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Jurisdiction risk continues to grow as a result of countries attempting to capitalize on higher commodity prices. In this interview for The Gold Report, Thibaut Lepouttre, editor of Caesars Report, a newsletter and mining portal in Belgium, discusses which jurisdictions offer better value to investors and which countries to avoid. He also offers suggestions on where to look outside of North America for compelling values in junior mining.The Gold Report: Thibaut, at your presentation at the Prospectors and Developers Association of Canada in March, you said that country risk was the second most important factor investors should look at when analyzing mining companies. Obviously, management is the most important factor, but how has country risk changed over the previous five years or so?Thibaut Lepouttre: I think you will agree that there is a direct correlation between the rise in commodity prices and

You have to admit - we were right. Last week was indeed a big week for the S&P 500!From Monday, 13 May 2013 to Friday, 17 May 2013, the S&P 500 rose by nearly 2%, or 32.35 points, from 1630.77 to a new record high of 1666.12. Over half the gain for the week came on Friday, 17 May 2013, as the S&P 500 rocketed up by 17 points.In doing that, the S&P 500 completed the transition it began on 1 May 2013, as investors shifted their forward-looking focus from the second quarter of 2013 to the first quarter of 2014 in setting their expectations for the sustainable portion of future earnings growth for the stock market (a.k.a. "future dividend growth"). We can observe this transition directly in our chart below as the movement of the daily and 20-day moving average of the change in the rate

The Rana Plaza factory collapse in Bangladesh has spurred American retailer J. C. Penney Company (NYSE:JCP) to action. “We’re going to require structural and engineering inspections in countries that have that kind of risk [building collapse],” a J. C. Penney company executive said via the Wall Street Journal. However, the struggling retailer will not be signing the Accord on Fire and Building Safety in Bangladesh – a legally binding document — anytime soon. The tragedy outside of Dhaka, Bangladesh took more than 1,100 lives and focused the national spotlight on retailers that source their garments from unsafe factories in third-world countries. Wal-Mart Stores Inc. (NYSE:WMT) employed a contractor that used the Rana Plaza in 2012 but maintains that “Our [Wal-Mart's] investigation of the Rana Plaza building site after the collapse revealed no evidence of authorized or unauthorized production at the time of the tragedy,” the Washington Post reported. NEW! Discover a new stock idea each week for less than the cost of 1 trade. CLICK HERE for your Weekly Stock Cheat Sheets NOW! The accord that both J. C. Penney and Wal-Mart are not signing is essentially an agreement between the retailers and unions — both international and national. It would require independent inspections of production facilities and report its finding publicly, according to the Consumerist. So far, few companies based in the U.S. have signed the accord, including PVH Corp. (NYSE:PVH) — the parent company of the Tommy Hilfiger and Calvin Klein brands. Wal-Mart is taking a similar path to J. C. Penney in not signing the accord but performing safety audits its suppliers. The company will use an outside inspector to perform the audits. The company has already posted a list online of 200 companies it has stopped working with, according to the Consumerist. Why are both Wal-Mart and J.C. Penney against the Accord on Fire and Building Safety in Bangladesh? It would require them to help pay for repairs to buildings that do not meet safety requirements. Their own, independent safety audits will allow them to simply stop working with companies that have unsafe working conditions. NEW! Discover a new stock idea each week for less than the cost of 1 trade. CLICK HERE for your Weekly Stock Cheat Sheets NOW! J. C. Penny is struggling to keep itself afloat in a retail market that has changed drastically since it was founded in 1902 by James Cash Penney. The company has long been mature and unless it can finds its way, could be headed towards a long-term decline. The company is essentially a department store — a dying breed of retail format. Investing Insights: Does J.C. Penney Have Good Upside Potential? Read the original article from Wall St. Cheat Sheet

As interest rates remain historically low, the biggest U.S. banks are seeing the need to increase the volume of lending to businesses. The dramatic uptick in commercial and industrial loans is adding significant risks for banks that have with fire in the past and gotten burned. Regulators are aiming to tighten restrictions before severe damage can be done. NEW! Discover a new stock idea each week for less than the cost of 1 trade. CLICK HERE for your Weekly Stock Cheat Sheets NOW! The very small margins have been troubling for banks like Wells Fargo (NYSE:WFC) and Bank of America (NYSE:BAC) since the beginning of the year. In order to make more on the lowest margins in over 50 years, banks have had to push big in commercial lending, according to The Financial Times. Regulators have noticed dangerous trends developing for the first time since the financial crisis of 2008. Consequently, the Fed has issued new standards for leveraged lending practices among banks. Citigroup (NYSE:C) and JPMorgan (NYSE:JPM) join BofA and Wells Fargo in having to comply with the new Fed guidelines by Tuesday May 21. How can the top banks put their own business and the economy at risk? According to Moody’s, the problems come from the banks’ refusal to discipline themselves and stay away from loans to businesses already saddled with debt. Other risks are general overexposure and the potential to create an asset bubble. Amid calls for banks to increase the amount of capital in their portfolios, the lending practices so far in 2013 have reflected a trend in the opposite direction. Business loans have surged to $1.55 trillion this year, a 10 percent increase when compared to the first four months of 2012. Though positive economic indicators have emerged recently, the interest rates have remained at levels that challenge big banks’ ability to make the profits its investors want. In this situation, banks are seeing the only way out of the trap is through widening the pool of potential borrowers. NEW! Discover a new stock idea each week for less than the cost of 1 trade. CLICK HERE for your Weekly Stock Cheat Sheets NOW! In order to pull off an increase in commercial and industrial lending, banks have needed to lower standards. Companies that might not have qualified in previous years are being loaned money that might never be paid back. Are the Fed’s efforts another example of government intervention when banks are finally giving out the loans many economists have called for? In the case of big banks’ current lending habits, many will argue the constraints in place are not nearly adequate. Don’t Miss: Consumer Sentiment Hits Highest Level Since July 2007. Read the original article from Wall St. Cheat Sheet

In February 2013, I wrote an article on Flotek Industries (FTK). The article entitled Small Cap with Strong Balance Sheet in a Good Sector looked at some of the financial highlights of the company as well as some of the valuations. As stated in the article, Flotek has been "showing strength in all aspects of its profitability, including the asset turnover, gross profit margin, ROA and TL&A ratio." But the article did indicate that the company is "showing some weakness in its current ratio". This ratio indicates that the company does not have the liquidity that it did a couple of years ago."Flotek's vision is to be the premier energy services company focused on best-in class technology, cutting-edge innovation and exceptional customer service all standing in the support of our never-ending commitment to provide superior returns for our stakeholders. Flotek Industries Inc., is a diversified global supplier

Stocks discussed on the in-depth session of Jim Cramer's Mad Money TV Program, Friday May 17. 17 Things To Watch In The Week Ahead: Campbell Soup (CPB), Best Buy (BBY), AutoZone (AZO), Home Depot (HD), TJX Companies (TJX), NetApp (NTAP), Target (TGT), Lowe's (LOW), Hewlett-Packard (HPQ), Toll Brothers (TOL), Ross Stores (ROST), Sears Holdings (SHLD), Salesforce.com (CRM), Williams-Sonoma (WSM), Abercrombie & Fitch (ANF), Foot Locker (FL). Other stocks mentioned: Wal-Mart (WMT), Nordstrom (JWN), Dell (DELL), William Lyon Homes (WLH) With the Dow roaring 121 points on Friday, Cramer said he believes earnings are driving the rally. The S&P 500 is up 2.4% year over year, exceeding expectations of a 1.8% rise. Of the companies that have reported so far, the majority have had positive results and only 23.6% have been negative. However, before outlining the game plan for the week ahead, Cramer cautioned that he is worried about disappointing results

Western Asset Mortgage Capital Corp. (WMC) is a mortgage REIT. It is a new company, which IPO'd May 15, 2012. Its investment strategy focuses on Agency RMBS; but it also invests in non-Agency RMBS, CMBS, and other Asset-backed securities. WMC is externally managed by Western Asset Management Company, a global leader in diversified fixed-income management since 1971. This firm has approximately $459.4B in assets under management. This includes $58.3B in total mortgage exposure. $39.2B of this is invested in Agency RMBS. $8.8B is invested in non-Agency RMBS. $1.3B is invested in CMBS; and $8.8B is invested in ABS.For Q1 2013 WMC reported a net loss of -$28.5 million (or -$1.18 per basic and diluted share). This was versus an estimate of +$0.90 per basic and diluted share (a miss of -$2.08). This included a net unrealized loss of $54.8 million on RMBS; and a $13.9 million net

The S&P 500 was higher since our update last Monday. The portfolio is now 75% invested long, 0% short and 25% in cash, net long 67%. We are now at a value of 609.66% versus 587.46% from last week. A new buy in China Mobile (CHL) wasw added last week

The selling continues this morning in gold and silver. We feel very good about having sold out of our gold position back on May 7th. Silver has now dropped ths most since 2010. Gold is now 19% in 2013. Bottoms in such markets are difficult to call.

Medtronic (MDT) will report earnings tomorrow before the open. Estimates are $1.03 versus $0.99. There is still more than 10% upside to this name and it is worth a look.