-- Posted 20 May, 2009 | | Source: SilverSeek.com
| Close | Gain/Loss |
Gold | $936.50 | +$10.25 |
Silver | $14.25 | +$0.135 |
XAU | 147.82 | +5.15% |
HUI | 367.98 | +5.18% |
GDM | 1119.12 | +5.26% |
JSE Gold | 2599.33 | +92.19 |
USD | 81.14 | -0.84 |
Euro | 137.75 | +1.50 |
Yen | 105.56 | +1.38 |
Oil | $62.04 | +$1.94 |
10-Year | 3.202% | -0.041 |
T-Bond | 122.453125 | +0.765625 |
Dow | 8422.04 | -0.62% |
Nasdaq | 1727.84 | -0.39% |
S&P | 903.47 | -0.51% |
The Metals:
Gold and silver saw modest gains in Asia and London and then jumped even higher after 9AM EST in New York to rise as high as $940.06 and $14.37 by a little after 10AM before they fell back off a bit into the close, but they still ended with gains of 1.11% and 0.96%.
Euro gold climbed near €680, platinum gained $5.50 to $1140.50, and copper gained nearly 4 cents to about $2.11.
Gold and silver equities rose over 5% in the first hour of trade and remained near their highs into the close. All three indices rose to their highest levels since August and September of 2008.
The Economy:
FOMC minutes from the fed’s April 29th meeting showed that members see growth in the second half of this year with expectations of low inflation. They also noted a potential need for more asset purchases and that had many bond and currency traders talking.
U.S. May Strip SEC of Powers in Regulatory Overhaul Bloomberg
Geithner Says Toxic-Asset Plan to Start in Six Weeks Bloomberg
Tomorrow at 8:30AM EST brings Initial Jobless Claims for 5/16 expected at 640,000 and at 10AM are Leading Economic Indicators for April expected at 0.6% and the Philadelphia Fed survey for May expected at -20.0.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil topped $62 and reached a new 6 month high after crude inventories dropped 2.1 million barrels, gasoline inventories fell 4.3 million barrels, distillates rose 600,000 barrels, and refinery utilization fell 1.9% to 81.8%. Prices pared a bit by the close from those mid-session highs, but oil still ended nicely higher as traders looked forward to potential signs of rising demand during this upcoming long holiday weekend.
With little news to react to, the U.S. dollar index plummeted in recognition of the basic fundamentals of a market in which the government is printing endless amounts of the fiat notes. The dollar dropped even further following the revelation in the fed’s minutes that they may choose to purchase more assets. That statement also sent treasuries higher while the Dow, Nasdaq, and S&P erased early gains and ended lower on persistent worries over the economy and the banking sector.
Among the big names making news in the market today were Toyota, BJ’s, Deere, Target, Bank of America, Toll, and Ion Media.
The Commentary:
“Dear CIGAs,
Gold is a currency. In fact gold is the ultimate currency. It cannot be expanded to meet the needs of politicians as can paper currency.
Under .8200 the wheels of hyperinflation start to turn.
Under .7200 the impact of hyperinflation is in Main Street.
Under .5200 Zimbabwe Economics reaches the USA.
Gold and the USD as trend events are attached inversely at the hip. Hedge funds have played with that relationship but cannot change it.
Central Banks have NO tools that can drain the liquidity that has been injected into the INTERNATIONAL system over the last two years. Those in Europe that have been more conservative will be less effected even thought they are now derided for their heel dragging.
Asia will rule the economic world.”- Jim Sinclair, JSMineset.com
“June Gold closed up 10.7 at 937.4. This was 9.4 up from the low and 3.6 off the high.
July Silver finished up 0.155 at 14.28, 0.11 off the high and 0.085 up from the low.
The gold market probably surprised the trade with its range up extension on Wednesday. However, the gold bulls seemed to have a number of bullish themes to choose from during the trade with a sharply lower Dollar and perhaps even inflation cited as possible bull forces. In fact, seeing the highest crude oil price since November 17th probably fostered some players to speculate on a return of inflationary conditions. For most of the trading session Wednesday, the gold market saw positive equity market action and that probably created an environment that was capable of fomenting inflationary expectations. With freight index pricing showing significant upside action on Wednesday there were a number of different inflation angles.
With the July silver contract managing to reach the highest level since February 24th and those gains coming in the face of strength in the equity markets, one gets the sense that silver and gold have abandoned the flight to quality angle and are attempting to embrace a "reflation" theme. With a host of physical commodities strong and the US Dollar coming under intense pressure, the silver market might have been caught up in a broad based buying wave.”- The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
MineWeb cites GATA and raises confiscation question
Swiss gold ETF: Paranoia premium or plain expensive?
Thom Calandra: No Wits end in sight
The Statistics:
As of close of business: 5/20/2009
Gold Warehouse Stocks: | 8,513,091 | -97 |
Silver Warehouse Stocks: | 119,808,518 | +281,096 |
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 | 1,105.62 | 35,546,729 | US$ 32,865m |
London Stock Exchange (LSE) AND Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse ) | Gold Bullion Securities | 134.11 | 4,311,641 | US$ 4,050m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 13.50 | 433,164 | US$ 408m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 30.80 | 990,149 | US$ 915m |
NASDAQ Dubai | Dubai Gold Securities | 0.16 | 5,000 | US$ 5m |
Note: Change in Total Tonnes from yesterday’s data: The LSE added 1.25 tonnes.
COMEX Gold Trust (IAU)
Profile as of 5/19/2009 | |
Total Net Assets | $2,053,234,945 | Ounces of Gold in Trust | 2,217,048.759 |
Shares Outstanding | 22,550,000 | Tonnes of Gold in Trust | 68.96 |
Note: Change in Total Tonnes from yesterday’s data: 0.61 tonnes were added to the trust.
Silver Trust (SLV)
Profile as of 5/19/2009 | |
Total Net Assets | $3,724,455,208 | Ounces of Silver in Trust | 268,400,195.900 |
Shares Outstanding | 272,450,000 | Tonnes of Silver in Trust | 8,348.18 |
Note: No change in Total Tonnes from yesterday’s data.
The Miners:
Gold Fields’ (GFI) shut mine, Royal Gold’s (RGLD) reserve increases, ITH’s (THM) received proceeds, Revett’s (RVM.TO) first quarter results, MAG’s (MVG) metallurgical recoveries, and Minco’s (MSV.TO) court ruling were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Solitario | XPL+15.19% $1.555 |
2. Nevsun | NSU +12.00% $1.40 |
3. Eldorado | EGO+10.82% $9.22 |
LOSERS
1. Mines MGMT | MGN -10.20% $1.32 |
2. International Royalty | ROY -4.99% $3.43 |
3. Aurizon | AZK -4.77% $4.19 |
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:
Dr. Tony Harwood steps down as President and Chief Executive of Africo - More
- May 20, 2009 | Item | E-mail
Denison Announces the Appointment of James Gill as Chairman and Ron Hochstein as CEO - More
- May 20, 2009 | Item | E-mail
Amador Gold Corp. Samples 17.3, 19.68 and 22.72 g/t Gold on Horwood Property - More
- May 20, 2009 | Item | E-mail
GWR resumes drilling at Lac La Hache - More
- May 20, 2009 | Item | E-mail
Richmond Options Lac Colombet Copper Property to Vendome - More
- May 20, 2009 | Item | E-mail
Revett Minerals Reports First Quarter 2009 Results - "We are extremely proud of what we have been able to accomplish during the last three months. In addition to improving production and reducing operating costs in Q1, we've been able to streamline our corporate structure and have shown we are adaptable in this challenging economy." More
- May 20, 2009 | Item | E-mail
Coniagas Resources Announces Private Placement and Acquisition of Additional Lithium Properties - More
- May 20, 2009 | Item | E-mail
Orex Provides Shareholders With Corporate Update - More
- May 20, 2009 | Item | E-mail
SEMAFO and Burkina Faso Partner to Develop Solar Power Station - More
- May 20, 2009 | Item | E-mail
Gold Canyon and Shoreham Form Joint Venture on Favourable Lake Property - More
- May 20, 2009 | Item | E-mail
Royal Gold Announces Substantial Reserve Increases and Production Forecasts Associated With Its Royalty Interests - "ROYAL GOLD, INC. (Nasdaq: RGLD - News; TSX: RGL - News), a leading precious metals royalty company, today announced updated estimates for ore reserves, additional mineralization, and calendar 2009 production forecasts for its royalty portfolio. Updated reserves, additional mineralization and production estimates, as of December 31, 2008, are provided to the Company by the operators of its royalty properties or have been obtained by Royal Gold through publicly available information." More
- May 20, 2009 | Item | E-mail
Asia Now Continues Drilling the Key Mineralization Zones at Beiya and Habo - More
- May 20, 2009 | Item | E-mail
Golden Hope Releases Progress Report on Timmins Gold Deposit - More
- May 20, 2009 | Item | E-mail
Largo Options the Campo Alegre De Lourdes Iron-Titanium-Vanadium Project in Bahia, Brazil - More
- May 20, 2009 | Item | E-mail
Gold Fields shuts Kloof mine after workers killed - "Gold Fields (GFIJ.J: Quote), the world's fourth biggest gold producer, on Wednesday said it had been asked by authorities to shut its Kloof mine in South Africa after workers were killed in separate seismic events." More
- May 20, 2009 | Item | E-mail
Bannerman Confirms Formal Renewal of Etango Project Exploration Licence - More
- May 20, 2009 | Item | E-mail
African Copper Announces Delisting from the Toronto Stock Exchange - More
- May 20, 2009 | Item | E-mail
International Tower Hill Mines Ltd. Receives Proceeds of $23,114,288 from Warrant/Broker Option Exercises - "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 received a total of CAD 23,114,288 from the exercise of 7,753,385 warrants, broker options and broker warrants that expired May 9, 2009." More
- May 20, 2009 | Item | E-mail
Apoquindo Signs Option With Soquimich for 7,760 ha Surrounding Apoquindo Copper Oxide Project Antofagasta Region, Chile - More
- May 20, 2009 | Item | E-mail
Bannerman Drilling Update Broad Higher Grade Results at Etango - More
- May 20, 2009 | Item | E-mail
Volta Announces Reverse Circulation Drill Program at its Kampti Gold Project in Burkina Faso - More
- May 20, 2009 | Item | E-mail
U3O8 Corp. Cuts 8 Metres of 0.119% (2.4 Pounds Per Short Ton) U3O8 at Accori North C - More
- May 20, 2009 | Item | E-mail
Nebu Resources Completes Private Placement - More
- May 20, 2009 | Item | E-mail
Duran Ventures Reports Sample Results With Up to 6.35 g Gold and 1,642.0 g Silver (52.8 oz/t) From Corongo Properties - More
- May 20, 2009 | Item | E-mail
MetalCORP/Trelawney Dorset Joint Venture Moving Ahead Toward Bulk Sample - More
- May 20, 2009 | Item | E-mail
Alexis Intersects New High Grade Precious Metal Mineralization-Grading Up to 14.93 Ounces Silver, 0.28 Ounces Gold Per Ton - More
- May 20, 2009 | Item | E-mail
Tribute Announces Private Placement - More
- May 20, 2009 | Item | E-mail
B2Gold Corp.: Kupol East and West Moroshka Basin Drill Results and New Vein Discovery - More
- May 20, 2009 | Item | E-mail
Vantex Resources Ltd/Galloway: 0,503 g/t Au Over 284,50 Meters - More
- May 20, 2009 | Item | E-mail
Probe Mines Enters Into Joint Venture Agreement With Noront Resources in McFauld's Lake Area - More
- May 20, 2009 | Item | E-mail
Centamin Egypt Limited Drilling Update - More
- May 20, 2009 | Item | E-mail
Uranium Energy Corp Receives Production Area-1 Draft Authorization at Goliad - More
- May 20, 2009 | Item | E-mail
White Mountain Extends Pilot Plant Program to Include the Recovery of By-Product Feldspar From the Cerro Blanco Titanium Project. - More
- May 20, 2009 | Item | E-mail
MAG Silver Reports Excellent Metallurgical Recoveries - "MAG Silver Corp. (Toronto:MAG.TO - News)(MVG - News) ("MAG") reports on behalf of Minera Juanicipio SA, a 56/44 joint venture between Fresnillo plc ("Fresnillo") and MAG, preliminary metallurgical results of combined recoveries in the lead, zinc and pyrite (iron) concentrates are: 96% of the Silver; 88% of the Gold; 90% of the Lead and 82% of the Zinc." More
- May 20, 2009 | Item | E-mail
Minco Silver Announces Court Ruling on Sunshine Mine Lease - "Minco Silver Corporation (the "Company" or "Minco Silver") (Toronto:MSV.TO - News) announces that on May 15, 2009 the US Bankruptcy Court, District of Idaho (the "Court") released its Memorandum of Decision on Sterling Mining Company's ("Sterling") motion to assume and cure the lease of the Sunshine Mine of June 6, 2003 (the "Sunshine Lease") between Sterling and Sunshine Precious Metals, Inc. ("SPMI") and a motion to approve a post petition financing proposed by Minco Silver." More
- May 20, 2009 | Item | E-mail
- Chris Mullen, Gold Seeker Report
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-- Posted 20 May, 2009 | |