Gold Seeker Closing Report: Gold and Silver Gain Over 1% While Dollar Resumes Slide

	Close	Gain/Loss
Gold	$1013.20	+$10.30
Silver	$17.10	+$0.26
XAU	169.86	+2.31%
HUI	427.81	+2.45%
GDM	1272.05	+2.21%
JSE Gold	2521.19	+26.36
USD	76.07	-0.67
Euro	147.94	+1.15
Yen	109.69	+1.00
Oil	$71.55	+$1.84
10-Year	3.456%	-0.031
T-Bond	120.96875	+0.28125
Dow	9829.87	+0.52%
Nasdaq	2146.30	+0.39%
S&P	1071.66	+0.66%

Gold saw slight gains in Asia, rose about 1% in London, and climbed to as high as $1019.65 to see a gain of $16.75 by about 9:30AM EST in New York before it fell back off a bit into the close, but it still ended with a gain of 1.03%. Silver followed a similar patter and saw a gain of $0.45 at $17.29 by about 9AM EST in New York before it also fell back off a bit into the close, but it still ended with a gain of 1.54%.

Euro gold rose to about €685, platinum gained $12 to $1328, and copper gained 6 cents to about $2.85.

Gold and silver equities rose over 3% at the open and remained near that level for most of the morning before they fell back off a bit in early afternoon trade, but they still ended with over 2% gains.

Report	For	Reading	Expected	Previous
FHFA US Housing Price Index	July	0.3%	0.5%	0.1%

Tomorrow at 2:15PM is the fed’s rate decision that is expected to leave the fed funds rate unchanged at its record low range of 0.00% to 0.25%, but there could be announced some minor changes to some of the fed’s other recently invented policies.

Oil climbed back over $71 a barrel as the U.S. dollar index slid back off to a new one year low against the euro on renewed doubts over whether or not the fed and G20 meetings will do anything to help strengthen the currency to help halt its ongoing 8 year slide.

Treasuries fell slightly as the Dow, Nasdaq, and S&P followed commodities and other high yielding assets higher.

Among the big names making news in the market today were Lowe’s, Bank of America, Ford, Dell, ConAgra, and CarMax.

“Kerplunk” – that awful sound was the Dollar wiping out the all the meager gains of the previous two trading sessions and then some. It managed to avoid crashing through the low from Thursday of last week but just barely. Should that level give way on a closing basis, it is very likely that we will see 74 on the USDX and $1,030+ on gold.

I am a bit surprised to see such aggressive greenback selling in front of the FOMC meeting and the G20 summit but it only serves to underscore how many eager and willing sellers are lurking out there waiting for blips in this strong downtrending market so that they can beat it back down from a higher level. Technically, this kind of action is foreboding with perhaps uneasiness in front of these upcoming events the only thing serving to keep the bottom from completely dropping out although from what I can see of the price action, it sure seems that no one is expecting any changes in the Fed’s “Easy Money” policy anytime soon. If you ask me, I think they are scared out of their collective wits to raise interest rates.

Regardless, the idiotic hedge funds who were busy throwing away everything yesterday because the Dollar bumped up slightly, were today falling all over themselves to buy the same stuff back once again. We have reached the point where we are no longer trading supply/demand fundamentals in the commodity markets but rather gyrations in the Dollar. Crude oil volatility is proof enough of that.

The strong intraday bounce off its lows in yesterday’s session proved to be a sign that strength was going to surface in the mining shares today as the HUI is strongly higher as I write this. I would like to see a close within the next two days above 435 to keep any aggressive sellers at bay. A drop below 405 would bring in momentum based selling.

Based on the action in the miners, and the price action in the broader equity markets in association with the Dollar, it appears that stock traders are focusing more and more on the inflationary aspects associated with a falling dollar. What else can explain a vertical rally of this nature in the S&P? The only fly in the ointment with this reasoning is that the bond market still refuses to fall off a cliff. Apparently bond traders and equity traders are not in sync as of yet. If the stock market is rallying as the perma bulls tell us because the economy has seen the worst and is on the mend, then apparently the bonds have yet to be informed of that fact or they would not be holding support at the bottom of the trading range.

Bonds look to me like they are unsure of what to do next. That market has been trapped in a broad sideways pattern for 4 months now with the falling Dollar providing selling resistance but fears in that pit of a weak economy providing downside support on sell offs. This is going to get resolved at some point although as to the exact timing of that, I am in the dark. All we can do is to station ourselves and watch the drama unfold.

Gold continues to run into overhead selling pressure courtesy of the bullion banks up near the $1,020 level as can be seen on the chart. That level will give way if the Dollar cannot hold above 76.”- Dan Norcini, More at JSMineset.com

Note: Change in Total Tonnes from yesterday’s data: SPDR added 15.256 tonnes, the LSE added 0.33 tonnes, and the ASX added 0.08 tonnes.

Newmont’s (NEM) partial slope failure, Exeter’s (XRA) drill results, Freeport’s (FCX) results of the call for redemption of its outstanding 5 1/2% Convertible Perpetual Preferred Stock, and Gammon’s (GRS) announcement of the retirement of Mr. Fred George as President, Chairman and a member of the Board of Directors 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.

Nirek Announces Completion of a NI 43-101 (Sarah Lake Property) and Recommendation for Extending Exploration to New Areas - More
- September 22, 2009 | Item | E-mail

Century Mining Closes Flow-Through Share Financing - More
- September 22, 2009 | Item | E-mail

Gryphon Gold Reports Treasury Increase From Exercise of Warrants - More
- September 22, 2009 | Item | E-mail

Sunridge Gold Begins New Drill Program at Asmara Project, Eritrea - More
- September 22, 2009 | Item | E-mail

Uragold Bay to Issue Share-for-Debt Settlements and Announces Officer Changes - More
- September 22, 2009 | Item | E-mail

Adanac Announces Resignation of President and CEO and Appointment of New President and CEO - More
- September 22, 2009 | Item | E-mail

Ascot Drills 11 Metres of 50 Grams Per Tonne Gold - More
- September 22, 2009 | Item | E-mail

Explor Starts Exploration on Montrose Gold Property - More
- September 22, 2009 | Item | E-mail

Klondike Silver Corp. Samples 17.59% Pb, 1.12% Zn, 687g/tonne Ag and Completes 10 Trenches in Jackson Basin - More
- September 22, 2009 | Item | E-mail

Canada Lithium begins pre-feasibility at Quebec project; Full feasibility in 2010 - More
- September 22, 2009 | Item | E-mail

Golden Eagle Moves Nevada State Court for Writ Ordering Yukon-Nevada and Queenstake to Restore Possession of the Jerritt Canyon Mill to Golden Eagle - More
- September 22, 2009 | Item | E-mail

Madison Minerals Inc.: Letter From the Chief Executive Officer - More
- September 22, 2009 | Item | E-mail

Taseko Provides Update on Copper Mountain Offer - "Taseko Mines Limited (TSX: TKO; NYSE Amex: TGB) ("Taseko" or the "Company") confirms that it was advised by Copper Mountain counsel that securities regulators had accepted Copper Mountain's position that the brokered financing could proceed without shareholder approval, thereby making any offer from Taseko at the indicated price of $2.20 per share impossible. Accordingly, merger discussions with Copper Mountain have ceased." More
- September 22, 2009 | Item | E-mail

Elephant hunting-Canadians jostle for Africa gold - "Canadian miners are jostling for position in gold-rich Africa, chasing capital to fund new production as they wager gold prices will hold near-record levels for years to come.

Gold is trading at over $1,000 an ounce, several times what it was a decade ago, and miners, many of them Canadian, are looking to cash in by bringing new production on as soon as possible." More
- September 22, 2009 | Item | E-mail

Newmont Reports Partial Slope Failure at Batu Hijau Mine in Indonesia - "Newmont Mining Corporation (NYSE: NEM - News) reports that on September 18 and 19, 2009, its affiliate PT Newmont Nusa Tenggara ("PTNNT") experienced a geotechnical failure in the west wall of the Batu Hijau open-pit mine in Indonesia. PTNNT has temporarily suspended operations in the Batu Hijau pit pending a geotechnical review and development of a plan for stabilizing the wall and recommencing mining operations. PTNNT continues to process lower-grade ore from stockpiles. It is too early to assess the impact on production and revenues and the Company will provide an update once it has a clear understanding of the impacts of the incident and related remediation on production for 2009." More
- September 22, 2009 | Item | E-mail

Amarc Begins Drilling Three Separate Deposit Targets in British Columbia - More
- September 22, 2009 | Item | E-mail

Bravo Announces Plan of Arrangement - More
- September 22, 2009 | Item | E-mail

Bonanza Goldfields launches corporate website - More
- September 22, 2009 | Item | E-mail

St. Elias Mines Ltd.: Tesoro Gold Project, Peru-Titan 24 Geophysical Survey Commences - More
- September 22, 2009 | Item | E-mail

Happy Creek Announces Drilling Is Underway on the Rateria Copper Property, Highland Valley Area, B.C. - More
- September 22, 2009 | Item | E-mail

NAP Increases Bought Deal Unit Offering to C$50 Million - More
- September 22, 2009 | Item | E-mail

Lydian Announces Preliminary NI 43-101 Compliant Inferred Resource Estimate of 3.2Mt at 5.1% Zinc and 2.5% Lead, Open at Depth and Along Strike - More
- September 22, 2009 | Item | E-mail

Exeter Reports on 40 New Drill Holes at Cerro Moro - "Exeter Resource Corporation (TSX-V:XRC - News)(AMEX:XRA - News)(Frankfurt:EXB - News) - ("Exeter" or the "Company") is pleased to report on progress from its in-fill drilling program on the high grade Escondida Vein at Cerro Moro in Santa Cruz Province, Argentina." More
- September 22, 2009 | Item | E-mail

Inmet Mining presentation at Credit Suisse 2009 Global Steel and Mining Conference - More
- September 22, 2009 | Item | E-mail

Golden Chalice Resources Plans Exploration Program on Timmins West Gold Project - More
- September 22, 2009 | Item | E-mail

Orvana to Commence Compulsory Acquisition of Kinbauri Gold Corp. Shares - More
- September 22, 2009 | Item | E-mail

Abbastar Resources Options High Grade Gold Project from Denison Mines Corp. - More
- September 22, 2009 | Item | E-mail

MPH Ventures Corp.: Drilling Plans for Raney Gold Project, Timmins, NE Ontario - More
- September 22, 2009 | Item | E-mail

Fission Energy Corp. Appoints New Chief Financial Officer - More
- September 22, 2009 | Item | E-mail

Miranda Gold Corp. and Nulegacy Gold Corporation Sign Agreement to Explore Red Hill Project - More
- September 22, 2009 | Item | E-mail

Goldeye Explorations Limited Closes Financing with MineralFields Group - More
- September 22, 2009 | Item | E-mail

Verena Announces New Chief Financial Officer - More
- September 22, 2009 | Item | E-mail

Uracan continues to expand the Double S Zone with significant mineralized intercepts - More
- September 22, 2009 | Item | E-mail

AndeanGold's Rio Seco Project, Peru is Fully Permitted to Commence Phase I Drilling Program - More
- September 22, 2009 | Item | E-mail

International Wayside Gold Mines Ltd.: $767,381.50 Warrants Exercised - More
- September 22, 2009 | Item | E-mail

Etna Resources Inc. Announces Acquisition of Rights in Additional Lithium Salar - More
- September 22, 2009 | Item | E-mail

Nova Uranium Acquires 100% of Gold Property in Arizona, USA - More
- September 22, 2009 | Item | E-mail

Lateegra acquires Hopkins Lake claims, west of Timmins - More
- September 22, 2009 | Item | E-mail

Solex Withdraws Private Placement Offering - More
- September 22, 2009 | Item | E-mail

Platmin appoints nominated adviser in London - More
- September 22, 2009 | Item | E-mail

Silverado Announces 2nd Installment of Nolan Creek Assay Results - More
- September 22, 2009 | Item | E-mail

Network closes private placement first tranche - More
- September 22, 2009 | Item | E-mail

Radius Options Ten Mile Creek property to Solomon Resources - More
- September 22, 2009 | Item | E-mail

Alexis Interprets Three New Gold Zones at Lac Pelletier Mine-Including Intervals of 14.4 g Au/t Over 2.4 m; 24.1 g Au/t Over 1.5 m - More
- September 22, 2009 | Item | E-mail

Hawthorne Identifies New High Grade Gold Zone at Hill 88 Zone Within Taurus Deposit; Assays 33.4 g/t Au Over 1.24 Metres (Estimated True Width of 0.99 Metres) - More
- September 22, 2009 | Item | E-mail

Probe Mines Commences Phase II Drilling on Its Black Creek Chromite Discovery - More
- September 22, 2009 | Item | E-mail

North American Palladium Announces C$35 Million Cross-Border Bought Deal Financing of Units - More
- September 22, 2009 | Item | E-mail

North American Palladium Announces C$15 Million Bought Deal Financing of Flow-Through Shares - More
- September 22, 2009 | Item | E-mail

HudBay Announces Major New Copper-Gold Intersections at Lalor - More
- September 22, 2009 | Item | E-mail

Canada Fluorspar Inc. announces the receipt of the guidelines for both the Environmental preview report and the Federal Environmental Assessment Report - More
- September 22, 2009 | Item | E-mail

CanAlaska intercepts 40.4 metres of uranium mineralization in basement rocks at Fond Du Lac - More
- September 22, 2009 | Item | E-mail

Alix and Cloudbreak Provide Initial Results From White Gold Area, Yukon, and Announce Follow-Up Work on Gold Anomalies - More
- September 22, 2009 | Item | E-mail

Freeport-McMoRan Copper & Gold Inc. Announces Conversions and Redemptions of its 5 1/2% Convertible Perpetual Preferred Stock - "Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX - News) announced today the results of the call for redemption of its outstanding 5 1/2% Convertible Perpetual Preferred Stock. Of the 831,554 shares of 5 1/2% Convertible Perpetual Preferred Stock outstanding at the time of the call, 830,529 shares (99.9% of the outstanding) converted into 17.9 million shares of FCX common stock. The remaining 1,025 shares of 5 1/2% Convertible Perpetual Preferred Stock outstanding on the September 21, 2009 redemption date were redeemed for approximately $1 million cash. The conversions and redemptions of these preferred shares will result in preferred dividend savings of approximately $46 million per annum." More
- September 22, 2009 | Item | E-mail

Gammon Gold Announces Retirement of President and Chairman Mr. Fred George and Changes to the Board of Directors - "Gammon Gold Inc. ("Gammon Gold" or the "Company") (TSX:GAM and NYSE:GRS) announces the retirement of Mr. Fred George as President, Chairman and a member of the Board of Directors of Gammon effective October 13, 2009. Rene Marion, currently Chief Executive Officer, will subsequently be appointed as President and will continue as Chief Executive Officer." More
- September 22, 2009 | Item | E-mail

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