-- Posted Friday, 13 October 2006 | Digg This Article
| Close | Gain/Loss | On Week |
Gold | $588.90 | +$12.90 | +2.92% |
Silver | $11.57 | +$0.30 | +4.42% |
XAU | 129.03 | +2.90% | +3.89% |
HUI | 303.37 | +2.97% | +3.91% |
GDM | 969.11 | +2.86% | +3.99% |
JSE Gold | 2771.72 | +1.03% | -2.67% |
USD | 87.14 | +0.27 | +0.69% |
Euro | 125.15 | -0.35 | -0.73% |
Yen | 83.58 | -0.12 | -0.64% |
Oil | $58.70 | $0.84 | -1.77% |
10-Year | 4.806% | +0.028 | +2.34% |
Bond | 110.34375 | -0.34375 | -1.09% |
Dow | 11960.51 | +0.11% | +0.93% |
Nasdaq | 2357.29 | +0.47% | +2.49% |
S&P | 1365.62 | +0.20% | +1.19% |
The Metals:
CoT Reports Released: Gold | Silver
Gold rose a couple of dollars in Asia, added another $6 in London, traded about $8 to $12 higher in morning New York trade, added to its gains in afternoon trade, and closed near its high of the day with a gain of 2.24%. Silver gained a few cents in Asia, added another 10 cents in London, steadily rose throughout trade in New York, and ended near its highs with a gain of 2.66%.
Euro gold rose over €470, platinum gained $5 to $1,074, palladium gained $6 to $311, and copper rose slightly and got back above $3.40.
Gold and silver equities rose about 2% at the open, steadily rose for the rest of trade, and ended with nearly 3% gains.
The Economy:
Report | For | Reading | Expected | Previous |
Retail Sales | Sep | -0.4% | 0.2% | 0.1% |
Retail Sales ex-auto | Sep | -0.5% | 0.0% | 0.2% |
Import Prices | Sep | -2.1% | -1.2% | 0.8% |
Import Prices ex-oil | Sep | 0.1% | - | 0.5% |
Export Prices | Sep | -0.5% | 0.2% | 0.4% |
Export Prices ex-ag. | Sep | -0.5% | - | 0.4% |
Michigan Sentiment | Oct | 92.3 | 86.5 | 85.4 |
Business Inventories | Aug | 0.6% | 0.5% | 0.6% |
Import Prices dropped by the most in more than three years as petroleum prices fell 10.3%. “The core personal consumption expenditures (PCE) price index, the Federal Reserve's favored inflation measure, has been running at or above 2 percent for 29 months.”
All of this week’s economic reports:
Next week’s economic highlights include the NY Empire State Index on Monday, PPI, Net Foreign Purchases, Capacity Utilization, and Industrial Production on Tuesday, CPI and housing data on Wednesday, and Initial Jobless Claims, Leading Economic Indicators, and the Philadelphia Fed on Thursday.
ADVERTISEMENT
Join the Gold Rush: FREE Gold Traders Kit! FREE mini-sized Gold & Silver Fu
tures Booklet
FREE Electronic Gold OPTIONS Booklet (Don't forget - Electronic Gold launches March 3rd!)
Access to Gold Live Book (Free Real-Time Prices)
Access to Silver Live Book (Free Real-Time Prices)
Plus a special Metals Complex Benefits Sheet
- Click Here -
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil rose as a barge ran into a natural gas pipeline in the Gulf of Mexico yesterday and 2 oil fields were shut down in Norway today due to safety concerns. About 280,000 barrels have been taken off the market per day as a result, but that supply is expected to return in a week or two.
The U.S. dollar index rose near 6 month highs and treasuries fell as the stronger than expected Michigan Sentiment report overcame the mixed Retail Sales report and pushed interest rates higher.
The Nasdaq rose throughout trade while the Dow and S&P traded lower for most of trade on higher oil, less than spectacular earnings, and mixed Retail Sales, but the Dow and S&P rose in afternoon trade and were able to join the Nasdaq with small gains by the close. The Dow ended at its high of the session at a new record high.
Among the big names making news in the market Friday were GE and AT&T and BellSouth.
The Commentary:
“WHAT LIES AHEAD FOR GOLD:
The specs are very short gold. The physical markets are on fire with the Swiss refineries going all out and the Indians buying like crazy. As we head into the elections on November 7, gold should move higher and higher. Paulson won’t care as he has accomplished his goals to keep gold down when it most counted … as far the US interest rate and US stock markets are concerned.
Paulson knows the American public does not really care about, or pay much attention to, the price of gold, only the impression it gives when rising sharply. Thus, gold should move up, but never be allowed to create any serious excitement on the upside until AFTER the election. Then, look out. The Gold Cartel will cover all they can in the weeks ahead, knowing what lies ahead in November and December as far as the price is concerned.”- From yesterday’s Midas report by Bill Murphy of LemetropoleCafe.com
“December Gold finished up 12.4 at 592.7, 1.5 off the high and 5.1 up from the low.
December Silver closed up 0.3 at 11.68. This was 0.13 up from the low and 0.045 off the high.
Apparently a softer than expected retail sales report wasn't that undermining to gold and surprisingly didn't do much to discourage the long interest in the Dollar. In retrospect the metals market didn't have much of a chance to respond to the slack retail sales readings, because the University of Michigan sentiment readings were so impressive. We also think that the generally upbeat attitude in the stock market, rising grain prices and periodic strength in the oil market gave the bear camp in gold something to think about. In fact, the Press reported that part of the buying Friday morning was stop loss buying and that certainly suggests that some bears are becoming less confident in their positions. With the macro economic attitude slowly coming around to the view that the US consumer might have some power in the remaining months of 2006, it is not a surprise to see gold prices bid up off some value hunting buying interest.
With the copper market providing positive leadership to silver and the gold market actually outperforming the silver market for most of the session, the environment for silver has certainly improved. While some might doubt a positive correlation exists between higher energy prices and higher silver prices, it’s clear that higher oil prices haven't prevented silver gains. In the end, the silver market continues to act like a physically demand driven commodity and currently the market seems to be upgrading commodity demand potentials.”- The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Co-ordinated bailouts may no longer be possible
The wizard's farewell
The Statistics:
As of close of business: 10/12/2006
Gold Warehouse Stocks: | 7,824,095 | - |
Silver Warehouse Stocks: | 105,180,800 | - |
Global Gold ETF Holdings
[WGC Sponsored ETF’s]
| Product name | Total Tonnes | Total Ounces | Total Value |
New York Stock Exchange (NYSE) AND Singapore Exchange (SGX) | Streettracks Gold Shares | 390.26 | 12,547,364 | US$ 7,188m |
LSE (London Stock Exchange) AND Euronext Paris | Gold Bullion Securities | 80.79 | 2,597,454 | US$ 1,531m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 9.94 | 319,455 | US$ 188m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 9.89 | 317,875 | US$ 182m |
Note: Change in Total Tonnes from yesterday’s data: The LSE added 1.56 tonnes.
COMEX Gold Trust (IAU)
Profile as of 10/12/2006 | |
Total Net Assets | $798,444,637 |
Gold Seeker Weekly Wrap-Up – Gold & Silver Gain Over 2%