Gold Seeker Closing Report: Gold and Silver Fall Over 2% and 6%

	Close	Gain/Loss
Gold	$1718.10	-$44.80
Silver	$31.54	-$2.16
XAU	197.79	-3.61%
HUI	561.60	-4.04%
GDM	1603.51	-4.07%
JSE Gold	3204.49	-14.45
USD	78.28	+0.05
Euro	134.55	+0.02
Yen	129.93	+0.14
Oil	$98.82	-$3.77
10-Year	1.958%	-0.066
T-Bond	143.3475	+1.21875
Dow	11770.73	-1.13%
Nasdaq	2587.99	-1.96%
S&P	1216.13	-1.68%

Gold saw slight gains in Asia, but it then fell throughout most of trade in London and New York and ended near its early afternoon low of $1711.13 with a loss of 2.54%. Silver slumped to as low as $31.054 and ended with a loss of 6.41%.

Euro gold fell to about €1276, platinum lost $36.65 to $1578, and copper dropped 12 cents to about $3.36.

Gold and silver equities fell about 4% by midafternoon and remained near that level for the rest of the day.

Report	For	Reading	Expected	Previous
Initial Claims	11/12	388K	398K	393K
Housing Starts	Oct	628K	604K	630K
Building Permits	Oct	653K	603K	589K
Philadelphia Fed	Nov	3.6	7.5	8.7

Tomorrow at 10AM EST brings Leading Economic Indicators for October expected at 0.6%.

Oil fell as treasuries rose on worries over debt that sent the Dow, Nasdaq, and S&P almost 2% lower. European debt worries increased on reports “saying there are no plans for aid for Italy from the European Financial Stability Facility” and US debt worries rose on concerns that Congress’s supercommittee will not be able to come to a deal on the American deficit. The U.S. dollar index was mixed as traders debated which debt problem was worse.

Among the big names making news in the market Friday were UBS, MF Global, Dollar Tree, Sears, Boeing, GE, Legg Mason, CME, and Sony.

“European woes are rising and as they rise, more and more it seems as if the level of FEAR is rising alongside of it. The cost of insuring French, Italian, Portuguese, and Belgium bonds hit record highs today. The ECB was said to be a buyer of Italian bonds today (no one else seems to want them).

I think it does not take much in the way of insight to realize that after the collapse of MF Global (they insanely leveraged their buys of European sovereign debt to asinine levels and raided their customer monies in an effort to cover their staggering losses), there is no market for European sovereign debt. Investors are looking at the huge sums of this debt on the books of the European banks (and that on the books of US based banks as well) and are suddenly realizing that there is no one to sell this stuff to besides the big Central Banks. Many are fearing that a collapse of those big banks is coming without some sort of action by the ECB.

One has to wonder what good that will do in the long run because it will no doubt involve money printing. That is what has Germany reluctant to go along with the program because the Germans are fearful of the impact on the Euro.

All this fear send investors/traders rushing into cash and once again jettisoning commodities in general while buying US Treasuries. Hey, compared to Greek or Italian or French debt, US Treasuries look like the Rock of Gibraltar for stability. What makes this so ironic is that the US reached the "laudable" level of $15 TRILLION in indebtedness. The Dollar - like I have said repeatedly, right now it is the best looking piece of trash on the kitchen floor.

Gold was sold along with silver and along with Platinum and Palladium, which were absolutely crushed today. Palladium dropped near 7%. Copper of course was hammered lower falling better than 3%. In that sort of environment it is to be expected that Silver would get the snot beat out of it. It is down nearly 6.55 as I type this.

Gold fared a bit better than silver falling only 3% or so. While the gold shares were smacked down (again failing to extend past the 600 level on the HUI), I do not expect gold itself to fall apart. Reports today stunned traders when they learned that Central Banks were huge buyers of gold on the recent retreat in prices underscores the strong demand for the yellow metal that exists (they scooped up over 150 TONS!).

There is no doubt in my mind that value based buying of gold will continue as this stupidly insane hedge fund selling of the metal will be eagerly welcomed by various foreign Central Banks and deep-pocketed value-based buyers. I expect to see China acquiring the metal in December as dealers there prepare for their yearly New Year's celebration later in January.

Crude oil could not keep its footing above the $100 level sinking below that in today's trade as both it and gasoline were also sold off. Natural gas bucked the general selling trend as it made a new yearly low yesterday so it appeared some guys were using the general wave of selling to cover shorts. That managed to pop the market higher a bit.

As stated previously in both writing and in my radio interviews - silver is not going anywhere until it can convincingly clear the $35.50 level to the upside. That is going to require a change in investor sentiment towards it. Right now, with silver still tied directly to the risk trades, it cannot mount any charge higher until buyers feel comfortable enough to take on a high level of risk. I am not sure what might make that happen given the current state of the European mess.

Gold is a different animal as it is a true safe haven. Remember it gets knocked down along with these risk off trades because it is sold as part of a basket of commodities that comprise the various commodity indices against which hedge funds and commodity index funds benchmark. However, safe haven buying usually surfaces in gold, albeit at the lower levels because those who are worried about currency stability will move to the metal as their distrust of the monetary officials and political leaders increase.

Looking briefly at the gold chart, the $1800 level has been acting as resistance for the last two weeks or so. The $1750 had been serving as support. That gave way with the market falling through the first level of chart support near $1720 before bouncing off the second level of chart support just above the $1700 level. Gold is attempting to climb back above $1720 as I type this but as of now cannot quite muster the strength to do so. We will have to see if it can do so in Asian trading this evening.

Failure to hold at $1705- $1700 will allow the metal to drop towards $1680 where we should see some buying emerge. I would quite frankly be surprised to see gold lower than $1680 for any length of time. All of these paper currencies are extremely suspect right now, due to the huge sums of indebtedness in the system and all the implications that this carries with it. Central Bankers, when forced to choose between deflation and inflation will always opt for the latter. They feel that they can always "control" or manage that - the former is a different story altogether for them.

I think if push comes to shove and the Germans are forced to make a choice between inflation or deflation, they too will choose what might be regarded as the lesser evil of the two and opt to move forward on the Financial Stability front. It's either that, or the Euro falls apart and so too then does the ECB itself.

If gold were to fall through $1680 for any reason, I would anticipate increased buying by longer-term oriented investors/traders who are looking for the metal to make a push towards $2000. Downside in the metal at $1620 - $1600 would be much less than upside risk to that level.”- Dan Norcini, More at http://www.traderdannorcini.blogspot.com/

COMEX Gold Trust (IAU) Total Tonnes in Trust: 169.28: +0.31 change from yesterday’s data.

Silver Trust (SLV) Total Tonnes in Trust: 9,783.71: No change from yesterday’s data.

Keegan’s (KGN) assay results, Kinross Gold’s (KGC) recognition as one of the 10 Most Admired Corporate Cultures in Canada, Lake Shore’s (LSG) 43-101 resource estimate, and Paramount’s (PZG) assay results were among the big stories in the gold and silver mining industry making headlines Friday.

Winners & Losers tracks NYSE and AMEX listed gold and silver mining stocks that trade over $1.

Colorado Completes Drilling on Red Sky Property, West Central, British Columbia - More
- November 17, 2011 | Item | ShareThis

Hathor Board Recommends Rio Tinto's Increased All-Cash Offer of C$4.70 Per Share for Hathor Exploration - More
- November 17, 2011 | Item | ShareThis

LIM Appoints New President and Chief Operating Officer - More
- November 17, 2011 | Item | ShareThis

Fission Energy Corp. Completes $10 Million Bought Deal Private Placement - More
- November 17, 2011 | Item | ShareThis

Trevali Awarded New Brunswick Developer of the Year - More
- November 17, 2011 | Item | ShareThis

Conquest Reports Surface Gold Mineralization on Its Smith Lake Ontario Property - More
- November 17, 2011 | Item | ShareThis

Indicator Minerals Proposes Name Change and Share Consolidation - More
- November 17, 2011 | Item | ShareThis

Photo Release -- Hondo Minerals Corporation Provides Corporate Update - More
- November 17, 2011 | Item | ShareThis

Edgewater Receives Positive Preliminary Economic Assessment for the Corcoesto Gold Project - More
- November 17, 2011 | Item | ShareThis

Premium Exploration Doubles Friday Zone Strike Length; Resource Development Planning Underway - More
- November 17, 2011 | Item | ShareThis

Auriga Gold Confirms New Mineralization on Trend at the Maverick Gold Project, Manitoba - More
- November 17, 2011 | Item | ShareThis

New Island Resources Inc. Announces Change to Board of Directors - More
- November 17, 2011 | Item | ShareThis

Eagle Hill's Gold Resource Expands With the First Assay Results From Its New Drill Program Including 9.6 g/t of Gold Over 3.3 Meters and 5.6 g/t of Gold - More
- November 17, 2011 | Item | ShareThis

INV Metals Completes Sale of Thorne Lake - More
- November 17, 2011 | Item | ShareThis

Mining operations resume at Ezulwini Mine - More
- November 17, 2011 | Item | ShareThis

Update on Virginia's Gold Projects in James Bay: Eleonore Reaches an Important Milestone - More
- November 17, 2011 | Item | ShareThis

NQ Intersects 131 g/t eAg Over 14 Metres Near Surface at Its Carheil Project - More
- November 17, 2011 | Item | ShareThis

Golden Share Completes First Phase of Drilling at Pistol Lake and Mobilizes Second Drill in Shebandowan Belt - More
- November 17, 2011 | Item | ShareThis

QMC Quantum Signs Drill and Drilling Program Supervision Contracts, Rocky Lake Massive Sulphide Project, Flin Flon District, Manitoba - More
- November 17, 2011 | Item | ShareThis

Valterra Announces Corporate Appointments - More
- November 17, 2011 | Item | ShareThis

Expedition Mining's Soil Geochemical Survey Outlines 7 Km Multi-Element Anomaly on Joy Property - More
- November 17, 2011 | Item | ShareThis

Opawica Announces Termination of Private Placement - More
- November 17, 2011 | Item | ShareThis

Mega’s Ongoing Step out Drilling Program at the Monument Bay Project Continues to Confirm the Broad and Extensive Burn Zone Mineralization - More
- November 17, 2011 | Item | ShareThis

Aben Drills Significant New Discovery of 60m of 1.19 g/t Gold on Justin Project, Yukon - More
- November 17, 2011 | Item | ShareThis

Alberta Star to Participate in Drilling Another Well at Landrose, Saskatchewan - More
- November 17, 2011 | Item | ShareThis

Elissa Receives Permits to Drill Its Thor Rare Earth Project, Nevada - More
- November 17, 2011 | Item | ShareThis

Andover More Than Doubles Land Position at the Sun Property Located in the Ambler District, Alaska - More
- November 17, 2011 | Item | ShareThis

Choice Gold Corp. Releases Sampling Results from Sugarloaf Peak Gold Project - More
- November 17, 2011 | Item | ShareThis

Corvus Gold Hires Manager of Project Development to Advance Its North Bullfrog, Nevada and Terra Alaska Projects - More
- November 17, 2011 | Item | ShareThis

Woulfe Mining Buys Out Royalty and Moves to 100% Ownership of Sangdong Project - More
- November 17, 2011 | Item | ShareThis

Sparton Announces 3,300 Meter Drill Program With Osisko on Hammond Area Properties - More
- November 17, 2011 | Item | ShareThis

Pacific Bay Signs Agreement to Acquire Key Uranium Property in Cerro Solo Region of Chubut, Argentina - More
- November 17, 2011 | Item | ShareThis

Maya Gold & Silver Filed a NI 43-101 Report - More
- November 17, 2011 | Item | ShareThis

Golden Dawn Minerals Extends Deadwood Gold-Copper and Polymetallic Zone, Greenwood Mining District, British Columbia, Canada - More
- November 17, 2011 | Item | ShareThis

Golden Dawn Minerals extends Deadwood gold-copper and polymetallic zone, Greenwood Mining District, British Columbia, Canada - More
- November 17, 2011 | Item | ShareThis

Spanish Mountain Gold Engaged Proconsul Capital as Investor Relations Consultant - More
- November 17, 2011 | Item | ShareThis

Prophecy Platinum Closes $10 Million Private Placement - More
- November 17, 2011 | Item | ShareThis

Concordia Resource Corp. Appoints New President - More
- November 17, 2011 | Item | ShareThis

NMC Resource (TSX VENTURE: NRC) Surface Sampling Discovers Wide Spread Molybdenite Mineralization at Boss Mountain - More
- November 17, 2011 | Item | ShareThis

Steele Resources Corp. Receives First Revenue from Mineral Hill Gold Mine - More
- November 17, 2011 | Item | ShareThis

Virgin Metals Announces Ratification of Shareholder Rights Plan - More
- November 17, 2011 | Item | ShareThis

Mariana Resources: Strategic Investment by AngloGold Ashanti Ltd - More
- November 17, 2011 | Item | ShareThis

Romios Announces Additional Drill Results Continues to Encounter Significant Mineralization on Its Dirk Property in British Columbia - More
- November 17, 2011 | Item | ShareThis

Matamec Explorations Inc.: Pilot Plant Planned for Kipawa by Mid-2012 - More
- November 17, 2011 | Item | ShareThis

Goldstrike's Gold Rush Zone Advanced to Drill-Ready Stage - More
- November 17, 2011 | Item | ShareThis

Red Crescent Successfully Produces First Direct Shippable Ore from Its Hakkari Zinc Project - More
- November 17, 2011 | Item | ShareThis

THEMAC Resources Group Limited: Copper Flat Mine 2011 Core Drilling Program Returns Encouraging Results - More
- November 17, 2011 | Item | ShareThis

Hana Provides Update on Its Activities - More
- November 17, 2011 | Item | ShareThis

Boxxer announces $2,600,000 private placement - More
- November 17, 2011 | Item | ShareThis

Keegan Continues to Encounter Significant Gold Intercepts From Resource Infill and Exploration Drilling of New Zones - "Keegan Resources Inc (TSX: KGN.TO - News)(AMEX: KGN.TO - News) ("Keegan" or the "Company) is pleased to announce the latest assay results from its Esaase Project drilling programs in southwest Ghana. This drill program has focused on step out drilling in the E Zone, which has not yet been included in any resource estimate, and the B zone, which previously had an inferred resource based on relatively wide spaced drill holes. Both zones have returned substantial and significant gold values." More
- November 17, 2011 | Item | ShareThis

DIOS Exploration/Significant Discovery on Hotish Project: 0.621 % Uranium Oxide Over 3 m True Width in Volcanics Near Surface - More
- November 17, 2011 | Item | ShareThis

Kinross Named One of Canada's 10 Most Admired Corporate Cultures - "Kinross Gold Corporation (TSX:K.TO - News)(NYSE: KGC - News) announced today that it has been named one of the 10 Most Admired Corporate Cultures in Canada by Waterstone Human Capital, a leading executive search and professional recruitment firm. Kinross was first named one of the 10 Most Admired Corporate Cultures in the Central Canada Region earlier this year." More
- November 17, 2011 | Item | ShareThis

Lake Shore Gold Reports First NI 43-101 Open-Pit Resource at Fenn-Gib Property - "Lake Shore Gold Corp. (TSX: LSG.TO - News)(AMEX: LSG.TO - News) ("Lake Shore Gold" or the "Company") today announced the completion of an initial National Instrument ("NI") 43-101 resource estimate for the Company's wholly owned Fenn-Gib property located approximately 60 km's east of Timmins, Ontario. The new resource estimate includes a total of 40.8 million tonnes grading 0.99 gpt for a total of 1.30 million contained Au ounces in the Indicated category and 24.5 million tonnes at 0.95 gpt for a total of 0.75 million ounces in the Inferred category. Most of the resources are in the Main Zone, which is located in the northern portion of the Fenn-Gib property." More
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Paramount Gold and Silver Continues to Expand its Sleeper Gold Project in Nevada - "Paramount Gold and Silver Corp. (AMEX: PZG - News)(TSX: PZG - News)(FRANKFURt: P6G.F - News)(WKN: A0HGKQ) ("Paramount") announced today assay results from the final four holes drilled during the recently completed program at its 100%-owned Sleeper Gold Project in Nevada. These core holes targeted the Facilities zone, the newly discovered PAD zone, an extension to the West Wood vein zone and a new exploration target approximately 1 km southeast of the Sleeper pit." More
- November 17, 2011 | Item | ShareThis

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