Gold Seeker Closing Report: Gold and Silver Fall Over 2% and 3%

	Close	Gain/Loss
Gold	$877.50	-$21.85
Silver	$16.55	-$0.58
XAU	147.14	-4.99%
HUI	356.17	-5.79%
GDM	1062.75	-5.57%
JSE Gold	1912.49	+28.44
USD	73.90	+0.46
Euro	154.59	-1.20
Yen	92.37	UNCH
Oil	$119.17	-$2.24
10-Year	4.007%	+0.035
T-Bond	115.28125	-0.421875
Dow	11615.77	+2.94%
Nasdaq	2349.83	+2.81%
S&P	1284.88	+2.87%

Gold steadily fell throughout most of world trade and ended near its low of $875.75 with a loss of 2.43%. Silver also fell throughout the day and ended near its low of $16.527 with a loss of 3.39%. Both metals have continued to fall in after hours access trade in reaction to the fed’s statement.

Euro gold fell to about €567, platinum gained $20 to $1576, and copper fell another few cents to about $3.46.

Gold and silver equities steadily fell for most of trade and ended about 5% lower.

Report	For	Reading	Expected	Previous
ISM Services	July	49.5	48.7	48.2

The fed held rates at 2% as expected and said that risks to growth remain and inflation risks are of "significant concern."

Tomorrow at 3PM EST is the Consumer Credit report for June expected at $6.0 billion.

The U.S. dollar index rose as oil fell on demand concerns and easing supply worries as storm fears continued to ease in the Gulf of Mexico.

Treasuries fell as the Dow, Nasdaq, and S&P rose for most of trade and ended nearly 3% higher as oil fell again, ISM Services came in better than expected, and the fed did not bring any real surprises with their decision to hold rates at 2%.

Among the big names making news in the market today were P&G, SocGen, Freddie Mac, Lehman, Cablevision, 3Com, and Molson Coors.

"Gold started its fall through $900 when the week before last we saw 30 tonnes sold off by one of the signatories to the Central Bank Agreement. [We suspect it was Spain but due to the confidential nature of the market cannot verify this].

The oil price came off too, but this has not driven the gold price up since it was $100, so this was only an indirect influence.

The $ has and continues to be the main influence on the gold price, so when today it pushed back to the upper limit of its trading range it influenced the gold price to the downside again.

The factors pushing the price down are not in our opinion substantive enough to change the trend of the gold price. Only a sound $, healthy global economic growth, low inflation, and confidence in the world monetary system will change this trend, but then, this is the sort of thing dreams are made of.

We are in the last month of the quiet season for gold, before the developed world comes to buy physical gold ready for the year end festivities and India reaps the benefit of its harvest. With the gold price falling in the Rupee more than it has for some time, we expect to see that market enter to buy for festivals, daughters and for financial security.

Add investment demand to this oncoming physical demand and you have a demand level far higher than at present." - Julian D.W. Phillips, www.goldforecaster.com

“August Gold finished down 21.5 at 878.6, 3.4 off the high and equal to the low.

September Silver closed down 0.568 at 16.572. This was 0.022 up from the low and 0.293 off the high.

Gold mostly remained under ongoing moderate pressure on Tuesday and with oil sharply lower, the Dollar breaking out to the upside and a number of physical commodity markets under significant pressure, it wasn't surprising to see gold touch the lowest level since June 16th. However, a sharp mid day bounce in oil, grains, sugar and a host of other physical commodity markets could be a signal that some markets have become oversold. On the other hand, ongoing strength in the Dollar could make it difficult for the gold market to shut off the recent selling bias. The bulls might suggest that a recovery in platinum prices provided another clue of a potential bottom in metals prices, but recently platinum and gold haven't exactly managed a tight correlation.

The silver market mostly remained under pressure despite a mid session bounce in a host of physical commodity markets. In fact, a moderately significant recovery bounce in platinum could serve to discourage some fresh would-be sellers in the silver market. While the upside action in the US equity market didn't seem to benefit silver prices into mid session, persistent strength in equity prices could eventually lead to a slight upgrade in physical demand expectations for silver. In the end, the silver market had to face ongoing flight to quality liquidation pressure and a rising Dollar and that typically isn't a very favorable environment for prices.”- The Hightower Report, Futures Analysis and Forecasting

Note: Change in Total Tonnes from yesterday’s data: 0.02 tonnes were removed from the trust.

Note: Change in Total Tonnes from yesterday’s data: 2.65 tonnes were removed from the trust.

Newmont’s (NEM) possible sale of its mine stake in Australia, Eldorado’s (EGO) acquired shares in Brazauro, Ivanhoe’s (IVN) completed Australian IPO, Scorpio’s (SPM.TO) concentrate shipment, and Hecla’s (HL) second quarter results 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.

Gowest Announces Grant of Options - More
- August 05, 2008 | Item | E-mail

SIRIOS: Option on the Escale Gold Property Increased to $1.3 M - More
- August 05, 2008 | Item | E-mail

Evolving Gold Exploration Update - More
- August 05, 2008 | Item | E-mail

B2Gold Corp. Announces Continued Positive Exploration Drill Results from the Quebradona and Gramalote Gold Properties in Colombia - More
- August 05, 2008 | Item | E-mail

Eldorado Acquires Shares of Brazauro - "Eldorado Gold Corporation (Toronto:ELD.TO - News)(EGO - News) announced the purchase of an additional 2,000,000 shares of Brazauro Resources Corporation ("Brazauro") (representing approximately 2.3% of Brazauro's issued and outstanding common shares at July 31, 2008) in several market transactions on the TSX Venture Exchange at a price per share of $0.42." More
- August 05, 2008 | Item | E-mail

Sierra Minerals Appoints Chief Financial Officer - More
- August 05, 2008 | Item | E-mail

Gold Resource Corporation Soon to Complete Detailed Dileneation Drilling on a Portion of the High-Grade Arista Deposit at Its El Aguila Project - More
- August 05, 2008 | Item | E-mail

Laramide Completes First Phase of Drilling at Westmoreland - More
- August 05, 2008 | Item | E-mail

Northland Appoints Deborah Craig Vice President, Strategic Development - More
- August 05, 2008 | Item | E-mail

Sherwood Reports Higher Copper Production Forecast for 2009 & Updated Resource Estimates - More
- August 05, 2008 | Item | E-mail

Barrick won't speculate on Newmont mine stake - "Barrick Gold (ABX.TO: Quote, Profile, Research, Stock Buzz) refused to speculate on Tuesday whether it would be interested in buying Newmont Mining's (NEM.N: Quote, Profile, Research, Stock Buzz) stake in the Kalgoorlie mine in Australia, which Newmont has suggested it may sell.

The mine, which is jointly owned by the two big gold producers, suffered 74 percent cost inflation in the most recent quarter, due in part to lower ore grades, according to Newmont." More
- August 05, 2008 | Item | E-mail

Millrock and Alix Announce the Start of Drilling at the Divide Project, Seward Peninsula, Alaska, Complete Agreement - More
- August 05, 2008 | Item | E-mail

GBS Gold Forms Strategic Alliance With RBS Sempra Commodities - More
- August 05, 2008 | Item | E-mail

Carpathian Gold Inc.: Drilling at the Ciresata Porphyry Cuts Best Hole on Rovina Project; 255.7 m at 2.01 g/t Au eq. - More
- August 05, 2008 | Item | E-mail

Tombstone Exploration Corporation's Core From Drill Hole #1 and First 120' of Drill Hole #2 Being Assayed - More
- August 05, 2008 | Item | E-mail

Merc Acquires Damoti Gold Resource-Updates Activities - More
- August 05, 2008 | Item | E-mail

Goldstake-Clay Property Drill Results - More
- August 05, 2008 | Item | E-mail

NQ Exploration Acquires 100% of Interest in the Carheil Property - More
- August 05, 2008 | Item | E-mail

Argonaut Resources Commences 2008 Exploration Program at Terrace BC - More
- August 05, 2008 | Item | E-mail

Strathmore Cites No Material Adverse Changes to Its Business Plan to Account for Share Price Decline - More
- August 05, 2008 | Item | E-mail

Happy Creek Completes Option- now owns 100% of Rateria Copper Property - More
- August 05, 2008 | Item | E-mail

Brazauro to Acquire New Property in the Tapajos Mineral Province, Brazil - More
- August 05, 2008 | Item | E-mail

Aurora's Michelin Infill Drilling Program Progresses Resource Conversion - More
- August 05, 2008 | Item | E-mail

Majescor Outlines High-Priority Uranium Targets at Baker Lake, Nunavut: Ground Follow-up Program to Start in September - More
- August 05, 2008 | Item | E-mail

Denison Awarded Care and Maintenance Contract at the Faro Mine Complex, Yukon - More
- August 05, 2008 | Item | E-mail

Canadian Arrow Mines Commences Diamond Drilling On Atikokan Properties - More
- August 05, 2008 | Item | E-mail

Atna Reports 2nd Quarter Progress at Pinson Gold Project, Nevada - More
- August 05, 2008 | Item | E-mail

Tornado Gold Engages Canaccord Capital to Sponsor Listing on the Toronto Venture Exchange - More
- August 05, 2008 | Item | E-mail

RX Continues to Hit High Grade Gold and Silver Veins at Drumlummon Mine - More
- August 05, 2008 | Item | E-mail

Anaconda Announces Option Agreement to Sell the Damoti Lake Gold Project - More
- August 05, 2008 | Item | E-mail

Bannerman Resources Increases Overall Resource Estimate by 48% - More
- August 05, 2008 | Item | E-mail

Douglas Lake Minerals hires alluvial expert for Mbwemkuru project - More
- August 05, 2008 | Item | E-mail

Mustang Builds Project Development Team - More
- August 05, 2008 | Item | E-mail

Avnel Gold announces appointment of Chief Financial Officer - More
- August 05, 2008 | Item | E-mail

Bayswater Confirms Discovery of Strong Uranium Targets at Brudell Lake Project in Athabasca Basin - More
- August 05, 2008 | Item | E-mail

Lake Shore Gold Provides Update on Thunder Creek Exploration - More
- August 05, 2008 | Item | E-mail

Wesdome Gold Mines Ltd. - Drilling on VC Zone spurs development decision - More
- August 05, 2008 | Item | E-mail

Tara Minerals Corp. Starts Mining Operations at Don Ramon - More
- August 05, 2008 | Item | E-mail

El Capitan Precious Metals, Inc. Reports Concentrate Samples Shipped to Commercial Lab - More
- August 05, 2008 | Item | E-mail

Copper Mountain Closes Purchase of Tailing Management Facility Area For Mine - More
- August 05, 2008 | Item | E-mail

Canadian Royalties Reports Nunavik Nickel Project Developments - More
- August 05, 2008 | Item | E-mail

Katanga and Gecamines Sign Memorandum of Understanding - More
- August 05, 2008 | Item | E-mail

Probe Mines Intersects Peridotite on McFauld's West; Geochemical Results for Victory Project Received, Exploration Planned for Additional McFauld's Lake - More
- August 05, 2008 | Item | E-mail

Adanac Molybdenum Corporation: Senior Management Core Team Appointment - More
- August 05, 2008 | Item | E-mail

Avanti Mining Announces the NI 43-101 Compliant Molybdenum Resource Estimate on the Past Producing Kitsault Mine, British Columbia - More
- August 05, 2008 | Item | E-mail

Ivanhoe Australia Completes A$125 Million IPO - "Ivanhoe Australia, which remains 80%-owned by Canada-based parent Ivanhoe Mines, will begin trading on the Australian Stock Exchange tomorrow (August 6) under the symbol IVA.

The Ivanhoe Australia IPO, which closed August 1, sold 62.5 million shares at A$2 each. The company's initial market capitalization is A$625 million. Ivanhoe Australia previously was 100%-owned by Ivanhoe Mines." More
- August 05, 2008 | Item | E-mail

Scorpio Begins Shipments Of Concentrates From Its 100% Owned Nuestra Senora Project, Sinaloa State, Mexico. - "Last week was very exciting for the Company as it marks a milestone towards receiving this quarter our first ever cash flow from the project. Currently we are only consistently running one of the two ball mills at an average rate for the month of July of 625 tonnes per day as the mill tune-up nears completion. It is interesting to note that on one day in the month the Company ran 1,048 tonnes of material through both ball mills. First cash receipts for both the lead and zinc concentrates are expected approximately mid September 2008." More
- August 05, 2008 | Item | E-mail

Hecla Reports Second Quarter Results; Increases Silver Production 60% - "Hecla Mining Company (NYSE:HL) today reported silver production of 2.4 million ounces for the second quarter of 2008, a 60% increase over the same period a year ago. Second quarter financial results showed a loss applicable to common shareholders of $44.4 million, or 35 cents per share, on revenue of $64 million." More
- August 05, 2008 | Item | E-mail

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