-- Posted Wednesday, 14 March 2007 | Digg This Article
| Close | Gain/Loss |
Gold | $640.80 | -$6.70 |
Silver | $12.72 | -$0.09 |
XAU | 129.64 | +0.86% |
HUI | 320.56 | +0.58% |
GDM | 1018.44 | +0.71% |
JSE Gold | 2735.56 | -1.63% |
USD | 83.65 | -0.07 |
Euro | 132.27 | +0.18 |
Yen | 85.68 | -0.14 |
Oil | $58.16 | +$0.23 |
10-Year | 4.522% | +0.027 |
T-Bond | 113.00 | -0.3125 |
Dow | 12133.40 | +0.48% |
Nasdaq | 2371.47 | +0.90% |
S&P | 1387.17 | +0.67% |
The Metals:
Gold fell nearly 1% in after hours access trade yesterday, dropped to about $640 in Asia, and fell under $640 in late London/early New York trade before it rebounded to above $645 in late morning New York trade, but it then fell back to a new low at $636.10 ahead of a $4.70 rebound into the close that left it with a loss of 1.03%. Silver dropped to about $12.50 in late London trade before it rose above $12.75 in late morning New York trade, but it then dropped back to $12.55 before it also rebounded into the close and ended with a loss of 0.70%.
Euro gold fell under €485, platinum lost $16 to $1,198, palladium remained unchanged at $346, and copper rose a couple of cents to about $2.84.
Gold and silver equities remained near unchanged in early trade before they fell off with the major indices and saw about 2% losses by early afternoon, but they then rallied into the close and ended with over 0.5% gains.
The Economy:
Report | For | Reading | Expected | Previous |
Current Account | Q4 | -$195.8B | -$203.5B | -$229.4B |
Import Prices | Feb | 0.2% | 0.8% | -0.9% |
Import Prices ex-oil | Feb | -0.1% | - | -0.1% |
Export Prices | Feb | 0.7% | 0.2% | |
Export Prices ex-ag. | Feb | 0.6% | - | 0.3% |
Tomorrow at 8:30AM EST brings Initial Jobless Claims for 3/10 expected at 325,000, PPI for February expected at 0.5%, Core PPI expected at 0.2%, and the NY Empire State Index for March expected at 17.0. At 9AM are Net Foreign Purchases for January expected at $60.0 billion and at noon is the Philadelphia Fed for March expected at 3.5.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
The Dow, Nasdaq, and S&P fell in late morning trade on continued worries over the housing sector and its impact on the overall economy, but all three indices rallied higher and found decent gains by the close on hopes that the recent correction in the markets may be overdone. The Dow fell under 12,000 for the first time since November 6, 2006 before it recovered and closed higher on the day.
Oil remained near unchanged and ended slightly higher as inventory reports came in about as expected and attention turned to OPEC’s meeting tomorrow that is expected to keep production steady. Cruse inventories built 1.1 million barrels, gasoline inventories fell 2.5 million barrels, and distillates fell 2.8 million barrels.
The U.S. dollar index ended lower after early gains as worries over the housing sector overshadowed better than expected Current Account data.
Treasuries rose as the major indices fell midday, but they then fell back off and ended lower as the major markets reduced their significant losses and ended modestly higher.
Among the big names making news in the market today were H&R Block, Bank of America, General Motors, Lehman Brothers, and Magna, Cerberus, Blackstone, and Chrysler.
The Commentary:
“April Gold finished down 6.9 at 642.5, 4.4 off the high and 4.8 up from the low.
May Silver closed down 0.13 at 12.83. This was 0.15 up from the low and 0.09 off the high.
With the Press trumpeting signs of ongoing fund liquidation in gold and the equity market remaining under aggressive liquidation pressure the bear camp certainly seemed to hold most of the cards during the session Wednesday. With the April gold contract falling below the $640 level in the wake of an additional leg down in the equity market, it is possible that more spec longs are on the verge of being forced out of position. In fact, with the June S&P actually falling below the extremely critical spike low of March 5th, it is not surprising to see the market coming under renewed selling pressure. Some players are hopeful that gold will be able to find some support from the upcoming inflation numbers, but under the current macro economic condition, it might not be a positive development to see rising prices in a slowing environment, as that could prompt the Fed to tighten and exaggerate the slowing.
With the outside market forces remaining patently bearish for a host of physical commodities and the gold market also under pressure, the bull camp in silver is certainly fighting an uphill battle. While the Press didn't seem to be trumpeting the presence of fund selling in silver, the magnitude of declines in the market probably increases the odds that some fund selling was taking place in silver.” - The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Housing decline, subprime mortgage crash 'largely contained,' Paulson says
Blanchard & Co. research note: European central bank gold sales declining
Stewart Armstrong: United we will stand
The Statistics:
As of close of business: 3/13/2007
Gold Warehouse Stocks: | 7,546,010 | +9,967 |
Silver Warehouse Stocks: | 118,510,881 | - 266,255 |
Global Gold ETF Holdings
[WGC Sponsored ETF’s]
| Product name | Total Tonnes | Total Ounces | Total Value |
New York Stock Exchange (NYSE) AND Singapore Exchange (SGX) | Streettracks Gold Shares | 483.01 | 15,529,199 | US$ 10,105m |
LSE (London Stock Exchange) AND Euronext Paris | Gold Bullion Securities | 87.99 | 2,828,948 | US$ 1,821m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 11.30 | 362,899 | US$ 234m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 11.10 | 356,968 | US$ 232m |
Note: No change in Total Tonnes from yesterday’s data.
COMEX Gold Trust (IAU)
Profile as of 3/13/2007 | |
Total Net Assets | $921,449,680 | 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 3/13/2007 | |
Total Net Assets | $1,665,935,453 | Ounces of Silver
in Trust | 128,965,697.300 |
Shares Outstanding | 12,950,000 | Tonnes of Silver
in Trust | 4,011.28 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
Freeport’s (FCX) approved acquisition of Phelps Dodge (PD), Golden Star’s (GSS) earnings, Southern Silver’s (SSV.V) drilling preparation, and UC Resources’ (UC.V) project update were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Rio Narcea | RNO +2.97% $3.47 |
2. Miramar | MNG+2.94% $4.20 |
3. Orezone | OZN+2.81% $1.83 |
LOSERS
1. Great basin | GBN -4.65% $2.05 |
2. Minco Gold | MGH -3.85% $1.50 |
3. Rubicon | RBY -3.53% $1.119 |
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:
Gossan Awards Incentive Stock Options - More
- March 14, 2007 | Item | E-mail
GBS Gold International Inc.: Strategic Partnership With Northern Mining Explorations Ltd. (TSX-MDN) - More
- March 14, 2007 | Item | E-mail
PAIM Preferred Shares Commence Trading in OTCBB Under the Stock Symbol ''PAIMP'', Pearl Asian Mining Industries Reports - More
- March 14, 2007 | Item | E-mail
Gold Summit Announces Financing Agreement With VSA Resources in U.K. - More
- March 14, 2007 | Item | E-mail
Pershimco Resources Closes a Private Placement - More
- March 14, 2007 | Item | E-mail
Goldeye and Polar Mining Chip and Grab Samples From Sonia
Gold Seeker Closing Report: Gold & Silver End About 1% Lower but Miners Gain