Going Critical

Why are some resources considered “critical” and some abundant and therefore not of interest? We subscribe to Jeremy Grantham’s viewpoint that we have entered a new era of finite and dwindling natural resources. He says,

“The world is using up its natural resources at an alarming rate, and this has caused a permanent shift in their value.”

Written by Michael A. Berry, Ph.D. - [ Discovery Investing Web Site ]

Bloomberg has a new video series out called "China's Ghost Cities." (You can watch the first segment here on YouTube).   The reporter, Adam Johnson, describes how the Chinese government is building massive cities that no one lives in yet. The expectation is that China is going to "grow" into these cities.   A remarkable idea, really. The authoritarian planners in Beijing or wherever decide it would be good if, say, a million people or more could relocate to a pre-planned area.   Then they build out the infrastructure -- or rather the entire metropolis, skyscrapers, stoplights and all -- and wait.

Northern Graphite (NGC TSXV)

It has indeed been a tough couple of weeks. The markets are struggling and the natural resource juniors have been impacted. But here’s one company that we think has great potential. It is Northern Graphite (NGC TSXV) a Discovery Incubator that is rapidly maturing.

The company has a very large, very valuable large flake graphite project (Bissett Creek) in northern Ontario about half way between Ottawa and North Bay just off Trans-Canada highway. Graphite is one of those critical “metals” that every one of us has been in touch with since our elementary school days.

Written by Michael A. Berry, Ph.D. - [ Discovery Investing Web Site ]

Do you hear that ripping, tearing sound? It is the duct tape of the eurozone being pulled apart at the seams.

Last week, first-quarter growth rates came in for the various euro-area economies. France and Germany, two "core" countries, were impressively strong. Both surpassed growth estimates. Germany in particular is a growth powerhouse.

The periphery countries, however, are in a world of hurt. (No surprise there.) Deep and painful recessions are on deck for Greece, Ireland and Portugal.