-- Posted 12 October, 2009 | | Source: SilverSeek.com
| Close | Gain/Loss |
Gold | $1054.70 | +$6.90 |
Silver | $17.77 | +$0.12 |
XAU | 176.07 | -0.18% |
HUI | 445.09 | -0.21% |
GDM | 1330.23 | -0.07% |
JSE Gold | 2655.66 | +6.26 |
USD | 76.16 | -0.26 |
Euro | 147.77 | +0.46 |
Yen | 111.30 | -0.10 |
Oil | $73.27 | +$1.50 |
10-Year | 3.380% | -0.004 |
T-Bond | 120.125 | +0.15625 |
Dow | 9885.80 | +0.21% |
Nasdaq | 2139.14 | -0.01% |
S&P | 1076.19 | +0.44% |
The Metals:
Gold traded near unchanged in Asia and rose in London and New York to as high as $1058.87 by about 10AM EST before it fell back off a bit in the last few hours of trade, but it still ended with a gain of 0.66% and just 20 cents away from its new record closing high made last Thursday. Silver climbed to as high as $17.913 in early London trade and tested that high midmorning in New York before it also fell back off a bit into the close, but it still ended with a gain of 0.68%.
Euro gold rose to about €713, platinum gained $7 to $1335.50, and copper rose a couple of cents to about $2.85.
Gold and silver equities rose over 2% in the first half hour of trade before they fell back off see about 1% losses by around 3PM EST, but they then rallied back higher in the last hour of trade and ended near unchanged.
The Economy:
There were no major economic reports today, and there are none due out tomorrow.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
The Dow, Nasdaq, and S&P traded mostly higher with oil on economic optimism that sent the U.S. dollar index lower on the day. Treasuries saw slight gains in quiet trade as worries over more third quarter earnings reports this week dragged stocks back near unchanged in afternoon trade.
Among the big names making news in the market today were Xstrata and Anglo, Blackstone, Philips, Onyx and Proteolix, and Soros.
The Commentary:
“Dear Friends,
Index fund activity across the commodity spectrum is intensifying with huge sums of money pouring back into the rather small world of commodities. Current fundamentals in many of these markets do not justify moves of the extent that are occurring as this tidal wave of hot money overwhelms commercial hedge selling. Nonetheless, the “reflation trade” with the US Dollar on the short end of the stick as carry traders relentlessly beat it down to exchange these borrowed funds for things tangible is lifting the commodity boat across the board with few exceptions.
This is being reflected in the Continuous Commodity Index which is the one that I track to keep tabs on this sector as a whole.
If you observe the chart (weekly) it has almost recaptured 50% of its losses that began back in July of 2008 when the bubble burst and the Yen carry trade was unwound and the extensive deleveraging trade began with a passion. The level near 470 marks that halfway point. If, and this is what we are watching carefully, the CCI takes out that level for two weeks and sustains it, that which we have long feared in regards to the collapse of the Dollar will be confirmed, namely, that the wave of inflation is underway and entrenching itself.
The monetary authorities cannot support the Dollar without sending interest rates higher and sending the floundering economy into the rocks. They might try talking it up by threatening to withdraw the excess liquidity but just try imagining what would happen to the real estate market if anyone took such talk seriously.
I have long suspected that the US would fully commit itself to the same path as Japan did when its real estate bubble crashed and that was a policy of benign neglect of their currency; only in the case of the Japanese, it was a transparent and deliberate policy of weakening the Yen. The US wants, nay, it needs the Dollar lower to keep its export market alive and more importantly, to reduce its debt payments in real terms.
The truth is that the US monetary authorities will only attempt to PREVENT A COLLAPSE in the Dollar and that is why they will venture out from time to time to remind us how a strong dollar is in the US interest and that they have all the tools are their disposal to withdraw the excess liquidity when they see the economy is on the mend. Both statements are BS.
Gold is on to this game and that is why it is reacting as strongly higher as it has been. There are now two things that I am watching to see when it moves to $1,100 as a minimum – one is a downside breach of 76 on the USDX that cannot climb back above that level and the other is a move above this 470 level on the CCI.”- Dan Norcini, More at JSMineset.com
GATA Posts:
'Gold, peace, and prosperity,' Paul tells New Orleans conference
Chris Powell: Remarks to the 2009 New Orleans Investment Conference
Maybe Dec. 21, 2012, is really the day the Fed gets audited
Adam Hamilton: Commitment of traders reports don't fully tell the tale
Silver market analyst Ted Butler interviewed by King World News
John Dizard: Paranoid theories can't take the shine off gold
Mexico's Hugo Salinas Price interviewed by King World News
Adrian Douglas: The explosive dynamics of the gold and silver markets
Korelin Economics Report interviews GATA's Ed Steer
On CNBC Europe, Turk cites flight to gold in hand
GATA's Adrian Douglas interviewed by King World News
U.S. Mint didn't try as hard to keep up with gold, silver coin demand
When gold shorts must be covered, central banks to the rescue
The Statistics:
Activity from: 10/08/2009
Gold Warehouse Stocks: | 9,326,008 | -9,839 |
Silver Warehouse Stocks: | 115,926,929 | -232,349 |
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 Exchange (TSE) AND Hong Kong Stock Exchange (HKEx) | SPDR® Gold Shares | 1109.314 | 35,665,560 | US$37,756m |
London Stock Exchange (LSE) AND Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse ) | Gold Bullion Securities | 131.58 | 4,228,923 | US$4,465m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 14.37 | 460,455 | US$488m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 52.58 | 1,690,559 | US$1,778m |
NASDAQ Dubai | Dubai Gold Securities | 0.155 | 4,988 | US$5m |
Note: Change in Total Tonnes from yesterday’s data: The LSE added 0.68 tonnes.
COMEX Gold Trust (IAU)
Profile as of 10/9/2009 | |
Total Net Assets | $2,514,364,917 | Ounces of Gold
in Trust | 2,399,891.305 |
Shares Outstanding | 24,450,000 | Tonnes of Gold
in Trust | 74.64 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 10/9/2009 | |
Total Net Assets | $4,870,788,218 | Ounces of Silver
in Trust | 276,310,606.400 |
Shares Outstanding | 281,050,000 | Tonnes of Silver
in Trust | 8,594.22 |
Note: No change in Total Tonnes from yesterday’s data.
The Miners:
Mining industry news was a bit slow today with Canadian markets closed for Canada’s Thanksgiving Day, but Tanzanian Royalty (TRE) announced a private placement and Barrick (ABX) announced that it has entered into an agreement with Xstrata Copper Chile S.A. ("Xstrata"), a wholly owned subsidiary of Xstrata Plc, to acquire Xstrata's 70% interest in the El Morro project for $465 million in cash.
WINNERS
1. Aurizon | AZK+8.48% $5.50 |
2. Exeter | XRA+6.84% $5.78 |
3. Vista | VGZ+5.80% $3.10 |
LOSERS
1. International Royalty | ROY -4.45% $4.1375 |
2. Jaguar | JAG -3.69% $9.66 |
3. Entree | EGI -2.83% $2.75 |
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:
Golden Phoenix Minerals Reports Scorpio Gold Has Agreed to Purchase Mineral Ridge Royalty - More
- October 12, 2009 | Item | E-mail
Alto Group Holdings, Inc. Executes Letter of Intent (L.O.I.) With Mateo Mining on Ghana West Africa Gold Project - More
- October 12, 2009 | Item | E-mail
Tanzanian Royalty Chairman to Provide $1 Million Private Placement - "Tanzanian Royalty Exploration Corporation announces that Mr. James E. Sinclair has agreed to provide $1,000,000 by way of a private placement with the proceeds being applied to general working capital. Mr. Sinclair has agreed to purchase 310,559 shares at a price of $3.22 per share for net proceeds totaling $1,000,000." More
- October 12, 2009 | Item | E-mail
Klondex Appoints Dr. W. Lang to its Board of Directors - More
- October 12, 2009 | Item | E-mail
Argentex commences 2009-2010 silver-gold exploration program on Santa Cruz properties, metallurgical testing and scoping study at Pinguino - More
- October 12, 2009 | Item | E-mail
Aurion Amends Terms to Offering, Appoints Director and Officer and Grants Options - More
- October 12, 2009 | Item | E-mail
Consolidated Thompson Announces Offer to Purchase Wabush Mines Joint Venture - More
- October 12, 2009 | Item | E-mail
Tribute Minerals Announces Further Debt Settlement - More
- October 12, 2009 | Item | E-mail
Caza Acquires Two Gold Exploration Projects in Chihuahua, Mexico; Arranges CA$200,000 in Private Placement Financing - More
- October 12, 2009 | Item | E-mail
Altair Announces Proposed Private Placement - More
- October 12, 2009 | Item | E-mail
Hana Mining Grants Incentive Stock Options - More
- October 12, 2009 | Item | E-mail
Minatura Gold Announces New Auditor - More
- October 12, 2009 | Item | E-mail
Orestone Mining Corp.: News Release - More
- October 12, 2009 | Item | E-mail
Barrick to Acquire 70% Interest in El Morro Project - "Barrick Gold Corporation (NYSE:ABX - News)(TSX:ABX - News) announced today that it has entered into an agreement with Xstrata Copper Chile S.A. ("Xstrata"), a wholly owned subsidiary of Xstrata Plc, to acquire Xstrata's 70% interest in the El Morro project for $465 million in cash." More
- October 12, 2009 | Item | E-mail
- Chris Mullen, Gold Seeker Report
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-- Posted 12 October, 2009 | |
