-- Posted Friday, 18 April 2008 | Digg This Article
| Source: GoldSeek.com
| Close | Gain/Loss | On Week |
Gold | $912.05 | -$27.75 | -1.28% |
Silver | $17.79 | -$0.46 | +0.68% |
XAU | 188.51 | -1.94% | +3.75% |
HUI | 456.17 | -2.74% | +2.90% |
GDM | 1365.45 | -2.83% | +2.40% |
JSE Gold | 2542.21 | -18.50 | +0.73% |
USD | 71.98 | +0.27 | +0.28% |
Euro | 158.07 | -0.87 | -0.13% |
Yen | 96.37 | -1.09 | -2.79% |
Oil | $116.69 | +$1.83 | +5.95% |
10-Year | 3.743% | +0.014 | +7.84% |
Bond | 116.4375 | -0.25 | -2.70% |
Dow | 12849.36 | +1.81% | +4.25% |
Nasdaq | 2402.97 | +2.61% | +4.92% |
S&P | 1390.33 | +1.81% | +4.31% |
The Metals:
Gold rose $6.80 to as high as $946.60 by early trade in London before it sharply sold off over the next few hours to as low as $904.65 by midmorning in New York, but it did end nearly 1% off that low with a loss of 2.95%. Silver rose 22 cents to $18.47 before it fell to as low as $17.357 by about 9AM EST in New York, but it rallied a full 43 cents from that low and ended with a loss of just 2.52%.
Euro gold fell to about €579, platinum lost $7.50 to $2041, and copper dropped a couple of cents to about $3.92.
Gold and silver equities fell about 4% by an hour into trade, but they then rallied back a bit in the rest of trade and ended with less than 3% losses.
The Economy:
All of this week’s economic reports:
Next week’s economic highlights include Existing Home Sales on Wednesday, Durable Goods Orders, Initial Jobless Claims, and New Home Sales on Thursday, and Michigan Sentiment on Friday.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil fell in early trade on dollar strength, but it then rose to a new record high over $116 on news that rebels sabotaged a Shell pipeline in Nigeria and an earthquake in the Midwest US may have impacted refinery operations.
The U.S. dollar index rose and treasuries fell as the Dow, Nasdaq, and S&P soared higher on news that Citigroup’s over $5 billion loss was bad, but not as horrible as feared.
Among the big names making news in the market Friday were Citigroup, Caterpillar, AT&T, Honeywell, and Take-Two and Electronic Arts.
The Commentary:
“Dear CIGAs,
Gold is going to at least $1650 so investors take heart.
Citicorp only loses 5.1 billion in the last quarter.
Talking heads cheer Citicorp’s earnings because Citicorp lost less than predicted by the Street, declaring now that the OTC derivative problem is over. Talk about world class BS!
Euroland big wigs jawbone the US dollar saying, “Hey, we are jawboning so listen to us!”
A little help from its friends and the dollar rises against the euro.
The Gold Cherubs get the top.
The up trend line breaks down as the electronic market takes over and voila, gold is off $30. This is not brain surgery.
Gold is a trend line situation, simple and straight forward. It will only experience greater and greater volatility.
The Angels and Cherubs will give you the price if you understand how to play them.
Speculators in gold who did not get stopped out last US night would be best advised to find a less expensive hobby.
The dollar cannot be manipulated against fundamental reality for long. Currency intervention will be small and on Fridays.
Gold is going to at least $1650 so investors take heart.”- Jim Sinclair, More free commentary at JSMineset.com
“June Gold finished down 27.7 at 915.2, 4.8 off the high and 7.7 up from the low.
May Silver closed down 0.485 at 17.82. This was 0.43 up from the low and 0.08 off the high.
The gold market started out around unchanged before coming under a concentrated aggressive washout that appeared to be mostly the result of a sharp rise in the US Dollar. However, with a number of physical commodity markets under significant selling pressure it appeared as if a broad based liquidation wave was instigated. It should be noted that crude oil prices initially fell $3.00 from their initial highs but by mid session the crude oil market was right back to its highs. In other words, a number of markets exhibited what seems to have been a knee jerk reaction to the Citigroup earnings and to the Dollar rise, but in the end a number of markets managed to recover.
The silver market started out choppy before getting hit with a concentrated selling wave that seemed to surface in a broad range of commodity markets on Friday morning. While the action in the Dollar and weakness in the gold market undermined silver traders, some traders have suggested that physically orientated metals like silver and copper could begin to de-link with the Dollar and could now begin to correlate with either the equity market or the oil markets.”- The Hightower Report, Futures Analysis and Forecasting
Gold Seeker Weekly Wrap-Up: Gold Falls on the Week but Silver and Miners Gain
