-- Posted 18 March, 2011 | | Source: SilverSeek.com
| Close | Gain/Loss | On Week |
Gold | $1416.30 | +$12.20 | -0.33% |
Silver | $35.03 | +$0.77 | -2.56% |
XAU | 204.30 | +1.12% | -1.21% |
HUI | 536.36 | +1.90% | -2.21% |
GDM | 1568.65 | +1.57% | -2.30% |
JSE Gold | 2583.58 | -0.30 | -2.96% |
USD | 75.70 | -0.29 | -1.30% |
Euro | 141.69 | +1.46 | +1.91% |
Yen | 123.94 | -2.83 | +1.50% |
Oil | $101.07 | -$0.35 | -0.09% |
10-Year | 3.277% | +0.029 | -3.42% |
Bond | 123.34375 | -0.15625 | +1.21% |
Dow | 11858.52 | +0.71% | -1.54% |
Nasdaq | 2643.67 | +0.29% | -2.65% |
S&P | 1279.21 | +0.43% | -1.92% |
The Metals:
Gold rose almost $20 to as high as $1423.83 at the open of trade in New York before it fell back off a bit into the close, but it still ended with a gain of 0.87%. Silver climbed to as high as $35.405 before it also fell back off, but it still ended with a gain of 2.25%.
Euro gold fell to about €999, platinum gained $13.75 to $1715.75, and copper remained at about $4.34.
Gold and silver equities rose about 2% by midmorning before they fell back off a bit in afternoon trade, but they still ended with over 1% gains.
The Economy:
Congress buys more time for budget dispute Reuters
Unemployment rises in nearly all metro areas Yahoo
Why inflation hurts more than it did 30 years ago Yahoo
All of this week’s other economic reports:
NAHB Housing Market Index - March | 17 v. 16 |
Next week’s economic highlights include Existing Home Sales on Monday, the FHFA Housing Price Index on Tuesday, New Home Sales on Wednesday, Initial Jobless Claims and Durable Goods Orders on Thursday, and GDP and Michigan Sentiment on Friday.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil fell on reports of a ceasefire in Libya, but many have doubts about whether or not it will last and early losses were greatly pared by the close.
The U.S. dollar index fell despite a huge drop in the yen after it was announced last night that “the Group of Seven nations moved to weaken the Japanese currency.” “In response to recent movements in the exchange rate of the yen associated with the tragic events in Japan, and at the request of the Japanese authorities, the authorities of the U.S., the U.K., Canada and the European Central Bank will join with Japan, on March 18, in concerted intervention in exchange markets.”
Treasuries fell as the Dow, Nasdaq, and S&P rose on Libya’s ceasefire and the international plan for the yen.
Among the big names making news in the market Friday were Nike, Goldman Sachs, General Mills, Cisco, KKR, AIG, and H&R Block.
The Commentary:
“One of the reasons that leveraged carry trade positions explode is a rally in the underlying currency which has financed the trade. In this case, it is the Japanese Yen which has been the funding currency. Those who put on this sort of trade are effectively short the Yen because when they exit the trade, they have to close out the positions that they financed and then buy Yen to pay back the original loan in Yen terms. As the funding currency rallies, they begin losing money because they are forced to pay a higher price for the Yen when they do the foreign currency exchange.
When we saw the Yen begin rallying sharply this past week it set off a cascade of unwinding of the carry trade as hedge funds dumped both stocks and commodities that had been purchased and then leveraged up as risk trades were quickly going underwater.
It now appears that the Bank of Japan has secured the cooperation of the entire G7 in knocking down the Yen which most agree had soared to levels that were nowhere near commensurate with an accurate valuation of the currency given the fiscal condition of the nation.
If it now appears that the G7 agrees to keep the Yen at bay then it could well be that the same hedge funds that were blowing out of their carry trades will be eager to reinstate them since they will feel that they have an effective upside cap on the Yen thus eliminating an element of risk in the trade.
If the nuclear plant situation in Japan can indeed get stabilized, that, combined with the cap on the Yen, could be the signal for the hedgies to pile back into the carry trade. It would not surprise me to learn that the BOJ would actually welcome such an event because it would keep a lid on the Yen and would thus serve their purposes of preventing the Yen from strengthening.
I would therefore view this as setting in place the factors necessary for keeping gold and silver well supported in price again. We will see how the market is interpreting these events in the trading that takes place over the next few trading sessions.”- Dan Norcini, More at http://www.traderdannorcini.blogspot.com/
GATA Posts:
Greg Canavan: Gold Price Management 101
Western central banks join Japan's in rigging yen market
The Statistics:
Activity from: 3/17/2011
Gold Warehouse Stocks: | 11,028,018 | +2,000 |
Silver Warehouse Stocks: | 104,126,798 | +164,133 |
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 | 1217.295 | 39,137,254 | US$55,562m |
London Stock Exchange (LSE) AND NYSE Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse - Xetra) | Gold Bullion Securities | 116.51 | 3,746,032 | US$5,310m |
London Stock Exchange (LSE) AND NYSE Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse - Xetra) AND NYSE Euronext Amsterdam | ETFS Physical Gold | 122.56 | 3,940,260 | US$5,585m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 14.21 | 474,580 | US$647m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 48.40 | 1,556,106 | US$2,182m |
NASDAQ Dubai | Dubai Gold Securities | 0.154 | 4,959 | US$7m |
Note: No change in Total Tonnes from yesterday’s data.
COMEX Gold Trust (IAU) Total Tonnes in Trust: 122.97 - No change from yesterday’s data.
Silver Trust (SLV) Total Tonnes in Trust: 10,945.21 - No change from yesterday’s data.
The Miners:
WINNERS
1. Allied Nevada | ANV +8.47% $32.90 |
2. Endeavour Silver | EXK +7.27% $9.15 |
3. Metalline | MMG +7.00% $1.07 |
LOSERS
1. Northern Dynasty | NAK -3.62% $13.85 |
2. Tanzanian Royalty | TRE -3.24% $6.27 |
3. Entree | EGI -2.11% $2.79 |
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:
Lincoln Upgrades Gold Resources at Pine Grove, Nevada - More
- March 18, 2011 | Item | ShareThis
Canadian Orebodies Drills Widespread Tantalum Mineralization on Zigzag Property - More
- March 18, 2011 | Item | ShareThis
Capital Gold Announces Amendment to Merger Agreement With Gammon Gold and Adjournment of Special Meeting Until April 1, 2011 - "Capital Gold Corporation (NYSE AMEX: CGC; TSX:CGC) ("Capital Gold" or "CGC") announced that, on March 17, 2011, it entered into an amendment to its merger agreement with Gammon Gold Inc. ("Gammon Gold"), which increases the cash component of the merger consideration payable to CGC's stockholders by $0.30, from $0.79 to $1.09." More
- March 18, 2011 | Item | ShareThis
Redhill Resources Corp.: New High Grade Gold-Copper Extensions at Deflector Deposit Highlight the Project's Significant Growth Potential - More
- March 18, 2011 | Item | ShareThis
Greystar Resources to Study Viability of Alternate Project at Angostura - More
- March 18, 2011 | Item | ShareThis
El Tigre Silver Grants Incentive Stock Options - More
- March 18, 2011 | Item | ShareThis
Galahad Metals Announces Private Placement - More
- March 18, 2011 | Item | ShareThis
Globex's Directors Exercise Stock Options - More
- March 18, 2011 | Item | ShareThis
Caerus Resource: Buritica West Gold Project Moving Towards Drill Ready Status - More
- March 18, 2011 | Item | ShareThis
Greenock Resources: Amendment to Disclosure - More
- March 18, 2011 | Item | ShareThis
Western Troy Capital Resources Inc.: Quebec Budget Includes Full Funding of Otish Mountain Road, Construction to Start in Summer, 2011 - More
- March 18, 2011 | Item | ShareThis
Mexivada and Zamarat Recommence Gold Exploration Program in Republic of Congo - More
- March 18, 2011 | Item | ShareThis
Appointment of Managing Director for TNT Mines Limited - More
- March 18, 2011 | Item | ShareThis
Senetek Announces Acquisition of New Mineral Properties - More
- March 18, 2011 | Item | ShareThis
Critical Elements Corporation Announces Partial Closing of a Financing - More
- March 18, 2011 | Item | ShareThis
Alto Group Holdings Announces Status Update on the La Cienega Project - More
- March 18, 2011 | Item | ShareThis
Timmins Gold Intersects 19.81 Meters of 5.08 gpt Gold in Ongoing Drill Program at San Francisco Mine - More
- March 18, 2011 | Item | ShareThis
Atacama Pacific Gold Corporation: Cerro Maricunga Drilling Extends Lynx Zone; Results 240 Metres Grading 0.72 g/t Gold Including 40 Metres at 1.60 g/t Gold - More
- March 18, 2011 | Item | ShareThis
Open Gold Announces Drilling Update - More
- March 18, 2011 | Item | ShareThis
Montana Gold Appoints Director - More
- March 18, 2011 | Item | ShareThis
Camino Minerals Corporation: El Rincon Gold Project Drill Results; Diamond Drill Program Planned at the Rodeo Gold Project - More
- March 18, 2011 | Item | ShareThis
TVI Pacific Year End Results Reinforce Solid Financial and Operational Performance - More
- March 18, 2011 | Item | ShareThis
First Uranium Corporation - EZULWINI MINING OPERATIONS RESUME - More
- March 18, 2011 | Item | ShareThis
Euro Ressources Has Record Earnings for the Year Ended December 31, 2010 - More
- March 18, 2011 | Item | ShareThis
Orosur Mining Inc. Secures US$5.5 million Debt Facility with HSBC for Arenal Deeps - More
- March 18, 2011 | Item | ShareThis
BCM Resources Corporation Announces Non-Brokered Private Placement - More
- March 18, 2011 | Item | ShareThis
- Chris Mullen, Gold Seeker Report
- Would you like to receive the Free Daily Gold Seeker Report in your e-mail? Click here
Additional Resources for today’s Gold Seeker Report can be found:
© Gold Seeker 2011
Note: This article may be reproduced provided the article, in full, is used and mention to Gold-Seeker.com is given.
Disclosure: The owner, editor, writer and publisher and their associates are not responsible for errors or omissions. The author of this report is not a registered financial advisor. Readers should not view this material as offering investment related advice. Gold-Seeker.com has taken precautions to ensure accuracy of information provided. Information collected and presented are from what is perceived as reliable sources, but since the information source(s) are beyond Gold-Seeker.com’s control, no representation or guarantee is made that it is complete or accurate. The reader accepts information on the condition that errors or omissions shall not be made the basis for any claim, demand or cause for action. Past results are not necessarily indicative of future results. Any statements non-factual in nature constitute only current opinions, which are subject to change. Nothing contained herein constitutes a representation by the publisher, nor a solicitation for the purchase or sale of securities & therefore information, nor opinions expressed, shall be construed as a solicitation to buy or sell any stock, futures or options contract mentioned herein. Investors are advised to obtain the advice of a qualified financial & investment advisor before entering any financial transaction.
-- Posted 18 March, 2011 | |
