-- Posted Monday, 5 March 2007 | Digg This Article
| Close | Gain/Loss |
Gold | $637.60 | -$3.20 |
Silver | $12.59 | -$0.23 |
XAU | 129.38 | -2.24% |
HUI | 314.86 | -2.61% |
GDM | 1003.10 | -2.57% |
JSE Gold | 2683.77 | -2.48% |
USD | 84.17 | +0.44 |
Euro | 130.95 | -0.99 |
Yen | 86.33 | +0.62 |
Oil | $60.07 | -$1.57 |
10-Year | 4.518% | +0.003 |
T-Bond | 113.25 | UNCH |
Dow | 12050.41 | -0.53% |
Nasdaq | 2340.68 | -1.15% |
S&P | 1374.12 | -0.94% |
The Metals:
Gold opened slightly higher in Asia, fell near $635 in London, and dropped to as low as $633.00 in morning New York trade, but it then rose it late morning and briefly found slight gains before it fell back off into the close and ended with a loss of 0.50%. Silver dropped to as low as $12.38 before it rebounded in late morning, but it also fell back off into the close and ended with a loss of 1.79%.
Euro gold fell to €485, platinum lost $32 to $1,168, palladium lost $4 to $340, and copper fell roughly 5 cents to about $2.62.
Gold and silver equities fell over 2% at the open, rebounded to near unchanged by late morning, and then fell back off into the close and ended over 2% lower.
The Economy:
Report | For | Reading | Expected | Previous |
ISM Services | Feb | 54.3 | 57.5 | 59.0 |
Tomorrow at 8:30AM EST brings fourth quarter Productivity expected at 1.7% and at 10AM is the Factory Orders report for January expected at -4.0%.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
The Dow, Nasdaq, and S&P opened lower before they found slight gains by late morning, but they then fell back off in afternoon trade and ended notably lower on continued concern over the subprime mortgage market and it impact on economic growth.
Oil fell on concerns about a slowing economy and its subsequent impact on demand.
The U.S. dollar index rose despite continued strength in the yen driven by the unwinding of the carry trade as the euro fell on mostly disappointing PMI data released by several European nations.
Treasuries rose in early trade as stocks opened lower, but they then fell back off and ended unchanged as losses in stocks were not as bad as some had feared after significant losses in other world markets.
Among the big names making news in the market today were Barnes & Noble, Research in Motion, Great Atlantic and Pathmark, and HSBC.
The Commentary:
“April Gold finished down 4.9 at 639.2, 6.1 off the high and 4 up from the low.
March Silver closed down 0.205 at 12.64. This was 0.17 up from the low and 0.01 off the high.
The gold market did a good job in fending off what was initial rather intense selling pressure. In fact, considering the ongoing weakness in the equity market, the rise in the Dollar and weakness in the energy market, the gold bulls were probably happy with the fact that gold prices were only moderately lower on the day. Certainly the Press was accurate in assuming that the spec liquidation threat was undermining prices but all things considered the outcome could have been significantly worse. However, with a bit of bargain hunting buying in the blue chip sector of the stock market it seems like a portion of the macro economic anxiety is starting to leave the marketplace. However, in order to stem the fear of slowing might require an improvement in the US economic readings and or a couple days of positive action in the equity market.
The silver market continued to be confronted from two different angles on Monday, as the trade is fearful of a reduction in investment interest and is also concerned that physical or industrial demand is set to dry up. While the US numbers have turned soft and China is apparently working to slow over zealous investment activity in their economy, the market really hasn't seen a lot of evidence to confirm a severe slowing threat is directly ahead. In fact, the majority of the "evidence for severe slowing" is coming from the persistent weakness in equity prices and therefore it isn't a given that the world economy is set to slow. However, in the near term the silver market looks to continue taking its cues from the equity market.” - The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Peter Brimelow: Mysterious movement in gold market
How can U.S. dollar survive profligacy like this?
James Turk: More room for the dollar to fall
Gold sold to cover losses in other markets
OPEC supply expansion said at risk if oil falls below $50
What the treasury secretary might be telling Asia
A lousy week, but get a grip
The Statistics:
As of close of business: 3/2/2007
Gold Warehouse Stocks: | 7,486,093 | -1,083 |
Silver Warehouse Stocks: | 117,637,158 | - |
Global Gold ETF Holdings
[WGC Sponsored ETF’s]
| Product name | Total Tonnes | Total Ounces | Total Value |
New York Stock Exchange (NYSE) AND Singapore Exchange (SGX) | Streettracks Gold Shares | 481.31 | 15,474,497 | US$ 10,084m |
LSE (London Stock Exchange) AND Euronext Paris | Gold Bullion Securities | 87.07 | 2,799,229 | US$ 1,781m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 11.30 | 362,935 | US$ 231m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 10.73 | 345,123 | US$ 224m |
Note: No change in Total Tonnes from yesterday’s data.
COMEX Gold Trust (IAU)
Profile as of 3/2/2007 | |
Total Net Assets | $912,879,777 | Ounces of Gold
in Trust | 1,423,071.777 |
Shares Outstanding | 14,350,000 | Tonnes of Gold
in Trust | 44.26 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 3/2/2007 | |
Total Net Assets | $1,704,437,176 | Ounces of Silver
in Trust | 126,026,951.100 |
Shares Outstanding | 12,650,000 | Tonnes of Silver
in Trust | 3,919.88 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
Nevsun’s (NSU) project update, Anatolia’s (ANO.TO) new mine plan, Richmont’s (RIC) drill results, IMA’s (IMR) court filing, Sabina’s (SBB.V) Preliminary Economic Assessment, Orko’s (OK.V) drill results, Aquiline’s (AQI.TO) management team, and Silver Standard’s (SSRI) 2006 financial results were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Claude Resources | CGR +0.65% $1.54 |
2. Nevsun Resources | NSU +0.53% $1.91 |
3. Northern Orion | NTO +0.23% $4.31 |
LOSERS
1. Rubicon | RBY -18.25% $1.07 |
2. Entree Gold | EGI -9.72% $1.30 |
3. U.S. Gold | UXG -9.29% $4.10 |
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:
Solitaire and Kinross complete formal agreement for a 100% option on the Eldorado Property - More
- March 05, 2007 | Item | E-mail
Uranium Hunter Adds CFO to Management Team and Appoints Directors to the Board - More
- March 05, 2007 | Item | E-mail
Ego, economics seen hampering mining consolidation - "In a mining market awash with cash and parched for discoveries, there are rock-solid reasons why the junior mining sector should consolidate, but ego and economics could get in the way of such deals." More
- March 05, 2007 | Item | E-mail
Amarillo Gold Corp. Releases Independent Mineral Resource Estimate for the Mara Rosa project, Goias, Brazil - More
- March 05, 2007 | Item | E-mail
DIAGNOS and MaxTech Ventures Inc. Signed an Option Agreement for the Acquisition of Gold Properties in the Abitibi Region of Quebec - More
- March 05, 2007 | Item | E-mail
Uranium Resources Announces Fourth Quarter and Year-End 2006 Earnings Conference Call and Webcast - More
- March 05, 2007 | Item | E-mail
Panoro Signs Purchase Agreement for Large Portfolio of Projects in Peru - More
- March 05, 2007 | Item | E-mail
Vior Cuts 18.6 g/t Au Over 0.8 Metres - More
- March 05, 2007 | Item | E-mail
UraMin and Waseco Announce Major New Uranium Discovery - More
- March 05, 2007 | Item | E-mail
Unico, Inc. Chairman Reports Purchase of 3 Million Shares of Common Stock - More
- March 05, 2007 | Item | E-mail
Colibri Resource Corp. completes preliminary sampling and mapping of Leon Project, Sonora, Mexico. - More
- March 05, 2007 | Item | E-mail
Gold Seeker Closing Report: Gold & Silver Fall Again