-- Posted 19 November, 2008 | | Source: SilverSeek.com
| Close | Gain/Loss |
Gold | $736.30 | +$2.70 |
Silver | $9.33 | -$0.22 |
XAU | 71.91 | -5.03% |
HUI | 168.99 | -5.20% |
GDM | 512.18 | -5.20% |
JSE Gold | 1517.00 | +7.99 |
USD | 87.67 | +0.47 |
Euro | 125.23 | -1.05 |
Yen | 104.24 | +1.27 |
Oil | $53.62 | -$0.77 |
10-Year | 3.391% | -0.144 |
T-Bond | 122.09375 | +1.9375 |
Dow | 7997.28 | -5.07% |
Nasdaq | 1386.42 | -6.53% |
S&P | 806.58 | -6.12% |
The Metals:
Gold and silver traded mostly slightly higher in Asia and London before they soared upward in early New York trade to as high as $758.70 and $9.84 by about 10AM EST to see gains of 2.69% and 3.04%, but they then fell back off for most of the rest of trade and ended near their new session lows of $731.45 and $9.235 with a gain of 0.37% and a loss of 2.3%.
Euro gold rose to about €586, platinum lost $14 to $812.50, and copper fell over 6 cents to about $1.59.
Gold and silver equities rose roughly 7% in the first half hour of trade, but they then fell back off for the rest of the day and ended with about 5% losses.
Gold Demand Rose 18% in Quarter as Price Lured Buyers, Gold Council Says Bloomberg
Demand for gold hits a record even as institutions head for exits MarketWatch
Gold Reaches Record Dollar Demand in Q3 Yahoo
Cold gold, hot story Mineweb
China PBOC Mulls Raising Gold Reserve By 4,000 Tons FXStreet
The Economy:
Report | For | Reading | Expected | Previous |
CPI | Oct | -1.0% | -0.8% | 0.0% |
Core CPI | Oct | -0.1% | 0.1% | 0.1% |
Housing Starts | Oct | 791K | 780K | 828K |
Building Permits | Oct | 708K | 772K | 805K |
The CEOs of the big three automakers testified before the house financial services committee begging for a $25 billion bailout/bridge loan. FOMC minutes from the fed’s October 29th meeting showed that the fed was worried about deflation and the possible need to lower the fed funds rate to 0%. Forecasts were sharply lowered for growth and employment.
Tomorrow at 8:30AM EST brings Initial Jobless Claims for 11/15 expected at 503,000 and at 10AM is the Leading Economic Indicators report for October expected at -0.6% and the Philadelphia Fed survey expected at -35.0.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil ended lower on continued demand concerns as today’s inventory report showed larger builds than expected in crude and gasoline stocks.
The U.S. dollar index reversed to end higher on another round of cash raising.
Treasuries rose as the Dow, Nasdaq, and S&P dropped markedly yet again on more economic worries and concerns that the big three automakers will have to file for bankruptcy or take other drastic steps if they do not receive a bailout.
Among the big names making news in the market today were BASF, Deutsche Bank, Citigroup, BJ’s Wholesale, General Motors, Yahoo, Nissan, and Toyota.
The Commentary:
“Those who are frustrated by gold need to understand that the masses are driven via spin to illusions and madness.
When reality dawns via a break in markets that via spin they have gone mad over, it is too late to do anything but go belly up. There is a great story that proves this.
Back in 1824 there was a blue-collar worker who had the ability to be a great public speaker.
His topic was his relationship to the then mayor of New York and his observation that the lower end of Manhattan Island was in the process of sinking. He claimed to have been retained by the Mayor of New York to promptly and permanently fix this problem.
The process was dimply. He would saw off the lower end of Manhattan then tow it out to see, turn it around and bring it back properly connecting it with Manhattan, therein resolving the dire problem.
Although that sounded ludicrous and was derided in publications, Lozier persisted. Lozier, purporting his authority, began to order all kinds of supplies, hire workers, and order huge amounts of livestock as food. All of this was in the thousands.
Then came the day for work to start. All items were delivered that day and a huge number of staff as well as lines of workers appeared ready for the task.
The only person missing was Lozier. He was never prosecuted, as everyone fooled by him were too embarrassed to admit they had been had.
This is those in the market who buy the spin that hyperinflation can only be the product of an improving business climate.
You can read about this in the "Grand Deception" by Alexander Klein.
What is occurring now is a "Grand Deception" which due to the unlimited amounts of funds being and to be created gives today's Lozier an extremely short lifetime.”- Jim Sinclair, JSMineset.com
“December Gold closed up 3.3 at 736. This was 4.1 up from the low and 26.5 off the high.
December Silver finished down 0.24 at 9.31, 0.46 off the high and 0.025 up from the low.
After an early morning impressive pulse up in December gold that took the market up to the highest level since November 10th, prices fell back sharply in what seemed to be a reversal brought on by overt weakness in US equity prices. Clearly weak economic readings and falling inflation readings presented a bearish environment, but after seeing the action Wednesday it would appear that the fear of too much slowing caused the gold market to fully reverse course.
While the December silver contract did manage to forge a higher high for the move early in the trading session Wednesday, silver prices were not able to avoid the mid morning swoon that surfaced in a host of physical commodity markets in the face of a sell off in equity prices. In fact, for most of the session the gold market out performed the silver market and that action continued to foster talk about the recent increase in gold and silver spread trading. However, silver seemed to be undermined as a result of the deteriorating macro economic environment, which seemed to be fomented by slack US numbers and perhaps anxiety toward the US auto sector bailout.”- The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Cabinet minister contradicts Iranian gold claim
Demand for gold hits record even as institutions exit
Miners in S. Africa risk lives to harvest gold 2 miles deep
China may add 4,000 tons of gold, paper says
Suspicions about Plunge Protection Team break onto CNBC
Bernanke's only discussions about gold involve selling it
Ted Butler: A sure thing?
FOX network's business desk notices two-tiered gold market
Patrick Heller: Child understands why gold is preferable to paper money
The Statistics:
As of close of business: 11//2008
Gold Warehouse Stocks: | 8,108,978 | -6,903 |
Silver Warehouse Stocks: | 128,720,340 | -314,095 |
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) AND Tokyo Stock Exchage (TSE) AND Hong Kong Stock Exchange (HKEx) | SPDR® Gold Shares | 748.94 | 24,079,044 | US$ 17,766m |
London Stock Exchange (LSE) AND Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse ) | Gold Bullion Securities | 117.03 | 3,762,570 | US$ 2,769m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 11.59 | 372,286 | US$ 274m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 26.94 | 866,190 | US$ 639m |
Note: Change in Total Tonnes from yesterday’s data: The JSE added 0.37 tonnes.
COMEX Gold Trust (IAU)
Profile as of 11/18/2008 | |
Total Net Assets | $1,504,385,400 | Ounces of Gold
in Trust | 2,053,895.409 |
Shares Outstanding | 20,850,000 | Tonnes of Gold
in Trust | 63.88 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 11/18/2008 | |
Total Net Assets | $2,034,548,505 | Ounces of Silver
in Trust | 216,958,480.900 |
Shares Outstanding | 219,700,000 | Tonnes of Silver
in Trust | 6,748.16 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
US Gold’s (UXG) drill results, Randgold’s (RGLD) outlook, Ivanhoe’s (IVN) project in Mongolia, Paramount’s (PZG) drill results, First Majestic’s (FR.TO) operations update, MAG’s (MVG) assay results, and Mines Management’s (MGN) third quarter results and project update were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. International Royalty | ROY +5.31% $1.19 |
2. Richmont | RIC +4.77% $1.10 |
3. ASA Limited | ASA +3.18% $34.09 |
LOSERS
1. Allied Nevada | ANV -18.11% $1.99 |
2. Gammon | GRS -16.33% $2.51 |
3. Agnico | AEM-15.96% $26.18 |
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:
Chepica Project Update - More
- November 19, 2008 | Item | E-mail
GWR Options Man-Prime Cu-Au property, BC: drilling to start immediately - More
- November 19, 2008 | Item | E-mail
US Gold Hits Significant Intercepts in Mexico - "US GOLD CORPORATION (Toronto:UXG.TO - News)(NYSE-A: UXG)(Frankfurt:US8.F - News) announces that recent conventional rotary drilling in the Magistral District, Sinaloa, Mexico has intersected high-grade silver in two locations (Figure 1). The first location is a new discovery called El Gallo. The best intercept from El Gallo returned 22.2 ounces per ton (opt) silver over 5 feet (ft) (760.0 grams per tonne (gpt) silver over 1.5 meters (m)), within 13.2 opt silver over 15 ft (453.0 gpt silver over 4.6 m). The second, Palmarito's new Southwest Zone, has returned the richest silver grades since US Gold began exploration at the project: 24.4 opt silver over 5 ft. (836.0 gpt silver over 1.5 m), within 8.5 opt silver over 75 ft (291.9 silver over 22.9 m). Mineralization in both areas starts close to surface." More
- November 19, 2008 | Item | E-mail
Canstar Resources Inc. Announces Closing of $250,000 Non-Brokered Private Placement; Assay Results Received for Slate Bay Drilling, Red Lake - More
- November 19, 2008 | Item | E-mail
Randgold sees global gold output drop, costs down - "African miner Randgold (RRS.L: Quote, Profile, Research, Stock Buzz) sees a 15-20 percent decline in global gold output over the next three to four years as tough credit conditions prompt delays in new mines and force smaller players out of business, the company's chief executive said on Wednesday.
Speaking at a Toronto presentation for analysts, Mark Bristow said the company plans to capitalize on the inability of smaller miners to develop properties by buying some of the assets up." More
- November 19, 2008 | Item | E-mail
Norsemont attracts expressions of interest, no bid - More
- November 19, 2008 | Item | E-mail
Mongolia to seek 34 pct of Oyu Tolgoi as prices drop - "The government of Mongolia is likely to try to pin down a deal that will give it 34 percent ownership of the country's giant Oyu Tolgoi copper deposit as falling commodity prices push it to back away from seeking majority control.
A parliamentary working group studying revisions to the country's minerals law has proposed that agreements for Oyu Tolgoi -- which is being developed by Ivanhoe Mines (IVN.TO: Quote, Profile, Research, Stock Buzz) and Rio Tinto (RIO.L: Quote, Profile, Research, Stock Buzz) -- as well as for the big Tavan Tolgoi coal project be negotiated before the law is finalized." More
- November 19, 2008 | Item | E-mail
First Majestic halts activities at Cuitaboca - "First Majestic Silver Corp (FR.TO: Quote, Profile, Research, Stock Buzz) (FRMSF.PK: Quote, Profile, Research, Stock Buzz) said it has temporarily suspended all activities at the Cuitaboca Silver Project as part of several measures taken to protect cash and costs structures at its operations.
The Canada-based silver producer also said it suspended construction of the new crushing circuit at the San Martin, which was designed to increase the capacity of that mill to 2000 tpd." More
- November 19, 2008 | Item | E-mail
Benton receives drilling results from Goodchild Nickel and Heenan Gold - More
- November 19, 2008 | Item | E-mail
Euro Ressources' Board of Directors Recommends IAMGOLD's Cash Tender Offer at EUR 1.20 Per Share - More
- November 19, 2008 | Item | E-mail
Lake Victoria Mining Company, Inc. Completes Definitive Option Agreement-Kalemela Gold Project Now Exceeds 260 Sq. Km. - More
- November 19, 2008 | Item | E-mail
First Majestic Silver Corp.: Operations Update - "First Majestic Silver Corp. ("First Majestic" or the "Company") (Toronto:FR.TO - News)(Other OTC:FRMSF.PK - News)(Frankfurt:FMV.F - News)(WKN: A0LHKJ) is pleased to announce that production during the month of October has increased significantly from the average monthly production achieved in the third quarter." More
- November 19, 2008 | Item | E-mail
BacTech Announces Completion of Papua New Guinea Technical Report - More
- November 19, 2008 | Item | E-mail
Typhoon Begins a Drilling Campaign of 7,000 Meters on Fayolle - More
- November 19, 2008 | Item | E-mail
Romaine Program Significantly Extends Iron-Titanium Mineralization - More
- November 19, 2008 | Item | E-mail
Pacific North West Capital Corp. and Benton Resources Corp. Announce Drill Results from the Swayze Project, ON - More
- November 19, 2008 | Item | E-mail
Norsemont Mining Receives Unsolicited Expressions of Interest - More
- November 19, 2008 | Item | E-mail
Goldstake-Clay, Gold and Diamond, Property Acquisition - More
- November 19, 2008 | Item | E-mail
Romarco Further Expands North Zone With 81.6 Meters of 2.1 G/T Au at Haile - More
- November 19, 2008 | Item | E-mail
General Metals Reports Mineralized Intercepts Including 150 Feet of Oxide Mineralization From Surface in Hill Zone Discovery at Independence Project - More
- November 19, 2008 | Item | E-mail
Aspire Appointed a Group of Mining Professionals for Site Survey - More
- November 19, 2008 | Item | E-mail
Crowflight Reports Q3 2008 Financial Results - More
- November 19, 2008 | Item | E-mail
ROCA - MAX Molybdenum Mine Production Review and Outlook - More
- November 19, 2008 | Item | E-mail
Agreement to Terminate Each of the Nose Rock and Dalton Pass Property Option Agreements, New Mexico - More
- November 19, 2008 | Item | E-mail
Search Continues for Missing Crew and Plane Conducting Geophysics Survey for U3O8 Corp. - More
- November 19, 2008 | Item | E-mail
Romios Announces Closing of Offering of $271,067 - More
- November 19, 2008 | Item | E-mail
Paramount Gold and Silver Corp. Reports Drill Results at Clavo 99 and Advises New Resource Estimate to be Completed by End of November - "Paramount Gold and Silver Corp. (Toronto:PZG.TO - News)(AMEX:PZG - News)(Frankfurt:P6G.F - News) reports assay results from five drill holes in the San Miguel vein, approximately 400 meters northwest of Clavo 99. These were drilled as step-out holes from attractive intercepts in holes SM-33, 49, 52 and 55." More
- November 19, 2008 | Item | E-mail
MAG Reports High Grades on the Valdecanas Vein - "MAG Silver Corp. (Toronto:MAG.TO - News)(NYSE-A: MVG) ("MAG") reports on behalf of Minera Juanicipio SA (a joint venture between Fresnillo plc (56%) and MAG (44%)) new high grade assay results from drilling along the Valdecanas Vein. These recent results continue to add intercepts in areas beyond previously published resource limits and also confirm the continuity of the main vein and the bonanza zone within the vein." More
- November 19, 2008 | Item | E-mail
Mines Management Announces 3rd Quarter Financial Results and Update on Montanore Silver-Copper Project - "The Company reported a net loss for the quarter ended September 30, 2008, of $3.1 million, or $0.14 per share, compared to a net loss of $1.7 million, or $0.09 per share, for the quarter ended September 30, 2007. The $1.4 million increase in net loss in the third quarter of 2008 is attributable to increases in operating expenses of approximately $1.1 million over the third quarter of 2007, principally in depreciation, compensation, environmental expenses, and permitting." More
- November 19, 2008 | Item | E-mail
- Chris Mullen, Gold Seeker Report
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-- Posted 19 November, 2008 | |
