Gold Seeker Closing Report – Gold & Silver Fall Over 1.5%

	Close	Gain/Loss
Gold	$569.20	-$9.20
Silver	$9.97	-$0.16
XAU	124.35	-2.90%
HUI	284.43	-3.38%
GDM	911.46	-3.18%
JSE Gold	2618.26	+4.11%
USD	86.29	+0.32
Euro	125.77	-0.66
Yen	86.68	-0.21
Oil	$68.98	-$0.90
10-Year	5.145%	+0.017
T-Bond	106.5	-0.1875
Dow	10942.11	-0.66%
Nasdaq	2110.42	-0.92%
S&P	1240.14	-0.91%

Gold fell in Asia and London to come into New York about $10 lower. It then rallied back up near $575 by late morning before it fell back off into the close and ended 1.59% lower on the day. Silver fell into the $9.80s in London before it rose back near the $10 level in late morning New York trade, but it then fell back under $9.90 ahead of a small rally into the close that brought it back near $10.

Euro gold fell back under €450, platinum lost $4 to $1,132, palladium lost $13 to $289, and copper dropped over 10 cents to about $3.10.

Gold and silver equities steadily fell off throughout trade and ended with about 3% losses.

There were no major economic reports today, but the National Association of Home Builders index of builder confidence that fell to an 11-year low did raise some concerns about the housing market. “The index hasn't increased for the last eight months, the longest such stretch since 1994.”

Tomorrow at 8:30AM EST brings Building Permits for May expected at 1,950,000 and Housing Starts for May expected at 1,870,000.

The U.S. dollar index rose and treasuries fell on the outlook for further interest rate increases by the fed.

The Dow, Nasdaq, and S&P fell throughout most of trade and ended with near 1% losses. Worries about the housing market seemed to add to interest rate fears today.

Among the big names making news in the market today were Goldman Sachs, Stone Energy and Energy Partners, Nokia and Siemens, Circuit City, and Nestle and Jenny Craig.

“What a surprise the gold shares failed to reverse course late after gold and silver closed so dramatically higher. It was so predictable, as a colleague and I discussed with each other two hours before the close. Goldman Sachs' assault failed for the day, so The Gold Cartel went to Plan B … call in JP Morgan Chase in order to put off any super excitement over the bullion reversals by hitting the shares.

Sure enough, that is what happened. What are the odds of this in any other market which had such a strong share day yesterday? There would at least be some follow through on the upside with the way gold and silver soared late … but not in this extensively rigged market.” - From Friday’s Midas report by Bill Murphy of LemetropoleCafe.com

“June Gold closed down 9.2 at 568.8. This was equal to the low and equal to the high.

July Silver finished down 0.16 at 9.97, 0.05 off the high and 0.13 up from the low.

The gold market initially held up against the broad based selling pressure seen in a host of physical commodity markets. However, with the Dollar apparently destined to hold most of the gains on the session, the oil market under pressure and more than one central banker hinting at higher interest rates ahead, it is not surprising that the market finished weak. While the Press was carrying supportive stories of revitalized investor demand in countries like India and Asia, the net shake was that overall investment interest was tapering off. In another example of waning bullish sentiment, the Press carried a story about a mining concern that decided to liquidate some long call coverage that they had put in place as a way to replace some forward sales. Under an environment of sagging macroeconomic views and rising interest rates, it seems that the bear case has a pretty conclusive grip on the headlines.

Certainly the silver market managed to hold together relatively better than the gold market on Monday and we assume that was primarily the result of the Dollar having a larger impact on gold than silver. With the copper market finishing mostly weaker and the equity market under increasing pressure the silver market had enough outside market pressure to really come under pressure. In fact, the silver market continued to show the ability to hold above critically important psychological levels on the charts and that might have limited the long liquidation pressure.” - The Hightower Report, Futures Analysis and Forecasting

NovaGold’s (NG) offer for Pioneer Metals (PSM.TO), Golden Star’s (GSS) four million share sale of EURO Resources, U.S. Energy’s (USEG) initiated drill program, Pacific Rim’s (PMU) measured and indicated resources at El Dorado, Randgold’s (GOLD) readmission to the FTSE gold index, and Northgate’s (NXG) bid for Aurizon (AZK) were among the big stories in the gold and silver mining industry making headlines today.

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

King's Bay Gold Hits Multi-Minerals at Fort Frances Area and Commences Drilling at Rowan Mine Project in Red Lake - More
- June 19, 2006 | Item | E-mail

Harte Gold Corp. Private Placements and Exercise of Stock Options - More
- June 19, 2006 | Item | E-mail

NovaGold offers C$34.6 mln for Pioneer Metals - "Miner NovaGold Resources Inc. launched a hostile offer on Monday for Pioneer Metals Corp. to consolidate activities around its Galore Creek property in northwestern British Columbia. NovaGold said it would pay out a maximum of C$34.6 million ($30.6 million) for all of the outstanding Pioneer shares it does not already hold and assume full exercise of stock options. The company says it holds a 6 percent stake in Pioneer." More
- June 19, 2006 | Item | E-mail

Recommended NI 43-101 Drill Program Commencing at Volta Grande Gold Project - More
- June 19, 2006 | Item | E-mail

Bison Gold Exploration Inc. Announces Appointments - More
- June 19, 2006 | Item | E-mail

Condor Resources Inc.: Milagrito-New Project Acquired in Argentina - More
- June 19, 2006 | Item | E-mail

Enterayon Provides Update on Horseshoe Property Exploration Plans - More
- June 19, 2006 | Item | E-mail

Columbia Cuts 30.35 Metres of 3.48 g/t Gold at its La Jojoba Gold Property - More
- June 19, 2006 | Item | E-mail

Probe Mines To Option Greenlaw Base Metal Property Near Chapleau, Ontario - More
- June 19, 2006 | Item | E-mail

Anvil Mining share purchase warrants fully exercised raising CDN$16.4 million - More
- June 19, 2006 | Item | E-mail

Oromin Explorations Ltd.: Additional Drilling Success at Sabodala - More
- June 19, 2006 | Item | E-mail

Golden Star Announces Sale of Four Million Shares of EURO Ressources S.A. and Confirms Its Reduced Gold Calls Position - Golden Star Resources Ltd. today announced that it has sold four million shares of EURO Ressources S.A. ("EURO") in a private transaction. This sale resulted in the reduction of Golden Star's ownership interest in EURO to approximately 43%, and it is expected that EURO should cease to be fully consolidated with Golden Star." More
- June 19, 2006 | Item | E-mail

Appointment of an international investment bank to explore strategic alternatives for Philippine Gold Ltd. - More
- June 19, 2006 | Item | E-mail

Atlas Mining Company Experiences Increased Activity in Mining Sector - More
- June 19, 2006 | Item | E-mail

International Gold Resources News on Amapa Property - More
- June 19, 2006 | Item | E-mail

U.S. Energy Corp. Announces Commencement of Sutter Gold Diamond Drill Program - "U.S. Energy Corp. announced today that Sutter Gold Mining Inc. has initiated the underground portion of a combined 18,000 foot underground and surface diamond drill program on its advanced stage gold project in the historic Mother Lode. The drill program has two distinct objectives:" More
- June 19, 2006 | Item | E-mail

Unico, Inc. Comments on Temporary Change in Stock Symbol - More
- June 19, 2006 | Item | E-mail

Palmarejo Announces High Grade Gold and Silver Intersected in Deep Drilling of Feeder to 76 Clavo - More
- June 19, 2006 | Item | E-mail

Pacific Rim Mining Corp.: El Dorado Measured and Indicated Resource Reaches 1.2 Million Gold Equivalent Ounces - "Total measured and indicated resources and proven and probable reserves at the El Dorado project of 1,222,000 million gold equivalent ounces, plus a further 115,000 gold equivalent inferred resource ounces. Indicated resources at the South Minita deposit of 350,000 gold equivalent ounces plus a further 77,000 gold equivalent inferred resource ounces." More
- June 19, 2006 | Item | E-mail

Terex Signs Formal Agreement on Wawa Gold Property and Extends Exercise Date for Warrants - More
- June 19, 2006 | Item | E-mail

Petaquilla Minerals Ltd. Announces Results of Annual General Meeting - More
- June 19, 2006 | Item | E-mail

Gordon McCreary Elected to Asia Now's Board of Directors - More
- June 19, 2006 | Item | E-mail

Meridian Gold to Explore Atna's Clover Project - More
- June 19, 2006 | Item | E-mail

De Beira Announces 2006 Drill Program - More
- June 19, 2006 | Item | E-mail

Cypress Development Corp. Drilling to Commence on Verde Silver-Copper Project in Nevada - More
- June 19, 2006 | Item | E-mail

Gold Hawk Signs Term Sheet for a US$10 Million Loan Facility - More
- June 19, 2006 | Item | E-mail

African Gold Group Begins 10,000 Metre Diamond Drill Program at Kobada, Mali - More
- June 19, 2006 | Item | E-mail

Consolidated Thompson Initiates Environmental Impact Assessment to Develop the Bloom Lake Iron Ore Project - More
- June 19, 2006 | Item | E-mail

Trend Mourns Loss of Michael Sharratt, Director and Former Chairman - More
- June 19, 2006 | Item | E-mail

Russia could bar foreigners from owning 70 deposits - "A new Russian law could classify 70 oil, gas and minerals deposits as "strategic", putting them out of reach of foreign ownership, Interfax news agency quoted Resources Minister Yuri Trutnev as saying on Monday. Under a much-delayed law on subsoil use, Russia plans to make it illegal for enterprises that are not majority Russian controlled to take ownership of large fields." More
- June 19, 2006 | Item | E-mail

NovaGold Makes Offer for Pioneer Metals Corporation - "NovaGold Resources Inc. announced today that it is making an all cash offer to acquire all of the outstanding common shares of Pioneer Metals Corporation at a price of C$0.57 per share. The offer represents a 30% premium to the one-month volume weighted average trading price of Pioneer's shares since mid-May." More
- June 19, 2006 | Item | E-mail

Northgate says its Aurizon bid is "fair value" - "Aurizon shareholders will benefit from the upside in a business combination that will result in a leading mid-tier, Canadian focused gold miner that will have a market capitalization of more than $1 billion, strong cash flow, superior operating expertise, a large resource base and exciting growth prospects." More
- June 19, 2006 | Item | E-mail

NORTHGATE REITERATES ITS COMPELLING OFFER FOR AURIZON MINES-AURIZON SHAREHOLDERS URGED TO TENDER THEIR SHARES - "Northgate Minerals Corporation responded today to the directors' circular filed by Aurizon Mines Ltd. in reply to the offer by Northgate, together with a wholly-owned subsidiary, to acquire all of the outstanding common shares of Aurizon for 0.741 of a Northgate common share for each Aurizon common share." More
- June 19, 2006 | Item | E-mail

Randgold Resources - Readmitted to FTSE gold index - "After a brief spell in the FTSE Gold Index in 2003 on the back of a bumper year at Morila, the company's readmission reflects the boost to production provided by the new Loulo mine in Mali. Membership of the FTSE Gold Index requires sustainable attributable gold production of at least 300 000 ounces of gold per year." More
- June 19, 2006 | Item | E-mail

- Would you like to receive the Free Daily Gold Seeker Report in your e-mail? Click here

Note: This article may be reproduced provided the article, in full, is used and mention to Gold-Seeker.com is given.

Disclosure: The owner, editor, writer and publisher and their associates are not responsible for errors or omissions. The author of this report is not a registered financial advisor. Readers should not view this material as offering investment related advice. Gold-Seeker.com has taken precautions to ensure accuracy of information provided. Information collected and presented are from what is perceived as reliable sources, but since the information source(s) are beyond Gold-Seeker.com’s control, no representation or guarantee is made that it is complete or accurate. The reader accepts information on the condition that errors or omissions shall not be made the basis for any claim, demand or cause for action. Past results are not necessarily indicative of future results. Any statements non-factual in nature constitute only current opinions, which are subject to change. Nothing contained herein constitutes a representation by the publisher, nor a solicitation for the purchase or sale of securities & therefore information, nor opinions expressed, shall be construed as a solicitation to buy or sell any stock, futures or options contract mentioned herein. Investors are advised to obtain the advice of a qualified financial & investment advisor before entering any financial transaction.