StrangeHi everyone,
Strange to see the rare earth stocks get hit so much today on a JP Morgan downgrade of MCP !! Down 22% to 41.45$, but don't forget that their target price is 66$ (which means it has to go up 60% now to reach that level!!).
Tomorrow, MCP will be heard by the Congress:
GREENWOOD VILLAGE, Colo., Sep 19, 2011 (BUSINESS WIRE) -- Molycorp Inc.'s President and Chief Executive Officer, Mark Smith, will testify before Congress on Wednesday, Sept. 21, 2011 on the subject of global rare earth supply concerns and on efforts to diversify the nation's sources of these strategically critical materials.
Smith will testify before the U.S. House Foreign Affairs Subcommittee on Asia and Pacific Affairs, chaired by U.S. Rep. Don Manzuallo (R-Ill.). The hearing, entitled "China's Monopoly on Rare Earths: Implications for U.S. Foreign and Security Policy," begins at 1 p.m. on Sept 21 in Room 2172 of the House Rayburn Office Building.
It will be interesting to see what they have to say and how the market reacts to it. Even if the sector has corrected significantly since a few months, I would bet a loonieor two that our fellow American neighbors are not too happy with the Chinese monopoly and will do everything possible to help boost north american production as fast as possible...
Meanwhile, our GMA is up 0.05$ on a decent volume of 42 550, which is the highest volume since August 9th (43 000 also on August 24th). Does that set the table for a change in the momentum for GMA ? Let's hope so... Too bad some of us are leaving the boat now, they might regret their move sooner or later...
Finally, as most of you guys know that the AGM will be held in Montreal on September 30th. Since I don't think I will be able to attend, I would appreciate that those of you who will be there take notes on everything you hear and come back on this board to share your informations with us. Thanks in advance to all of you...and GLTA!!
SS11