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Owns this in more aggressive accounts on the metals side. Can’t quite understand why there is a level of panic. Silver is an industrial commodity as well as precious metal. They don’t own any mines. It is basically paid a tariff on funds it has lent in the past. If you are going into silver market, this is one of the safer places. Probably worth looking at on this price level.
Once he saw that the gas market was going to get overwhelmed with the new production out of the gas shale, he backed off this. Things are starting to improve. Price of gas is over $4 and gas in storage has got to more historical levels. Looking at this again and thinking about it but hasn’t stepped back in yet. Might be a bit early.
A lot of people are saying Canadian banks are not going to do much in this kind of environment. Mortgage market looks a little soft and they are rushing off to buy US banks. Why buy US banks when this is a Canadian company that has a big US bank holding? Have more branches in the US than they do in Canada. They are in a part of that market that has come through the US recession quite well. Yield of 4.03% and wouldn’t be surprised if there were more dividend increases.
Doesn’t know exactly why it has broken down through the $40 level. Expects people may have got concerned that the dividend is potentially under pressure but he doesn’t see that. Heavy oil producer but has been quite successful in shipping by rail. One of the best, most efficient producers going. Will probably be adding to his positions.