-- Posted 20 September, 2011 | | Discuss This Article - Comments:
| Close | Gain/Loss |
Gold | $1806.10 | +$30.10 |
Silver | $40.03 | +$0.88 |
XAU | 220.02 | +2.13% |
HUI | 622.44 | +3.13% |
GDM | 1816.64 | +3.22% |
JSE Gold | 3045.44 | +39.29 |
USD | 77.11 | +0.05 |
Euro | 136.83 | -0.02 |
Yen | 1309.92 | +0.35 |
Oil | $86.89 | +$1.19 |
10-Year | 1.947% | +0.007 |
T-Bond | 142.625 | -0.3125 |
Dow | 11408.66 | +0.07% |
Nasdaq | 2590.24 | -0.86% |
S&P | 1202.09 | -0.17% |
The Metals:
Gold fell $6.20 to $1769.80 in Asia before it rose to as high as $1795.99 in London and then fell back to almost unchanged at $1776.16 by about 9:30AM EST, but it then rose to a new session high of $1811.29 by midday and ended with a gain of 1.69%. Silver fell to $39.14 in Asia before it rose to as high as $40.278 in New York and ended with a gain of 2.25%.
Euro gold rose to about €1321, platinum gained $7.30 to $1776, and copper fell another 5 cents to about $3.72.
Gold and silver equities rose over 3% by midmorning and remained near that level for the rest of the day.
Mining CEOs expect gold prices to keep rising Reuters
Chavez Decrees Nationalization of Gold Industry Amid Surging Bullion Price Bloomberg
Gold Prices to Top $2,000 This Year on ‘Confidence Crisis,’ Survey Shows Bloomberg
The Economy:
Report | For | Reading | Expected | Previous |
Housing Starts | Aug | 571K | 590K | 601K |
Building Permits | Aug | 620K | 585K | 601K |
Tomorrow at 10AM EST brings Existing Home Sales for August expected at 4.7 million and at 2:15 is the FOMC rate decision.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
The U.S. dollar index waffled near unchanged on mixed signals out of Europe.
Treasuries fell as the Dow, Nasdaq, and S&P rose along with oil in early trade on expectations for more stimulus from the fed tomorrow, but stocks then fell off in late trade and ended near unchanged on uncertainty about Europe.
Among the big names making news in the market today were IBM, UBS, HP, Google, Oracle, WellPoint, Tyco, and ConAgra.
The Commentary:
“Gold continues moving in a broad sideways pattern, unable to breach overhead resistance centered just below the $1840 but remaining above longer term support just above the $1760 level. The current short-term bias is negative until it can at least climb back above $1820.
Thus far forays down below the $1800 level have been met with quality buying in the physical market so this will need to continue to hold it from moving lower through $1760. Should these buyers step back a bit in the hopes of picking up the metal a bit cheaper, we could see it lag down towards the $1730 - $1720 region where one can expect to see very active buying occurring.
There is still some of this risk aversion selling occurring in gold (that is very easily seen in silver) but that is more a function of traders raising cash on their losing equity positions by selling their only winner, namely gold. In watching the price action today it seemed more a matter of a lack of eager buyers rather than any large scale fresh selling. That allowed price to drift lower until it triggered enough downside technically-related sell stops which then took it through $1780 before getting a bit of a light bounce up.
If you look at the copper chart, you can see that today it crashed through a former strong level of chart support. On the weekly chart, it has confirmed a double top pattern but that will not be totally confirmed unless it closes the week below the $3.85 level. Chinese buying had been keeping copper well bid below $4.00 but that buying disappeared today. The 100 day moving average, another key technical level, is now within easy striking distance for the bears. If they can take it down through that level, Dr. Copper will not be telegraphing good economic times ahead anytime soon.
This widespread selling across the commodity complex is a function of fears concerning the stability of the European Banking system which is reeling from its exposure to sovereign debt from that region. Investors are rightfully fearful of a contagion effect and a subsequent slowing of global economic growth. This is being reflected in severe weakness in the Euro, which as you can see from the price chart, is flirting very dangerously with falling below the 100 Week Moving average. It dipped briefly below this level last week but then recovered by the close of trading Friday and averted more serious damage. That respite was brief however as it has started off this week on a troubling foot. Unless it can rapidly recover above this level, it looks like a move towards 1.30 is in store. That would put even more upside in the US Dollar leading to further pressure across the broad commodity sector.
Take a look at the following chart and you can see where the safe haven money has been flowing over the last month. This is the gold/bond ratio. When the line is rising, gold is the safe haven of choice compared to bonds. When the line is falling, the bonds are the asset class of choice. Ever since the Central Bank organized hit on gold earlier this month, gold has been underperforming the US long bond. This is no doubt much delight to the Federal Reserve and to the Treasury Department, the former of which MUST HAVE LOW LONG TERM interest rates to prevent any further shocks to the already "on-life-support" economy; the latter of which cannot AFFORD to pay higher borrowing costs without worsening the already hopelessly incurable federal debt situation.
The HUI held fairly well today(Monday) considering the weakness both in the equity markets and in the precious metals but it does need to clear 610 and hold that level if it is going to have a shot at the recent all-time high once again. Downside support is initially near 600 followed by strong support near the 580 level.”- Dan Norcini, More at http://www.traderdannorcini.blogspot.com/
GATA Posts:
James Turk: The Swiss National Bank gives up
Siemens shelters up to E6 billion at ECB
Venezuelan government will claim all domestic gold production
China reported likely to keep buying U.S. debt
The Statistics:
Activity from: 9/19/2011
Gold Warehouse Stocks: | 11,410,058 | -128 |
Silver Warehouse Stocks: | 105,252,194 | +547,622 |
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 | 1251.908 | 40,250,099 | US$72,391m |
London Stock Exchange (LSE) AND NYSE Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse - Xetra) | Gold Bullion Securities | 115.35 | 3,708,632 | US$6,694m |
London Stock Exchange (LSE) AND NYSE Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse - Xetra) AND NYSE Euronext Amsterdam | ETFS Physical Gold | 126.23 | 4,058,350 | US$7,326m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 14.21 | 473,585 | US$824m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 45.28 | 1,455,635 | US$2,611m |
NASDAQ Dubai | Dubai Gold Securities | 0.154 | 4,949 | US$9m |
Note: No change in Total Tonnes from yesterday’s data.
COMEX Gold Trust (IAU) Total Tonnes in Trust: 168.52: No change from yesterday’s data.
Silver Trust (SLV) Total Tonnes in Trust: 9,956.32: No change from yesterday’s data.
The Miners:
US Gold’s (UXG) drill results, Kimber’s (KBX) board appointment, First Majestic’s (AG) plant expansion, SilverCrest’s (SVL.V) drilling, and Hecla’s (HL) silver-linked dividend policy were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Minefinders | MFN +7.39% $18.45 |
2. Golden Minerals | AUMN+6.50% $12.13 |
3. AuRico | AUQ +6.24% $11.41 |
LOSERS
1. Lake Shore | LSG -6.19% $1.97 |
2. Entree | EGI -6.01% $2.19 |
3. Northern Dynasty | NAK -4.47% $7.90 |
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:
Michael J. Zamora Appointed as President of Glahad Metals Inc. - More
- September 20, 2011 | Item | ShareThis
Orsa Ventures Announces Change of Directors - More
- September 20, 2011 | Item | ShareThis
Makivik Corporation Supports Oceanic in Respect of Infrastructure Development - More
- September 20, 2011 | Item | ShareThis
First Majestic Silver Corp.: First Stage of Expansion at the La Parrilla Processing Plant Completed - "FIRST MAJESTIC SILVER CORP. (TSX: FR.TO - News)(NYSE: AG - News)(Frankfurt: FMV.F - News)(WKN: A0LHKJ) (the "Company" or "First Majestic") is proud to announce the completion of the first stage of expansion at the La Parrilla Silver Mine's processing plant. The new 1,000 tpd flotation circuit has been operating since September 1, 2011 at an average rate of 787 tpd, bringing the total mill throughput to 1,254 tpd." More
- September 20, 2011 | Item | ShareThis
Gold Reach Resources Ltd. Announces Completion of Non-Brokered Private Placement and the Grant of Stock Options - More
- September 20, 2011 | Item | ShareThis
Mercer Gold Corporation Seeks Injunction Against Its Former President and Mercer BC - More
- September 20, 2011 | Item | ShareThis
St. Augustine Gold & Copper Limited Announces Final Settlement Payment to Benguet Corporation - More
- September 20, 2011 | Item | ShareThis
GeoMegA: Annual General Meeting - More
- September 20, 2011 | Item | ShareThis
Abington Treasure King North Shaft Results/Private Placement - More
- September 20, 2011 | Item | ShareThis
VMS Ventures Engages Huashan Capital to Provide Advisory Services in Asia - More
- September 20, 2011 | Item | ShareThis
Otterburn Ventures Inc. Announces Name Change to Finore Mining Inc. - More
- September 20, 2011 | Item | ShareThis
Orex Completes First Phase Ground Geophysical Surveys Over the Barsele Gold Project, Sweden - More
- September 20, 2011 | Item | ShareThis
Robex Resources Inc./Nampala: Substantial Increase of the Resource - More
- September 20, 2011 | Item | ShareThis
Bralorne Gold Mines Ltd.: Exploration Update - More
- September 20, 2011 | Item | ShareThis
Sienna Gold Inc.: Surface Samples Confirm High Grade Gold & Silver Mineralization Along the Callanquitas Structure - More
- September 20, 2011 | Item | ShareThis
Lincoln Confirms Gold/Silver Structures in Northwest Area of La Bufa, Chihuahua, Mexico - More
- September 20, 2011 | Item | ShareThis
DIOS Updates 2011 James Bay Summer Field Program - More
- September 20, 2011 | Item | ShareThis
Golden Phoenix Engages SRK Consulting to Prepare Resource Estimate and NI-43-101 Technical Report on Santa Rosa Gold Mine, Panama - More
- September 20, 2011 | Item | ShareThis
Sandspring Resources Ltd. Reports Delineation of Higher Grade Gold-Copper Mineralization Corridor at Toroparu of 1.74 g/t Gold and 0.4% Copper in TPD 237 - More
- September 20, 2011 | Item | ShareThis
Augen Gold Reports on Gold Exploration Program - More
- September 20, 2011 | Item | ShareThis
Sunset Cove Mining Files Quarterly Statements and Issues Options - More
- September 20, 2011 | Item | ShareThis
Timmins Gold Corp. Announces Updated Reserve and Resource Estimates for the San Francisco Gold Project - More
- September 20, 2011 | Item | ShareThis
Colombian Mines Expands Sabana Blanca Zone-Discovers New Mineralized Areas at El Dovio - More
- September 20, 2011 | Item | ShareThis
Liberty Star Acquires 8 Square Miles of Mineral Rights over a Large Porphyry Copper %u2013 Precious Metal Target in Cochise County, Arizona - More
- September 20, 2011 | Item | ShareThis
Jet Gold samples up to 93.89 g/t Au at Big Hammer - More
- September 20, 2011 | Item | ShareThis
Sandspring Resources Ltd. Reports Delineation of Higher Grade Gold-Copper Mineralization Corridor at Toroparu Andreports Drilling Results - More
- September 20, 2011 | Item | ShareThis
Mesa Exploration Retains Consulting Group for Potash and Lithium Drilling Support - More
- September 20, 2011 | Item | ShareThis
Puma Exploration: 21.1 g/t Au Over the Extension of the Cullinan Veins at Nicholas-Denys - More
- September 20, 2011 | Item | ShareThis
El Gallo Infill Drill Results - "US GOLD CORPORATION (NYSE: UXG - News)(TSX: UXG - News) is pleased to announce infill drill results from the El Gallo Complex, located in Sinaloa State, Mexico, where Phase 1 mining is planned for mid-2012. Drilling focused on confirming the resource and converting inferred mineralization to the measured and indicated categories. Drilling at the El Gallo deposit occurred in three areas: 1) Main Zone, 2) Eastern Area and 3) along the outer limits of the known resource. This drilling was completed in order to help prepare an initial reserve estimate for the project." More
- September 20, 2011 | Item | ShareThis
Golden Touch Resources Hits More High Grade Gold Intersections: - More
- September 20, 2011 | Item | ShareThis
Harte Expands 2011 Drill Program and Provides Corporate Update - More
- September 20, 2011 | Item | ShareThis
Sabina Gold & Silver Reports Updated Resource Estimate for the Goose Deposit, Back River Gold Project, Nunavut - More
- September 20, 2011 | Item | ShareThis
Solomon to Raise up to $250,000 in Flow-Through and $100,000 in Non-Flow-Through Unit Private Placements - More
- September 20, 2011 | Item | ShareThis
Corazon Identifies New High Grade Structure at Santo Domingo, Nicaragua, Drills 1.25m of 17.47 g/t Gold and Completes Phase One Drill Program - More
- September 20, 2011 | Item | ShareThis
Quantum Rare Earth Developments Corp Announces Additional Drilling Results From Elk Creek, Nebraska - More
- September 20, 2011 | Item | ShareThis
Siga Resources Acquires Montauban Gold Tailings Claims - More
- September 20, 2011 | Item | ShareThis
Bayfield Reports 1,414.55 g/t Silver Over 1.10m in Rainy River, NW Ontario - More
- September 20, 2011 | Item | ShareThis
Empire Mining Final Assays From Demirtepe Main Zone Return Significant Copper-Gold-Silver and Molybdenum Values - More
- September 20, 2011 | Item | ShareThis
Calvista Gold Corporation Announces Initial Assay Results - More
- September 20, 2011 | Item | ShareThis
SilverCrest Begins Drilling at Cruz de Mayo Reports on Santa Elena Norte Drill Results - "SilverCrest Mines Inc. (TSX-V: SVL.V - News) (the "Company") is pleased to announce that it has begun drilling at the 100%-owned Cruz de Mayo Project located near its Santa Elena Mine in Sonora, Mexico. Drilling of approximately 45 core and RVC holes is planned to reclassify and potentially expand current NI43-101 resources. This program will be used to assist with the preparation of an ongoing Pre-Feasibility Study (PFS) for Cruz de Mayo as part of the Santa Elena Expansion Project." More
- September 20, 2011 | Item | ShareThis
Estrella Drill Results From Colpayoc Gold Project, Peru - More
- September 20, 2011 | Item | ShareThis
Solitaire Minerals Corp. Conducting Mag-VLF and IP Surveys at the Windfall Lake Land Package, Quebec - More
- September 20, 2011 | Item | ShareThis
Galantas Reports Strong Gold Assays from Channel Sampling on Joshua Vein at Omagh Property - More
- September 20, 2011 | Item | ShareThis
Romarco provides permitting schedule update - More
- September 20, 2011 | Item | ShareThis
WestMountain Completes Drilling Program at the Terra Gold Project in Alaska and Extends the Ben Vein Zone - More
- September 20, 2011 | Item | ShareThis
Altius and Century Iron Mines Sign Principal and Royalty Agreements on Four Labrador Iron Ore Properties - More
- September 20, 2011 | Item | ShareThis
Spanish Mountain Gold Announces Don Coxe's Appointment to the Board of Directors - More
- September 20, 2011 | Item | ShareThis
NRC Engages Kin Communications Inc. as Investor Relations - More
- September 20, 2011 | Item | ShareThis
Avanti Intersects 598.5 Meters Averaging 0.077% Molybdenum at Kitsault - More
- September 20, 2011 | Item | ShareThis
PC Gold Inc. Files Year End Financial Statements, MD&A, and AIF for the 12 Months Ended June 30, 2011 - More
- September 20, 2011 | Item | ShareThis
Hana Mining Ltd. Announces the Appointment of Highly Experienced and Successful Chief Geologist to Lead Exploration Program at the Ghanzi Project - More
- September 20, 2011 | Item | ShareThis
Hathor Intersects 27.0 m of 7.91 % U3O8, including 3.5 m of 41.77 % U3O8, As Far East Zone at Roughrider Continues to Surpass Expectations - More
- September 20, 2011 | Item | ShareThis
Carpathian's Latest Drill Results, Including 438 m of 0.83 g/t Au & 0.19% Cu, Confirm Continuing Expansion of the Ciresata Deposit, Romania - More
- September 20, 2011 | Item | ShareThis
Alto Ventures Ltd.: NI43-101 Mineral Resource Estimate Reports Significant Contained Ounces of Gold for the East Coldstream Gold Deposit in Northwestern Ontario - More
- September 20, 2011 | Item | ShareThis
Foundation Resources Inc.: NI43-101 Mineral Resource Estimate Reports Significant Contained Ounces of Gold for the East Coldstream Gold Deposit - More
- September 20, 2011 | Item | ShareThis
Constantine Reports Final Drill Results at Munro-Croesus Gold Project, Ontario - More
- September 20, 2011 | Item | ShareThis
Castle Resources Intersects 18 Meters of 1.90% Cu at Granduc Copper Project - More
- September 20, 2011 | Item | ShareThis
Magellan Drills 27m @ 6.94 g/t Gold 600m South East of Central at Cuiu Cuiu Project, Brazil - More
- September 20, 2011 | Item | ShareThis
Kimber appoints TIm Haldane to the board of directors - "I very much look forward to working with Tim Haldane as we seek to realise the full potential of our Mexican properties, especially the Monterde project," said Gordon Cummings, President and CEO of Kimber Resources. "Tim has tremendous experience in the mining of precious metals deposits and a track record of success in building and operating the multi-million ounce El Sauzal and Pinos Altos mines in the prolific Sierra Madre belt, making him a highly valued addition to the Kimber board of directors." More
- September 20, 2011 | Item | ShareThis
Hecla Introduces Silver-Linked Dividend Policy - "Hecla Mining Company (“Hecla”)(NYSE:HL) is very pleased to announce that its Board of Directors has adopted a common stock dividend policy that links dividend payments to Hecla’s average quarterly realized silver price in the preceding quarter." More
- September 20, 2011 | Item | ShareThis
- Chris Mullen, Gold Seeker Report
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