Gold Seeker Closing Report: Gold and Silver Gain With the Dollar

	Close	Gain/Loss
Gold	$1105.75	+$4.05
Silver	$17.07	+$0.07
XAU	165.51	-0.32%
HUI	414.50	-0.49%
GDM	1237.55	-0.49%
JSE Gold	2187.28	-33.36
USD	80.24	+0.42
Euro	136.71	-0.96
Yen	110.50	+0.07
Oil	$79.80	-$1.44
10-Year	3.704%	-0.006
T-Bond	118.4375	-0.03125
Dow	10642.15	+0.17%
Nasdaq	2362.21	-0.23%
S&P	1150.51	+0.05%

Gold rose $6.60 to $1108.30 in London before it fell to see a $0.55 loss at $1101.15 by late morning trade in New York, but it then rallied back higher in the last couple of hours of trade and ended with a gain of 0.37%. Silver dropped 7 cents to $16.93 in London and rose almost 1% to $17.142 by late morning in New York before it fell back off a bit into the close, but it still ended with a gain of 0.41%.

Euro gold rose to about €809, platinum climbed to $1615, and copper fell over 6 cents to about $3.31.

Gold and silver equities fell over 1% by midday before they rallied back higher in afternoon trade, but they still ended with slight losses on the day.

Report	For	Reading	Expected	Previous
Empire Manufacturing Survey	Mar	22.86	22.0	24.91
Net Long-Term TIC Flows	Dec	$19.1B	$47.5B	$63.6B
Capacity Utilization	Feb	72.7%	72.5%	72.5%
Industrial Production	Feb	0.1%	0.0%	0.9%

Tomorrow at 8:30AM EST brings Export and Import Prices for February, Building Permits for February expected at 601,000, and Housing Starts expected at 570,000. At 2:15PM is the FOMC Rate Decision.

Oil fell back below $80 a barrel as the U.S. dollar index rose after the euro dropped on renewed concerns over the resolution of Greece’s debt problems.

Treasuries fell along with the Dow, Nasdaq, and S&P for most of trade on concerns over tomorrow’s fed meeting and a potential downgrade to the credit rating of the U.S., but stocks climbed back higher in the last hour of trade and ended near unchanged on hopes for improving economic conditions.

Among the big names making news in the market today were CONSOL and Dominion, Phillips-Van Heusen and Hilfiger, NYSE, and AIG.

I would like you to take a quiz. I am sure 90% of you will be shocked by the results.

Call the servicer of your mortgage and ask them to identify who owns it. You will be stone walled like you have never been in your life.

Continue up the line of supervisors directly to the office of the president, then think securitization.”- Jim Sinclair, JSMineset.com

It appears that we are back to the old familiar pattern of strength in the Dollar bringing in algorithm selling of commodities and by connection, gold. Friday was a bit of a break from that norm as it now appears that we had a bout of pre-weekend short covering in the European related currencies during which gold was sold lower on ostensibly easing fears concerning Greece. I say “ostensibly’, because it was evident that the take down in gold was a bear raid.

Today, copper is getting knocked down as is crude oil, which has seen its gains from last week completely erased. As said many times here ad infinitum, ad nauseam, these markets are not really trading fundamentals all that much on any given day but rather fund order flow. If the funds buy, locals buy. If the funds sell, locals sell. That is all that these markets have become.

We now have cases in which there is so much managed money coming into certain commodity markets at times, that it is chasing out commercial hedging interest. The result is large air pockets above the market which causes markets to shoot sharply higher on up days. There are simply no sellers on those days. The flip side occurs when these same funds are not buying or actively selling – the market then falls into a void as there are no bids to be found. The commentary usually calls this “volatility” but what it really is in my opinion is a sign that these funds are far too large for the markets and that we need to see the CFTC rein them in.

The commodity markets came into existence to provide a risk management tool for bona fide Producers or Users. When they are unable to use the markets for that purpose, then it has become evident that something is seriously out of whack. I read far too many reports of commercial hedgers incurring damaging margin calls because these huge hedge funds are driving prices to extremes unwarranted by the fundamentals. Eventually the market will correct such an occurrence but in the interim, underwater hedges can wreak havoc with risk management programs. The problem is not so much with the mega commercial firms which are well capitalized as a general rule or can at least secure financing enabling them to meet margin calls and ride out their hedge until it is time to lift it. It is the smaller or mid-sized commercial entities which do not have such access or the financial wherewithal to deal with a short hedge that goes deeply underwater due to a barrage of algorithm buying, that get the short end of the stick. More of these guys are trying to move their business to private contracts off the exchange but apparently the exchanges do not care as they love the increased volume of trading and fees associated with the business of the big boys. Besides, the exchanges have also figured out a way to make lots of money renting computer server space to high frequency traders. Some call this “progress”. It looks to me more like a case of short-term sightedness versus long term health of the markets. Enough of my soap box pontificating for one day however.

Even though the Dollar is fairly strong this AM, gold is managing to hold above unchanged, not too bad of an accomplishment considering the extent of the selling hit the broad equity markets. That is no doubt related to the strong showing of gold when priced in terms of the various European related currencies. It is going to be insightful to see if gold can maintain a foothold above the €800 Euro level and the €730 level in British Pound terms.

Gold is continuing to attract buying above the $1,100 level which is becoming more significant from a technical perspective. It’s range trade continues with the bears having the short term advantage. Bulls need to push it back over $1,120 to force a bit of minor short covering. The 10 day moving average has turned lower which is near term bearish but I want to add that markets in ranging or consolidation patterns do not generally pay much attention to moving averages but more so to those particular technical indicators such as the Stochastics which are designed for that pattern.

As far as the Dollar goes, it continues its ranging trade with the bears simply unable to take out the support level under the market and force a bout of long liquidation which would feed on itself as the froth in the market just keeps foaming. The problem for the bears is that Europe just will not cease occupying the minds of currency traders and that keeps sellers coming into the Euro, the Pound and Swissie which then begets more buying in the USDX. This is going to be resolved one way or the other fairly soon but for now, the 6 week long trading range continues.

The mining shares as evidence by the HUI are succumbing to the broad equity market weakness. So far they have been able to hold last week’s low but they are dangerously flirting with that level. A breach of that would allow sellers to take the index down towards 405, which is the 40 day moving average. They will need to hold that level or run the risk of a move towards 390. From what I can see of the HUI, it too looks like it is stuck in a trading range like so many of these other markets.

The long bond is also stuck in its range bouncing off the low end of the band that has contained it for the last 2 months.”- Dan Norcini, More at JSMineset.com

COMEX Gold Trust (IAU) Total Tonnes in Trust: 77.57 - No change from yesterday’s data.

Silver Trust (SLV) Total Tonnes in Trust: 9,302.58 - No change from yesterday’s data.

Exeter’s (XRA) approved spin-out, Capital Gold’s (CGC) revenue, Seabridge’s (SA) confirmed resource estimates, Kirkland’s (KGI.TO) operations update and financial results, Bear Creek’s (BCM.V) exploration update, and Apogee’s (APE.V) drill results 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.

Shoshone Silver/Gold Mining Company: Restrictions on Converted Stock Lifted - More
- March 15, 2010 | Item | ShareThis

Dynamic Changes Name to Brazil Gold Corporation Along With New Trading Symbol - More
- March 15, 2010 | Item | ShareThis

Conquest Acquires 60% Interest in Detour Lake Gold Project - More
- March 15, 2010 | Item | ShareThis

Quest Uranium Grants Stock Options - More
- March 15, 2010 | Item | ShareThis

Golden Dawn Announces increase to Private Placement announced February 26th, 2010 - More
- March 15, 2010 | Item | ShareThis

Red Back Mining Inc.: Resignation of Director - More
- March 15, 2010 | Item | ShareThis

Tiomin Shareholders Approve Acquisition of Vaaldiam - More
- March 15, 2010 | Item | ShareThis

Vaaldiam Shareholders Approve Plan of Arrangement With Tiomin - More
- March 15, 2010 | Item | ShareThis

Petaquilla Minerals Ltd.: Private Placement Financing - More
- March 15, 2010 | Item | ShareThis

Seafield Commences Exploration in the Quinchia-Marmato Porphyry District - More
- March 15, 2010 | Item | ShareThis

Athena Silver Corporation Revises Terms of Silver Property Acquisition - More
- March 15, 2010 | Item | ShareThis

North American Palladium Added to S&P/TSX Global Mining Index - More
- March 15, 2010 | Item | ShareThis

Waseco Updates Uranium Exploration Program - More
- March 15, 2010 | Item | ShareThis

Garrison Announces Appointment of Construction Manager to Oversee Mine Construction at Tovshiir, Option Grant and Shares for Debt Settlement - More
- March 15, 2010 | Item | ShareThis

Avalon Receives PDAC's 2010 Environmental & Social Responsibility Award - More
- March 15, 2010 | Item | ShareThis

Fortress Reports Mobilization Completed to Svetloye in Preparation for Start of Summer Drill Program - More
- March 15, 2010 | Item | ShareThis

New Jersey Mining Company Completes Placement and Plans Production - More
- March 15, 2010 | Item | ShareThis

AmeriLithium Acquires Prime Lithium Asset in Nevada - More
- March 15, 2010 | Item | ShareThis

Mukuba Begins Structural Interpretation and Targeting from Newly Acquired Airborne Magnetic and Radiometric Survey Data and Announces Grant of Stock Options - More
- March 15, 2010 | Item | ShareThis

Landore Resources Limited - Progress Report - Junior Lake-Lamaune Iron deposit - More
- March 15, 2010 | Item | ShareThis

Rare Earth Metals Inc Announces Initial Results from the Clay-Howells Iron/Rare Earth Element/Niobium Drill Program - More
- March 15, 2010 | Item | ShareThis

Ur-Energy Reports Financial Results and Announces Year-End Teleconference and Webcast to be Held on March 18, 2010 - More
- March 15, 2010 | Item | ShareThis

Golden Wonder Exploration Extends Previous Production Zones - More
- March 15, 2010 | Item | ShareThis

Rio Alto Mining Limited: Appointment of Drago Kisic Wagner to Board of Directors - More
- March 15, 2010 | Item | ShareThis

Far West Mining Announces Results of Infill Drilling Program at Santo Domingo - More
- March 15, 2010 | Item | ShareThis

Century Intersects 100.5 g/t Au Over 1.69 Meters in Bedard Dyke at Lamaque Gold Mine, Val-D'or, Quebec - More
- March 15, 2010 | Item | ShareThis

First Liberty Power Corp. Signs Definitive Agreement to Acquire Lithium and Vanadium Properties - More
- March 15, 2010 | Item | ShareThis

PolyMet Statement on Environmental Review Timeline - More
- March 15, 2010 | Item | ShareThis

Everton Completes Winter Drill Program at the Duport Gold Deposit in Northwestern Ontario - More
- March 15, 2010 | Item | ShareThis

Z-Gold Exploration Inc. (Formerly Nano Capital Corp.) Announces Completion of Qualifying Transaction and Concurrent Financing, Including Financing With... - More
- March 15, 2010 | Item | ShareThis

American Creek announces $600,000 private placement offering - More
- March 15, 2010 | Item | ShareThis

East Asia Minerals Intercepts 2.15 g/t Gold Over 59.1 Metres Within 157 Metres Grading 1.36 g/t Gold at Miwah Main Zone - More
- March 15, 2010 | Item | ShareThis

Fission Vertical Step Out Intersects 6m of 14.70% U308 at Unconformity, Including 4m Grading 21.20% U308 and 0.5m of 50.6% U308 - More
- March 15, 2010 | Item | ShareThis

Aura Silver Commences Phase III Drilling on Prolifically Mineralized Taviche Project in Mexico and Will Increase Stake to a Potential 70% of the Project - More
- March 15, 2010 | Item | ShareThis

Bonanza Goldfields to commence extensive trench program - More
- March 15, 2010 | Item | ShareThis

Tirex 2010 Drill Program to Start - More
- March 15, 2010 | Item | ShareThis

Capstone Mining Reschedules 2009 Earnings News Release & Conference Call - More
- March 15, 2010 | Item | ShareThis

Guyana Goldfields hires key members of the Project Team to advance the Aurora Gold Project - More
- March 15, 2010 | Item | ShareThis

Abacus' Ajax East Extension Area Drilling Highlights Potential for Starter Pit - More
- March 15, 2010 | Item | ShareThis

Bard Ventures Ltd. & Beatrix Ventures Inc.: Arrangement Completed - More
- March 15, 2010 | Item | ShareThis

Timmins Gold Corp.: Gold Mineralization Extended at San Francisco Mine - More
- March 15, 2010 | Item | ShareThis

Tiger Resources Limited Issues December 2009 Interim Financial Report - More
- March 15, 2010 | Item | ShareThis

A25 Gold Producers Announces Letter of Intent to Acquire the Prident Gold Property - More
- March 15, 2010 | Item | ShareThis

Bear Creek provides project exploration update - "Bear Creek Mining Corporation (TSX Venture: BCM - News; "Bear Creek" or the "Company") is very pleased to provide the following update on its two advanced development projects, Santa Ana and Corani as well as on two anticipated drill programs on new precious metal targets." More
- March 15, 2010 | Item | ShareThis

Exeter shareholders approve spin-out to create two independent companies - "Exeter Resource Corporation (NYSE-AMEX: XRA, TSX: XRC, and Frankfurt: EXB) ("Exeter" or the "Company") is pleased to announce that its shareholders have voted 40,826,546 (99.83%) in favour of approving the spin-out of its Argentine assets into Extorre Gold Mines Limited ("Extorre") by plan of arrangement (the "Arrangement") and that a final order approving the Arrangement was granted by the Supreme Court of British Columbia on March 12, 2010." More
- March 15, 2010 | Item | ShareThis

Capital Gold Corporation Reports 6-Month Revenue Up 21% Over Prior Period - "The financial information for the three and six months ending January 31, 2009, has been recast so that the basis of presentation is consistent with that of the financial information for the three and six months ending January 31, 2010. This recast reflects a 1-for-4 reverse stock split of the Company's common stock that became effective on January 25, 2010." More
- March 15, 2010 | Item | ShareThis

Independent Review Confirms Resource Estimates for Seabridge Gold's KSM Project - "A third-party, independent review of Seabridge Gold's resource estimates for the KSM project has been completed by Behre Dolbear & Company, a leading international mining consulting firm. Based on their analysis, Behre Dolbear confirms that the KSM resource model is reasonable and appropriate. Furthermore, Behre Dolbear confirms that the resource estimates prepared by Resource Modeling Inc. ("RMI") and dated January 2010 are accurate, conform to industry practices and comply with the standards set out in National Instrument 43-101. In their review, Behre Dolbear considered alternate resource estimation procedures and parameters and concluded that any resulting differences in resource estimates and classifications are not significant, and that RMI's project-wide estimation of measured and indicated resources is conservative." More
- March 15, 2010 | Item | ShareThis

Apogee Extends Silver-Zinc-Lead Mineralization at Pulacayo Deposit, Bolivia - "Apogee Minerals Ltd. (TSX VENTURE:APE - News) is pleased to announce the analytical results from the first diamond drill hole of the exploration program initiated in late January 2010. (See news release January 15, 2010). The objective of the program is to extend the thick, high grade portion of the resource associated with the Upper Tajo Vein System along strike to the east." More
- March 15, 2010 | Item | ShareThis

Kirkland Lake Gold Inc.: Operations Update & Financial Results Q3 Fiscal 2010 - "The mine has returned to a normal mining state, with twenty working stopes available and eight of these in the higher grade SMC area. We expect to produce and pour between 45,000 and 55,000 ounces in Fiscal 2010, despite the equivalent of a five month production interruption. In Fiscal 2011, we expect to produce and pour between 90,000 and 100,000 ounces, and will continue with our second phase of mine development aimed at increasing production to between 180,000 and 200,000 ounces yearly before Fiscal 2013." More
- March 15, 2010 | Item | ShareThis

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