-- Posted 20 August, 2009 | | Source: SilverSeek.com
| Close | Gain/Loss |
Gold | $940.25 | $-2.55 |
Silver | $13.89 | +$0.02 |
XAU | 144.22 | +0.94% |
HUI | 351.45 | +0.93% |
GDM | 1063.08 | +0.97% |
JSE Gold | 2325.37 | -2.92 |
USD | 78.39 | -0.13 |
Euro | 142.58 | +0.30 |
Yen | 106.21 | -0.11 |
Oil | $72.91 | -$0.92 |
10-Year | 3.435% | -0.028 |
T-Bond | 120.296875 | +0.4375 |
Dow | 9350.05 | +0.76% |
Nasdaq | 1989.22 | +1.01% |
S&P | 1007.37 | +1.09% |
The Metals:
Gold and silver saw slight gains in Asia and London before they fell shortly after 8AM EST and dropped to as low at $937.40 and $13.78 in early New York trade, but both metals then rallied back higher into the close and gold ended with a loss of just 0.27% while silver was able to end with gain of 0.14%.
Euro gold fell to about €660, platinum remained at $1235, and copper fell a couple of cents to about $2.74.
Gold and silver equities rose about 1% at the open and remained near their highs into the close.
The Economy:
Report | For | Reading | Expected | Previous |
Initial Claims | 8/15 | 576K | 550K | 561K |
Leading Indicators | July | 0.6% | 0.7% | 0.8% |
Philadelphia Fed | Aug | 4.2 | -2.0 | -7.5 |
Tomorrow at 10AM EST brings Existing Home Sales for July expected 5,000,000.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil fell on the jump in jobless claims that reignited worries over the economy and energy demand.
The U.S. dollar index ended lower while treasuries found slight gains as traders balanced today’s worse than expected jobs data with a better than expected Philadelphia fed reading.
The Dow, Nasdaq, and S&P rose about 1% in light trade on the better than expected Philadelphia fed reading.
Among the big names making news in the market today were Heinz, Hormel, Rio Tinto, Sears, and Barnes & Noble.
The Commentary:
“My Dear Friends,
You can take your waves, percentages, algorithms, quants and quarks and throw them directly into the basket. The time for lines and squiggles are behind us. The common shares of the US dollar are and have been in a long term downtrend. That downtrend is 81 days from implosion. The selling of the US dollar and US dollar instruments is increasing in international markets, making it ever more difficult to manipulate the popular US dollar index, the USDX.
The price of gold is all in the dollar, times 100.
The manipulators have built a fundamental spring into gold by their capping activities.
COT has cooked its own goose.
Where the price of gold is concerned, there is no other focus of interest as all points of interest have but one common denominator.
That entity is the US dollar.
The Fundamental illustration below is dollar flow momentum.
China holds in its hands the future of the category, “Foreign Purchasers of US bonds.”
China wishes the annihilation of the Fed policy of “Quantitative Easing.”
The Fed wishes to accommodate China.
The US Treasury is absolutely opposed to any such consideration as it would cement the present Administration into a one term wonder.
The US Treasury must win this battle because the boss of this opposition has the power to appoint the new Chairman of the Fed, either Summers or Geithner.
Political control of the US Fed and therefore of monetary policy is in the cards.
China as spokesman for the BRICs has publicly stated their desire for the institutions of a Super Sovereign Currency. This is not an intended as an immediate substitute for the dollar as a reserve currency but rather an alternative in new commitments.
Only the misinformed assume the desire for an SSCI is a desire for a total exchange of dollar reserves.
The desire of the BRICs and in truth all other major trading nations is for dollar diversification in order to break away from the dollar dictating their futures. It means a significant decrease in purchases of US dollar denominated instruments.
Selling is not required for substantial depreciation in a major currency.
Momentum collapse in buying is all that is required for a severe depreciation in any major currency.
The USA in all probability will not be able politically to deliver support for the SSCI, however political control of monetary policy is CERTAIN as the Fed cannot win this contest against the Administration in the form of the US Treasury.
Bernanke becomes a team player or a team player will replace him.
The later is becoming a probability as it is hard to trust a prior adversary.
The depreciating dollar was a tool of Roosevelt’s failed anti-deflation program that like monetary stimulation is believed to have been abandoned too soon in the 30s by Administration intellectuals. Because of this, the US dollar is out of the picture for serious Administration consideration other than as a sales issue on US treasuries.
It is my understanding that the BRIC countries, not China alone, have given the US until early November to deliver.
As a result of the above I see 81 days left for the US dollar.
The gold price has but one criteria and that is the US dollar. Armstrong and Alf are correct on the levels awaiting the gold price.
I know $1224 and $1650 are certain.”- Jim Sinclair, JSMineset.com
“December Gold closed down 3.1 at 941.7. This was 3.2 up from the low and 3.6 off the high.
December Silver finished up 0.004 at 13.913, 0.052 off the high and 0.088 up from the low.
The precious metals markets saw divergent action on Thursday and that typically hints at a lack of a consensus opinion. Not surprisingly the metals couldn't seem to come away from the scheduled data on Thursday with a definitive view on the economy. In fact, just after mid session the Dollar showed signs of weakening and with equities trying to favor the upside for most of the action on Thursday, the bull camp seemed to have a number of arguments in their court. However, noted weakness in a host of physical commodity markets on Thursday at times gave off the impression of a broad based liquidation event.
Like the gold market, the silver market waffled around both sides of unchanged but persistent weakness in copper prices seemed to tamp down the potential beneficial reaction to the favorable Philly Fed readings released in the morning trade. In the end, most physical commodity markets seemed to remain skeptical of the economy and perhaps a bit concerned about increased regulatory oversight.”- The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Chen Jiaxing: China must diversify forex, cleverly
Ted Butler: CFTC acts against concentrated positions
Peter Grant: Symmetrical triangle hints at breakout for gold
Could Zimbabwe show Africa how to find prosperity?
Adrian Douglas: GFMS cooks books to make gold look bad
The Statistics:
Activity from: 8/19/2009
Gold Warehouse Stocks: | 9,173,219 | +9,709 |
Silver Warehouse Stocks: | 117,433,615 | -49,804 |
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 | 1,065.49 | 34,256,690 | US$ 32,296m |
London Stock Exchange (LSE) AND Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse ) | Gold Bullion Securities | 127.82 | 4,109,671 | US$ 3,866m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 13.80 | 442,111 | US$ 417m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 43.70 | 1,405,070 | US$ 1,325m |
NASDAQ Dubai | Dubai Gold Securities | 0.16 | 5,000 | US$ 5m |
Note: Change in Total Tonnes from yesterday’s data: The LSE subtracted 0.22 tonnes.
COMEX Gold Trust (IAU)
Profile as of 8/19/2009 | |
Total Net Assets | $2,227,797,330 | Ounces of Gold
in Trust | 2,362,200.319 |
Shares Outstanding | 24,050,000 | Tonnes of Gold
in Trust | 73.47 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 8/19/2009 | |
Total Net Assets | $3,853,269,835 | Ounces of Silver
in Trust | 283,719,850.300 |
Shares Outstanding | 288,350,000 | Tonnes of Silver
in Trust | 8,824.67 |
Note: No change in Total Tonnes from yesterday’s data.
The Miners:
Almaden’s (AAU) dealt project, Timberline’s (TLR) received permit, Fronteer’s (FRG) project update, First Majestic’s (FR.TO) private placement tranche closing, Minco’s (MSV.TO) mine turnover, and Silver Standard’s (SSRI) drill results were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. New Gold | NGD+7.85% $3.71 |
2. Entree | EGI +7.53% $1.57 |
3. Fronteer | FRG +5.51% $3.83 |
LOSERS
1. Richmont | RIC -3.27% $2.66 |
2. Paramount | PZG-3.15% $1.23 |
3. Solitario | XPL -2.63% $1.85 |
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:
Almaden Deals Nicoamen Gold Project-Work Program Commences - "Almaden Minerals Ltd. (Almaden) (TSX:AMM - News)(AMEX:AAU - News) is pleased to announce that it has signed an option agreement with Fairmont Resources Inc. (Fairmont) for Almaden's Nicoamen River Gold Prospect in the Spences Bridge Gold Belt, British Columbia. Fairmont is a private company that plans to seek a listing on the TSX Venture Exchange." More
- August 20, 2009 | Item | E-mail
World Ventures Inc. - Starts Work on High-Grade Gold Vein Systems in Ontario, Canada, and Nevada USA. - More
- August 20, 2009 | Item | E-mail
UC Resources Ltd.: Private Placement Oversubscribed - More
- August 20, 2009 | Item | E-mail
Gold Summit and Canadian Lithium Corporation Reports Resumption of Fieldwork in Nevada - More
- August 20, 2009 | Item | E-mail
Full Metal and Kinross Acquire Gold-Silver Targets in Western Alaska; Drilling Commenced - More
- August 20, 2009 | Item | E-mail
Solitaire Minerals Corp. Adds to Board of Advisors - More
- August 20, 2009 | Item | E-mail
Gentor provides corporate update - More
- August 20, 2009 | Item | E-mail
Titan Uranium Inc. Announces 2nd Phase of 2009 Drill Campaign on Sand Hill Lake Project - More
- August 20, 2009 | Item | E-mail
First Majestic Silver Corp.: First Tranche of Non-Brokered Private Placement Closes - "First Majestic Silver Corp. (TSX:FR - News)(OTCQX: FRMSF)(Frankfurt:FMV - News)(WKN: A0LHKJ) (the "Company") is pleased to announce the closing of the first tranche of the non-brokered private placement (the "Offering") consisting of 3,499,000 units (a "Unit") at a price of CDN$2.30 per Unit for gross proceeds of CDN$8,047,700." More
- August 20, 2009 | Item | E-mail
High Desert Gold Continues to Develop Gold Targets at Artillery Peak, Arizona - More
- August 20, 2009 | Item | E-mail
Kent Acquires Lyell Gold Property - More
- August 20, 2009 | Item | E-mail
Marathon's Enhanced Resource: Metal, Grade and Tonnes Are All Up - More
- August 20, 2009 | Item | E-mail
Candev Announces Name Change to Del Toro Silver Corp. - More
- August 20, 2009 | Item | E-mail
Mitsubishi Closes On Purchase of 25% of Copper Mountain Project - More
- August 20, 2009 | Item | E-mail
Quebec Government Authorizes Construction of Osisko's Canadian Malartic Gold Mine - More
- August 20, 2009 | Item | E-mail
Golden Predator Acquires Alaska, British Columbia and Mexico Projects From Copper Ridge - More
- August 20, 2009 | Item | E-mail
Excel Gold Mining Inc. Announces New Pricing of Financing With the MineralFields Group - More
- August 20, 2009 | Item | E-mail
Tamerlane reports financial results for the three month period ended June 30, 2009 - More
- August 20, 2009 | Item | E-mail
Aurion Updates Activities - More
- August 20, 2009 | Item | E-mail
Wet'suwet'en & Lions Gate Metals Sign Memorandum of Understanding - More
- August 20, 2009 | Item | E-mail
Ucore Reports 15.6% TREO at New Zone, 97% of Which Are Heavy REE's - More
- August 20, 2009 | Item | E-mail
Arianne Announces Exploration Results From its Lac a Paul Phosphorus-Titanium Project - More
- August 20, 2009 | Item | E-mail
Sultan Minerals Intercepts 28 Feet of 0.18% WO3 and Resumes Drilling on Its Jersey-Emerald Property, B.C. - More
- August 20, 2009 | Item | E-mail
Olympus Receives an Extended Mining Licence at Phuoc Son - More
- August 20, 2009 | Item | E-mail
Noront Resources appoints Alex Davidson, Director - More
- August 20, 2009 | Item | E-mail
UC Hub Group Signs Letter of Intent for $1 Million in Funding With R&J Investments Ltd. - More
- August 20, 2009 | Item | E-mail
Network to commence work program in Yukon - More
- August 20, 2009 | Item | E-mail
Paget Minerals Corp.: Mt. Dunn Cu-Au and Troitsa Au-Ag (Cu-Mo) Projects, British Columbia Exploration Update - More
- August 20, 2009 | Item | E-mail
Hawthorne Commences Mining of Bulk Sample from Taurus - More
- August 20, 2009 | Item | E-mail
Lydian Centralizes Head-Office Close to European Operations in Jersey-Opens Business Development Office in Toronto - More
- August 20, 2009 | Item | E-mail
Solex Resources Announce Further Extension to Non-brokered Private Placement Closing - More
- August 20, 2009 | Item | E-mail
AuEx Ventures, Inc.: Long Canyon Gold Deposit Moves Forward - More
- August 20, 2009 | Item | E-mail
Genco Appoints New Chairman to the Board of Directors - More
- August 20, 2009 | Item | E-mail
Minco Silver Announces Turnover of the Sunshine Mine - "Minco Silver Corporation (the "Company" or "Minco Silver") (TSX:MSV - News) is pleased to announce the turnover of the Sunshine Mine and wishes to respond to the various news releases and media statements and interviews by SNS Silver Corp. ("SNS") and Sunshine Precious Metals, Inc. ("SPMI") and provide an update on Sterling Mining Company ("Sterling"), its bankruptcy and the status of the Sunshine Mine." More
- August 20, 2009 | Item | E-mail
Timberline Receives Permit to Begin Development At Its Butte Highlands Gold Project - "Timberline Resources Corporation (NYSE Amex:TLR) ("Timberline") today is pleased to announce that it has received its Amended Exploration Permit from the Montana Department of Environmental Quality (DEQ). This permit authorizes the company to proceed with its underground development and exploration activities as a pre-cursor to production at its Butte Highlands Gold Project." More
- August 20, 2009 | Item | E-mail
Fronteer Provides Global Update on Its Development-Stage Gold Projects - "Fronteer Development Group Inc. (TSX:FRG - News)(AMEX:FRG - News) announces today an update on recent advancements and near-term milestones at its development-stage gold projects comprising the company's future production platform in Nevada, as well as Aurora Energy Resources Inc.'s Michelin uranium project in Labrador, Canada." More
- August 20, 2009 | Item | E-mail
Silver Standard Resources Inc.: Snowfield Drilling Reveals New Zone - "Silver Standard Resources Inc. (TSX:SSO - News)(NASDAQ:SSRI - News) is pleased to report that diamond drilling at its wholly-owned Snowfield Project continues to deliver wide intersections of gold-copper mineralization in the Snowfield Zone and, in the southern part of the large property, the discovery of the Bridge Zone and expansion of previously defined gold mineralization." More
- August 20, 2009 | Item | E-mail
- Chris Mullen, Gold Seeker Report
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-- Posted 20 August, 2009 | |
