Cline Mining Corporation T.CMK

Some reasons

[kensin]

Dow Jones U.S. Coal Index 207.63 down from 512.00 tells a big story about demand.

It doesn't help that Natural Gas is at $1.96

Europe is about to go in to it's second round of defaults, bond buy backs, debt forgiveness , austerity measures , market slow downs, Euro depreciation, Greece spin out, Ireland bankruptcy etc.

U.S. is still piling up debt, Iran and N.Korea are making the world uneasy and Iran alone could send fuel prices up 30% Cost of mining climbing quickly, staffing of mines is a big issue, no people to work.

Investment world has become totally risk adverse so credit is only given on a cash on hand with profitable production numbers

China is technically bankrupt and needs 7% growth to keep their heads above water yet the whole world is counting on them to carry the load until the rest of the world that has for the last 20 years financially destroyed themselves attempts to recover.

Political systems worldwide are broken as all the major governments are fragmented by special interest groups and no policy of recovery can be enabled as no decisions will be forthcoming.

Regardless at how inept Cline management is, they have high quality product in spades but they are against current market head winds that are just too much.

Witness the advent of the Graphite bull run. How long did it last? Not even 6 months . With the whole consumer market going that way and trillions on the sidelines looking to invest what's with that?

Check out Samsung's commercials on U Tube for transparent flexible screens. It should be the next I-Pod so what's the deal . (Graphite required to produce flexibility among other attributes) The market is on shut down even for the greatest and bravest technology.

https://www.dailymail.co.uk/sciencetech/article-2070741/Samsungs-transparent-flexible--screens-3D-real-looks-like-it.html

JMO

P.S. The charts are still saying $.875 as the bottom but maybe .92c was it. lets hope.

[whitehorntiger]

BHP: Global Sea-Borne Coking Coal Demand CAGR At 4.9% Up To 2025. https://english.capital.gr/News.asp?id=1471373 China won't collapse. if you refer to IMF forecast released yerterday, China 2013 GDP will be at 8.8%. It is accepted that China is having real estate bubble, but the government is tackling it diligently. China has never been so well positioned financially, and has much more room to

[ark88]

Whitehorntiger; I agree with your take on China. I too think that the chance of a so called hard landing is minimal and that China will continue to show strong GDP growth in the short to medium term. What's critical is that their economy has to transition from an investment based to a consumption based economy if it is to mature and become something similar to the developed economies. The

[kensin]

I did not say China would collapse. If their growth was to drop to say 4% you would see a world in complete kayos and China would not be able to sustain their infra structure.  What China is doing is growing while Europe is contracting. China can not save the world and owning debt like U.S. bonds in the billions only looks good on paper. They also hold Greek, Portuguese and

[ark88]

Kensin: Are you replying to my post? Sorry, I wasn't responding to yours as I haven't even read it.   But in response to your post, let me just say that what you state is correct. However, I'm more interested in how the space in which companies that I invest in are affected by the macro events, such as those that you note. More specifically with met coal, I'm interested

[kensin]

No "whitehorntiger" I think your timing is a bit optimistic at three months but perhaps 6 months after the U.S. election. Now the news is interviewing relevant Canadian financiers about the impending doom of the real estate market. It's on every 20 min or so on the news channel. Interest rates up, Canadian personal debt up, real estate down. As if Canadians needed more stress.