-- Posted Wednesday, 21 March 2007 | Digg This Article
| Close | Gain/Loss |
Gold | $658.80 | +$0.90 |
Silver | $13.23 | -$0.03 |
XAU | 138.70 | +2.27% |
HUI | 341.83 | +2.80% |
GDM | 1090.32 | +2.52% |
JSE Gold | 2887.68 | UNCH |
USD | 82.75 | -0.32 |
Euro | 133.76 | +0.63 |
Yen | 85.17 | -0.21 |
Oil | $59.61 | +$0.36 |
10-Year | 4.518% | -0.029 |
T-Bond | 112.40625 | -0.375 |
Dow | 12447.52 | +1.30% |
Nasdaq | 2455.92 | +1.98% |
S&P | 1435.04 | +1.71% |
The Metals:
Gold rose slightly in Asia and topped $660 in London before it fell in New York and dropped to as low as $656.30 by late morning, but it then rallied back higher into the close and ended with a gain of 0.14%. Silver traded near $13.30 in Asia and London before it dropped to as low as $13.10 in late morning New York trade and then rebounded into the close as well, but it still ended with a loss of 0.23%. At the time of writing, both metals are trading roughly 0.75% higher than their close in reaction to the fed’s statement.
Euro gold remained at about €495, platinum gained $1 to $1,229, palladium lost $2 to $348, and copper rose slightly to about $3.03.
Gold and silver equities rose about 1% at the open, fell to about unchanged by early afternoon, and then rose after the fed’s statement and closed with about 2.5% gains.
The Economy:
The fed kept rates unchanged at 5.25% as expected. They noted mixed indicators, but said the economy is likely to continue to expand at a moderate pace. They also mentioned they fear inflation will fail to moderate as expected over time and that raised some inflation fears, but their failure to include the phrase “additional firming” in their statement encouraged Wall Street overall that they were no longer biased towards raising rates and that sent gold, oil, stocks, and bonds higher while the dollar and interest rates fell.
Tomorrow at 8:30AM EST brings Initial Jobless Claims for 3/17 expected at 325,000 and at 10AM is the Leading Economic Indicators report for February expected at -0.3%.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil rose as gasoline inventories fell more than expected, but gains were somewhat limited as crude inventories built more than expected. Crude inventories built 4.0 million barrels, gasoline inventories fell 3.4 million barrels, and distillates fell 1.7 million barrels.
The U.S. dollar index traded slightly higher and treasuries fell a bit before the fed, but those moves reversed dramatically after the fed’s announcement and bonds ended higher while the dollar ended noticeably lower.
The Dow, Nasdaq, and S&P hovered near unchanged before the fed, but they then raced higher after the fed’s announcement and ended with impressive gains as Wall Street interpreted the fed’s statement as dovish and increased their expectations for an interest rate cut later this year.
Among the big names making news in the market today were Oracle, Adobe, JetBlue, Morgan Stanley, FedEx, and Fremont.
The Commentary:
“April Gold finished up 1 at 660, 2.5 off the high and 2.5 up from the low.
May Silver closed down 0.05 at 13.32. This was 0.11 up from the low and 0.1 off the high.
Seeing the gold market actually manage another new high for the move ahead of the FOMC meeting would seem to suggest that the prevailing trend in prices is pointing upward. However, it still appears as if the gold market is reliant on favorable equity market action and or a favorable or upbeat macro economic outlook. However, the FOMC meeting statement and the subsequent reaction in stock prices should leave the gold market in a positive posture from the action Wednesday afternoon.
The silver market didn't seem to manage as much positive action ahead of the US FOMC result and at times silver was seen trading moderately below the prior sessions lows. With the copper and platinum market both finishing under profit taking selling pressure, it wasn't surprising to see silver prices trade weaker than the gold market. On the other hand, the silver market was lifted late in the session by the favorable action in the equity market and that certainly improves the bull's attitude in the silver market.” - The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Ted Butler: After the deficit
Liberty Dollar fights back, seeks injunction against U.S. Mint
Ya think? Newcrest contemplates end of gold, copper hedges
The more gold Dutch central bank sold, the higher the price went
The Statistics:
As of close of business: 3//2007
Gold Warehouse Stocks: | 7,546,010 | - |
Silver Warehouse Stocks: | 120,167,765 | + 494,988 |
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 | 476.84 | 15,331,027 | US$ 10,101m |
LSE (London Stock Exchange) AND Euronext Paris | Gold Bullion Securities | 87.98 | 2,828,728 | US$ 1,877m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 11.30 | 362,870 | US$ 241m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 11.10 | 356,945 | US$ 233m |
Note: No change in Total Tonnes from yesterday’s data.
COMEX Gold Trust (IAU)
Profile as of 3/20/2007 | |
Total Net Assets | $936,036,450 | 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 3/20/2007 | |
Total Net Assets | $1,708,333,685 | 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:
Yamana’s (AUY) fourth quarter profit, Almaden’s (AAU) work program, Canyon’s (CAU) drill results, IAMGOLD’s (IAG) completed bauxite sale, Golden Star’s (GSS) commenced mining, Banro’s (BAA) statement response, Dia Bras’ (DIB.V) drill results, Silver dragon’s (SDRG.OB) assay results, Fury’s (FUR.V) drill results, and Coeur’s (CDE) new mill were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Golden Star | GSS+7.11% $4.22 |
2. Rubicon | RBY +7.03% $1.37 |
3. IAMGOLD | IAG +4.84% $7.80 |
LOSERS
1. Orezone | OZN -2.81% $1.73 |
2. Cardero | CDY -2.06% $2.39 |
3. Minco Gold | MGH-1.92% $1.47 |
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:
Marathon Drilling Expands High Grade W Zone and Establishes New Potential of SG Zone - More
- March 21, 2007 | Item | E-mail
GWR Trenching Reports .59% Copper, 3.64 G/T Gold - More
- March 21, 2007 | Item | E-mail
CROSSHAIR ANNOUNCES RESULTS FROM SUCCESSFUL WARRANT INCENTIVE PROGRAM -PROCEEDS ALLOCATED TO EXPANDED URANIUM DRILL PROGRAM - More
- March 21, 2007 | Item | E-mail
MDN Operations Update: Tulawaka Gold Mine Should Generate US$126M of Gross Revenue - More
- March 21, 2007 | Item | E-mail
Farallon Mandates Debt Financier for Development of a Mine at G-9 - More
- March 21, 2007 | Item | E-mail
Denison Extends Offer Period to Acquire OmegaCorp Limited - More
- March 21, 2007 | Item | E-mail
Great West Gold, Inc. -- Corporate Update - More
- March 21, 2007 | Item | E-mail
Golden Harker Traces Gold Mineralized Horizon Over 3 KM at the Harker Gold Project, Northeastern Ontario - More
- March 21, 2007 | Item | E-mail
Golden Goose Resources Inc. - $3,100,000 Private Placement - More
- March 21, 2007 | Item | E-mail
Almaden Minerals Ltd.: Caballo Blanco Work Program Identifies New Areas of Alteration and Mineralization - "Almaden Minerals Ltd. ("Almaden") (Toronto:AMM.TO - News)(AMEX:AAU - News) has completed the first phase of a geologic mapping, soil sampling and induced polarization ("IP") geophysical program at its 100% owned (subject to an NSR) Caballo Blanco project, Mexico. The work has identified previously unrecognized areas of alteration and mineralization as well as geophysical features that are interpreted to represent new feeder zones similar to that intersected in past drilling." More
- March 21, 2007 | Item | E-mail
Acero-Martin Drills Long Intersections of High Grade Gold at Pinaya, Southern Peru - More
- March 21, 2007 | Item | E-mail
Shoreham Resources Announces $1,000,000 Private Placement - More
- March 21, 2007 | Item | E-mail
Rio Narcea Announces Fourth Quarter and Year-End Conference Call - "Rio Narcea Gold Mines, Ltd. ("Rio Narcea" or "the Company") (Toronto:RNG.TO - News)(AMEX:RNO - News) today announced it will report 2006 fourth quarter and year-end results, after the close of trading, on March 28, 2007. A conference call/webcast will be held the following day at 10:00 a.m. Eastern Time that will be carried on the Company's website." More
- March 21, 2007 | Item | E-mail
Platinex issues shares for debt - More
- March 21, 2007 | Item | E-mail
Tumi Resources Limited - Tumi Resources Completes Drilling at La Trini Silver-Gold Project, Jalisco, Mexico - More
- March 21, 2007 | Item | E-mail
Laramide Intercepts 13 Feet of 0.719% U3O8 in La Jara Mesa Drilling; Appoints Paul Wilkens as New Independent Director - More
- March 21, 2007 | Item | E-mail
Gemco Minerals announces commencement of 2007 exploration program - More
- March 21, 2007 | Item | E-mail
Canyon Discovers Additional Gold Mineralization at Its Briggs Mine - "Canyon Resources Corporation (Amex: CAU - News), a Colorado-based mining company, is pleased to announce the partial results of its step-out drilling along the Goldtooth fault structure at its Briggs Mine in Inyo County, California. This exciting new discovery has increased the potential for additional underground mineralization along strike on the Goldtooth fault structure. This structure is believed to be the major control for gold mineralization at Briggs." More
- March 21, 2007 | Item | E-mail
Gravity West Engages Tangent Management for Investor Relations - More
- March 21, 2007 | Item | E-mail
Yamana Gold returns to profit in fourth quarter - "Yamana Gold Inc. (YRI.TO: Quote, Profile , Research) said on Wednesday that it returned to profit in the fourth quarter, as higher gold prices and increased production from acquisitions overcame rising costs.
The company, which acquired RNC Gold (RNC_t.TO: Quote, Profile , Research), Desert Sun Mining, and Viceroy Exploration in 2006, reported net earnings of $6.1 million, or 2 cents a share, in the quarter ended Dec. 31. That reverses a net loss of $73,000, or nil per share, in the year-prior period." More
Gold Seeker Closing Report: Gold & Silver End Near Unchanged Before Fed; Gain After