Value Microcaps Junior Miners

[beigledog]

Dr airtime

I clicked on the link, but I don't see where WoodMac is calling for $3800 zinc (though I have heard that before). I think the chart is interesting because it shows that zinc inventories bottom this year, for that to happen there would have to be demand destruction because as far as I can see there is no meaningful supply coming on line (Glencore said last week that there is no chance they restart idle capacity).

Yes, that Reuters article is a little less bullish, but you can't argue that inventories are falling. Inventories have fallen about 25% YTD and days of inventory have fallen to just 14.6 days of supply. I expect that inventories will fall to ~10 days of suppy some time in the 3rd quarter and the real move in prices should start then. The following article talks about the decline in Chinese inventories and the effect of smelter shortages.

http://www.stockhouse.com/news/newswire/2017/04/28/analysts-ponder-26-drop-chinese-zinc-inventories

Four years is a long time! As I said in a previous post, if you call 1.5-2 years a trade, then I totally agree. I think Trevali is a double from here.