Headline Management – Or, How to Influence the Media, Investors, and the Public

Two newspaper carriers for "The Monitor" newspaper in Montreal, 1943

(warning: cynicism and mini-rant ahead) These headlines found their way into my email inbox this morning, courtesy of Google Alerts. I have several news alerts going, one of which is themed on the continuing saga of the Fukushima nuclear disaster. Reuters - "Japan to Lift Entry Ban on Some Fukushima Cities" Huffington Post - "Japan Fukushima Nuclear Zone Partly Opened for First Time" Wall Street Journal Asia - "Japan Adds to Citizens Allowed to go Home" (The WSJ article is locked away behind a subscription wall. So screw 'em, no link love) Bloomberg BusinessWeek - "Japan Opens Three Evacuated Towns After TEPCO's Disaster" Atlanta Journal-Constitution - "Japan Eases Limits in Nuke No-go Zone for First Time" (Similar … [Read more...]

Buying Uranium When It’s in the Gutter

German Stamp - Bundespost 1957

The following is a guest post by Fred Carach, a.k.a. The Riverboat Gambler. The March 2011 Japanese nuclear disaster gutted the uranium mining industry big time. Price declines in the range of 50%-80% from top to bottom were common. A bottom appears to be in but the issue at hand is can the nuclear industry recover? Popular belief about the industry’s future is that it will probably never recover. It is just too dangerous. What popular opinion is ignoring is that the nuclear industry is not a luxury that can be dispensed with, but a critical necessity. The great white hope of the general population is the renewables solar and wind. These perennial solutions have been touted since the oil crisis of the 70s. What is shocking when … [Read more...]

Centavos Portfolio Update: Blood in the Streets

December 2011

"Buy when blood is in the streets, even if the blood is your own" - Baron Rothschild, 1871 Sure is plenty of red in the return column of this blog's model portfolio.  Junior exploration stocks in general haven't fared well in the last six months, and my stocks haven't been the exception. The last update was in September, and things haven't improved since then.  Down 40 percent, even after allowing for realized gains from two trades. A bit of an ugly picture, huh? Good. That means opportunity. Operation Recovery Malaga is first up in Operation Recovery.  The original purchase was for 1000 shares at $0.24/share. The purchase of 5,000 more shares at $.108 brought the unit cost down to $0.132. Whither Malaga and … [Read more...]

Can Taxes Kill?

Australian Prime Minister Julia Gillard

Governments love taxes revenue, the little people love it when you soak the rich, and corporations just make bottom-line calculations. This is especially true when governments consider windfall profit taxes. Some of the more unscrupulous governments such as Venezuela merely expropriate producing assets. Chavez's government did just that with Crystallex International's (KRY) gold mines a couple years back. They nationalized the mines, and thanks very much Crystallex for doing all the hard work. Other Western governments, more wise cunning and sophisticated devious in the ways of extracting revenue from industry, do it through windfall taxes. As commodity prices soared in 2009 and 2010, the Administration of Australian Prime Minister … [Read more...]

German Windmills

322px-wind-Eoliennes_a_Sloterdijk

I recently took a short trip to Germany and Luxembourg. We drove from Lux to Krefeld, a small town in northwestern Germany near Dusseldorf.  It was just a great drive through the beautiful German countryside. Tidy farms, green fields, neat little towns. And of course, hundreds and hundreds of wind turbines. Big ones, small ones, new ones, old ones.  Most of which were spinning and generating, and oddly enough, some that were NOT. The vanes were frozen in place, unturning. Therein lies the rub of centrally distributed wind power: it's not constant baseline power, always on demand. The wind doesn't always blow. Same goes for solar. Not much sunlight at night or on cloudy days. These idle German windmills could have been down for … [Read more...]

Centavos Model Portfolio Haz Sad Face

Model Portfolio - May 2011

It’s been a while since I posted the last update on the Centavos Model Portfolio on March 29th.  Since then, I’ve made the following additions in the uranium sector. Bought 4,000 more shares of JNR Resources, a uranium exploration company, bringing my total to 8,000 shares an average cost of $0.22.   The share price has now sunk into the mid-teens, where I’m content to let it sit without further buys. Bought 1000 shares of Denison Mines, another uranium junior, at a cost $2.26 a share.  At close of market today, the shares were up a little at $2.36. Denison is a company I purchased last year when it was a little over a dollar a share, and sold when it went over $4.  Since the crash in uranium, I figured I could buy back in.  … [Read more...]