-- Posted Friday, 24 August 2007 | Digg This Article
Please note: There will be no Gold Seeker Reports next week.
| Close | Gain/Loss | On Week |
Gold | $667.40 | +$8.10 | +1.69% |
Silver | $11.93 | +$0.28 | +1.71% |
XAU | 139.43 | +2.40% | +7.78% |
HUI | 324.99 | +2.08% | +6.14% |
GDM | 1012.20 | +2.24% | +5.89% |
JSE Gold | 2232.95 | -0.09% | +1.35% |
USD | 80.68 | -0.44 | -0.88% |
Euro | 136.72 | +1.10 | +1.37% |
Yen | 86.15 | +0.02 | -1.85% |
Oil | $71.09 | +$1.26 | -0.96% |
10-Year | 4.633% | +0.015 | -0.86% |
Bond | 110.84375 | +0.15625 | +0.91% |
Dow | 13378.87 | +1.08% | +2.29% |
Nasdaq | 2576.69 | +1.38% | +2.86% |
S&P | 1479.37 | +1.15% | +2.31% |
The Metals:
CoT Reports: Gold | Silver
Gold traded just slightly higher in Asia, London, and early New York trade and then started to add to its gains between 11AM EST and noon to about $663 before it spiked about 1% more to roughly $669 in just the few minutes following 12PM EST. It then backed off a bit into the close, but it still ended with an impressive gain of 1.23%. Silver spiked to about $12.00 by early afternoon before it also backed off slightly into the close, but it still ended with a gain of 2.40%.
Euro gold rose over €488, platinum gained $7 to $1,242, palladium lost $1 to $321, and copper added over 6 cents to about $3.40.
Gold and silver equities steadily rose throughout most of trade and ended with over 2% gains.
The Economy:
Report | For | Reading | Expected | Previous |
Durable Orders | July | 5.9% | 1.0% | 1.9% |
New Home Sales | July | 870K | 825K | 846K |
Friday’s economic data came in better than expected, but most simply looked at it as old news as it covers the period just before credit problems surfaced and impacted nearly all world markets. August’s data due to come out in the weeks ahead will be closely watched as all keep an eye on the fed as well.
All of this week’s economic reports:
Next week’s economic highlights include Existing Home Sales on Monday, Consumer Confidence and FOMC minutes on Tuesday, GDP, the Chain Deflator, Initial Jobless Claims, and the Help-Wanted Index on Thursday, and Personal Income and Spending, Core PCE Inflation, Chicago PMI, Factory Orders, and Michigan Sentiment on Friday.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil followed gasoline higher on refinery problems in Texas and Mississippi as continued calm in the overall markets eased concerns about demand slowing due to a weak economy.
The U.S. dollar index fell despite strong economic data as the euro continued to rally on the view that the ECB will continue to raise rates while the fed may cut rates in the U.S.
Treasuries fell on the short end as the markets remained relatively calm throughout the week, but longer term securities did find slight gains to take away some of the steepness in the yield curve developed over the past few weeks. The yield on the 2-year note rose back above 4.25% at one point today after dropping to as low as 2.505% at the start of the week on Monday.
The Dow, Nasdaq, and S&P rose throughout the day and ended near their highs on decent economic data and relief that no major credit problems evidenced themselves this week.
Among the big names making news in the market Friday were the IPhone and AT&T, Whole Foods, Tribune, Heinz, Blackstone, and Burger King.
The Commentary:
“December Gold finished up 9.1 at 677.5, 1 off the high and 8 up from the low.
September Silver closed up 0.3 at 11.94. This was 0.3 up from the low and 0.06 off the high.
Apparently the combination of much better than expected US economic data, a falling Dollar, rising equity prices and a mostly firm equity market inspired to push gold up to the highest level since August 15th. While the market might continue to be concerned about a resumption of the sub-prime crisis, the US data seemed to at least temporarily distract the trade from the recent fears of slowing. With the stock market managing impressive gains right into the close of the metals markets, it wasn't surprising to see gold manage a new high on the week. With a private forecast of $700 gold before the end of the year floated on Friday and October gold climbing above a series of critical chart resistance points one gets the sense that a number of bears had justification for exiting the market for the safety of the sidelines.
While September silver seemed to benefit from the improved macro economic outlook fostered by the flow of favorable US news, the gains in the equity market seemed to create a better overall environment for silver. However, as usual the silver market failed to see as much classical fundamental news flow as the gold market. Some traders continued to point to heavy overhead chart resistance in the silver, while others suggested that the US data lowered the odds of a recession and the sparked some fresh bargain hunting buying.”- The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Bank of China Ltd. discloses $10 billion in subprime holdings
Ambrose Evans-Pritchard: Here comes the insolvency crunch
Goldman Sachs expects dollar decline, interest rate cut
Lance Lewis: Shocked that no one's buying gold?
Now Russia's banks may be in trouble
Russian government may be taking over gold mining
The Statistics:
As of close of business: 8/23/2007
Gold Warehouse Stocks: | 7,087,953 | - |
Silver Warehouse Stocks: | 133,837,901 | - 576,163 |
Global Gold ETF Holdings
[WGC Sponsored ETF’s]
| Product name | Total Tonnes | Total Ounces | Total Value |
New York Stock Exchange (NYSE) AND Singapore Exchange (SGX) | Streettracks Gold Shares | 514.21 | 16,532,431 | US$ 10,921m |
London Stock Exchange (LSE) AND Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse ) | Gold Bullion Securities | 88.48 | 2,844,729 | US$ 1,900m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 12.71 | 408,349 | US$ 273m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 16.13 | 518,494 | US$ 342m |
Note: Change in Total Tonnes from yesterday’s data: The JSE added 1.11 tonnes.
COMEX Gold Trust (IAU)
Profile as of 8/23/2007 | |
Total Net Assets | $1,001,075,698 | Ounces of Gold
in Trust | 1,519,696.371 |
Shares Outstanding | 15,350,000 | Tonnes of Gold
in Trust | 47.27 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 8/23/2007 | |
Total Net Assets | $1,681,792,432 | Ounces of Silver
in Trust | 141,612,134.500 |
Shares Outstanding | 14,250,000 | Tonnes of Silver
in Trust | 4,404.63 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
Tanzanian Royalty’s (TRE) contract negotiations, Palmarejo’s (PJO.V) short-term investment status and financial results, and plenty of news from the juniors and explorers were among the big stories in the gold and silver mining industry making headlines Friday.
WINNERS
1. Seabridge | SA +8.28 $23.55 |
2. Northgate | NXG +7.02% $3.05 |
3. Mines MGMT | MGN+6.99% $3.06 |
LOSERS
1. Paramount | PZG -3.80 $2.28 |
2. Cardero | CDY -2.96% $1.31 |
3. Gold Reserve | GRZ-2.90% $4.35 |
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:
Tanzanian Royalty Enters Into Contract Negotiations For Remaining Nickel Licenses in Tanzania with company from People's Republic of China - "Tanzanian Royalty Exploration Corporation (AMEX: TRE/TSX: TNX) is pleased to announce that it has entered into contract negotiations with a company from the People's Republic of China (the "PRC Company") for the remainder of its nickel licenses in the Kagera/Kabanga nickel belt in Tanzania." More
- August 24, 2007 | Item | E-mail
Colorado Goldfields Inc. Announces Private Placement - More
- August 24, 2007 | Item | E-mail
King's Bay Gold Corporation Welcomes Lawrence Shewchuk as a Director - More
- August 24, 2007 | Item | E-mail
Gold Seeker Weekly Wrap-Up: Gold and Silver Gain Nearly 2% on the Week