Morning Markets for Monday, Feb. 2, 2026

Key Concepts

• El Dorado Gold & Foreign Mining Merger: A $3.8 billion acquisition creating a major gold and copper mining company.
• Five N Plus Expansion: A 25% increase in solar cell production capacity, supported by a $18 million Pentagon investment in uranium refining.
• US Critical Minerals Stockpile: A $12 billion initiative to reduce reliance on Chinese rare earth metals.
• AI Investment & ROI: A shift in market focus from Total Addressable Market (TAM) to demonstrable Return on Investment (ROI) in AI spending.
• Gold & Silver Volatility: Recent price fluctuations in precious metals, with analysis on potential corrections and long-term outlook.
• Humana, Campbell’s, & H&R Block: Stock analysis highlighting potential investment opportunities based on current market conditions and company strategies.
• RRSP/TFSA Strategies: Retirement planning advice, including the RRSP meltdown strategy and considerations for RRSP loans.

Market Overview & Corporate News (Morning Segment)

The broadcast began with an overview of market activity, highlighting several key corporate developments. El Dorado Gold is acquiring Foreign Mining for $3.8 billion, forming a combined gold and copper mining entity headquartered in British Columbia. Analysts express concern about integrating a copper-focused asset and managing startup projects.

Five N Plus is experiencing strong performance on the TSX following its announcement of a 25% expansion in solar cell production capacity. This expansion is supported by an $18 million investment from the Pentagon to bolster uranium refining capabilities in Utah.

US President Trump is reportedly planning a $12 billion strategic stockpile of critical minerals, including gallium and cobalt, to mitigate supply chain risks and reduce dependence on Chinese rare earth metals.

The TSX showed a slight rebound, up 0.6%, after a significant decline on Friday. US markets were also trending upwards, though modestly.

AI Investment & Earnings Season (Interview with Chad Larson)

A key discussion point revolved around the current earnings season and the evolving investor sentiment towards Artificial Intelligence (AI). Chad Larson, Senior Portfolio Manager at MSD Wealth, emphasized a shift in focus from the sheer size of the Total Addressable Market (TAM) for AI to demonstrable Return on Investment (ROI). He cited Microsoft’s 10% stock drop after earnings as an example of the market demanding tangible results.

Larson noted a growing pragmatism in the market, exemplified by a potential staging of Nvidia’s $100 billion deal with OpenAI. He warned of potential overspending on AI by companies, referencing a $390 billion capital expenditure last year, equating it to government stimulus. He highlighted the importance of consumer demand durability and the rising costs of components like memory and compute power.

Larson stated, “It’s less about beats and misses and more about guidance credibility.” He also commented on the importance of the “show me the money component” and the need for AI investments to translate into real cash flow.

Precious Metals & Market Sentiment (Jim Thorne Interview)

The segment then shifted to the recent volatility in the precious metals market. Jim Thorne, Chief Market Strategist at Wellington Altus Private Wealth, acknowledged his own exposure to gold despite Friday’s significant price drop. He characterized the drop as a correction after a period of rapid growth, driven by speculation and scarcity.

Thorne predicted gold reaching $10,000 per ounce by the end of the decade, attributing this to the ongoing debasement of fiat currency and excessive debt. He also highlighted the potential impact of a new Fed Chair nominee, Mr. Warsh, who is perceived as more hawkish. He stated, "Gold is going to be 10,000 by the end of the decade. There's no need to rush."

He emphasized the importance of understanding the structural factors driving gold’s price, including geopolitical risks and supply constraints. He also pointed to the broader scarcity theme extending beyond technology to encompass essential resources like copper and critical minerals.

Stock Spotlight & Market Drivers (Monique Lima Report)

Monique Lima, Bloomberg Equities Reporter, provided updates on several stocks:

• Devon & Katerra Merger: A $58 billion merger, with Devon shares up and Katerra shares down due to a 2.4% discount in the deal’s valuation.
• Cryptocurrency Stocks: Down following a 14% drop in Bitcoin over five days, impacting companies like MicroStrategy.
• Rare Earth Stocks: Gaining momentum due to Trump’s proposed $12 billion critical minerals stockpile.
• USA Rare Earth & Critical Metals were specifically mentioned as benefiting from this initiative.

Quebec Critical Mineral Deposit (CTV News Report)

A report from CTV News highlighted a critical mineral deposit in Saint-Michel-des-Saints, Quebec, containing significant graphite reserves. Nouveau Monde Graphite is developing the mine, which received “major project of national interest” designation and government funding. The project faces environmental concerns but has secured an impact benefits agreement with the Atikamekw First Nation. The target for commercial extraction is 2028.

Stock Analysis (David Dietz Interview)

David Dietz, Chief Investment Strategist at Dietz Wealth Management Group, offered insights on specific stocks:

• Humana: Recommended as a potential buy, despite recent declines, due to its focus on seniors and the Sun Belt region. He highlighted the potential impact of government reimbursement policies.
• Campbell’s: Considered undervalued, trading at a ten-year low with a strong dividend yield.
• H&R Block: Presented as a potentially attractive investment due to its low valuation, strong dividend, and the complexity of tax laws.

Dietz cautioned against RRSP loans unless combined with significant personal contributions.

Retirement Planning Strategies (Kyle Taylor Interview)

Kyle Taylor, Wealth Advisor and Portfolio Manager at Tri-Delta Private Wealth, discussed retirement planning strategies:

• RRSP vs. TFSA: Advised maximizing registered accounts, with the choice between RRSP and TFSA depending on individual circumstances.
• Spousal RRSP: Highlighted the benefits of using a spousal RRSP for high-income earners to reduce overall household taxes.
• RRSP Meltdown Strategy: Explained the strategy of withdrawing from RRSPs before retirement to potentially lower lifetime taxes, particularly for those with substantial pensions or TFSA contribution room.
• RRSP Loans: Generally discouraged unless combined with significant personal contributions.

Conclusion

The broadcast concluded with a recap of market performance and a preview of upcoming earnings reports. The overall tone was cautiously optimistic, with a focus on the need for investors to prioritize ROI, assess risk, and adapt to evolving market dynamics. The emphasis on critical minerals and the geopolitical landscape underscored the growing importance of supply chain security and resource independence.