-- Posted 12 February, 2009 | | Source: SilverSeek.com

The Metals:

After mixed trade in Asia and London gold dropped as much as $5.42 to $937.03 in midmorning New York trade, but it then climbed back higher for most of the rest of trade and ended near its high of $949.50 with a gain of 0.56%.  Silver climbed as much as $0.23 to $13.75 by late trade in Asia before it fell to see a loss of $0.21 at $13.31 by about 9:30AM EST in New York, but it then rallied back higher into the close and ended with a loss of just 0.15%.

Euro gold rose to about €739, platinum lost $1.50 to $1066.50, and copper remained at about $1.53.

Gold and silver equities traded mostly slightly lower for the majority of the day, but they then climbed back higher in the last hour of trade and ended mixed and near unchanged.

The Economy:

Tomorrow at 9:55AM brings Michigan Sentiment for February expected at 60.2.

The Markets:

Charts Courtesy of http://finance.yahoo.com/

Oil fell over 5% to the lowest since December on continued worries over the poor health of the world economy and the resulting low demand.

The U.S. dollar index and treasuries rose on supposed safe haven buying while the Dow, Nasdaq, and S&P plummeted for most of trade despite a surprisingly good Retail Sales report as worries over the effectiveness of the stimulus plan dominated most minds on Wall Street, but stocks did end well off their worst levels of the day and the Nasdaq and S&P even rose to end with a slight gain while the Dow ended just slightly lower “after a report that the Obama administration is planning to subsidize mortgage payments for troubled homeowners.”

Among the big names making news in the market today were Aetna, Pioneer, Coca-Cola, Viacom, and DirecTV and Sirius XM.

The Commentary:

“Dear CIGAs,

The following are two observations of mine today:

1. Talk about gold stocks outperforming gold on this move with charts and diagrams is on financial media and should get some attention from all those illegal, legal and pool gold share short sellers.
2. The newest SPIN is the conversation of if the banks will pay back the Federal money they have received in order not to be subject to events like yesterday’s severe public dressing down. How the hell can they pay it back? They are broke. ”- Jim Sinclair, JSMineset.com

“Dear CIGAs,

Once again gold scored brand new record all time highs when priced in both Euro terms and British Pound terms at the PM Fix. Euro gold was fixed at €740.094 while BP gold was set at 663.746. Canadian Dollar priced gold notched another all time high yesterday over 1,170 and is on course to score yet another today. Aussie priced gold is perched just below its record all time high. Ditto for Russian ruble priced gold. Can someone say world-wide currency devaluation?

Meanwhile, back in the States, Dollar based gold pushed further away from the trendline break that occurred yesterday moving up to and then slightly beyond $950 before selling hit it again but that was not enough to derail the bulls. Dip buyers are quite active today.

I suppose we should have expected to see it coming but isn’t it pathetic to see these desperation tactics coming out of officialdom whenever gold manages any sort of technical breakout that guarantees it to make news or garner the attention of the financial press. Once again the old soldier is pathetically trotted out of his barracks to show his face, rattle his saber and flourish his musket in what is no doubt supposed to impress uninformed observers and fill them with awe and trepidation. Unknown however is the fact that his saber is rusted into its scabbard and his musket has no powder.

I am referring of course to the announcement by the IMF of a sale of some 400 tons of gold which was to have the effect of stampeding the longs into abandoning ship. What a laughable, pathetic, pitiful display of weakness. Do you think any of that gold, should it even be approved for sale which is still uncertain, will make the least bit of difference to the gold market? That gold will never see the light of day. The Chinese will buy it all in one fell swoop. If they do not, the Arabs will.  Instead of having to scour for bits of gold here and there and hither and yon, they get the convenience of being able to get it all in one place and at one time at one price. For that matter, any of the Eastern Central Banks whose countries are holding massive amounts of Dollar-denominated reserves will be more than anxious to bid for this gold. That way they get a wonderful opportunity to rid themselves of the greenback without disrupting the Forex markets and at the same time buy an asset to protect themselves somewhat against its devaluation which is now a given thanks to the recklessness of our monetary authorities and the spendthrift political class.”- Dan Norcini, More at JSMineset.com

“April Gold closed up 4.7 at 949.2. This was 9.4 up from the low and 0.8 off the high.

March Silver finished down 0.01 at 13.51, 0.03 off the high and 0.15 up from the low.

For a change the gold market didn't have to weather a complete sweep of weak US scheduled data. In fact, with the initial claims down and the US retail sales coming in much better than expected the gold market was able to heavily discount the latest record reading in continuing claims. While the third leg of the US Treasury auction didn't seem to be as strong as the first two legs, the gold market generally sees investors taking down US debt supply and that in turn seems to foment inflationary expectations by some players. With the US equity market weaker and the gold market showing signs of strength, one could even suggest that fear of the slumping US economy was perhaps providing some flight to quality buying of gold. It is also clear that record ongoing demand for gold derivative instruments was driving some buyers into gold futures.

While the silver market initially managed a fresh new high for the move Thursday morning, the silver market was clearly out performed by the gold market today. Perhaps weakness in copper and platinum prices in conjunction with the sharp slide in the US equity market served to undermine the physical commodity component of the silver market. One might also suggest that strength in the Dollar served to undermine silver but given the string of positive gains in silver since the January lows, it is also possible that silver was simply overbought and needed some corrective action.”- The Hightower Report, Futures Analysis and Forecasting

GATA Posts:

John Embry: Obama should come clean about gold

Judy Shelton: Capitalism needs a sound-money foundation

China said sticking with U.S. bonds despite depreciation

Rob Kirby: U.S. oil swap likely triggered plunge in prices

IMF insists it will sell gold someday

The Statistics:

As of close of business: 2/12/2009

Global Gold ETF Holdings

[WGC Sponsored ETF’s]

 Note: Change in Total Tonnes from Friday’s data: SPDR added 40.37 tonnes to a new record high holding.

COMEX Gold Trust (IAU)

 Note: No change in Total Tonnes from yesterday’s data.

Silver Trust (SLV)

 Note: No change in Total Tonnes from yesterday’s data.

The Stocks:

US Gold’s (UXG) drill results, ITH’s (THM) bought deal equity financing, Pacific Rim’s (PMU) feasibility study, Anatolia’s (ANO.TO) completed public equity offering, Freeport’s (FCX) common stock offering, Yamana’s (AUY) study results, Kirkland’s (KGI.TO) jointly acquired property with Queenston, Revett’s (RVM.TO) corporate update, Polymetal’s desire for acquisitions, and Pan American’s (PAAS) closed public offering were among the big stories in the gold and silver mining industry making headlines today.

WINNERS

LOSERS

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:

Big Red Diamond Corporation: The Completion of a 43-101 for its Strategis Project - More
- February 12, 2009 | Item | E-mail

VVC Exploration Amends the Expiry Date of 1,440,000 Warrants - More
- February 12, 2009 | Item | E-mail

Excel Gold Mining Inc. Acquires the Evezza Property - More
- February 12, 2009 | Item | E-mail

Inter-Rock Minerals Inc.: Stingaree Valley Mineral Property Update - More
- February 12, 2009 | Item | E-mail

Baffinland Updates on Regulatory Review of Mary River Project - More
- February 12, 2009 | Item | E-mail

Ventana Announces $3.36 Million Private Placement and Appointment of Vice President, Exploration - More
- February 12, 2009 | Item | E-mail

US Gold Corporation: El Gallo Drill Results Continue to Shine; Initial Four Core Holes All Intersect Significant High-Grade - "US GOLD CORPORATION (Toronto:UXG.TO - News)(AMEX:UXG - News)(Frankfurt:US8.F - News) is pleased to announce results for the first four core holes at El Gallo in Sinaloa State, Mexico. Each hole intersected significant high-grade mineralization with three of the four holes returning +30 ounces per ton (opt) silver (+1000 grams per tonne (gpt silver)). A fourth hole returned grades of 19.5 opt silver (669.0 gpt silver) and 0.42 opt gold (14.25 gpt gold), demonstrating the high-grade nature of this discovery." More
- February 12, 2009 | Item | E-mail

Dorato Announces Highly Anomalous Copper-Gold Geochemistry Values up to 1.24% Copper, 0.53 g/t Gold and 165 g/t Silver Supports Cobrecon Geophysical Anomaly - More
- February 12, 2009 | Item | E-mail

Revett Minerals Corporate Update - "Revett Minerals Inc. (RVM-TSX) ("Revett" or "the Company") is pleased to announce that today it has closed a private placement of its shares as part of a restructuring program initiated in December 2008. The private placement consisted of the sale of 10,000,000 equity units at a price of US$ 0.06 per unit for gross proceeds to the Company of US$ 600,000. Each equity unit included one (1) common share of the Company, and three-quarters (3/4) of a share purchase warrant exercisable at US$ 0.10 per full warrant." More
- February 12, 2009 | Item | E-mail

Southwestern Acquires Second Group of Shares of Northern Superior Resources Inc. - More
- February 12, 2009 | Item | E-mail

Vior Inc.: Release of 425,000 Escrow Shares - More
- February 12, 2009 | Item | E-mail

GoldSpring Expands Hartford Hill / Lucerne Deposit, Comstock District, Nevada - More
- February 12, 2009 | Item | E-mail

Evolving Gold Reports Increased Grades for Rattlesnake Hills Gold System, Wyoming - More
- February 12, 2009 | Item | E-mail

Solid Resources Ltd. and Bearing Gold Resources Corp. terminate Letter of Intent - More
- February 12, 2009 | Item | E-mail

Golden Peaks Resources Ltd. - Cerro Delta Drill Permits Received - More
- February 12, 2009 | Item | E-mail

International Tower Hill Mines Ltd. Announces Bought Deal Equity Financing - "International Tower Hill Mines Ltd. ("ITH" or "the Company") - (CDNX:ITH.V - News)(AMEX:THM - News)(Frankfurt:IW9.F - News) is pleased to announce that it has entered into an agreement with a syndicate of underwriters ("Underwriters") to sell an aggregate of 2,000,000 common shares of the Company ("Shares") at a price of $2.50 per Share for gross proceeds of $5,000,000 on a bought deal basis in Canada and a concurrent private placement in the United States to institutional accredited investors (the "Offering")." More
- February 12, 2009 | Item | E-mail

Russia`s top silver miner looks to acquire new domestic gold and silver assets - "Polymetal which is Russia's top silver producer and miner of around 5% of the country's gold is looking for acquisitions to boost output to around 1 million gold equivalent ounces by 2011 or 2012." More
- February 12, 2009 | Item | E-mail

Kinbauri Gold Corp.: Scoping Study Revision Boosts Economics for El Valle/Carles Project - More
- February 12, 2009 | Item | E-mail

Hawk Uranium Inc. Announces Amendments to Terms of Warrants; Nominee to Serve as New Member of Board of Directors - More
- February 12, 2009 | Item | E-mail

Pacific Rim puts off El Dorado feasibility study - "Pacific Rim Mining Corp (PMU.TO) said it is deferring completion of the feasibility study of El Dorado gold project, citing ongoing volatility in capital costs and uncertainty in the timing of the permitting process." More
- February 12, 2009 | Item | E-mail

Golden Goose appoints a new Director - More
- February 12, 2009 | Item | E-mail

Slam Exploration announces zinc-lead-silver resource at Nash Creek - More
- February 12, 2009 | Item | E-mail

Hawthorne Assays 2.21 Metres Averaging 17.92 g/t Au at Cassiar Gold Camp - More
- February 12, 2009 | Item | E-mail

MMI Soil Sampling Survey - Reconnaissance on Tiex Inc. Mackay River and Horsefly River Projects, Quesnel Trough Area, British Columbia - More
- February 12, 2009 | Item | E-mail

Mirasol Options the Nico Silver-Gold Project to Coeur d'Alene Mines - More
- February 12, 2009 | Item | E-mail

Lake Victoria Mining Company, Inc.-Kalemela Emerging Gold Project Update, Tanzania - More
- February 12, 2009 | Item | E-mail

Strathmore Announces Key Property Additions to Pine Tree-Reno Creek Uranium Project, Wyoming - More
- February 12, 2009 | Item | E-mail

Arianne Reports Promising Results From the El Rey Property in Mexico - More
- February 12, 2009 | Item | E-mail

Metanor: New Discovery Confirmed-Extensions of the West Zone Confirmed by Drilling on the HEWFRAN Property - More
- February 12, 2009 | Item | E-mail

Shoreham Agrees to Shares for Debt at Above Market Pricing - More
- February 12, 2009 | Item | E-mail

Gladstone Pacific Nickel Limited - ACN 104 261 887 - Gladstone Pacific Nickel Limited Completes First Phase of Ouinné Drilling Program - More
- February 12, 2009 | Item | E-mail

Powertech Closes Second Strategic Investment by Synatom - More
- February 12, 2009 | Item | E-mail

Romios Intersects 168.30 Metres (552.16 Feet) Grading 0.0787% MoS2, 0.0064% Bismuth, 0.120 g/t Silver and 0.012% Lithium at La Corne Molybdenum Property - More
- February 12, 2009 | Item | E-mail

Murgor starts drilling at Abbott Lake, Saskatchewan - More
- February 12, 2009 | Item | E-mail

Sukari Gold Project Resource Upgrade 9.39 Moz Measured and Indicated, Plus 3.5 Moz Inferred - More
- February 12, 2009 | Item | E-mail

Lundin Mining Addresses NYSE Listing Standards - More
- February 12, 2009 | Item | E-mail

Champion Minerals to Drill the Fermont Iron Property - More
- February 12, 2009 | Item | E-mail

Sunridge Gold Receives Positive Metallurgy Results for the Gupo Gold Deposit - More
- February 12, 2009 | Item | E-mail

Northland Resources Inc.: Detailed Design Study Underway for Port of Kemi - More
- February 12, 2009 | Item | E-mail

Ur-Energy Webcast Scheduled - More
- February 12, 2009 | Item | E-mail

Anglo Swiss Resources Inc. Discovers 4 New Gold Veins Covering 700 Meters of Strike at Historic Kenville Gold Mine - More
- February 12, 2009 | Item | E-mail

Canasia Industries Corporation: Ground Geophysics Program Completed at Reed Lake - More
- February 12, 2009 | Item | E-mail

Trinity Mining Holding A.G. Appoints New VP Exploration - More
- February 12, 2009 | Item | E-mail

Blue Note Sells Interest in Dynamite - More
- February 12, 2009 | Item | E-mail

USPR Announces the Sale of Additional Convertible Promissory Notes - More
- February 12, 2009 | Item | E-mail

First Uranium Corporation closes $61,500,000 bought deal private placement financing - More
- February 12, 2009 | Item | E-mail

Anatolia completes public equity offering - "Anatolia Minerals Development Limited ("Anatolia" or the "Company") (TSX:ANO - News) announces that it has completed its previously announced bought deal public offering of common shares of Anatolia at a price of C$1.85 per common share. The underwriters, led by RBC Capital Markets, elected to exercise their over-allotment option on closing, resulting in a total of 31,450,000 common shares being issued for gross proceeds of C$58,182,500." More
- February 12, 2009 | Item | E-mail

Pan American silver closes US$103 million public offering of common shares - "Pan American Silver Corp. (NASDAQ: PAAS - News; TSX: PAA - News; the "Company") has closed its previously announced public offering of common shares (the "Offering"). Pursuant to the Offering, the Company today issued 6,371,000 common shares at a price of US$16.25 per share, for aggregate gross proceeds of US$103,528,750 and total proceeds, net of underwriting fees, of US$98,611,134, including the exercise in full of the underwriters' over-allotment option." More
- February 12, 2009 | Item | E-mail

Freeport-McMoRan Copper & Gold Inc. Completes At-the-Market Offering of Common Stock - "Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX - News) announced today that it has completed its at-the-market offering of common stock. FCX raised $750 million in gross proceeds through the sale of 26.8 million shares of FCX common stock in open market transactions at an average price of $28.00 per share." More
- February 12, 2009 | Item | E-mail

Yamana Gold Provides Mercedes Pre-Feasibility and Ernesto/Pau-a-Pique Scoping Study Results and Further Update - "YAMANA GOLD INC. (Toronto:YRI.TO - News)(NYSE:AUY - News)(LSE:YAU.L - News) today announced the results of its studies relating to development of its Mercedes and Ernesto/Pau-a-Pique projects. All amounts are expressed in United States Dollars unless otherwise indicated." More
- February 12, 2009 | Item | E-mail

Kirkland Lake Gold and Queenston Mining Add Fifth Property to The Kirkland Lake Joint Venture - "Kirkland Lake Gold Inc. ("KL Gold") (TSX:KGI - News; AIM:KGI) and Queenston Mining Inc. ("Queenston") (TSX:QMI - News; FRANKFURT:QMI - News; STUTTGART:QMI - News) announce that they have jointly acquired one additional property in the Kirkland Lake gold camp, increasing their 50%-50% joint venture holdings to five properties. The new property, referred to as the "HM claim", is a single leased mineral claim located in Teck township in the heart of the camp south and adjacent to KL Gold's Macassa property (currently in production), north of Queenston's Amalgamated Kirkland property and east of the other four South Claims joint venture properties." More
- February 12, 2009 | Item | E-mail

- Chris Mullen, Gold Seeker Report

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