December 3, 2009
Hermosillo, Mexico – Mayo Gold Explorations Ltd.
The response of the international financial community altogether, along with the IMF (International Monetary Fund), the World Bank, the United States Treasury Department, the Federal Reserve, the World Bank, Bank of Canada, the Swiss National Bank, the Bank of England and the European Union Central Bank have brought safeguard and an immense amount of relief towards scared and untrustworthy investors. The crisis of confidence and trust in the markets is disappearing as stocks and other financial instruments start to surge to find new highs.
Several indicators such as the fact that the Reserve Bank of Australia has increased its cash rate in three occasions in the last month and a half are indicative of the degree at which certain economies around the world are reacting after this 100 year event, considered to be one of the worst in the last several years. Numbers are starting to enlighten our ability to understand this financial crisis. It is said that, at its worst, 75% of the value of stocks around the world markets had vanished.
The Federal Reserve has also played an important role as it has shown leadership and flexibility with robust maneuvers that have stopped other debacles. The Fed Chairman, Ben Bernanke, has demonstrated that the apple does not fall far from the tree, as he has demonstrated that he can lead as thoroughly and sharply as his predecessor Allan Greenspan did.
Bank of America’s latest announcing that it’s paying its TARP debt ($45 Billion Dollars) to the Government also show that stronger winds are blowing in the right direction.
The markets have shown a certain level of recovery; specially some of the world’s most important financial institutions like Goldman Sachs have lead intelligently through these very difficult times.
Recently the price of copper took a tremendous hike going from $1.40 to $3.20 per pound based on current demand from Asian countries. I don’t expect this trend to sustain itself because it all appears that the Cananea Mine will reopen
On behalf of the Board
Pedro Villagran Garcia, President & CEO
Mayo Gold Explorations Ltd.
