-- Posted Monday, 11 December 2006 | Digg This Article
| Close | Gain/Loss |
Gold | $629.80 | +$3.00 |
Silver | $13.83 | +$0.08 |
XAU | 144.96 | +0.95% |
HUI | 348.15 | +0.90% |
GDM | 1108.46 | +1.00% |
JSE Gold | 2858.12 | -1.85% |
USD | 83.20 | -0.12 |
Euro | 132.53 | +0.48 |
Yen | 85.59 | -0.29 |
Oil | $61.22 | -$0.81 |
10-Year | 4.520% | -0.032 |
T-Bond | 113.71875 | +0.40625 |
Dow | 12328.48 | +0.17% |
Nasdaq | 2442.86 | +0.23% |
S&P | 1413.04 | +0.23% |
The Metals:
Gold traded mostly slightly lower in Asia and London before it steadily rose in New York and ended near its highs of the session with a gain of 0.48%. Silver followed a very similar pattern and ended with a gain of 0.58%.
Euro gold rose above €475, platinum gained $1 to $1,107, palladium gained $3 to $329, and copper gained a few cents to about $3.11.
Gold and silver equities rose over 1% in the first hour of trade and remained near their highs for most of trade before they fell off slightly in the last hour of trade, but they still ended with near 1% gains.
The Economy:
Report | For | Reading | Expected | Previous |
Wholesale Inventories | Oct | 0.8% | 0.6% | 0.7% |
Tomorrow at 8:30AM EST brings the Trade Balance for October expected at -$63.0 billion. At 2PM is the Treasury Budget for November expected at -$73.0 billion and at 2:15 is the FOMC policy statement which is expected to keep interest rates unchanged at 5.25%.
The Markets:
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Charts Courtesy of http://finance.yahoo.com/
Oil traded mostly lower and ended near its lows of the session on warm weather and uncertainty over OPEC’s meeting this Thursday.
The U.S. dollar index fell after former fed chief Greenspan warned a business conference in Tel Aviv to expect "a few years of dollar weakness" and added that it is "imprudent to hold everything in one currency."
Treasuries rose and the Dow, Nasdaq, and S&P traded mostly slightly higher as traders prepared for tomorrow’s fed announcement.
Among the big names making news in the market today were DuPont, Shell, Saber, CSN and Corus, Goldman Sachs, and Phelps Dodge and Freeport.
The Commentary:
“It was decided at GATA’s Board meeting in New Orleans that GATA would go all out next year to do what we could to insist on an independent audit regarding the true status of US gold reserves. How ironic! Since Blanchard’s efforts with the IMF coincide with what GATA intends to do, we decided to get the ball rolling now. What this is all about …
*It has been the undisclosed leasing and swapping of central bank gold that has been used in a surreptitious manner to artificially suppress and manipulate the price.
*In a paper earlier this year the IMF admitted central banks are double counting their gold reserves, in many cases. This means the IMF knows various central banks are overstating their reserves.
*Should it be revealed publicly that the central banks do not have the reserves they claim to have, it would electrify the market.” - From yesterday’s Midas report by Bill Murphy of LemetropoleCafe.com
“February Gold finished up 3.8 at 634.8, 0.4 off the high and 6.7 up from the low.
March Silver closed up 0.13 at 14.025. This was 0.205 up from the low and 0.015 off the high.
The gold market started the session out in vulnerable stance on Monday morning, with the Dollar marginally higher and the oil market weaker. However, while the oil market remained weak throughout most of the session, the Dollar seemed to come under renewed pressure and that seemed to alter the outlook toward the gold market. With the US equity market managing a rather impressive rally, it is possible that the gold market was lifted by hopes of an improvement in physical and or investment demand. In the end, the direction of the Dollar remains the dominating force in the gold market, but with the Dollar still well above the early December lows, the Dollar might have to fall persistently just to promote a tide of gold buying off the currency situation.
Many in the trade expected the gold and silver markets to remain range bound ahead of the upcoming FOMC meeting but apparently the silver market had thoughts of its own. In fact, after starting out somewhat weak, the March silver contract managed to rise above the prior day's close and even back toward the prior session's high! With the US equity market showing periodic fits of strong buying and the copper market also lifted smartly off hope that the Chinese were about to resume buying physical copper, it seems that silver was given a distinct lift. However, it is also clear that a weaker Dollar served to lift gold, which in turn probably lent some support to silver.” - The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
E-gold gets tough on crime
Bloomberg story finds many establishment advisers favorable to gold
China trip is meant to coordinate dollar devaluation, economist says
Goldman hires Amaranth traders
Oil producers shifting out of dollar
Iran's parliament said to favor switching from dollars to euros
Dollar may rise even as U.S. economy weakens, research firm says
Islamic derivatives: What would Mohammad do?
The Statistics:
As of close of business: 12/08/2006
Gold Warehouse Stocks: | 7,491,102 | - |
Silver Warehouse Stocks: | 110,579,783 | +1,314,011 |
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 | 441.52 | 14,195,233 | US$ 9,047m |
LSE (London Stock Exchange) AND Euronext Paris | Gold Bullion Securities | 90.31 | 2,903,622 | US$ 1,831m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 10.53 | 338,453 | US$ 213m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 9.88 | 317,669 | US$ 202m |
Note: No change in Total Tonnes from yesterday’s data.
COMEX Gold Trust (IAU)
Profile as of 12/08/2006 | |
Total Net Assets | $854,491,196 | Ounces of Gold
in Trust | 1,364,906.469 |
Shares Outstanding | 13,750,000 | Tonnes of Gold
in Trust | 42.45 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 12/08/2006 | |
Total Net Assets | $1,531,616,061 | Ounces of Silver
in Trust | 110,677,928 |
Shares Outstanding | 11,100,000 | Tonnes of Silver
in Trust | 3,442.5 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
Northgate’s (NXG) addition to the S&P/TSX Composite Index, DRDGOLD’s (DROOY) CEO appointment, U.S. Gold’s (UXG) Amex listing, Exeter’s (XRA) drill results, Freeport McMoRan’s (FCX) proposed buyout of Phelps Dodge (PD), Oremex’s (ORM.V) claim sale, Fury’s (FUR.V) drill results, and Silver Standard’s (SSRI) gold resource were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Minco | MMK+8.37% $1.7122 |
2. U.S. Energy | USEG +3.91% $5.58 |
3. Hecla | HL +3.51% $7.38 |
LOSERS
1. Cardero | CDY-5.06% $1.50 |
2. Entree | EGI -4.40% $1.52 |
3. Fronteer | FRG-4.36% $8.34 |
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:
Ditem Explorations: Closing of $ 1,750,000 Brokered Private Placement - More
- December 11, 2006 | Item | E-mail
Big Red Diamond Corporation Announces That it is Seeking to Raise Two Private Placements for a Total of $870,000 - More
- December 11, 2006 | Item | E-mail
Update on the Elder and Abcourt-Barvue Projects - More
- December 11, 2006 | Item | E-mail
Starfire announces winter drill program for its cross-structure uranium property - More
- December 11, 2006 | Item | E-mail
Amera Closes Financing - More
- December 11, 2006 | Item | E-mail
NORTHGATE MINERALS TO ENTER THE S&P/TSX COMPOSITE INDEX - "Northgate Minerals Corporation (TSX:NGX.TO - News)(AMEX:NXG - News) is pleased to announce that Northgate will be added to the S&P/TSX Composite Index of the Toronto Stock Exchange (TSX) when trading opens on December 18, 2006. At the same time, Northgate will also be added to the new S&P/TSX Global Gold Index which will include approximately 30 of the world's leading gold companies." More
- December 11, 2006 | Item | E-mail
Goldcorp Declares Twelfth Monthly Dividend Payment for 2006 - "GOLDCORP INC. (TSX:G.TO - News)(NYSE:GG - News) is pleased to declare its twelfth monthly dividend payment for 2006 of $0.015 per share. Shareholders of record at the close of business on Friday, December 22, 2006 will be entitled to receive payment of this dividend on Friday, December 29, 2006." More
- December 11, 2006 | Item | E-mail
Oremex Completes Sale Of Mezquital Claims To Canasil - "Oremex Resources Inc. (TSX-V: ORM - News; the "Company"), Minera Montana S. de R.L. de C.V. ("Minera Montana"), Canasil Resources Inc. ("Canasil") and its wholly owned subsidiary Minera Canasil S.A. de C.V. ("Minera Canasil") are pleased to announce completion of the transfer of claim titles for 100% interest in the Mezquital claims from Minera Montana to Minera Canasil." More
- December 11, 2006 | Item | E-mail
Inter-Citic Receives Results From 10 New Drill Holes at Dachang Gold Project - More
- December 11, 2006 | Item | E-mail
Mr. Mark S. Tessier P.Eng Joins Aurora as General Manager, Mining Projects - More
- December 11, 2006 | Item | E-mail
Gold Seeker Closing Report – Gold & Silver Gain Slightly Before Fed Day