-- Posted Wednesday, 1 August 2007 | Digg This Article
| Close | Gain/Loss |
Gold | $663.80 | -$3.40 |
Silver | $12.88 | -$0.07 |
XAU | 145.38 | -2.24% |
HUI | 339.65 | -1.56% |
GDM | 1069.74 | -1.67% |
JSE Gold | 2541.71 | -3.45% |
USD | 80.86 | +0.07 |
Euro | 136.62 | -0.16 |
Yen | 84.29 | +0.19 |
Oil | $76.53 | -$1.68 |
10-Year | 4.759% | -0.012 |
T-Bond | 110.0625 | UNCH |
Dow | 13362.37 | +1.14% |
Nasdaq | 2553.87 | +0.30% |
S&P | 1465.81 | +0.72% |
The Metals:
Gold fell over 1% by midday in London before it bounced back fiercely in early New York dealings and traded just under unchanged on the day by about 10:30AM EST, but it then fell back off into the close and ended with a loss of 0.51%. Silver fell to about $12.70 in London before it rose to find slight gains in New York above $13.00, but it also fell back off into the close and ended with a loss of 0.54%.
Euro gold rose above €487, platinum lost $7 to $1,283, palladium lost $1 to $362, and copper fell over 10 cents to about $3.66.
Gold and silver equities saw over 2% losses in late morning and early afternoon trade, but they then rebounded in the last hour of the session and ended with about 1.5% losses.
The Economy:
Report | For | Reading | Expected | Previous |
ISM Index | July | 53.8 | 55.5 | 56.0 |
Pending Home Sales | June | 5.0% | -0.6% | -3.7% |
Also making economic news today was the ADP’s private report showing that jobs rose a less than expected 48,000, but most are waiting for Friday’s government report before drawing any conclusions. Tomorrow at 8:30AM EST brings Initial Jobless Claims for 7/28 expected at 310,000 and at 10AM is the Factory Orders report for June expected at 1.0%.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil had a fairly wild day as inventory reports showed oil inventories fell 6.5 million barrels, gasoline inventories rose 600,000 barrels, distillates rose 2.8 million barrels, and refinery utilization rose 1.9% to 93.6%. After initially hitting a new record intraday high at $78.77 on the huge crude inventory drop, oil prices soon fell back off and closed notably lower on profit taking as the drop seemed to be mostly due to the fact that refineries have been coming back online and processing that crude into to other energy products.
The U.S. dollar index rose on better than expected Pending Home Sales data, but gains were limited amid continued credit worries.
Treasuries ended near unchanged as poor ADP jobs data was offset by encouraging housing data.
The Dow, Nasdaq, and S&P were again roiled by subprime concerns and traded all over the place as rumors surfaced that major homebuilder Beazer may need to file for bankruptcy, but those rumors were widely denied and worries eased from earlier dramatic levels by the close. As a result, all three indices ended nicely higher and the Dow closed near its high of the day with an over 1% gain.
Among the big names making news in the market today were Bear Stearns, Ford, DaimlerChrysler, Nissan, Beazer Homes, Martha Stewart, MasterCard, Visteon, Qwest, News Corp., Jones Apparel and Barneys, Bally Total Fitness, Time Warner, and Transocean.
The Commentary:
“December Gold finished down 3.4 at 675.9, 2.8 off the high and 4.8 up from the low.
September Silver closed down 0.062 at 12.955. This was 0.145 up from the low and 0.115 off the high.
Gold started the day lower, largely on a weaker stock market, after more problems with the sub-prime loan sector emerged late yesterday and spooked international markets overnight. However, when the US stock market managed to avoid a freefall after the lower opening, gold steadied somewhat and even managed to trade briefly higher on the day. The dollar traded in a wide range today, at one point breaking on disappointing US jobs data, and this also contributed to the gold market's choppiness.
Silver started the day weaker after stock prices fell overnight but then traded in a choppy manner as the session progressed. The re-emergence of the sub-prime problem as a major news item late Tuesday sent US stock market lower and set the stage for steep declines in stocks and metals overnight. The dollar was lower at one point, and that appeared to provide some support, even allowing silver to trade higher on the day at one point, but for the most part silver was keying off the stock market. Like gold, silver found some support when stocks bounced early in the session. Choppy action in both the stock market and the dollar kept silver in a chopper lower range on the day.” - The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Selling Italian reserves to close debt would be just 'a drop in the sea'
More bogeymen contrived to try to scare the gold market
Ted Butler sees 'an ugly new record'; and Paramount lists on AMEX
The Statistics:
As of close of business: 7/31/2007
Gold Warehouse Stocks: | 7,130,515 | +223,368 |
Silver Warehouse Stocks: | 132,105,969 | +528,678 |
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 | 496.53 | 15,964,095 | US$ 10,620m |
London Stock Exchange (LSE) AND Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse ) | Gold Bullion Securities | 94.64 | 3,042,889 | US$ 2,022m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 12.48 | 400,787 | US$ 267m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 14.29 | 459,282 | US$ 305m |
Note: No change in Total Tonnes from yesterday’s data.
COMEX Gold Trust (IAU)
Profile as of 7/31/2007 | |
Total Net Assets | $996,983,201 | Ounces of Gold
in Trust | 1,495,451.595 |
Shares Outstanding | 15,100,000 | Tonnes of Gold
in Trust | 46.51 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 7/31/2007 | |
Total Net Assets | $1,831,054,452 | Ounces of Silver
in Trust | 141,671,812.200 |
Shares Outstanding | 14,250,000 | Tonnes of Silver
in Trust | 4,406.49 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
Northern Dynasty’s (NAK) partnership with Anglo American (AAUKD) announced late yesterday, Gammon Gold’s (GRS) complaint response, Paramount’s (PZG) Amex listing, quarterly results from Kinross (KGC) and Gold Fields (GFI), Great Basin’s (GBN) joint venture in Mozambique, Eldorado’s (EGO) Feasibility Study, Gold Fields’ (GFI) planned bond issue, Endeavour’s (EXK) silver production, and South Africa’s union dispute were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Banro | BAA+2.92% $10.951 |
2. Orezone | OZN +2.22% $1.84 |
3. Allied Nevada | ANV +2.19% $5.60 |
LOSERS
1. Northern Dynasty | NAK -13.45% $13.13 |
2. Gammon Gold | GRS -7.84% $10.34 |
3. DRDGOLD | DROOD -7.47% $6.32 |
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:
Yukon-Nevada Gold Corp. granted water license for Ketza River Property - More
- August 01, 2007 | Item | E-mail
Houston Lake Confirms High Gold Grades at Dogpaw Lake - More
- August 01, 2007 | Item | E-mail
Freeport Finds Molybdenite in Q's Adit No. 1 - More
- August 01, 2007 | Item | E-mail
Eloro Announces Additional $750,000 Financing with MineralFields Group - More
- August 01, 2007 | Item | E-mail
Eastern Goldfields, Inc. Announces Extension of Open Pit Operations, Phase IV Diamond Drilling and Receipt of Underground Mining Licence - More
- August 01, 2007 | Item | E-mail
Alamos Gold Inc. Provides Notice of Release of Second Quarter 2007 Financial Results and Conference Call - More
- August 01, 2007 | Item | E-mail
Gammon Gold Inc. responds to media reports of complaint filed by Midas Funds - "Gammon Gold Inc. (TSX: GAM / AMEX: GRS) ("Gammon") advises that it has become aware through media reports that Midas Funds Inc. appears to have filed a complaint with the United States District Court Southern District of New York claiming damages from Gammon in the amount of US$3 million. Gammon has not been served with the complaint, believes that such a complaint would be without merit, and, if served, would vigorously be defended. Further, the amount of the claim would not be financially material to the Company and will have no affect on its operations." More
- August 01, 2007 | Item | E-mail
Merrex Intersects 2.92 g/t Au over 34 Metres and Gold Mineralization at Depth at Siribaya Gold Project in West Mali, West Africa - More
- August 01, 2007 | Item | E-mail
Pan American Silver to Release Q2 2007 Financial Results August 13, 2007 - "Q2 2007 Financial Results Release: August 13, 2007 - after market close. Conference Call and Webcast: August 14, 2007 - 8:00 am PST (11:00 am ET)." More
- August 01, 2007 | Item | E-mail
Endeavour Reports Higher Silver Production in Q2, 2007, Up 23% to 430,248 Oz Silver (504,298 Oz Ag Equivalents) - "Endeavour Silver Corp. (Toronto:EDR.TO - News)(AMEX:EXK - News)(DBFrankfurt:EJD) reports higher silver production in Q2, 2007 compared to Q2, 2006, totalling 430,248 oz silver and 1481 oz gold (504,298 oz Ag equivalents at a 50 silver: 1 gold ratio), from the Company's two operating silver mines in Mexico." More
- August 01, 2007 | Item | E-mail
Gold Seeker Closing Report: Gold and Silver Fall Slightly After Two Days of Gains