-- Posted 23 October, 2006 | | Source: SilverSeek.com
| Close | Gain/Loss |
Gold | $579.20 | -$13.60 |
Silver | $11.57 | -$0.31 |
XAU | 130.36 | +1.22% |
HUI | 304.53 | +0.91% |
GDM | 978.10 | +0.87% |
JSE Gold | 2822.56 | +0.49% |
USD | 86.74 | +0.43 |
Euro | 125.47 | -0.63 |
Yen | 83.82 | -0.41 |
Oil | $58.81 | -$0.52 |
10-Year | 4.826% | +0.042 |
T-Bond | 110.125 | -0.5 |
Dow | 12116.91 | +0.95% |
Nasdaq | 2355.56 | +0.57% |
S&P | 1377.02 | +0.87% |
The Metals:
Gold remained near unchanged to slightly lower in Asia, steadily fell off throughout trade in London and New York, and closed just off its low with a loss of 2.29%. Silver followed a similar pattern and lost 2.61%.
Euro gold fell near €460, platinum lost $14 to $1,063, palladium lost $9 to $315, and copper lost a couple cents to about $3.46.
Gold and silver equities dropped over 1% at the open, quickly rebounded and traded near unchanged for much of the day, rose in the last 2 hours of trade, and closed about 1% higher.
The Economy:
There were no major economic reports today, and there are none tomorrow. Most are looking ahead to Wednesday’s fed meeting.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil continued to fall as traders continued to doubt OPEC’s pledge to cut production.
The U.S. dollar index rose and treasuries fell as yields rose to over 2 month highs on speculation the fed will raise inflation concerns at their next meeting and perhaps hint towards an interest rate hike at a future meeting.
The Dow, Nasdaq, and S&P opened lower, but they then rose throughout the rest of morning trade and remained near their highs into the close. Lower oil and mostly positive earnings led the Dow to a new record closing high.
Among the big names making news in the market today were Kraft, Amgen, Developers Diversified and Inland, IBM, Halliburton, Kimberly-Clark, Xerox, Ford, Goldman Sachs, and AT&T.
The Commentary:
“While yesterday was a superb one for our camp, gold was clearly capped right below $600 for most of the Comex trading session … this time it was after the early run up. This morning gold was at $602 when The Gold Cartel took it straight down beginning at 3 Eastern US time, as they do so often. So, while they have begun their retreat to higher ground, they are still fighting battles along the way. Paulson’s mantra going into the US elections is to keep excitement over gold to a minimum.
Gold and the shares will be allowed to rise, but never in a manner that might enhance inflation talk, or in a way that might affect US financial markets. In a few weeks that will be behind us, until the price reaches greater heights.
Everything about today was vintage Gold Cartel. All rallies to challenge $600 were stopped cold and the real damage was done after the physical market pricing concluded for the day. The AM Fix was $598, the PM $596.60. After the PM Fix, gold was pummeled to $592.40. With the elections only two weeks off, the Orwellians did not want a $600 plus gold close to compete with the week the DOW had. Meanwhile, lousy earnings (outside of Google) sent the DOW down 70 early, but you knew that would not last.” - From Friday’s Midas report by Bill Murphy of LemetropoleCafe.com
“December Gold finished down 13.5 at 582.9, 6.6 off the high and 0.4 up from the low.
December Silver closed down 0.295 at 11.67. This was 0.02 up from the low and 0.17 off the high.
Despite Treasury market fear of a hawkish Fed and ongoing inflation fears, the gold market had very little in the way of inflationary evidence during the session Monday. In fact, with oil prices falling deeply into new low ground and the stock market rising sharply it was clear that a number of gold investors and hedgers were being forced from position. In fact, with the big range down extension in December gold the market probably saw a large amount of small spec and fund stop loss selling. Even though there was some evidence of lower physical gold production released during the session the gold market simply wasn't interested in factoring any of the positives. Some might even suggest that such impressive gains in the equity market was negative to gold, as gold investors might have been pulled out of gold in an effort to capture some of the stellar gains being posted in the stock market. Just to add insult to injury the gold bull camp was also forced to suffer through an upside extension in the US Dollar. In short, a number of outside markets simply avalanched on the gold trade at the start of the new week and with the prospects already questionable into the coming FOMC meeting, the bear camp might not be easily pushed from their position of control.
Like the gold market, the silver market was simply unable to get out from under the outside market pressure. In fact, one might have expected silver to be cushioned against the liquidation by the strength of the equity market, but the fear of hedge fund liquidation in gold was apparently reverberating in all of the metals markets. Some traders are suggesting that December silver has extremely thin support on the charts at $11.63 but that consolidation support really isn't seen until the $11.50 level. With the latest positioning report still showing a moderately long spec and fund long position, and the violation of close-in chart support, the odds of additional stop loss selling in silver could be high in the coming sessions. In fact, with the silver market giving little or no credence to sharp gains in the stock market, it is pretty clear that the market is giving little credence to physical demand issues and is really focused on the financial or flight to quality themes.” - The Hightower Report, Futures Analysis and Forecasting
The Statistics:
As of close of business: 10/20/2006
Gold Warehouse Stocks: | 7,693,913 | -373 |
Silver Warehouse Stocks: | 105,149,635 | - 296,643 |
Global Gold ETF Holdings
[WGC Sponsored ETF’s]
| Product name | Total Tonnes | Total Ounces | Total Value |
New York Stock Exchange (NYSE) AND Singapore Exchange (SGX) | Streettracks Gold Shares | 390.26 | 12,547,364 | US$ 7,484m |
LSE (London Stock Exchange) AND Euronext Paris | Gold Bullion Securities | 83.67 | 2,690,165 | US$ 1,564m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 9.98 | 320,719 | US$ 186m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 9.89 | 317,851 | US$ 189m |
Note: Change in Total Tonnes from yesterday’s data: The LSE added 1.33 tonnes.
COMEX Gold Trust (IAU)
Profile as of 10/20/2006 | |
Total Net Assets | $821,513,405 | Ounces of Gold
in Trust | 1,385,649.968 |
Shares Outstanding | 13,950,000 | Tonnes of Gold
in Trust | 43.10 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 10/20/2006 | |
Total Net Assets | $1,236,973,906 | Ounces of Silver
in Trust | 103,280,281 |
Shares Outstanding | 10,350,000 | Tonnes of Silver
in Trust | 3,212.4 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
Great Basin’s (GBN) prospecting rights, Kimber’s (KBX) shareholder agitation, Full Metal Minerals’ (FMM.V) and Metallica’s (MRB) drill results, Canyon Resources’ (CAU) drill results, Newmont’s (NEM) Barron’s tout, Gold Fields’ (GFI) Dubai listing, Great Panther’s (GPR.V) drill results, Pinnacle’s (PNL.V) drill results, Arian Silver’s (AGQ.V) new ramp, and Silver Eagle’s (SEG.TO) drill results were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Fronteer | FRG +9.26% $6.49 |
2. US Energy | USEG+5.50% $4.41 |
3. Freeport | FCX +3.65% $58.55 |
LOSERS
1. Banro | BAA -6.20% $11.81 |
2. Claude Resources | CGR -4.03% $1.19 |
3. Great Basin | GBN -3.55% $1.63 |
Winners & Losers tracks NYSE and AMEX listed gold and silver mining stocks that trade over $1.
All of today's gold and silver stock news:
International PBX Ventures Ltd.: Progress Report-Copper, Molybdenum, Gold Projects in Chile - More
- October 23, 2006 | Item | E-mail
RBC Dominion boosts forecasts for silver - "He points to Hecla Mining Co. (HL-NYSE) as the value play among the silver stocks. He also upgraded his rating on Pan American Silver Corp. (PAA-TSX) to "outperform" from "sector perform" on the basis of the producer's above-average growth prospects." More
- October 23, 2006 | Item | E-mail
Great Panther Defines New Silver-Gold Zone at Guanajuato - "GREAT PANTHER RESOURCES LIMITED is pleased to announce that surface diamond drilling has provided further definition of a new zone of silver-gold mineralization at the Company's wholly-owned Guanajuato Mine in Guanajuato, Mexico. This portion of the 2006 drill program comprised 1,374 metres in eight holes and was focused on testing a gap in historical production, known as the Animas area, between the Cata Mine and San Vicente North Ramp." More
- October 23, 2006 | Item | E-mail
Cameco Unable to Contain Water Inflow at Cigar Lake - More
- October 23, 2006 | Item | E-mail
Freegold Commences Mining Activities at Golden Summit - More
- October 23, 2006 | Item | E-mail
Pinnacle Mines Ltd.: New Massive Sulphide Discovery on the Barbara Project Yields High-Grade Intersections of Silver, Lead and Zinc - "Pinnacle Mines Ltd. and Mountain Boy Minerals Ltd. announce that the drilling exploration program continues to expand the area of silver-lead-zinc mineralization on the Barbara Project (BA Claims) located 30 km east of Stewart in the Skeena Mining Division." More
- October 23, 2006 | Item | E-mail
La Mancha intersects 8 metres grading 28.0 g/t gold at Frog's Leg Mine - More
- October 23, 2006 | Item | E-mail
Inter-Citic Receives Results From 21 New Drill Holes at Dachang Gold Project - More
- October 23, 2006 | Item | E-mail
Eaglecrest Appoints Hans J. Rasmussen as Chief Operating Officer - More
- October 23, 2006 | Item | E-mail
Sirios Resources Inc.: Follow-Up Exploration Program Started on Pontax - More
- October 23, 2006 | Item | E-mail
AntOro Signs Option Agreement for Property in Opinaca, Quebec - More
- October 23, 2006 | Item | E-mail
Carpathian Gold Inc. Receives Conditional Approval to be Listed on the Toronto Stock Exchange - More
- October 23, 2006 | Item | E-mail
Sirios Resources Inc.: $550,000 Financing With Mavrix and Sodemex II - More
- October 23, 2006 | Item | E-mail
Canarc Resource Corp.: Drilling Continues to Outline High Grade Gold Mineralization at New Polaris Project, BC - More
- October 23, 2006 | Item | E-mail
Quinsam Capital Corporation announces appointment of new director - More
- October 23, 2006 | Item | E-mail
Aura Gold Inc. Acquires 100% Interest in Cumaru Gold Property - More
- October 23, 2006 | Item | E-mail
Laramide Announces Westmoreland Resource - More
- October 23, 2006 | Item | E-mail
Forsys Restructures Non-Uranium Assets - More
- October 23, 2006 | Item | E-mail
Mega Expresses Intention to Move to Compulsory Acquisition of Remaining Redport Shares - More
- October 23, 2006 | Item | E-mail
Northland Resources Starts Trading on Oslo Bors, Norway - More
- October 23, 2006 | Item | E-mail
High River Gold Reports More Good Results from the Prognoz Silver Project - More
- October 23, 2006 | Item | E-mail
Battle Mountain Royalty Update -- Major Reserve Increase at the Don Mario Mine - More
- October 23, 2006 | Item | E-mail
Scorpio Discovers New Mineralized Zone Adjacent to Hoag, with 4.45 metres grading 388.29 g/t Silver, 5.90 % Zinc, 7.31 % Lead, 0.29 % Copper and 0.07 g/t Gold - More
- October 23, 2006 | Item | E-mail
Acrex announces progress on Spanish Mountain drill program - More
- October 23, 2006 | Item | E-mail
UNOR Options Cameco Uranium Claims - More
- October 23, 2006 | Item | E-mail
StrataGold makes new discovery at Dublin Gulch, Yukon - Steiner Zone - More
- October 23, 2006 | Item | E-mail
Candente Intersects 489 Meters of 0.52% Copper and 355 Meters of 0.67% Copper in Higher Grade Core at the Canariaco Norte Copper Project in Northern Peru - More
- October 23, 2006 | Item | E-mail
Cameco Announces Construction Setback at Cigar Lake Project - More
- October 23, 2006 | Item | E-mail
Globex-Noront/Work Progresses on Uranium-Gold Project - More
- October 23, 2006 | Item | E-mail
African Platinum plc announces Leeuwkop BEE concluded - More
- October 23, 2006 | Item | E-mail
Dutton Associates Announces Investment Opinion: Seabridge Gold Strong Buy Rating Maintained by Dutton Associates - "Dutton Associates updates its initial report coverage of Seabridge Gold maintaining a Strong Buy rating and increasing its target price to $20.00. The 24-page report by Dutton senior analyst Les Childress is available at www.jmdutton.com as well as from First Call, Bloomberg, Zacks, Reuters, and other leading financial portals." More
- October 23, 2006 | Item | E-mail
Great Basin Announces the Granting of Additional Prospecting Rights for its Burnstone Gold Project in South Africa - "Three of the said prospecting right were 'old order prospecting rights' that were granted to Great Basin in terms of the provisions of the Minerals Act, 1981 and have now been converted into prospecting rights in terms of the Mineral and Petroleum Resources Development Act, 2002 ('the MPRDA'). The remaining two are applications for 'new order' prospecting rights that were granted solely in terms of the MPRDA. This brings the number of prospecting rights that have been granted to Great Basin to eight, covering an area of approximately 30,000 hectares." More
- October 23, 2006 | Item | E-mail
Ferguson pushes Labor to drop objections to new uranium mines - More
- October 23, 2006 | Item | E-mail
UraniumSA the latest power play - More
- October 23, 2006 | Item | E-mail
Eyeing Uranium; Company looking at exploration sites - More
- October 23, 2006 | Item | E-mail
CC event focuses on uranium - More
- October 23, 2006 | Item | E-mail
Kimber Shareholder Seeks to Oust Board - "James J. Puplava, president of Puplava Financial Services Inc., on Monday said he requested a special shareholder meeting to present his proposals, which include removing provisions for three-year, staggered board terms; populating the board with his own nominees; and replacing what he calls the company's "ineffective" management." More
- October 23, 2006 | Item | E-mail
Arian Silver Corporation: Further Progress At Calicanto - New Ramp To Provide Access To New Target - "The new ramp is proposed to extend along the San Buenaventura vein, one of a number of epithermal silver-base metal veins on the Calicanto project. The Company is continuing to advance the existing ramp along the Calicanto vein system (reference is made in the Company's press release dated 5th September 2006)." More
- October 23, 2006 | Item | E-mail
Full Metal and Metallica Encounter Copper Mineralization at Bee Creek - "Full Metal Minerals and Metallica Resources Inc. are pleased to announce drill results from the Bee Creek porphyry prospect which is part of the Alaskan Peninsula Project Joint Venture. This year's exploration program also included geological mapping, geochemical sampling and ground-based geophysics on multiple copper-gold-molybdenum porphyry prospects." More
- October 23, 2006 | Item | E-mail
Canyon Resources Receives Positive Drill Results at Its Reward Project - "Canyon Resources Corporation, a Colorado-based mining company, is pleased to announce the results of 21 reverse circulation (RC) holes, totaling 6,140 feet, from its current infill drilling program at the Company's Reward Project located near Beatty, Nye County, Nevada. Highlights from this program include:" More
- October 23, 2006 | Item | E-mail
Ahead of the Bell: Newmont Mining - An influential column in Barron's touted the shares of gold miner Newmont Mining Corp., saying that while the stock's price has stagnated, the price of gold has increased by about 50 percent in the last several years." More
- October 23, 2006 | Item | E-mail
Gold Fields Limited Announces Intention to List in Dubai - "Gold Fields Limited, one of the world's largest unhedged gold producers, today formally announced its intention to seek a listing on the Dubai International Financial Exchange (DIFX) by the end of October 2006. Gold Fields will be the first African, South African and gold mining company to list on this exchange. With its primary listing on the JSE, Gold Fields is also listed on the NYSE, LSE, Euronext and Swiss Exchanges, making DIFX its fifth secondary listing." More
- October 23, 2006 | Item | E-mail
Silver Eagle Reports 9.75 Metres of 901 Grams per Tonne Silver Equivalent'i' on Calvario Vein - "Drill intersections include drill hole 2006-84 at the extreme eastern limit of drilling to date, with an intercept of 1.54 g/t Au, 1,496 g/t Ag, 2.67% Pb and 3.15% Zn (1,916 g/t Ag eq(i)) over 3.6 metres. This occurs within a vein measuring 9.75 metres in width, grading 0.74 g/t Au, 644 g/t Ag, 1.86% Pb and 1.97% Zn (901 g/t Ag eq(i)). The drill hole is a 100 metre step out from drill hole 2006-62 (see press release, September 19, 2006), and extends the Calvario Vein's known strike length to 1.5 kilometres." More
- October 23, 2006 | Item | E-mail
Newmont shares could rise to $75-$80-Barron's - "Gold miner Newmont Mining Corp.'s stock could rise to as much as $75 to $80 per share, according to financial newspaper Barron's." More
- October 23, 2006 | Item | E-mail
- Chris Mullen, Gold Seeker Report
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-- Posted 23 October, 2006 | |
