-- Posted 19 March, 2009 | | Source: SilverSeek.com
| Close | Gain/Loss |
Gold | $958.75 | +$69.30 |
Silver | $13.54 | +$1.505 |
XAU | 136.65 | +5.49% |
HUI | 326.56 | +7.34% |
GDM | 1029.02 | +6.49% |
JSE Gold | 2994.25 | +201.68 |
USD | 83.03 | -1.32 |
Euro | 136.63 | +1.58 |
Yen | 105.79 | +1.75 |
Oil | $51.61 | +$3.47 |
10-Year | 2.597% | +0.064 |
T-Bond | 131.140625 | +0.50 |
Dow | 7400.80 | -1.15% |
Nasdaq | 1483.48 | -0.52% |
S&P | 784.04 | -1.30% |
The Metals:
Gold surged to as high as $948.50 in after hours access trade yesterday in reaction to the fed’s policy change before it fell back to $926.60 in Asia overnight, but it then rose to a new high of $960.92 in New York today and ended near that high with a gain of 7.79%. Silver jumped to $13.02 yesterday before it fell back to $12.637 in London today, but it then rose to a new high of $13.68 in New York and ended with a gain of 12.51%.
Euro gold rose to about €700, platinum gained $87 to $1116.50, and copper gained roughly 9 cents to about $1.80.
Gold and silver equities rose over 6% at the open and remained near their highs into the close.
The Economy:
Report | For | Reading | Expected | Previous |
Initial Claims | 3/14 | 646K | 655K | 658K |
Leading Indicators | Feb | -0.4% | -0.6% | 0.1% |
Philadelphia Fed | Mar | -35.0 | -39.0 | -41.3 |
'Rambo Fed’ Will Buy Treasuries to Combat Crisis Bloomberg
U.S. workers on jobless benefits hit record high Reuters
New jobless claims fall more than expected to 646K Yahoo
Philadelphia Area Factories Shrank for Sixth Month, Fed Says Bloomberg
U.S. Leading Economic Indicators Index Fell 0.4% in February Bloomberg
There are no major economic reports due out tomorrow.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil furthered yesterday’s late gains and the U.S. dollar index plummeted even further in continued reaction to the fed’s drastic policy change yesterday.
Treasuries also added to yesterday’s huge gains.
The Dow, Nasdaq, and S&P opened higher before they dropped rather noticeably midday, but they then steadied in afternoon trade and ended with only about 1% losses.
Among the big names making news in the market today were Alcoa, the auto suppliers, AIG, Discover, Citigroup, GE, FedEx, and Cisco Systems and Pure Digital.
The Commentary:
“Dear Friends,
1. Please note that financial news services this morning are mating the word FRAUD with NAKED SHORT SELLING. The case being quoted is the raid on Lehman after Bear Stearns collapsed. If one entity goes down on this then all entities who have practiced this become targets of successful slam dunk civil litigation. The need is only to review fails to deliver, using "discovery" for the details.
2. Conversations on reinstatement of the "Up Tick Rule" in the US are picking up speed at exchange management and legislative levels. The question is will Canada enforce the rules they have or keep the only onus on the broker to ask if their client intends to make delivery. If the client says yes it all ends there. Market makers in Canada and the US are beards for naked short selling brokerage house income. I have been in this business for 50 years now. There is little I do not know about the cheaters.
3. Banks who are predicting positive earnings in the first quarter of 2009 are relying on a abrogation of the mark to market rules of FASB. Please note Monty’s excellent review of the impact of such a change posted yesterday here…
Bankers don’t give a damn about the damage they do as long as their ends are accomplished. That is the UGLY face of personal enterprise, not a form of capitalism but instead more fascism.
Respectfully yours,”- Jim Sinclair, JSMineset.com
“Dear CIGAs,
SEEING THE HANDWRITING ON THE WALL, THE U.S. GOES FOR QUANTITATIVE EASING
China has been the biggest buyer of U.S. Treasury securities due to their large trade surplus with the United States. Now, Chinese officials have made it clear that they will not be buying as many U.S. Treasury bonds, agency bonds, and government securities of other nations, due to the fact that their trade surplus with the rest of the world is falling and their huge foreign exchange reserves have stopped growing rapidly.
Further, the Chinese have been spending more of their money purchasing raw materials as they continue to buy up base metals, oil, and other reserves to stoke their economic machine. Chinese officials have made statements recently that their purchases of bonds will fall as their trade surplus falls.
This is the primary reason that the U.S. yesterday announced the purchase of $300 billion of U.S. Treasury bonds by the Federal Reserve over the next six months. This is Quantitative Easing, or to put it more plainly, printing money. The long term effect is highly inflationary.
We predict that this is only the first of many Quantitative Easing activities, and the U.S. will have to print more money to buy much of the $2 trillion in new bonds that are going to be issued in the coming year. This will have large effects, including:
- A decline in the value of the U.S. dollar. (The decline began yesterday as soon as the announcement was made.)
- Substantial inflationary pressures.
- Long-term upward pressure on the prices of fixed assets, gold, commodities, real estate that produces steady income, stocks that can grow.
- Serious negative effects on the economic future of coming generations of Americans (personally, I blame the U.S. political class for their unmitigated shortsightedness.)”- Monty Guild, JSMineset.com
“April Gold closed up 69.7 at 958.8. This was 10.8 up from the low and 0.2 off the high.
May Silver finished up 1.585 at 13.52, 0.085 off the high and 0.34 up from the low.
The gold market has seen two significant pulse-up moves in the last 24 hours and in general, the gold trade was able to consolidate those gains. The bull camp clearly seems to have embraced the prospect of inflation but with some players in the stock market questioning the recent moves from the US Fed one can't discount the prospect of ongoing flight to quality buying interest in the precious metals. With another massive range down pulse in the Dollar, soaring oil prices and general strength seen in a long list of physical commodity markets, the number of bullish influences for gold was rather extensive. In fact, given the weakness in US economic readings on Thursday morning, the bull camp could probably suggest that the state of the economy was also supportive of their case.
The silver market also managed two distinct upward thrusts on the charts over the last 24 hours and in general the market was able to consolidate a good portion of those gains. Clearly inflation expectations are more prevalent than at the beginning of the week and certainly the declines in the US Dollar are becoming significant enough for the bull camp in silver to use the Dollar action as another justification for silver price gains. Apparently silver and other industrial metals markets were undaunted by the patently weak flow of scheduled US data on Thursday morning.”- The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
China said to support Russia on replacing dollar
Trace Meyer: Fed will fail with quantitative easing
A trillion in debt monetization on way from Fed
The Statistics:
As of close of business: 3/19/2009
Gold Warehouse Stocks: | 8,774,504 | - |
Silver Warehouse Stocks: | 124,500,639 | -10,065 |
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 | 1,084.33 | 34,862,399 | US$ 31,135m |
London Stock Exchange (LSE) AND Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse ) | Gold Bullion Securities | 130.75 | 4,203,666 | US$ 4,017m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 12.49 | 400,392 | US$ 384m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 29.23 | 939,728 | US$ 839m |
NASDAQ Dubai | Dubai Gold Securities | 0.16 | 5,000 | US$ 5m |
Note: Change in Total Tonnes from yesterday’s data: SPDR added 15.28 tonnes to a new record high holding, the LSE added 0.45 tonnes, and the JSE added 0.12 tonnes.
COMEX Gold Trust (IAU)
Profile as of 3/18/2009 | |
Total Net Assets | $1,910,020,858 | Ounces of Gold
in Trust | 2,149,676.053 |
Shares Outstanding | 21,850,000 | Tonnes of Gold
in Trust | 66.86 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 3/18/2009 | |
Total Net Assets | $3,242,361,319 | Ounces of Silver
in Trust | 257,191,387.300 |
Shares Outstanding | 260,850,000 | Tonnes of Silver
in Trust | 7,999.55 |
Note: Change in Total Tonnes from yesterday’s data: 101.18 tonnes were added to the trust.
The Miners:
Barrick’s (ABX) debt securities sale, Northern Dynasty’s (NAK) work program, Scorpio’s (SPM.TO) update, and Revett’s (RVM.TO) corporate structure were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Hecla | HL +20.71% $2.04 |
2. Taseko | TGB +20.41% $1.18 |
3. New Gold | NGD+19.77% $2.12 |
LOSERS
1. Solitario | XPL -7.26% $1.15 |
2. Cardero | CDY-4.76% $1.20 |
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:
Baffinland Eligible for Loan Guarantee by the Federal Republic of Germany - More
- March 19, 2009 | Item | E-mail
First Gold Arranges Non-Brokered Private Placements - More
- March 19, 2009 | Item | E-mail
Barrick Announces Sale of $750 Million in Debt Securities - "Barrick Gold Corporation (NYSE:ABX - News) (Toronto:ABX.TO - News) ("Barrick") announced today that it has entered into an underwriting agreement to issue $750 million in aggregate principal amount of 6.95% notes due 2019. Closing of the offering is expected to take place on March 24, 2009." More
- March 19, 2009 | Item | E-mail
Scorpio Provides February 2009 Update - "February 2009 was another productive and cost-efficient month for the Company. When compared with the budgeted costs, mill throughput rates, concentrate production and recoveries, the Scorpio team continues to outperform expectations set for 2009. Development within the mine continues on schedule in preparation for future access to mineable, low-cost, high-grade stopes. The forward thinking of the team has allowed the Company to continue to sell its concentrates offshore while the in-country Penoles smelter strike continues, thus not effecting the revenue stream. Nuestra Senora operational details for the month of February are as follows:" More
- March 19, 2009 | Item | E-mail
U.S. Precious Metals, Inc. Adopts Stockholder Rights Plan - More
- March 19, 2009 | Item | E-mail
Lake Victoria Mining Enters a Letter of Intent to Establish a High Grade Gold Mine in Northern Tanzania - More
- March 19, 2009 | Item | E-mail
Revett Minerals Continues Efforts to Streamline Corporate Structure - "Revett Minerals Inc. (RVM-TSX) ("Revett Minerals") has been informed by Revett Silver Company, a 70% owned subsidiary of Revett Minerals, that it has invited holders of its 25,583,487 Class B Common Shares to exercise their right to request a redemption of their Class B Common Shares in exchange for common shares of Revett Minerals. Holders of 3,054,659 warrants exercisable into Class B Common Stock of Revett Silver will also be given an opportunity to exchange such warrants into warrants exercisable into common shares of Revett Minerals at the same exercise price. In an effort to streamline the corporate structure of the company, Revett Minerals will honor its commitment to issue common shares and warrants in exchange for the securities of Revett Silver." More
- March 19, 2009 | Item | E-mail
Explor Resources Inc.: New Stock Option Plan - More
- March 19, 2009 | Item | E-mail
Golden Band Resources Issuing Employee Stock Options - More
- March 19, 2009 | Item | E-mail
Zoloto Resources announces completion of share exchange with Grafton Resource Investments Ltd. - More
- March 19, 2009 | Item | E-mail
MDN Inc./Isambara Project Update: Substantial Progress Made in the Identification of Gold-Bearing Zones - More
- March 19, 2009 | Item | E-mail
Vior Completes Two Private Placements and Welcomes a New Board Member - More
- March 19, 2009 | Item | E-mail
Rising Gold Price Prompts Pele to Reactivate Highland Project - More
- March 19, 2009 | Item | E-mail
Adventure Gold: Stephane Le Bouyonnec Appointed to the Board of Directors - More
- March 19, 2009 | Item | E-mail
AXMIN Announces Private Placement Offering and Strategic Advisory Agreement - More
- March 19, 2009 | Item | E-mail
HudBay Urges Shareholders to Vote the BLUE Proxy, AGAINST the Resolution to Remove the Current Board and Replace Them With SRM's Nominees - More
- March 19, 2009 | Item | E-mail
Alturas Announces Changes to Management and Board of Directors - More
- March 19, 2009 | Item | E-mail
Ruby Red Resources defines gold-bearing shear zone 9.5 km long - More
- March 19, 2009 | Item | E-mail
Terrane Metals Corp.: British Columbia Government Approves Mt. Milligan - More
- March 19, 2009 | Item | E-mail
Hawthorne Gold Updates Taurus Mineral Resource Estimate - More
- March 19, 2009 | Item | E-mail
Romarco Files NI 43-101 Report on Feasibility Study for Haile - More
- March 19, 2009 | Item | E-mail
Strathmore Completes NI 43-101 Technical Reports for Portions of Nose Rock and Dalton Pass Uranium Properties - More
- March 19, 2009 | Item | E-mail
Midland Acquires New Gold Property Along the Destor-Porcupine Fault - More
- March 19, 2009 | Item | E-mail
PDX Resources Advised of Positive Results From Detour Gold's 20m X 20m Infill Drilling Test Block at Detour Lake in Ontario - More
- March 19, 2009 | Item | E-mail
Quaterra Announces Silver Discovery at Americas Project - More
- March 19, 2009 | Item | E-mail
Detour Gold Announces Positive Results From Its 20m X 20m Infill Drilling Test Block at Detour Lake in Ontario - More
- March 19, 2009 | Item | E-mail
Sage Gold's Golden Extension Discovery Additional High Grade Results - More
- March 19, 2009 | Item | E-mail
Hinge Zone Drilling Confirms High Grades and Reveals New Gold Zones - More
- March 19, 2009 | Item | E-mail
General Metals Update: Permitting for Production Progressing on Schedule - More
- March 19, 2009 | Item | E-mail
New Gold Discovery Reported by Ireland Inc. - More
- March 19, 2009 | Item | E-mail
Paladin Energy Ltd: Kayelekera Uranium Project Industrial Action - More
- March 19, 2009 | Item | E-mail
European Goldfields Limited Results for 2008 - More
- March 19, 2009 | Item | E-mail
European Goldfields Ltd. 2008 Results - More
- March 19, 2009 | Item | E-mail
Canasia Industries Corporation: Drill Program Update - More
- March 19, 2009 | Item | E-mail
Endeavor Explorations Inc. - Don Lake Uranium Project - Uranium City, Saskatchewan, Canada Exploration Update - More
- March 19, 2009 | Item | E-mail
GLOBEX/Russian Kid Mine (Rocmec 1) Royalty First Gold Concentrate Shipped for Refining - More
- March 19, 2009 | Item | E-mail
US$59 Million Work Program to Prepare Pebble Project for Permitting - "Northern Dynasty Minerals Ltd. (TSX: NDM; NYSE AMEX: NAK) announces that the Pebble Limited Partnership ("PLP" or the "Pebble Partnership") Board of Directors has approved a US $59 million budget and work plan for 2009, with the potential for supplemental spending up to a total of US $70 million, to be spent towards completing a Prefeasibility Study and preparing the Pebble Project for permitting in 2010." More
- March 19, 2009 | Item | E-mail
Standard and Poor's Assigns Gold Fields an Investment Grade Credit Rating - "Standard and Poor's Ratings Services ("S&P") today assigned Gold Fields Limited ("Gold Fields") (JSE, NYSE, NASDAQ Dubai: GFI) with a 'BBB-/ A-3' long-term and short-term global corporate credit rating and 'zaA/zaA-1' long- term and short-term South Africa national scale corporate credit rating. The outlook is stable." More
- March 19, 2009 | 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 2009
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 19 March, 2009 | |
