.
China's shares reversed a recent sharp selloff, as investors elsewhere in Asia push off concerns about a default in Greece until the outcome of a referendum next Sunday. The smaller Shenzhen market rose 4.8% after falling more than 6% earlier Tuesday. It ends the quarter up 25.8%, the biggest gain among other markets world-wide after Venezuela. Chinese authorities worked swiftly to draw a line under the stock declines. On Tuesday, officials said they are considering lowering stamp duties on stock purchases, which would encourage buying. The central bank also added more cash into the financial system, following a cut to interest rates over the weekend. In yet another move: The Finance Ministry on Monday announced that the state's pension fund could be allowed to invest up to 30% of its net asset value in securities.
Copper futures closed lower on the London Metal Exchange on Tuesday, as risk aversion continued to push investors away from the base metal. Most base metals finished lower. Gold declined 0.5% to US$1174/oz, while Brent added 2.5% to US$63.59/bbl. The AUD is buying US$0.77.
In This Issue
Rift Valley (RVY)
Rift Valley Resources (RVY) recently delivered impressive, shallow hits at its 100% owned Miyabi Gold Project, located in northern Tanzania.
Better results from the first 8 holes include (downhole width):
• 23m @ 4.2g/t from 45m
• 27m @ 3.6g/t from 78m
The Dalafuma prospect was first discovered by RAB drilling in 2012. The results confirmed high grade mineralisation at Dalafuma (strike of ~500m), which will be incorporated into a Resource update due September Q. Drilling is continuing at Dalafuma and other targets (18 holes remaining).
The project already has a sizable, open-pittable Resource of 520koz @ 1.3g/t. The recent intersections are likely to boost both the overall inventory and grade at Miyabi.
The project is located 30km from Resolute’ s (RSG) Nyakafuru (842koz @ 1.1g/t, 90% basis), and 50km west of Acacia Mining’s 4.5Moz Buzwagi mine.
Recent Contacts & Presentations
Northern Star (NST), Sandfire (SFR), Western Areas (WSA), Panoramic Resources (PAN), Regis (RRL), Kingsrose (KRM), Medusa (MML), Pacific Energy (PEA), Orbital (OEC), Peet (PPC), Alexium (AJX), Austal (ASB), Empired (EPD), Rewardle (RXH), Saracen (SAR), Sino Gas & Energy (SEH), Dacian (DCN), Buru Energy (BRU), Carnarvon Energy (CVN), Otto Energy (OEL), Empire Oil & Gas (EGO), Pura Vida Energy NL (PVD), High Peak Royalties (HPR), Carnarvon Petroleum (CVR)
Please read Argonaut's Important Disclaimers & disclosures
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