Gold Seeker Closing Report: Gold and Silver Gain Nearly 1% and 2%

	Close	Gain/Loss
Gold	$935.10	+$8.30
Silver	$13.49	+$0.23
XAU	142.97	+2.88%
HUI	344.49	+2.73%
GDM	1051.16	+2.60%
JSE Gold	2283.55	+32.59
USD	79.33	-0.19
Euro	140.66	+0.22
Yen	104.73	-0.47
Oil	$66.92	+$3.57
10-Year	3.641%	-0.023
T-Bond	117.046875	+0.578125
Dow	9154.46	+0.92%
Nasdaq	1984.30	+0.84%
S&P	986.75	+1.19%

Gold and silver rose about 1% in Asia and London and then extended their gains in morning New York trade to as high as $936.85 and $13.57 by about 11AM EST before they fell back off a bit in the last couple of hours of trade, but gold still ended with a gain of 0.90% while silver closed with a gain of 1.73%.

Euro gold rose to about €664, platinum gained $19.50 to $1178.50, and copper rose over 8 cents to about $2.56.

Gold and silver equities rose nearly 4% by late morning before they fell back off a bit into the close, but they still ended with almost 3% gains on the day.

Report	For	Reading	Expected	Previous
Initial Claims	7/25	584K	575K	559K

Tomorrow at 8:30AM EST brings second quarter GDP expected at -1.5%. Core PCE is expected at 2.4%, the Chain Deflator is expected at 1.0%, and the Employment Cost Index is expected at 0.3%. At 9:45 is Chicago PMI for July expected at 42.0.

Oil climbed over 5% while the U.S. dollar index fell as better than expected earnings reports rejuvenated hopes over the economy and sent the Dow, Nasdaq, and S&P about 1% higher on the day.

Treasuries rose after today’s $28 billion 7-year note auction capped off a record high week of the government’s issuance of $115 billion of debt and actually went pretty well. The bid-to cover ratio of 2.63 was better than the recent average of 2.4 and the high yield of 3.369% was also pretty good, but indirect (foreign) buying was a little week.

Among the big names making news in the market today were Kellogg, Sony, Sharp, Nintendo, Exxon, Dow Chemical, Cablevision, Tyco, Symantec, Yahoo, MasterCard, and Motorola.

The dollar rallied in terms of the USDX yesterday, and the Euro came under pressure as Goldman Sachs repudiated a longstanding Euro buy and hold recommendation by issuing a sell Euro recommendation as the 5 year US Treasury bond auction went sour.

Logic has nothing to do with day to day trading. We all know the games that are played by big money interests with their lightening fast privileged information, goosed bids and offers, market manipulation (just in case you did not know exactly what that is all about) plus gold and silver market bravado bids and offerings to force price and neither buy or sell quantity.

Let’s look at the logic of yesterday, forgetting the manipulative market intervention.

If you were to believe the market, you run out and BUY the US dollar to avoid risk BECAUSE MAJOR INTERNATIONAL INTERESTS WERE NO LONGER INTERESTED IN ACCUMULATING MAJOR ADDITIONAL DOLLAR DEBT ITEMS WHICH EQUATE TO THE DOLLAR ITSELF BEARISHLY. That is SIMPLE LOGICAL supply versus demand reasoning.

Keep in mind that if Bernanke does not support these US Treasury bond auctions without limit via QE, Bernanke whose term is coming up, is out, the Fed is a relic, and QE will support the auctions.

Chairman Bernanke’s decision is to either go full blast with QE or go back to teaching at Princeton while having chaired the demise of the Federal Reserve.

Bernanke will have chaired the demise of the Federal Reserve and its transition into something with teeth like the Department of Commerce plus an office for two lower level employees acting as financial traffic cops.”- Jim Sinclair, JSMineset.com

The CCI (Continuous Commodity Index) bounced from near the 50% retracement level of its move up from the December low as money flooded back into the commodity sector after that same money flooded out of it yesterday. The idiocy and madness continues unabated it seems. Trying to read too much into any one day’s price action has become the sport of fools so let’s not get snared in that net. Rather let’s try to use the longer term charts to see if we can see how the battle between the deflationists and the inflationists is faring.

Obviously with crude oil and copper soaring, gold was not going to stay down today, and with the equities continuing their orchestrated low volume move higher, the good times were here again in the minds of the hedgies, or better yet, their trading algorithms which were busy jettisoning everything that looked remotely like a commodity yesterday.

The grain pits, led by the soybean market, tore higher today as news of Chinese buying set a fire under those markets. When you get a combination of the energy markets (crude and natural gas) moving higher alongside the grains, you are not going to get serious selling pressure in gold outside of the bullion banks as nearly all of the spec funds will be buying.

I marvel at the copper market which is flirting once again with its highs made just a few days ago having quickly shrugged off the weakness of the past two days. It is difficult to argue with the trend in there but it sure makes once wonder if that market either knows something that the rest of us do not or if it is beginning to get ahead of itself.

Bonds – well, they are becoming almost completely unpredictable… down sharply at one point on the surging commodity markets and higher equities only to miraculously come soaring back after news that the auction on 7 years went very well (at least that is what we are supposed to believe). Apparently some feel that yields are at decent levels and want to own them but who really knows what games are being played in that market behind the scenes. There is simply way too much government intervention in the bonds with QA buys and such taking place to know how strong demand really is.

Gold managed to climb back above support down near the $932-$930 level which gave way yesterday. That is a good sign but I will not rest easier until price gets back above $940 and remains there. Only then can one say that the bears’ advantage has been lost. For now, $930 is a key support level that must remain intact to keep price from dropping down below $920. Only a climb back above $950 turns the tide in the favor of the bulls.

Open interest shows that the longs are indeed being forced out in gold with bullion bank short covering occurring.”- Dan Norcini, More at JSMineset.com

“August Gold closed up 7.7 at 934.9. This was 3.7 up from the low and 2 off the high.

September Silver finished up 0.227 at 13.485, 0.095 off the high and 0.1 up from the low.

The gold market was lifted off a number of different angles on Thursday. However, the bear camp might suggest that given the number of bullish issues in the headlines, the magnitude of the gains wasn't that impressive. Clearly renewed weakness in the Dollar was the main factor serving to lift gold prices today, but seeing a number of US equity market measures reach new highs for the year seemed to foment talk of economic revival and that is typically supportive to gold prices. With an equally sharp recovery rally in energy prices, there was a long list of very supportive outside market moves for the gold bulls to embrace.

The silver market clearly seemed to embrace its physical commodity market standing with the gains posted on Thursday. However, silver probably saw just as much support coming from the reversal in the Dollar and the range up extension in the US equity markets. While the scheduled US data Thursday morning wasn't definitively positive, the sharp rally in the equity markets seemed to make the outlook for recovery a more likely outcome in the months ahead. With key central banks recently promising to leave easy money policies in place, the presence of macro economic optimism might have sparked some fleeting ideas of inflation.”- The Hightower Report, Futures Analysis and Forecasting

Note: Change in Total Tonnes from yesterday’s data: SPDR subtracted 10.38 tonnes.

IAMGOLD’s (IAG) base shelf prospectus, Richmont’s (RIC) second quarter results, Centerra’s (CG.TO) second quarter results, Seabridge’s (SA) updated PEA, Barrick’s (ABX) second quarter results, and Lihir’s (LIHR) second quarter production report 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.

Majescor Resources Inc.: Shares Issued to SIDEX - More
- July 30, 2009 | Item | E-mail

Ecometals Year End Audited Financial Statements - More
- July 30, 2009 | Item | E-mail

Pancontinental Uranium Corporation: Exploration Update at Chilling and Charley Creek Projects; Additional Property Applications for Both Projects - More
- July 30, 2009 | Item | E-mail

Brookmount Explorations, Inc. Retains Todd D. Sonoga and Steve Bauer to Lead Investor and Public Relations Efforts - More
- July 30, 2009 | Item | E-mail

Metalex - White Pine - Arctic Star intend to resume work in the Ring of Rire area, James Bay lowlands, Ontario - More
- July 30, 2009 | Item | E-mail

Century Mining Secures Term Sheet For A US$25 Million Prepaid Gold Facility And Appoints Union Securities Ltd. To Raise C$20 Million Equity - More
- July 30, 2009 | Item | E-mail

SIRIOS RESOURCES INC.: Update Report on Exploration Programs, James Bay, Quebec - More
- July 30, 2009 | Item | E-mail

Coro Announces Management Changes and Provides Update on San Jorge Project - More
- July 30, 2009 | Item | E-mail

IAMGOLD Files Final Base Shelf Prospectus - "IAMGOLD Corporation ("IAMGOLD" or "the Company")(TSX:IMG - News)(NYSE:IAG - News)(BOTSWANA: IAMGOLD) today announced it has obtained receipt for a final short form base shelf prospectus further to its filing of a preliminary short form base shelf prospectus previously announced on July 13, 2009. The filing of a base shelf prospectus will allow the Company to make offerings of shares, warrants, debt securities, subscription receipts or any combination thereof of up to US$700 million during the next 25 months." More
- July 30, 2009 | Item | E-mail

Conway Resources Completes First $145,000 Tranche of $450,000 Private Placement - More
- July 30, 2009 | Item | E-mail

Luna Gold hires Chief Financial Officer - More
- July 30, 2009 | Item | E-mail

Ur-Energy's 2009 Lost Creek Drilling Program Resumes - More
- July 30, 2009 | Item | E-mail

Acadian Mining announces third closing of private placement for $1 million - More
- July 30, 2009 | Item | E-mail

Mitsubishi Signs Definitive Agreements to Join Copper Mountain Project - More
- July 30, 2009 | Item | E-mail

Orvana Urges Kinbauri Shareholders to Tender to Its All-Cash Offer Which Expires Tomorrow, July 31, 2009 - More
- July 30, 2009 | Item | E-mail

Azimut announces the closing of a $250,000 private financing - More
- July 30, 2009 | Item | E-mail

Energy Fuels Announces Additional DOE Lease Acquisitions, Positive Drilling Results, and Grant of Options - More
- July 30, 2009 | Item | E-mail

Cortez Closes $1M Financing - More
- July 30, 2009 | Item | E-mail

Mishkeegogamang First Nation Signs Exploration Memorandum of Understanding with MetalCORP Limited - More
- July 30, 2009 | Item | E-mail

Century Mining Secures Term Sheet For A US$25 Million Prepaid Gold And Appoints Union Securities Ltd. To Raise C$20 Million Equity - More
- July 30, 2009 | Item | E-mail

Murgor releases preliminary results from the Fancamp Gold Property; North-western Quebec - More
- July 30, 2009 | Item | E-mail

Lake Victoria Mining Company Announces-Kilimanjaro Mining Company to Acquire the Heart of the Singida "Gold Rush" District, Tanzania - More
- July 30, 2009 | Item | E-mail

Thundermin Appoints Chief Financial Officer - More
- July 30, 2009 | Item | E-mail

Kilimanjaro Mining Company to Acquire the Heart of the Singida "Gold Rush" District, Tanzania - More
- July 30, 2009 | Item | E-mail

Hinge Drilling Update -- Multiple High Grade Zones Extending to Depth - More
- July 30, 2009 | Item | E-mail

Metanor Goes Underground: Targets the High Grade Ore at Bachelor Lake - More
- July 30, 2009 | Item | E-mail

Fjordland, Cariboo Rose and Gold Fields Execute Definitive Agreement on Woodjam "North" Gold-Copper Project, British Columbia - More
- July 30, 2009 | Item | E-mail

Louvem Mines Reports its 2009 Second Quarter Results - More
- July 30, 2009 | Item | E-mail

Paladin Energy Ltd: Quarterly Activities Report for Period Ending-30 June 2009 - More
- July 30, 2009 | Item | E-mail

Clifton Star Resources Releases Complete Drill Results for 2009 - More
- July 30, 2009 | Item | E-mail

Update on Zazu's 3.3 Billion Lbs Indicated Zinc Resource Lik South Deposit - More
- July 30, 2009 | Item | E-mail

Tirex Announces and Completes Major Land Expansion of the Mirdita District - More
- July 30, 2009 | Item | E-mail

Cariboo Rose, Fjordland and Gold Fields Execute Definitive Agreement on Woodjam "North" Gold-Copper Project, British Columbia - More
- July 30, 2009 | Item | E-mail

USCorp Announces Updated Website - More
- July 30, 2009 | Item | E-mail

Wallbridge Mining Confirms Conductor In Parkin Offset Dyke - More
- July 30, 2009 | Item | E-mail

Consolidated Thompson Announces Changes as It Transforms to a Quebec Based Iron Ore Producer - More
- July 30, 2009 | Item | E-mail

Intrepid Mines Limited: Tujuh Bukit Project, Indonesia - More
- July 30, 2009 | Item | E-mail

African Copper Plc: AGM Presentation - More
- July 30, 2009 | Item | E-mail

Minera Andes to file amended and restated financial statements - More
- July 30, 2009 | Item | E-mail

Consolidated Thompson to Hold Investor Conference Call on July 30, 2009 at 8:30 A.M. (Toronto Time) - More
- July 30, 2009 | Item | E-mail

Richmont Mines Reports its Results for the Second Quarter of 2009 - "Revenue for the second quarter of 2009 was $15.7 million, relatively similar to the $16.2 million in revenue for the second quarter of 2008. However, during the second quarter of 2009, 13,250 ounces of gold were sold at an average price of US$891 (CAN$1,075) per ounce, compared with 17,111 ounces of gold sold at an average price of US$853 (CAN$909) per ounce for the same period last year." More
- July 30, 2009 | Item | E-mail

Centerra Gold Reports Second Quarter Results - "Centerra Gold Inc. (TSX:CG - News) today reported a second quarter loss before unusual items of $30.3 million or $0.14 per common share based on revenues of $104.3 million compared to earnings before unusual items of $13.8 million or $0.06 per common share on revenues of $142.6 million in the same quarter of last year." More
- July 30, 2009 | Item | E-mail

Updated Preliminary Economic Assessment Completed for Seabridge's KSM Project - "Similar to the 2008 study, the updated PEA envisages a large tonnage open-pit mining operation at 120,000 metric tonnes per day of mill feed to a flotation mill which would produce a combined gold/copper/silver concentrate for transport by truck or pipeline to the nearby deep-sea port at Stewart, B.C. A separate molybdenum concentrate and gold-silver dore will also be produced at the processing facility." More
- July 30, 2009 | Item | E-mail

Barrick Earns $492 Million ($0.56 Per Share): Cash Flow Rises 42% to $718 Million - "Barrick Gold reported net income of $492 million ($0.56 per share) compared to $485 million ($0.56 per share) in Q2 2008. Adjusted net income of $431 million ($0.49 per share)(1) compares to $442 million ($0.51 per share) in the prior year period. Operating cash flow rose 42% to $718 million in the second quarter compared to $505 million in the same prior year period." More
- July 30, 2009 | Item | E-mail

LGL's (Lihir Gold) Second Quarter Fiscal 2009 Production Report - "Lihir Gold Ltd (TSX:LGG - News)(ASX:LGL - News)(NASDAQ:LIHR - News) ("LGL") ("the Company") is pleased to announce the release of its production results for the three month period ended June 30, 2009.

In summary, a strong June quarter has enabled the Company to achieve record half year gold output of 612,000 ounces, compared to 566,000 ounces in the preceding six months." More
- July 30, 2009 | Item | E-mail

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