Gold Seeker Closing Report – Gold & Silver Again Surge Late To Find Nice Gains

	Close	Gain/Loss
Gold	$587.80	+$10.60
Silver	$10.34	+$0.06
XAU	132.44	+4.20%
HUI	307.79	+5.13%
GDM	974.91	+4.52%
JSE Gold	2803.72	+6.22%
USD	85.74	-0.46
Euro	126.72	+0.79
Yen	87.14	+0.07
Oil	$70.33	+$0.99
10-Year	5.155%	-0.002
T-Bond	106.53125	+0.09375
Dow	11079.46	+0.95%
Nasdaq	2141.20	+1.62%
S&P	1252.20	+0.97%

Gold traded in a range of about $575 to $580 in Asia and London before it dropped near $570 in early New York trade, but it then began a recovery in midmorning trade and surged dramatically higher in the last 2 hours of trade to end 1.84% higher on the day. Silver remained near $10.30 in Asia before dropping to under $10.20 in early New York trade, but it then rallied to above $10.40 in late trade ahead of a slight dip into the close that led it to end with a gain of 0.58%. Both metals also furthered their gains in after hours trade with gold climbing above $590 and silver above $10.50 at one point, but both metals have come down from those levels by the time of writing.

Euro gold rose near €465, platinum gained $26 to $1,187, palladium gained $12 to $309, and copper gained a little over two cents to about $3.13.

Gold and silver equities steadily rose to find over 4% and 5% gains by early afternoon trade and remained near their highs into the close.

There were no major economic reports today, but the “Mortgage Bankers Association's index of applications to buy a home or refinance an existing loan declined 0.8 percent to 567.6 from 571.9 the prior week” and that reignited some fears about the housing market, but any reaction was muted. Tomorrow at 8:30AM EST brings Initial Jobless Claims for 6/17 expected at 305,000 and at 10AM are Leading Economic Indicators for May expected at -0.5%.

Oil traded slightly lower ahead of inventory reports which showed crude inventories built 1.4 million barrels, gasoline inventories built 300,000 barrels, and distillates built 1.7 million barrels. Crude inventories came in better than most expected, but gasoline inventories came in lower than most expected and that encouraged buying in the energy markets. Demand was also seen as strong. Traders were also watching for news about a kidnapping of two Filipino oil-industry employees in Nigeria, a strike in Norway, North Korea’s missile testing, and also for more news about Iran.

The U.S. dollar index fell as the euro gained on comments from ECB president Trichet that indicated Europe will continue to raise interest rates.

Treasuries gained slightly in thin trade as most await more economic data and next week’s fed meeting.

The Dow, Nasdaq, and S&P found impressive gains on strong earnings and easing interest rate fears, but they did end noticeably off of their highs of the day.

Among the big names making news in the market today were Univision, Ford, Arcelor, Morgan Stanley, and FedEx.

“We shall see, however, it has been my contention that real buying of base and precious metals is more fundamentally based than thought … that, while all the metals were due for corrections, it is not bubble collapse. The base markets are likely to surprise on the upside again.

Course all those who have cited gold as a speculative bubble, do not know what they are talking about. Gold ran up past $700 as the open interest was going down, not up. Have to laugh about this one further. How many Café members know NEW people, that didn’t own gold, or shares, and bought them? From all the people I know, I have only heard of a few. The US investing public STILL cannot spell gold yet. Gold bubble? We are not even close yet.” - From yesterday’s Midas report by Bill Murphy of LemetropoleCafe.com

“June Gold closed up 10.6 at 587.5. This was 15.5 up from the low and equal to the high.

July Silver finished up 0.15 at 10.42, 0.06 off the high and 0.3 up from the low.

The gold market seemed to take the weakness in the Dollar as a possible new trend and that seemed to keep buyers coming into gold throughout the action Wednesday. We also suspect that the "combination" of gains in equity prices and gains in the energy complex pointed to a possible return to the conditions that contributed to the gold markets January through June rally. In other words, to see solid physical demand and inflationary potentials, the gold market needs confirmation that economic activity is positive and that higher prices of some key inputs are not going to halt the growth. With the metals ending up across the board and the Dollar at times below critical chart support levels it would seem like the bull camp is beginning to chain together some supportive information. We also assume that talk of growing ETF trust holdings of gold and more merger and buyout news in the gold industry rekindled positive investment sentiment toward the metals during the action Wednesday.

With the silver market making a new high for the move Wednesday some players are saying that more of the negative technical condition is being thrown off. With the Dollar showing signs of trending lower and the equity and energy markets moving higher again, it seems that part of the old bull case in silver is attempting to come back into play. However, some players have suggested that to confirm a restart of the uptrend might require a return to $11.00, while others suggest that the only thing needed to confirm the up trend is to see higher prices and higher trading volume. Since the silver market failed to get as much cash market information support as gold on Wednesday, we suspect that most of the silver gains were the result of sympathy buying.” - The Hightower Report, Futures Analysis and Forecasting

Seabridge’s (SA) drill results, Gold Fields (GFI) possible platinum investment, Great Basin’s (GBN) drill results, and Glamis Gold’s (GLG) doubled gold reserves at Penasquito 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.

Strateco Shareholders Approve the Spin-Off of its Gold Assets to Cadiscor Resources Inc. - More
- June 21, 2006 | Item | E-mail

Eagle Plains Resumes Trading and Copper Canyon Begins Trading - More
- June 21, 2006 | Item | E-mail

Rochester receives environmental approvals and permitting for construction of mill with 300 tonne/day design capacity at Mina Real - More
- June 21, 2006 | Item | E-mail

Band-Ore Resources Ltd.: Exploration Update - More
- June 21, 2006 | Item | E-mail

Alberta Star Drills 24 Hours a Day at the Contact Lake IOCG & Uranium Project - More
- June 21, 2006 | Item | E-mail

AuEx to Joint Venture Swiss Bank Project - More
- June 21, 2006 | Item | E-mail

Golden Valley Mines Ltd.: Post Annual General Meeting Update - More
- June 21, 2006 | Item | E-mail

Pele Mountain Extends Diamond Bearing Dike to Over 1100 Metres - More
- June 21, 2006 | Item | E-mail

Glamis up on reserves rise at Mexico site - "Shares of Glamis Gold Ltd. jumped almost 7 percent on Wednesday after it said it had doubled its gold reserves and increased its silver reserves 86 percent at its Penasquito project in Zacatecas, Mexico. "People had expected a general increase, but it was bigger than expected," said Mark Smith, an analyst at Dundee Securities Corp." More
- June 21, 2006 | Item | E-mail

High River Gold Acquires Interest In And Operatorship Of World-Class Silver Project - More
- June 21, 2006 | Item | E-mail

Jasper Mining Corporation announces commencement of exploration program on Isintok property - More
- June 21, 2006 | Item | E-mail

Palmarejo Silver And Gold Corporation: New Listing of Warrants - More
- June 21, 2006 | Item | E-mail

Avalon Ventures Ltd. - Phase 2 Drilling Commences on Red Hill Copper-Zinc-Silver-Gold Project - More
- June 21, 2006 | Item | E-mail

General Metals Corporation Reviews Investment Opinion from Source Capital Group, Inc. - More
- June 21, 2006 | Item | E-mail

New Guinea Gold Corporation: Check Assays at Imwauna Increase Gold Assays by 92% - More
- June 21, 2006 | Item | E-mail

Copper Fox Metals Inc. announces second quarter results - More
- June 21, 2006 | Item | E-mail

IRC reports INCO's positive exploration results at Voisey's Bay - More
- June 21, 2006 | Item | E-mail

Columbia Metals Releases Drill Results for PII Colorado Property - More
- June 21, 2006 | Item | E-mail

Kodiak Options Drill Ready Gold Prospect in Ontario/Plans Spin-Off - More
- June 21, 2006 | Item | E-mail

Seabridge Drilling Confirms Gold Zones North of FAT Deposit - "Eight core holes drilled by Seabridge Gold during the 2006 winter program north of the FAT deposit have found a new area of gold mineralization similar in style to the Salmita and Tundra past producing mines south of the FAT deposit. New drilling is planned to test the northern extension of this area along a 600 meter strike bounded by Courageous Lake to the north. The FAT deposit is located on Seabridge's 100% owned Courageous Lake gold project in the Northwest Territories, Canada." More
- June 21, 2006 | Item | E-mail

Gold Fields looks into platinum investment... - "Speaking at an open day, Gold Fields chief executive Ian Cockerill confirmed that his company wanted to diversify more into platinum mining, but also ruled out any immediate takeover bid for major platinum miner Lonmin. "Our vision is clear - we want to be leading the industry in precious metals. Platinum is a precious metal and gold and platinum do have overlaps," he said, according to Platts." More
- June 21, 2006 | Item | E-mail

Freewest Drilling Demonstrates Gold Zone Continuity at the Barry United Property, Northwestern Quebec - More
- June 21, 2006 | Item | E-mail

Goldex appoints Mr. Larry Kornze to the Board of Directors - More
- June 21, 2006 | Item | E-mail

YGC Resources reports further important results from the Manto Gold Zone on its Ketza River property - More
- June 21, 2006 | Item | E-mail

Due Diligence Completed on Mexican Silver Mining District - More
- June 21, 2006 | Item | E-mail

Aurelian Intersects 255 Metres Grading 12.55 g/t of Gold in Drilling at the FDN Epithermal Gold-Silver Discovery - More
- June 21, 2006 | Item | E-mail

Samira Hill production update - More
- June 21, 2006 | Item | E-mail

Tournigan Enters Into Gold Joint Venture in Nevada - More
- June 21, 2006 | Item | E-mail

Phoenix Matachewan Mines Inc.: Steel River Airborne Geophysics Provides Prospective Targets, Field Crew Cutting Trails, Trenching Soon - More
- June 21, 2006 | Item | E-mail

Sabina's Hackett River Project - Initial Results From 2006 Resource Drilling at Boot Lake Includes 56.65m of 12.22% Zinc and 303.9 g/T Silver - More
- June 21, 2006 | Item | E-mail

MGM Mineral Resources Announces an Update From Company C.E.O. - More
- June 21, 2006 | Item | E-mail

Western Warrior Eppler Lake drilling update - More
- June 21, 2006 | Item | E-mail

Golden Eagle Director in Bolivia to Review Progress on B and C Zone Gold Deposit Development - More
- June 21, 2006 | Item | E-mail

Prospero Minerals Corp. Announces Changes to Its Board of Directors - More
- June 21, 2006 | Item | E-mail

Columbia Metals Releases Drill Results for PII Colorado Property - More
- June 21, 2006 | Item | E-mail

Battle Mountain Sells Exploration Subsidiary - More
- June 21, 2006 | Item | E-mail

Pelangio advised of assay results from 11 diamond drill holes along M Zone Corridor at Detour Lake, Ontario - More
- June 21, 2006 | Item | E-mail

Marathon Retains Renmark Financial Communications Inc. - More
- June 21, 2006 | Item | E-mail

Norsemont intersects 1.58% copper in step-out drilling at the Constancia Project - More
- June 21, 2006 | Item | E-mail

Lake Shore Intersects Additional High Grade Gold at Vogel Including 487 Grams per Tonne Gold Over 0.40 Metres and new Gold Mineralization at Desantis, Timmins, - More
- June 21, 2006 | Item | E-mail

Virginia Mines Inc.: Exploration Budget of Over $6 Million for the Next Six Months - More
- June 21, 2006 | Item | E-mail

Inter-Citic Receives Positive Results From Its First 7 Holes Drilled on Dachang East Area - More
- June 21, 2006 | Item | E-mail

Southwestern's Latest Drill Results Include a 30 Metre Intersection of 5.5 Grams Per Tonne Gold, Boka Gold Project, Yunnan Province, China - More
- June 21, 2006 | Item | E-mail

Trade Winds Ventures Reports Assay Results From 11 Diamond Drill Holes Along M Zone Corridor at Detour Lake, Ontario - More
- June 21, 2006 | Item | E-mail

Murgor drilling shows continuous mineralization between gold zones at the Barry deposit, NW Quebec - More
- June 21, 2006 | Item | E-mail

Infinity Mining Corp. (Canada) Launches New Web Site - More
- June 21, 2006 | Item | E-mail

Petaquilla Minerals Ltd.: Molejon Drilling Intercepts More Gold Mineralisation - More
- June 21, 2006 | Item | E-mail

Great Basin Gold Ltd.: Positive Results Continue from Underground Drilling at Hollister Development Block Project in Nevada - "Great Basin Gold Ltd. announces additional excellent results from the underground drilling program at the Hollister Development Block Project at the Ivanhoe Property, located on the Carlin Trend, about 75 km northwest of Elko. Hecla Mining Company is operating the underground exploration and development program under an earn-in agreement." More
- June 21, 2006 | Item | E-mail

Glamis Doubles Gold Reserves at Penasquito Project - "Glamis Gold Ltd. today updated reserve and resource estimates for its Penasquito project in Zacatecas, Mexico. The revised estimates are based on new interpretations and assays from over 67,000 meters of drilling received since the completion of the original project feasibility study in November 2005." More
- June 21, 2006 | Item | E-mail

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