Gold Seeker Closing Report: Gold and Silver Fall Over 1% and 4% While Stocks Gain

	Close	Gain/Loss
Gold	$878.40	-$13.75
Silver	$12.275	-$0.56
XAU	118.84	-5.02%
HUI	286.85	-5.51%
GDM	885.66	-4.99%
JSE Gold	2302.14	-87.92
USD	85.18	+0.20
Euro	131.86	-0.40
Yen	100.60	UNCH
Oil	$49.98	+$0.73
10-Year	2.830%	+0.071
T-Bond	127.50	-0.421875
Dow	8125.43	+1.19%
Nasdaq	1670.44	+2.68%
S&P	865.30	+1.55%

Gold traded near unchanged in Asia and fell $5.20 to $886.95 midday in London before it rose to see a gain of $1.35 at $893.50 around 8:30AM EST in New York, but it then fell back off for most of the rest of the morning and ended near its low of $876.80 with a loss of 1.54%. Silver traded just slightly lower in Asia and London before it also dropped off rather markedly in midmorning New York trade and ended near its low of $12.18 with a loss of 4.36%.

Euro gold fell to about €667, platinum lost $6 to $1206.50, and copper fell roughly 4 cents to about $2.16.

Gold and silver equities fell over 5% by early afternoon and remained near their lows into the close.

Report	For	Reading	Expected	Previous
Building Permits	Mar	513K	549K	564K
Housing Starts	Mar	510K	540K	572K
Initial Claims	4/11	610K	658K	663k
Philadelphia Fed	Apr	-24.4	-32.0	-35.0

It was also announced today that the Obama administration will start releasing results of the bank stress tests next week. Tomorrow 9:55AM EST brings Michigan Sentiment for April expected at 58.5.

Oil climbed back near $50 on hopes for a rebound in the economy after a big drop in Initial Jobless Claims sent the U.S. dollar index up, treasuries down, and the Dow, Nasdaq, and S&P over 1% higher.

Among the big names making news in the market today were Rosetta Stone, JPMorgan Chase, Nokia, Southwest Airlines, Gannett, and General Growth.

Gold succumbed to selling pressure which was widespread across all of the metals in today’s session. Silver was hit particularly hard as the recent huge drawdown in Comex warehouse stocks came to an end (at least as of yesterday). Copper was derailed with the lower than expected Chinese GDP numbers undercutting recent bullish enthusiasm for the red metal while both platinum and palladium were weaker. With crude oil moving lower or at least unable to maintain its footing above the $50 level, gold simply ran out of friends today.

The technical picture for gold suffered a setback with its break under the 100 day moving average which has also taken it beneath the broken neckline of the head and shoulders topping pattern on the short term charts. Bulls have the onus upon them to hold prices near $880 and from setting back much further and threatening the $865 level. If they fail there, the bearish flag formation will be complete as well as bringing the head and shoulders pattern back into effect. That would give gold potential to move down to near $850. Failure there would target $816 - $820. About the best the bulls seem to be able to do right now is to keep it from falling further as they are unable to push it strongly enough to dislodge the sellers lurking overhead near the $910 level.

Gold just seems to be acting “tired” right now. Keep in mind that modern markets have now morphed into being all about momentum. Funds do not make money if prices do not move particularly to the upside. Once momentum stalls out, funds go and look for opportunities elsewhere. That is what we are seeing in gold for now. Generally when this sort of thing occurs and funds exit, the bullion banks have been the ones supplying the buying as they cover existing shorts into the fund selling. Physical market buying from India and other points to the mid and far East tend to reinforce the demand picture as buyers move in to take advantage of the lower prices. The key in determining whether gold will maintain its footing above its chart support levels is whether that buying is sufficiently large enough to offset investment side liquidation. One thing that clouds this picture somewhat is that the reported holdings of the big gold ETF, GLD, have remained unchanged at 1127 tons for the last three weeks. That is quite odd given the weakness in gold over this same period. One would expect to have seen those numbers drop off given the fact that open interest in Comex gold has fallen off nearly 40,000 contracts over that same period. Are the buyers of GLD, “sticky buyers”, who are long term holders and is the selling in gold a Comex phenomenon? I am simply not sure but it is difficult to envision gold falling much further if the GLD numbers do not drop off as they have generally done in years past during periods of gold price weakness. We’ll keep an eye on this for you.”- Dan Norcini, More at JSMineset.com

“June Gold closed down 13.7 at 879.8. This was 2.2 up from the low and 15.2 off the high.

May Silver finished down 0.545 at 12.255, 0.475 off the high and 0.09 up from the low.

The gold market ended up failing at a number of chart points on Thursday in the face of slack US economic readings, a two sided trade in equities and in the face of a generally strong US Dollar. With all the metals markets in a corrective posture and overall financial sector anxiety on the decline it is possible that a number of safe haven longs were stepping to the sidelines. With some analysts turning bearish toward gold stocks and the gold and silver markets clearly failing in their attempts to rally on Wednesday, one gets the sense that the washout today was off a combination of technical and fundamental considerations.

The silver contract started out weak, attempted to recover into the first set of US numbers but then saw a another liquidation wave in the early afternoon trade. With the Dollar higher, copper and platinum prices under pressure silver certainly wasn't getting any outside market support. In the end, the trade seemed to be thinking that slowing in the US economy was going to be entrenched but that the situation probably wouldn't get out of control. In short, not enough activity to maintain flight to quality interest and certainly not enough hope for growth to hold out for inflationary influences.”- The Hightower Report, Futures Analysis and Forecasting

Timberline’s (TLR) second quarter update, Eldorado’s (EGO) project update, Great Panther’s (GPR.TO) silver production, Bear Creek’s (BCM.V) acquisitions, Orko’s (OK.V) JV agreement clarification, Fortuna’s (FVI.V) road blockage, Aquiline’s (AQI.TO) updated mineral resource estimate, and Impact’s (IPT.V) record silver production and earnings 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.

Noront Resources signs historical compensation agreement with Marten Falls First Nation - More
- April 16, 2009 | Item | E-mail

International Kirkland Minerals Inc. Announces Terms of Debt Settlement and Private Placement - More
- April 16, 2009 | Item | E-mail

Matamec Issued Shares to Goldcorp Canada Ltd. and to Goldcorp Inc. - More
- April 16, 2009 | Item | E-mail

Golden Eagle Reports Recommencement of Operations at Jerritt Canyon Gold Mill - More
- April 16, 2009 | Item | E-mail

Taseko Initiates Copper Hedging Program to Secure Cash Flow for 2009 - More
- April 16, 2009 | Item | E-mail

Trinity Mining Holdings A.G. Announces the Discovery of a Potentially Very Important Gold-Silver Mineralized System in the Alto Chicama Gold District - More
- April 16, 2009 | Item | E-mail

Golden Peaks Resources Ltd - Cerro Delta Project - More
- April 16, 2009 | Item | E-mail

Boxxer Closes Fourth Tranche of Private Placement - More
- April 16, 2009 | Item | E-mail

Canadian Royalties/Nunavik Nickel Project Allammaq Update: Multiple High-Grade Sulphide Intercepts at Allammaq; Delineation Drilling Results Released - More
- April 16, 2009 | Item | E-mail

Timberline Provides Second Quarter Update On Drilling Services, Announces Contract Extension With Newmont Mining - "Pending completion of the quarterly review, preliminary results for the second fiscal quarter, ending March 31, 2009, for our two drilling subsidiaries indicate positive net cash flow and a forecast to roughly break even on revenues of $3.7-million. These figures are consistent with management's expectations given the number of drill rigs in operation during the quarter. The two subsidiaries currently have a total of 11 drill rigs in operation with additional rigs planned for near-term mobilization." More
- April 16, 2009 | Item | E-mail

2008 Drilling Significantly Increased Resource and Produces Improved Mine Plan and Agreements With Mitsubishi Materials Corporation Progressing - More
- April 16, 2009 | Item | E-mail

Eldorado Gold Corporation: Perama Hill Project Update - "Paul N. Wright, President and Chief Executive Officer of Eldorado Gold Corporation ("Eldorado" the "Company" or "we") (Toronto:ELD.TO - News)(AMEX:EGO - News)(NYSE Amex: EGO.A) is pleased to provide an update on the permitting and general development of the Perama Hill Project ("Perama Hill" the "Project") in Northern Greece. Eldorado operates in Greece through its 100% owned subsidiary, Thracean Gold Mining ("TGM")." More
- April 16, 2009 | Item | E-mail

Great Panther's Q1 Silver Production Up 17% on Record Ore Grades - "GREAT PANTHER RESOURCES LIMITED (Toronto:GPR.TO - News) (the "Company") reports an excellent start to 2009 with record silver ore grades at both of its 100% owned Mexican mines, Guanajuato and Topia, and record quarterly silver production from the Topia mine." More
- April 16, 2009 | Item | E-mail

Bear Creek announces acquisition of three new precious metals prospects, Peru - "Bear Creek Mining (TSX Venture: BCM - News; "Bear Creek" or the "Company") is pleased to announce the acquisition of 100% interests in three new gold/silver exploration targets located in southern Peru. In addition to its commitments towards advancing the Corani and Santa Ana deposits which together contain over 400 million ounces of silver in measured and indicated resources plus base metals credits, the Company continues to maintain aggressive generative exploration programs which have led to the discovery and acquisition of these prospects." More
- April 16, 2009 | Item | E-mail

CityView Announces Appointments to Its Advisory Board - More
- April 16, 2009 | Item | E-mail

Eagle Plains/Prize Mining Form Yellowjacket Joint-Venture - More
- April 16, 2009 | Item | E-mail

Millrock and Vale Exploration Canada Inc. Working at Galiuro Copper-Gold Project, Arizona - More
- April 16, 2009 | Item | E-mail

Canadian Arrow announces private placement of units - More
- April 16, 2009 | Item | E-mail

Eastmain Resources Inc: Eleonore South JV Project - More
- April 16, 2009 | Item | E-mail

Amseco Exploration Ltd. Announces an Option Agreement With Glen Eagle Resources Inc. - More
- April 16, 2009 | Item | E-mail

Azimut's partners fund a $1.6 million drilling program at Eleonore South - More
- April 16, 2009 | Item | E-mail

Yukon-Nevada Gold Corp. pours gold at Jerritt Canyon Gold Mine - More
- April 16, 2009 | Item | E-mail

TerraX Options Sunbeam-Pettigrew Gold Property, Atikokan Area, Northwest Ontario - More
- April 16, 2009 | Item | E-mail

Uranerz Reports Uranium Leaching Amenability - More
- April 16, 2009 | Item | E-mail

Midlands Minerals Reports a Much Wider Structural Continuous Gold Corridor on Sian-Ghana - More
- April 16, 2009 | Item | E-mail

Sage's Golden Extension Discovery-Surface Work Completed Drill Program for 2009 - More
- April 16, 2009 | Item | E-mail

Manicouagan Minerals Acquires Option to Earn Up to 70 Percent in Three Gold Exploration Properties in the Pickle Lake Area, Ontario - More
- April 16, 2009 | Item | E-mail

Raytec Agrees to Sell Uranium Asset - More
- April 16, 2009 | Item | E-mail

Colorado Goldfields Inc. Announces Pride of the West Mill Re-Activation Alliance - More
- April 16, 2009 | Item | E-mail

Western Copper Obtains Quartz Mining License for Carmacks Copper Project - More
- April 16, 2009 | Item | E-mail

Uruguay Mineral Exploration Inc. Announces Results for the Third Quarter of Fiscal Year 2009 - More
- April 16, 2009 | Item | E-mail

African Copper Plc: Press Release 16 April 2009 - More
- April 16, 2009 | Item | E-mail

Orko Silver Provides Clarification of Joint Venture Agreement - "Pan American Silver will contribute 100% of the necessary funds to develop La Preciosa to production to acquire 55% interest in the project. Orko Silver retains a 45% interest carried to production.

In addition, Pan American Silver is undertaking a private placement of 4,000,000 common shares of Orko at a purchase price of CDN $1.25 per share, with certain anti-dilution and pre-emptive rights to participate in future financings of Orko." More
- April 16, 2009 | Item | E-mail

Fortuna Reports Illegal Road Blockage at San Jose Project, Mexico - "Fortuna Silver Mines Inc. (TSX VENTURE:FVI - News; BVLAC:FVI) reports that a group of demonstrators, ranging from 10 to 50 persons, have illegally blocked the main access road to the San Jose del Progreso town and the Company's project. The majority of the people involved are from outside the immediate area of the project, and the demonstrators include only a small fringe group from the San Jose del Progreso community itself." More
- April 16, 2009 | Item | E-mail

Aquiline Resources Inc.: Navidad Measured and Indicated Mineral Resource Up 40% to 632 Million Oz Silver With 751 Million Oz Silver in All Categories - "Aquiline Resources Inc. ("Aquiline" or the "Company")(TSX:AQI - News) is pleased to report an updated mineral resource estimate ("Updated Resource Estimate") for the Navidad Silver Project in Chubut, Argentina. Snowden Mining Industry Consultants Inc. ("Snowden") estimate the Updated Resource Estimate to contain 632 million ounces of silver and 2.9 billion pounds of lead in the Measured and Indicated categories plus an additional 119 million ounces of silver and 580 million pounds of lead in the Inferred category (see table below)." More
- April 16, 2009 | Item | E-mail

IMPACT Silver Announces Record Silver Production and Earnings - "IMPACT Silver Corp. ("the Company" or "IMPACT") (TSX VENTURE:IPT - News) is pleased to announce record silver production of 635,668 ounces, up 82% from 348,949 ounces in 2007. Gross revenues for the fiscal year were $8,907,958, up 23% from $7,250,077 in 2007. These higher revenues were due to increased silver, lead and zinc production which more than offset lower realized prices (net of smelter costs) for silver, lead and zinc. Average mill throughput during the year ended December 31, 2008 was 280 tpd (tonnes per day), up from 274 tpd during 2007. By year end, production was primarily from the high grade mines of Chivo and San Ramon." More
- April 16, 2009 | Item | E-mail

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