MAY 2024 NEWSLETTER
THE STLLR ADVANTAGE
2 Cornerstone Gold Projects in mining-friendly Canada
Both Projects (Tower & Colomac) capable of large-scale production in the future
Million of gold ounces in estimated mineral resources
Attractive Enterprise Value Per Resource Ounce In-Situ
Strong Balance Sheet
Management Team with Project Advancement and Mine Building Experience
STLLR Recent News
March 25, 2024: STLLR Gold Appoints Successor Auditor
March 28, 2024: Tower Gold Project Infill Drilling Continues to Confirm Mineralization at the Jonpol Deposit
April 4, 2024: Windjammer South Infill Drilling Results at the Tower Gold Project and Appointment of VP Projects & Technical Services
April 17, 2024: Remaining Tower Gold Project Infill Drilling Results
Gold Commentary
We’ve come back down from all time highs in gold after peaking at just over $2400/oz US. This remarkable surge is being attributed to several factors worth noting in the past few weeks:
Weakening US Dollar (https://www.theguardian.com/business/2020/aug/12/what-weakening-dollar-means-for-global-economy)
Federal Reserve Interest Rate Speculation - Higher for Longer? (https://www.usatoday.com/story/money/2024/04/30/fed-interest-rates-likely-higher-longer/73500373007/)
Persistent Inflation (https://blockonomi.com/jerome-powell-signals-delayed-rate-cuts-as-inflation-proves-stubborn/)
Sudden turnaround from outflows to inflows of gold in North American and continued demand from Asian ETF’s (https://www.gold.org/goldhub/research/gold-etfs-holdings-and-flows/2024/04)
Retail Demand Growing for Gold Bars (https://www.ibtimes.com/costcos-golden-opportunity-how-retail-giant-captured-bullion-market-3729232)
Bitcoin ETF outflows (https://ca.finance.yahoo.com/news/record-bitcoin-etf-outflow-buffets-130742452.html?guccounter=1)
Weaker Yen (https://www.bloomberg.com/news/newsletters/2024-04-10/bank-of-japan-s-interest-rate-moves-and-the-record-price-of-gold)
Gold Market
The World Gold Council just released their Q1 2024 Gold Demand Trends report, and the following highlights confirm the news reports:
Central Banks continue to accumulate gold at a heightened pace, with a 3% increase y/y
Gold production increase 4% y/y
Over The Counter (OTC) rose an astounding 220% y/y
Outlook
STLLR.AI: Our AI based analysis looks at technical, market, and sentiment data and suggests the following:
Short Term Bearish, with support levels expected around $2100/oz US. This does not surprise us as a healthy bull run requires consolidation and time to adjust. Sentiment amongst traders is that they’re looking for entries between $2000/oz and $2300/oz US. STLLR.AI bot picked up a “Bear Flag” on the short term charts, which would explain its logic. As traders take profits on this leg of the upward run.
A simple google search will show that analysts suggest a price anywhere above $2000/oz to $2400/oz. We’ve already gotten there, and have surpassed all time highs. As we go into price discovery, we expect continued upward pressure on the price of gold due to the factors continuing to run as they have to push the price where it is today.
PRICE PERFORMANCE (STLR vs. GDXJ vs. GOLD)
All time
Year to Date