-- Posted 7 March, 2008 | | Source: SilverSeek.com
| Close | Gain/Loss | On Week |
Gold | $972.40 | -$2.75 | +0.06% |
Silver | $20.15 | +$0.02 | +1.97% |
XAU | 196.52 | -3.08% | -0.03% |
HUI | 487.33 | -2.96% | +0.26% |
GDM | 1469.28 | -2.77% | +0.30% |
JSE Gold | 2780.33 | +53.12 | +10.41% |
USD | 73.04 | +0.10 | -0.90% |
Euro | 153.51 | -0.09 | +1.07% |
Yen | 97.55 | +0.37 | +1.42% |
Oil | $105.15 | -$0.32 | +3.25% |
10-Year | 3.541% | -0.081 | +0.20% |
Bond | 118.421875 | +0.46875 | -1.01% |
Dow | 11893.69 | -1.22% | -3.04% |
Nasdaq | 2212.48 | -0.36% | -2.60% |
S&P | 1293.37 | -0.84% | -2.80% |
The Metals:
Gold rose to $986.15 immediately following the jobs report, but it was then knocked down for the rest of trade and ended near its low of $969.45 with a loss of 0.28%. Silver rose to $20.58 before it dropped to $19.825 by about 9:45AM EST, but it then rallied back higher and was able to end with a gain of 0.10%.
Euro gold fell to about €634, platinum lost $150 to $2020, and copper gained a couple of cents to about $3.93.
Gold and silver equities fell over 3.5% by early afternoon, but they then rallied back slightly in the last couple of hours of trade and ended with only about 3% losses.
The Economy:
Report | For | Reading | Expected | Previous |
Nonfarm Payrolls | Feb | -63K | 25K | -22K |
Unemployment Rate | Feb | 4.8% | 5.0% | 4.9% |
Hourly Earnings | Feb | 0.3% | 0.3% | 0.3% |
Average Workweek | Feb | 33.7 | 33.7 | 33.7 |
Consumer Credit | Jan | $6.9B | $7.0B | $3.7B |
Jobs fell the most in 5 years despite a BLS Net Birth/Death adjustment that added 135,000 payrolls. Also making economic news today was a hearing on Capitol Hill over CEO pay that mostly involved the grilling of current and former CEOs overlooking the subprime financial mess.
“The Federal Reserve moved to add as much as $200 billion to the banking system over the next month to offset a deepening credit crisis that may have already pushed the U.S. economy into a recession.
The central bank raised to $50 billion each from $30 billion the amount intended for auctions of funds on March 10 and March 24. The Fed also said in a statement in Washington today that it will make $100 billion available through weekly 28-day repurchase agreements, where the central bank will lend cash in return for assets including mortgage-backed bonds.”
All of this week’s economic reports:
Next week’s economic highlights include Wholesale Inventories on Monday, the Trade Balance on Tuesday, the Treasury Budget on Wednesday, Export and Import Prices, Initial Jobless Claims, Retail Sales, and Business Inventories on Thursday, and CPI and Michigan Sentiment on Friday.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil rose midday to a new record intraday high of $106.54, but it fell to find a slight loss by the close on worries that a recession may decrease demand.
The U.S. dollar index rose from record lows despite the disappointing jobs data as short traders took profits from a week of heavy selling.
Treasuries rose on the horrible jobs number that raised recession fears and dragged the Dow, Nasdaq, and S&P lower for most of the day. Financial worries were also raised as Thornburg Mortgage said it may not have enough liquidity to be an ongoing concern due to margin calls.
Among the big names making news in the market Friday were Quiksilver, Thornburg Mortgage, Carlyle Group, Ambac, Ciena, and MBIA.
The Commentary:
“Someone has nailed a big time lid on gold and refuses to let it out of the box. I will give you three guesses as to who that might be and the first two, "profit takers", do not count. There appears to be a near panic among the gold price managers to keep this thing from getting above $1000 no matter what happens to the dollar. The Dollar literally went into a freefall after the horrendous payrolls number hit the wire but gold could not break through the wall of selling that almost instantaneously appeared above the gold market.
How many times have we seen this on a Friday in the years past whenever we have seen a pathetic payrolls number? Too many times to mention.”- Dan Norcini, Much more free commentary at JSMineset.com
“April Gold finished down 2.9 at 974.2, 15.8 off the high and 3.2 up from the low.
May Silver closed up 0.025 at 20.25. This was 0.33 up from the low and 0.48 off the high.
The gold market was either poised for a profit taking setback in the wake of its recent gains or the market on Friday was undermined by a recovery bounce in the Dollar, concerns of too much US slowing or because of growing concerns of a broad based physical commodity market liquidation. With the South African government seemingly working toward restoring the performance of the power supply, it is also possible that some longs decided to liquidate because of declining supply concerns. However, overt weakness in the US equity market and periodic new all time highs in oil prices certainly seems to keep the threat of flight to quality buying interest alive in the gold market.
The silver market clearly tracked a more positive general track than the gold market during the Friday trade. However, silver and gold both seemed to be undermined by the prospect of ongoing broad based physical commodity market selling. However, the silver market was apparently able to discount part of the threat of too much US slowing, as both silver and copper prices spent a lot of time in positive ground, despite the sharp declines in the US equity market and the softer than expected US Non Farm payroll readings.”- The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
John Embry: Gold is still spectacularly underpriced
Barrick irritated by delay of Pascua Lama mine in Argentina, Chile
NY Fed chief says low rates are needed for some time
Hawkish ECB dashes hopes for cutting interest rates
Dollar still stronger than it might be, IMF says
The Statistics:
As of close of business: 3/6/2008
Gold Warehouse Stocks: | 7,404,395 | -202 |
Silver Warehouse Stocks: | 134,176,161 | -634,116 |
Global Gold ETF Holdings
[WGC Sponsored ETF’s]
| Product name | Total Tonnes | Total Ounces | Total Value |
New York Stock Exchange Arca (NYSE Arca) AND Singapore Exchange (SGX) | StreetTRACKS Gold Shares | 647.56 | 20,819,829 | US$ 20,328m |
London Stock Exchange (LSE) AND Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse ) | Gold Bullion Securities | 111.15 | 3,573,443 | US$ 3,479m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 19.39 | 623,342 | US$ 607m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 27.02 | 868,648 | US$ 846m |
Note: Change in Total Tonnes from yesterday’s data: StreetTRACKS subtracted 0.17 tonnes and the ASX added 0.20 tonnes.
COMEX Gold Trust (IAU)
Profile as of 3/6/2008 | |
Total Net Assets | $1,959,803,273 | Ounces of Gold
in Trust | 2,010,183.086 |
Shares Outstanding | 20,350,000 | Tonnes of Gold
in Trust | 62.52 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 3/6/2008 | |
Total Net Assets | $3,586,299,883 | Ounces of Silver
in Trust | 172,431,756.300 |
Shares Outstanding | 17,400,000 | Tonnes of Silver
in Trust | 5,363.23 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
NovaGold’s (NG) financing, Vista Gold’s (VGZ) closed private placement, Stillwater’s (SWC) note pricing, Golden Star’s (GSS) president and CEO appointment, Gold Fields’ (GFI) power increase, MAG Silver’s (MVG) amended MD&A, and Bear Creek’s (BCM.V) agreement to purchase Rio Tinto's remaining 30% interest in the Corani silver and base-metals deposit were among the big stories in the gold and silver mining industry making headlines Friday.
WINNERS
1. New Gold | NGD +7.44% $7.80 |
2. Minco Gold | MGH+4.38% $1.43 |
3. Paramount | PZG +1.39% $2.19 |
LOSERS
1. NovaGold | NG-7.97% $10.05 |
2. Apex Silver | SIL -7.30% $10.67 |
3. Golden Star | GSS -5.72% $3.79 |
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:
Vista Gold Corp. Announces Closing of US$30 Million Brokered Private Placement - "Vista Gold Corp. ("Vista" or the "Corporation") (Amex: VGZ; TSX: VGZ.) announced today the closing of a brokered private placement of senior secured convertible notes (the "Notes") of the Corporation. Gross proceeds to the Corporation were US$30 million. For a description of the Notes, we refer you to our press release dated February 12, 2008." More
- March 07, 2008 | Item | E-mail
Conway Resources Completes $50,000 Private Placement - More
- March 07, 2008 | Item | E-mail
Erdene Adopts Shareholder Rights Plan - More
- March 07, 2008 | Item | E-mail
Duran Ventures and MacMillan Gold Update on Peru - More
- March 07, 2008 | Item | E-mail
Commerce Group Corp. and Manti Holdings LLC Enter Agreement to Fund the San Sebastian Gold Mines - More
- March 07, 2008 | Item | E-mail
Typhoon Closes Private Placement of CDN $ 600,000 - More
- March 07, 2008 | Item | E-mail
Gemini Explorations Updates Financing for the Re-Development of the Los Chorros Gold Mine - More
- March 07, 2008 | Item | E-mail
Jasper Mining Corporation to raise $133,000 - More
- March 07, 2008 | Item | E-mail
Forsys Appoints New Chief Financial Officer - More
- March 07, 2008 | Item | E-mail
First Metals Retains D&D Securities Company - More
- March 07, 2008 | Item | E-mail
Verena Minerals Enters Agreement to Sell the Bonfim Tungsten Project - More
- March 07, 2008 | Item | E-mail
Simberi Announces Termination of Agreement with Amari and Appointment of a New Director and Vice-President - More
- March 07, 2008 | Item | E-mail
Skygold and Wildrose Sign Arrangement Agreement - More
- March 07, 2008 | Item | E-mail
Kinbauri Drilling Suggests 300 Metre Extension of Au-Cu Black Skarn Zone at El Valle in NW Spain - More
- March 07, 2008 | Item | E-mail
Minera Andes announces 1.69 oz/ton gold and 37 oz/ton silver from San Jose drilling - More
- March 07, 2008 | Item | E-mail
Mexoro Minerals Announces Drill Results From the Cieneguita Project - More
- March 07, 2008 | Item | E-mail
NovaGold pulls financing, cites pricing conditions - "NovaGold Resources Inc (NG.TO: Quote, Profile, Research) pulled a C$130 million ($131 million) share offering off the table on Friday morning, blaming price conditions, after announcing the offer just the night before.
"We just felt that in the market right now, we wouldn't get the best value for our shareholders," Don MacDonald, senior vice-president and chief financial officer of the Canadian gold miner, told Reuters." More
- March 07, 2008 | Item | E-mail
MAG Silver Amends MD&A for Third Quarter - "For the nine month period ended September 30, 2007 the Company has filed an amended and restated Management Discussion and Analysis. Amendments to the document consist of additional discussion regarding operations and financial condition, summary of quarterly results and changes in accounting policies. Additional information has also been provided regarding selected annual information for the year ended December 31, 2004 and for outstanding share data as at March 4, 2008." More
- March 07, 2008 | Item | E-mail
Stillwater Mining Company Announces Pricing of $165 Million Aggregate Principal Amount of Its 1.875% Convertible Senior Notes - "If certain conditions are met, the notes will be convertible into shares of Stillwater Mining common stock. The notes will pay interest semiannually at a rate of 1.875% per annum. The notes will be convertible at an initial conversion price of $23.51 per share, which is equal to a conversion rate of approximately 42.5 shares of common stock per $1,000 principal amount of notes." More
- March 07, 2008 | Item | E-mail
Formation Capital Corporation: Highest Grade Uranium Mineralization to Date Encountered on Virgin River Project - More
- March 07, 2008 | Item | E-mail
Golden Star Appoints President and CEO - "Golden Star Resources Ltd. (AMEX:GSS - News) (TSX:GSC - News) (GSE:GSR) today announced that Mr. Tom Mair has been appointed President and CEO and as a member of the Board of Directors effective immediately. Mr. Mair has been serving as Interim President and CEO since December 2007." More
- March 07, 2008 | Item | E-mail
Bear Creek consolidates 100% of Corani silver deposit - "Bear Creek has agreed to pay Rio Tinto total consideration of US$75 million payable as follows: (i) US$30 million by issue of 3,871,000 Bear Creek common shares at a price of US$7.75 per share (representing approximately 7.5% of Bear Creek post-transaction); (ii) US$20 million in cash payable on the earlier of: December 31, 2008 or 15 business days following a change of control of Bear Creek; and (iii) US$25 million in cash payable on the earlier of: December 31, 2009 or 180 days following a change of control of Bear Creek." More
- March 07, 2008 | Item | E-mail
Gold Fields Welcomes Additional Allocation of Power - "Gold Fields Limited ("Gold Fields") (NYSE: GFI - News), (JSE: JFI), (DIFX: GFI) is pleased to confirm that it received formal notification from the Department of Minerals and Energy that, following representations by the Chamber of Mines and consultation with all stakeholders, the mining industry had been allocated an additional 260 MW of power which will effectively allow mines to increase their power consumption from the current level of 90% of average historical consumption." More
- March 07, 2008 | Item | E-mail
- Chris Mullen, Gold Seeker Report
- Would you like to receive the Free Daily Gold Seeker Report in your e-mail? Click here
Additional Resources for today’s Gold Seeker Report can be found:
© Gold Seeker 2008
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.
-- Posted 7 March, 2008 | |
