ORENINC INDEX up as brokered action increased


ORENINC INDEX - Monday, June 22nd 2020

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Last Week: 47.29

This week: 69.17

The Oreninc Index increased in the week ending June 19th, 2020 to 69.17 from 47.29 a week ago as brokered action and bought deals increased.

The COVID-19 virus global death toll has passed 460,000 and more than 8.6 million cases reported worldwide, with more than 2.2 million of those in the US. 

Headlines this past week focused on excerpts of a soon to be published book by John Bolton, the former security advisor to president Donald Trump, which included many unflattering comments about his ability to lead and personal character, while Black Lives Matter protests continued.

With a US presidential election just around the corner in November, president Trump is planning a return to the campaign trail with a rally in Tulsa, Oklahoma, his first since the coronavirus pandemic began. Seemingly lacking nunchi, or social awareness of what is happening around him, the rally date was originally on Juneteenth, a day marking the end of slavery in the US. Tulsa was also the site of a 1921 massacre of hundreds of black Americans by white Americans.

On the economic front, with the US economy opening up people are returning to the malls as data showed that US retail sales rose 17.7% in May following a 14.7% decline in April, reported the US Commerce Department.

The US saw a seasonally adjusted 1.51 million first-time jobless claims this past week reported the Labor Department, more than consensus estimates. However, the four-week moving average for new claims fell 234,500 to 1.77 million while continuing jobless claims fell to a seasonally adjusted 20.54 million.

Oil continued to strengthen after an OPEC meeting reaffirmed a commitment to abide by production cuts.

On to the money: brokered action returned as the total raises announced increased to $76.9 million, a three-week high, which included four brokered financings for $31.6 million, a three-week high, and two bought deal financings for $7.9 million, a three-week high. The average offer size increased to $1.6 million, a three-week high, while the number of financings increased to 49.

Gold continued to strengthen as it closed up at $1,743/oz from $1,730/oz a week ago. The yellow metal is up 14.93% so far this year. The US dollar index inched higher as it closed up at 97.62 from 97.31 last week. The VanEck managed GDXJ returned to growth as it closed up at $44.79 from $43.84 a week ago. The index is now up 5.99% so far in 2020. The US Global Go Gold ETF also closed up at $19.16 from $18.67 a week ago. It is up 9.11% so far in 2020. The HUI Arca Gold BUGS Index closed up at 266.79 from 262.01 last week. The SPDR GLD ETF inventory continued to increase, closing the week up at 1,159.31 tonnes from 1,136.22 tonnes tonnes last week.

In other commodities, Silver returned to growth as it closed up at $17.62/oz from $17.49/oz a week ago. Copper consolidated as it closed up a tad at $2.62/lb from $2.61/lb a week ago. Oil’s recovery resumed as WTI closed up at $39.75 a barrel from $36.26 a barrel a week ago.

The Dow Jones Industrial Average saw growth return as it closed up at 25,871 from 25,605 a week ago. Canada’s S&P/TSX Composite Index also closed up at 15,474 from 15,256 the previous week. The S&P/TSX Venture Composite Index closed up at 567.20 from 554.91 last week.


Financing Highlights

Thor Explorations (TSXV:THX) opened a US$10million ($13.6 million) raise.

Major Financing Openings

Major Financing Closings