-- Posted Friday, 9 May 2008 | Digg This Article
| Source: GoldSeek.com
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| Close | Gain/Loss | On Week |
Gold | $884.50 | +$4.10 | +3.29% |
Silver | $16.80 | UNCH | +2.60% |
XAU | 179.63 | -1.38% | +6.26% |
HUI | 422.99 | -0.55% | +5.87% |
GDM | 1272.64 | -0.19% | +6.89% |
JSE Gold | 2517.02 | +56.71 | +11.94% |
USD | 73.05 | -0.43 | -0.65% |
Euro | 154.77 | +0.83 | +0.34% |
Yen | 97.12 | +0.70 | +2.33% |
Oil | $125.96 | +$2.27 | +8.37% |
10-Year | 3.767% | -0.038 | -2.03% |
Bond | 117.25 | +0.484375 | +0.87% |
Dow | 12745.88 | -0.94% | -2.39% |
Nasdaq | 2445.52 | -0.23% | -1.27% |
S&P | 1388.28 | -0.67% | -1.81% |
The Metals:
Gold and silver remained near unchanged in Asia and rose to see over 1% gains by midday in London at as high as $889.50 and $17.07 before they fell back off in early New York trade and saw over 1% losses at as low as $870.95 and $16.48 by about 11AM EST, but they then rallied back higher into the close and gold ended with a gain of 0.47% while silver erased a nearly 2% decline and ended unchanged.
Euro gold rose to about €573, platinum gained $67 to $2079, and copper fell nearly 7 cents to about $3.75.
Gold and silver equities rose slightly at the open before they fell roughly 2% by midmorning, but they then rallied back higher into the close and ended with minimal losses.
The Economy:
Report | For | Reading | Expected | Previous |
Trade Balance | Mar | -$58.2B | -$61.3B | -$61.7B |
All of this week’s economic reports:
Next week’s economic highlights include the Treasury Budget on Monday, Export and Import Prices, Retail Sales, and Business Inventories on Tuesday, CPI on Wednesday, Initial Jobless Claims, the NY Empire State Index, Net Foreign Purchases, Capacity Utilization, Industrial Production, and the Philadelphia Fed on Thursday, and Building Permits, Housing Starts, and Michigan Sentiment on Friday.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil rose to a new record intraday high of $126.25 before it pulled back a bit, but it still made a new record closing high as supply threats remain while demand stays strong. New to supply concerns today was heightened worry about Venezuela’s exports as the WSJ ran a story about Chavez supporting rebels aiming at overthrowing Columbia’s government. These actions could lead to sanctions from the US that may influence Chavez to cut off exports to the U.S. While that oil will still likely make its way to the U.S. anyway, it would do so through middlemen that would add a premium to the price.
The U.S. dollar index fell and treasuries rose on renewed worries over the financial sector as AIG raised credit market fears by posting a larger than expected $7.8 billion loss.
The Dow, Nasdaq, and S&P fell as oil set another new record high and worries reignited over the health of the financial system.
Among the big names making news in the market Friday were Citigroup, AIG, Circuit City, Texas Instruments, Sotheby’s, Clear Channel, and Microsoft and Yahoo.
The Commentary:
“June Gold finished up 3.7 at 885.8, 2.7 off the high and 14.8 up from the low.
May Silver closed up 0.049 at 16.843. This was 0.053 up from the low and equal to the high.
The gold market waffled around both sides of unchanged during the morning trade but managed to climb back into positive ground just after mid session off persistent strength in oil prices and perhaps even because of renewed buying interest off those willing to hold into the weekend. While the Hugo Chavez news regarding Colombia wasn't given that much attention in the morning trade on Friday that could be the type of story to attract in some weekend flight to quality players. Clearly the gold market remains vulnerable to periodic profit taking bouts with the trade still generally concerned about the prospect of a long term Dollar bottom.
The silver market continued to under perform the gold market, with gold prices climbing back into positive ground just after mid session Friday and silver prices seemingly content to languish in sync with markets like copper. Apparently surging oil prices and a slightly weaker Dollar wasn't enough to give the silver bulls a definitive upper hand. While the market could have been lifted by news of an increase in US silver imports in March, the silver market hasn't been paying that much attention to classic supply side news. Many times US silver export data has served to countervail the anticipated impact of the silver import data.”- The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Citing copper and zinc costs, House votes for return of steel penny
IMF worries that commodities may not be a bubble
The Statistics:
As of close of business: 5/08/2008
Gold Warehouse Stocks: | 7,681,257 | -578 |
Silver Warehouse Stocks: | 133,960,545 | - |
Global Gold ETF Holdings
[WGC Sponsored ETF’s]
| Product name | Total Tonnes | Total Ounces | Total Value |
New York Stock Exchange Arca (NYSE Arca) AND Singapore Exchange (SGX) | StreetTRACKS Gold Shares | 590.37 | 18,981,087 | US$ 16,643m |
London Stock Exchange (LSE) AND Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse ) | Gold Bullion Securities | 114.01 | 3,665,555 | US$ 3,231m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 20.91 | 671,895 | US$ 593m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 27.00 | 868,037 | US$ 761m |
Note: Change in Total Tonnes from yesterday’s data: StreetTRACKS subtracted 0.20 tonnes.
COMEX Gold Trust (IAU)
Profile as of 5/8/2008 | |
Total Net Assets | $1,733,972,700 | Ounces of Gold
in Trust | 1,969,252.636 |
Shares Outstanding | 19,950,000 | Tonnes of Gold
in Trust | 61.25 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 5/8/2008 | |
Total Net Assets | $3,159,629,276 | Ounces of Silver
in Trust | 190,589,294.100 |
Shares Outstanding | 19,250,000 | Tonnes of Silver
in Trust | 5,927.99 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
DRDGOLD’s (DROOY) third quarter results, Cardero’s (CDY) metallurgical assessment, Richmont’s (RIC) first quarter results, Gammon Gold’s (GRS) status update, Paramount’s (PZG) acquired mining concessions, Gold Fields’ (GFI) quarterly results, Eldorado’s (EGO) mailed offer for Frontier (FRP.V), Fresnillo’s IPO in London, and Silver Standard’s (SSRI) project update were among the big stories in the gold and silver mining industry making headlines Friday.
WINNERS
1. ITM | THM +10.37% $1.49 |
2. MAG Silver | MVG+10.21% $12.84 |
3. Kimber | KBX +9.47% $1.85 |
LOSERS
1. Gold Reserve | GRZ-10.66% $1.76 |
2. Richmont | RIC -9.69% $3.45 |
3. US Energy | USEG -3.57% $2.43 |
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:
Eldorado Mails Offer to Frontier Pacific Shareholders - "Paul N. Wright, President and Chief Executive Officer of Eldorado Gold Corporation ("Eldorado", the "Company" or "we") (Toronto:ELD.TO - News)(AMEX:EGO - News) announced today that Eldorado has filed its formal offer to acquire all of the outstanding shares of Frontier Pacific Mining Corporation (CDNX:FRP.V - News) ("Frontier Pacific") with Canadian securities regulators and a registration statement with the U.S. Securities and Exchange Commission and has commenced the mailing of its offer and related documents to Frontier Pacific shareholders." More
- May 09, 2008 | Item | E-mail
Yale Completes Drill Program and Starts Phase II Work at El Rosario, Urique Project - More
- May 09, 2008 | Item | E-mail
Merit Mining Receives Mine and Mill Operating Permits - More
- May 09, 2008 | Item | E-mail
Gold Eagle Mines Ltd. - 2008 first quarter financial results - More
- May 09, 2008 | Item | E-mail
Chapleau Resources Intersects 11.0 m of 0.62 % Copper and 0.10 g/t Gold in Hole #7 on the La Yegua Copper-Gold Porphyry Project in Peru - More
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Gold Seeker Weekly Wrap-Up: Gold and Silver Gain About 3% on the Week