Gold gained a few dollars in Asia before it fell back off near unchanged by the open in London.  It then climbed back above $680 in London and came in to New York about $5 higher.  It was off to the races from there, as gold quickly surged to above $695, briefly fell back off about $5, and then gained into the close to end at its high of the at a new 25 year high.  Silver followed a very similar pattern and ended near its highs of the session with an over 5% gain just 5 cents from a new 25 year closing high.

Euro gold rose to new all-time highs near €550, platinum gained $41 to $1,229 to new all-time highs, palladium gained $17 to $388 to new 4 year highs, and copper surged nearly 15 cents higher to new all-time highs above $3.60.

Gold and silver equities rose throughout trade and ended with nearly 5% gains at new all-time highs.

China urged to quadruple gold reserves - paper

From Peter Spina of www.goldforecaster.com:

“Gold rallied to $700 an ounce Tuesday as investors continued to re-price the precious metal as capital continued to flee the U.S. Dollar. The news about gold’s discount continues to make its way around the globe. It does not appear the gold and silver markets will be taking a summer vacation. 

With $700 now in the history books, investors look back to the early 1980 highs now.  Once the $800’s are conquered then $1,000 is just around the corner.

It is a bit surprising to see the U.S. Dollar find no support around the 85 level. I would have expected at least some sort of technical bounce.  Yet even this did not occur and it is a bit frightening to see the world’s reserve currency, albeit diminishing, drop precipitously.  This shows the level of desperation in exiting the U.S. currency; it has turned into a stampede.  Yes, there is likely to be a relief rally in the near future, but ultimately attention will focus again on the major support level.  I do expect this to eventually succumb to selling pressures as well, but for now, the support floor should catch this drop.  Perhaps at this time, some level of consolidation may occur in the gold market, but for every drop, there is a crowd of buyers eager to ride the bull.”

From The Hightower Report, Futures Analysis and Forecasting:

“The gold market rose very sharply and even managed to climb above the critical $700 price level. With cash gold prices reaching the same price levels as the 80's it certainly feels like some of the old inflationary psychology is at work in the marketplace. While the news that the US was still considering diplomacy as the first step with respect to the Iranian situation the gold could have weakened, but the fact that Iran appears to be working on ways to get around the economic ramifications of UN sanctions seems to suggest that Iran is planning to stand up to the UN. Apparently Iran cut a deal with Indonesia for refinery services, which means that Iran is working on ways to get around a UN economic block instead of working toward a Peaceful solution. With the Dollar down again and apparently entrenched in the down ward trend it is clear that flight to quality buyers were also present in addition to the geopolitical buyers. In the end, one could point to almost all of the usual fundamental suspects in the rally Tuesday and find justification for their presence in the headlines.

The silver market continues to drag a bit behind the rest of the precious metals complex. In fact, silver is one of the few metals (base and precious metals) that didn't manage some type of significant new high in the action Tuesday. Trade talk continues to suggest that silver is being seen as relatively less overbought than gold and platinum and that in the past has served to pull up silver prices in a delayed fashion. With the copper, zinc and platinum markets all seeing increased fund interest we suspect that few traders are willing to sell into silver in the coming sessions, especially if stock prices remain upbeat, the Dollar continues to fall and oil prices remain firm. As in gold, the silver market once again appeared to have a wide range of bullish fundamental arguments present in the action Tuesday.”

Oil gained nearly a dollar on renewed geopolitical concerns over Iran and in preparation for tomorrow’s inventory reports.

The U.S. dollar index fell to new 1 year lows on expectations for a pause in interest rate hikes after tomorrow’s hike.

Treasuries fell as today’s 3-year note auction drew weak demand from indirect bidders.

The Dow rose on a GM upgrade, the Nasdaq fell on Dell’s warning, and the S&P remained near unchanged as traders wait for tomorrow’s fed meeting.  The Dow closed at a new 6 year closing high and ended less than 100 points away from new all-time closing highs.

Among the big names making news in the market today were Cisco, Disney, US Airways, AOL, Munich Re, Adidas, Dynegy, Apple, Mittal and Arcelor, Fannie Mae, Vodafone and Verizon Wireless, Warner Brothers and BitTorrent, Dell, Lazard, McDonald’s, and Sara Lee.

GATA Posts:

GoldSeek radio interviews Tan Range CEO and gold all-star Jim Sinclair

A reply to The New York Times: Pursue the market-rigging issue

Murphy's 'Midas' commentary for May 6: 'They just don't get it'

NYTimes notices market manipulation study -- seven months later

Gold & Silver Stock News Update from GoldReview.com:

Yamana’s (AUY) earnings, Glencairn’s (GLE) earnings, Cumberland’s (CLG) shareholder rights plan, Harmony’s (HMY) joint venture agreement with AXMIN (AXM.V), Hecla’s (HL) and Great Basin’s (GBN) drill results, and Minefinders’ (MFN) environmental permits were among the big stories in the gold and silver mining industry making headlines today.

WINNERS

LOSER

All of today's gold and silver stock news:

Solid announces new board members - More
- May 09, 2006 | Item | E-mail

Freewest Reports Diamond Drilling Results and Ongoing Exploration Work at Clarence Stream, New Brunswick - More
- May 09, 2006 | Item | E-mail

UC Resources Ltd. Announces Mar Project Added to Minera Silver Creek Acquisition - More
- May 09, 2006 | Item | E-mail

Glencairn Gold Reports Record Net Earnings, Revenue And Quarterly Gold Sales - "Glencairn Gold Corporation is pleased to report its financial and operating results for the three-month period ended March 31, 2006 (currency figures in U.S. dollars). The consolidated financial statements along with management's discussion and analysis are available for viewing on the Glencairn website at www.glencairngold.com." More
- May 09, 2006 | Item | E-mail

De Beira Signs MOU for Columbia Gold Property - More
- May 09, 2006 | Item | E-mail

Queenstake Announces First Quarter 2006 Results Conference Call - "Queenstake Resources Ltd. will announce its first quarter 2006 results on Wednesday, May 10th and will hold a conference call hosted by President and Chief Executive Officer Dorian (Dusty) Nicol to review the quarter highlights at 1:00 p.m. Eastern Daylight Time that day." More
- May 09, 2006 | Item | E-mail

Revett Minerals Reports First Ever Quarterly Profit and Improving Operations at Troy - More
- May 09, 2006 | Item | E-mail

Sea Green Capital Corp Financing - More
- May 09, 2006 | Item | E-mail

Fortune Minerals commences underground phase of NICO bulk sample - More
- May 09, 2006 | Item | E-mail

Cumberland Announces Adoption of Shareholder Rights Plan - "CUMBERLAND RESOURCES LTD. is pleased to announce that its Board of Directors has approved the adoption of a Shareholder Rights Plan. The purpose of the Rights Plan is to encourage the fair treatment of shareholders in connection with any takeover bid for the common shares of Cumberland and to ensure that any proposed transaction is in the best interests of Cumberland's shareholders." More
- May 09, 2006 | Item | E-mail

Keegan Acquires the Esaase Gold Property in Ghana - More
- May 09, 2006 | Item | E-mail

Doublestar Resources enters option agreement for copper-gold property - More
- May 09, 2006 | Item | E-mail

Lincoln Gold Corp.: Kinross Plans Exploration Program for Jenny Hill, Nevada - More
- May 09, 2006 | Item | E-mail

Gold/Zinc Property acquired in Eureka County, Nevada - More
- May 09, 2006 | Item | E-mail

Dutton Associates Announces Investment Opinion: Midway Gold Speculative Buy Rating In Initiating Coverage By Dutton Associates - More
- May 09, 2006 | Item | E-mail

Northland Resources Begins 10,000m Drill Program at The Hannukainen Copper-Gold Target, Finland - More
- May 09, 2006 | Item | E-mail

Landore Resources Limited - Progress Report - More
- May 09, 2006 | Item | E-mail

ALTIUS' NLRC Advances to Stage Two of Refinery Feasibility Study - More
- May 09, 2006 | Item | E-mail

Eagle Plains Releases Inferred Resource for Sphinx Molybdenum Project - More
- May 09, 2006 | Item | E-mail

Aurus to Acquire Two Properties With a Combined 925,562 Ounces of Gold - More
- May 09, 2006 | Item | E-mail

Former Vice President and General Manager, Minera Hecla de Mexico, Joins Silver Dragon's Management Team - More
- May 09, 2006 | Item | E-mail

Canadian Royalties Receives Positive Preliminary Economic Assessment 'Scoping Study' for New, Stand-Alone Nickel-Copper-Platinum-Palladium Mine - More
- May 09, 2006 | Item | E-mail

Crowflight Saves $1.0 Million on Purchase of Hoist-Headframe Set for Bucko Deposit and Initiates Underground Development Program - More
- May 09, 2006 | Item | E-mail

Alberta Star Appoints Mr. John Camier of South Bay Exploration Ltd. to Supervise Alberta Star's 2006 Drilling at the Contact Lake IOCG & Uranium Project - More
- May 09, 2006 | Item | E-mail

Infinex Announces Extension to Its Agreement in Chile - More
- May 09, 2006 | Item | E-mail

Azco Mining Acquires Summit Silver-Gold Project in New Mexico - More
- May 09, 2006 | Item | E-mail

Tonogold Resources, Inc Targets Gold at Bonanza and Shamrock for Early Drilling at Nyac, Alaska - More
- May 09, 2006 | Item | E-mail

Tara Gold Initiates Expansion Into Industrial Minerals - More
- May 09, 2006 | Item | E-mail

Alexandria Minerals Starts Exploration on Matachewan Property - More
- May 09, 2006 | Item | E-mail

Scorpio's Sampling on the 7th Level of the Nuestra Senora Silver Deposit includes 14 metres grading 1,100.29 g/t Ag, 2.90% Zn, 0.02% Cu, 4.14% Pb and 0.35 g/t A - More
- May 09, 2006 | Item | E-mail

Goldcrest Commences 1,500 Meter Reverse Circulation (RC) Drilling Campaign at Youanmi Gold Project in Western Australia - More
- May 09, 2006 | Item | E-mail

Argentex commences 2006 drill program at Pinguino silver-gold property in Patagonia, Argentina - More
- May 09, 2006 | Item | E-mail

Everton and Azimut Identify a Continuous Geophysical Anomaly Over a 1.7-Km Gold Bearing Trend at Opinaca - More
- May 09, 2006 | Item | E-mail

Azimut and Everton Identify a Continuous Geophysical Anomaly over a 1.7-Km Gold Bearing Trend at Opinaca - More
- May 09, 2006 | Item | E-mail

Crew Gold Corp.: Appointment of Pareto and First Securities as Corporate Advisors - More
- May 09, 2006 | Item | E-mail

East Asia Minerals options large intrusive related gold-copper project in southwestern Mongolia - More
- May 09, 2006 | Item | E-mail

Dumont information posted on S&P Market Access Program - More
- May 09, 2006 | Item | E-mail

NioGold appoints Arden "Buck" Morrow as Director and Chairman of the Board - More
- May 09, 2006 | Item | E-mail

Sunridge Gold Increases Size Potential of Emba Derho with 227 Metres of 0.91% Copper and 1.05% Zinc - More
- May 09, 2006 | Item | E-mail

Southwestern Resources Corp.: Exploration Update-New Gold Vein District Identified-Liam Gold-Silver Project, Peru - More
- May 09, 2006 | Item | E-mail

Aranka Announces Property Acquisitions - More
- May 09, 2006 | Item | E-mail

Houston Lake Mining Options the Tib PGM Project - More
- May 09, 2006 | Item | E-mail

GlobeStar Announces Formal Approval of US$38 Million in Debt Financing for Cerro de Maimon Copper-Gold Project - More
- May 09, 2006 | Item | E-mail

Great West Gold, Inc. Continues to Monitor Short Selling - More
- May 09, 2006 | Item | E-mail

Boliden Invests in New Cleaning System at Ronnskar - More
- May 09, 2006 | Item | E-mail

Exeter and Rio Tinto Expand Chile Exploration Agreement - More
- May 09, 2006 | Item | E-mail

Ascendant Copper Expands Investment in Ecuador With Option on Telimbela - More
- May 09, 2006 | Item | E-mail

Candente Resource Corp.: Leachable Copper Target Expanded and 43-101 Report Completed for Canariaco Norte, Peru - More
- May 09, 2006 | Item | E-mail

Golden Phoenix Initiates Bulk Sampling at Ashdown; Commences Startup and Testing of Its Molybdenum Mill - More
- May 09, 2006 | Item | E-mail

Mengold Closes Private Placement - More
- May 09, 2006 | Item | E-mail

Harmony to Spend US$4 Million to Earn 50% Interest in AXMIN's Permits in Senegal - "AXMIN Inc. is pleased to announce that it has entered into a joint venture agreement with Harmony Gold Mining Company Limited whereby Harmony will fund exploration across three permits in eastern Senegal, namely Sonkounkou, Sabodala NW and Heremakono (collectively the "Senegal Permits"). By funding expenditure of US$4 million over three years Harmony may earn a 50% interest in the Senegal Permits." More
- May 09, 2006 | Item | E-mail

Minefinders Receives Dolores Environmental Permits - "Minefinders Corporation Ltd. announces that the Mexican Environmental Agency, SEMERNAT, has now approved the Company's Environmental Impact Statement (Manifestacion de Impacto Ambiental) and associated Change Of Land Use, clearing the way for construction and mining operations at its planned Dolores gold and silver mine." More
- May 09, 2006 | Item | E-mail

Hecla and Great Basin Announce Underground Drilling Results for Hollister Development Block Project in Nevada - "Some excellent gold and silver values have been received for intersections of the Gwenivere and Clementine vein systems. Gwenivere and Clementine are comprised of multiple steeply dipping, banded quartz and quartz stockwork veins and vein breccias, typical of epithermal vein systems. Seven holes have been drilled in the Gwenivere vein system and five into the Clementine vein system. Assays are pending on some intervals in the Clementine vein system." More
- May 09, 2006 | Item | E-mail

Yamana Reports Operating Earnings of $5.3 Million for the First Quarter 2006. - "Mine operating earnings of $5.2 million from operations for the quarter in the case of the Fazenda Nova Mine and the Fazenda Brasileiro Mine, and for one month (since acquisition date), in the case of the San Andres Mine. Operating earnings for the quarter of $5.3 million representing $0.03 per share. Cash flow from operations of $7.9 million before changes in non-cash working capital items representing $0.04 per share." More
- May 09, 2006 | Item | E-mail

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- Written by Chris Mullen

Winners & Losers tracks NYSE and AMEX listed stocks that trade over $1.

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