-- Posted Wednesday, 3 January 2007 | Digg This Article
| Close | Gain/Loss |
Gold | $627.10 | -$12.60 |
Silver | $12.52 | -$0.61 |
XAU | 136.96 | -3.72% |
HUI | 324.46 | -4.07% |
GDM | 1043.64 | -3.73% |
JSE Gold | 2922.20 | -2.30% |
USD | 83.94 | +0.66 |
Euro | 131.66 | -0.26 |
Yen | 83.69 | -0.30 |
Oil | $58.32 | -$2.73 |
10-Year | 4.664% | -0.046 |
T-Bond | 111.9375 | +0.21875 |
Dow | 12474.52 | +0.09% |
Nasdaq | 2423.16 | +0.33% |
S&P | 1416.60 | -0.12% |
The Metals:
Gold remained near unchanged at about $640 in Asia and fell over 1% to the low $630s in London before it rebounded in early New York trade and found about $5 gains near $645 at just before 10AM EST, but it then dramatically sold off over the next 2 and ½ hours of trade and ended just a couple dollars off its lows with a loss of 1.97%. Silver remained near unchanged in Asia and fell over 30 cents in London before it rebounded back near unchanged in early New York trade, but it also sold off dramatically in late morning trade and ended near its lows with a loss of 4.65%.
Euro gold fell to about €477, platinum lost $6 to $1,128, palladium gained $3 to $336, and copper fell over 13 cents to about $3.64.
Gold and silver equities opened briefly higher, but they then sold off for most the rest of trade and ended with about 4% losses.
The Economy:
Report | For | Reading | Expected | Previous |
Construction Spending | Nov | -0.2% | -0.6% | -0.3% |
ISM Index | Dec | 51.4 | 51.0 | 49.5 |
Also making economic news early this morning was a private report that showed a surprise decline of 40,000 jobs in December, but most are waiting for BLS payroll data this Friday before making any conclusions about the state of the labor market. FOMC minutes later in the day showed the fed’s chief concern at their last meeting was inflation and not slowing economic growth, indicating that they may be more prone to raise rates rather than lower them at future meetings. Growing concern by fed members about the severity of the pullback in the housing sector also had traders concerned.
Tomorrow at 8:30AM EST brings Initial Jobless Claims for 12/30 expected at 320,000 and at 10AM are Factory Orders for November expected at 1.4% and ISM Services for December expected at 57.0.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil fell almost 5% after no geopolitical concerns were raised over the long weekend and warmer than expected weather continues in most population heavy areas of the U.S. Inventory data tomorrow is expected to see a draw in crude inventories and builds in gasoline and distillate inventories.
The U.S. dollar index rose after better than expected economic data and then furthered its gains after FOMC minutes reignited the possibility for higher, rather than lower, interest rate moves by the fed.
Treasuries rose in early trade after a private report showed a decline of 40,000 jobs in December, but they then pared their gains after Construction Spending and the ISM Index came in better than expected and the fed raised inflation concerns with the release of their FOMC minutes.
The Dow, Nasdaq, and S&P soared higher at the open on significantly lower oil and decent economic data, but all three indices then sold off dramatically and found notable losses after FOMC minutes released at 2PM EST raised concerns about more interest rate hikes by the fed. The major indices then rebounded higher in the last hour of trade, however, and ended mixed and near unchanged.
Among the big names making news in the market today were DaimlerChrysler, Home Depot, and RR Donnelley & Sons Co. and Von Hoffmann.
The Commentary:
GATA Posts:
Ted Butler: Reflections
A European central bank is buying gold -- but who and how much?
Fighting over gold in the land of Dracula
NYTimes: Central banks tiptoeing away from the dollar
The Statistics:
As of close of business: 1/02/2007
Gold Warehouse Stocks: | 7,533,807 | - |
Silver Warehouse Stocks: | 113084699 | + 2,013,927 |
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 | 453.24 | 14,572,124 | US$ 9,261m |
LSE (London Stock Exchange) AND Euronext Paris | Gold Bullion Securities | 90.29 | 2,902,882 | US$ 1,823m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 10.53 | 338,366 | US$ 213m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 10.25 | 329,485 | US$ 210m |
Note: No change in Total Tonnes from yesterday’s data.
COMEX Gold Trust (IAU)
Profile as of 12/29/2006 | |
Total Net Assets | $907,688,726 | Ounces of Gold
in Trust | 1,429,417.361 |
Shares Outstanding | 14,400,000 | Tonnes of Gold
in Trust | 44.46 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 12/29/2006 | |
Total Net Assets | $1,562,162,778 | Ounces of Silver
in Trust | 121,144,585.200 |
Shares Outstanding | 12,150,000 | Tonnes of Silver
in Trust | 3,768.02 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
Claude’s (CGR) Chairman retirement, Goldcorp’s (GG) mine certification, Strategic Nevada Resources’ (SNS.V) concluded mine purchase, and Esperanza’s (EPZ.V) and Silver Standard’s (SSRI) drill results were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Exeter | XRA +4.49% $1.86 |
2. Minco Mining | MMK +2.16% $1.42 |
3. Gold Reserve | GRZ +2.12% $4.82 |
LOSERS
1. Freeport | FCX -9.40% $50.49 |
2. Seabridge | SA -8.64% $12.90 |
3. Northern Dynasty | NAK -8.27% $7.43 |
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:
Golden Cycle Gold Corporation Operations Update - More
- January 03, 2007 | Item | E-mail
Sea Green Capital Corp. Announces Completion of $547,200 Financing, Drilling Continues in Casa Berardi - More
- January 03, 2007 | Item | E-mail
Claude Chairman Hillier retires - "Arnie Hillier has provided Claude Resources with outstanding service over the past 15 years. His knowledge, skill, experience and integrity have been an integral part of the Company's success during some of the worst gold markets in history" commented CEO Neil McMillan. "All employees and shareholders are indebted to him". More
- January 03, 2007 | Item | E-mail
Intrepid Reports Final Results From the Paulsens Reserve Extension Drilling Program - More
- January 03, 2007 | Item | E-mail
Taranis Resources Inc. Announces Private Placement - More
- January 03, 2007 | Item | E-mail
Continuum increases size of private placement to $7,500,000 - More
- January 03, 2007 | Item | E-mail
C2C Inc.: Private Placement - More
- January 03, 2007 | Item | E-mail
Mr. Rick Alexander Joins Adanac as Vice President, Project Development - More
- January 03, 2007 | Item | E-mail
Homeland Precious Metals Provides Shareholder Update - More
- January 03, 2007 | Item | E-mail
Strategic Nevada Resources Concludes Crescent Silver Mine Purchase - "The historic Crescent Silver Mine, once part of the Bunker Hill silver-mining and metallurgical complex, produced 25 million ounces of silver from its discovery in 1917 to its closure in 1982 at an average grade of 27.3 ounces per ton, among the highest-grade silver mines in the district. The Crescent is flanked by the Bunker Hill Mine to the west and the Sunshine Mine immediately to the east. These two mines have produced over 500 million ounces of silver. The Crescent sits at the epicenter of these two mines, in the heart of the Silver Belt, which has produced over 1.1 billion ounces of silver in the past 100 years." More
- January 03, 2007 | Item | E-mail
Marigold Mine Is First Gold Mine to Receive International Cyanide Management Code Certification
Gold Seeker Closing Report: Gold & Silver Reverse Early Gains & End Markedly Lower