-- Posted Thursday, 2 October 2008 | Digg This Article
| | Source: GoldSeek.com
| Close | Gain/Loss |
Gold | $842.55 | -$39.60 |
Silver | $11.12 | -$1.52 |
XAU | 111.04 | -15.48% |
HUI | 265.70 | -16.08% |
GDM | 793.06 | -15.56% |
JSE Gold | 1618.46 | -206.18 |
USD | 80.55 | +0.91 |
Euro | 138.04 | -2.06 |
Yen | 95.07 | +0.51 |
Oil | $93.97 | -$4.56 |
10-Year | 3.646% | -0.122 |
T-Bond | 19.390625 | +1.1875 |
Dow | 10482.85 | -3.22% |
Nasdaq | 1976.72 | -4.48% |
S&P | 1114.28 | -4.03% |
The Metals:
Gold fell nearly 2% in Asia and London and fell even further in New York to as low as $828.95 by late morning before it rebounded $13.60 from that low in the last couple of hours of trade, but it still ended with a loss of 4.5%. Silver followed a similar pattern on its typical accelerated scale and ended with a loss of 12%.
Euro gold fell roughly €19 to about €609, platinum lost $60 to $971, and copper fell nearly 15 cents to about $2.65.
Gold and silver equities steadily fell for most of the day and ended with over 15% losses.
The Economy:
Report | For | Reading | Expected | Previous |
Initial Claims | 9/27 | 497K | 475K | 493K |
Factory Orders | Aug | -4.0% | -2.9% | 0.7% |
Tomorrow at 8:30AM EST brings September’s jobs data. Nonfarm Payrolls are expected at -105,000, the Unemployment Rate is expected at 6.1%, Hourly Earnings are expected at 0.3%, and the Average Workweek is expected at 33.7. At 10AM is the ISM Services report for September expected at 50.0.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil fell on concerns over falling world demand while the dollar rose markedly versus the euro as “the European Central bank held rates steady and implied its door was open to easing.” Not only was Trichet tame on inflation, but he also voiced concerns over slowing economic growth and that certainly lowered the outlook for not only weak European growth relative to US growth, but also for global economic strength overall.
Treasuries rose as the Dow, Nasdaq, and S&P fell on bailout uncertainty. The senate passed the plan last night, but the bill still needs to pass the House tomorrow after previously failing earlier in the week and many are uncertain that the bill will help solve the problem even if it is passed. Much worse than expected economic data was not to encouraging to bulls either.
Among the big names making news in the market today were the SEC, Marriott, GE, and Constellation Brands.
The Commentary:
“Dear CIGAs,
I have no doubt that $1650 will come. My concern is not that it will not happen, but that I am much too conservative in my long-term price objective since 2000.
If major banks can be torn apart how can we have faith in the small local institutions that hold most of your ready cash?
When I said “This is IT,” it is not something that I take lightly. Never in 49 years in finance have I seen a set of circumstances so challenging to the man in the street.
What I am getting at is a simple question. Are you prepared? You have heard us talk repeatedly on removing financial intermediaries between you and your assets, but the time has come for us to recommend going one step further:
Hold enough cash at your household to last you a month or two. It may be largely unnecessary for the majority, but what do you have to lose? If your bank should fail this will save you a lot of grief in the short term. If they do not, you still have all your cash that can easily be deposited back into your account.
…
Unless the LIBOR rate drops sharply we are facing a planetary financial crisis next week.
For God's sake protect yourself.
Gold and gold related items will be the only true storehouses of wealth. The bailout bill is powerless to reverse what is now happening.
This is a modern day Weimar happening right before our eyes.
Regards,”- Jim Sinclair, JSMineset.com
“December Gold closed down 43 at 844.3. This was 9.3 up from the low and 28.5 off the high.
December Silver finished down 1.65 at 11.12, 1.13 off the high and 0.04 up from the low.
While the gold bugs can still hold out hope that the US House will stumble in their effort to pass a bailout package and the gold bulls can also hope that the financial troubles continue to surface in Europe, the slide in prices Thursday highlights at least some tempering of anxiety in the marketplace. However, the loss of some flight to quality concerns wasn't the only thing driving down gold prices on Thursday as gold saw pressure from a number of outside market forces. In fact, with a sharp slide in oil prices, massive weakness in the US equity market and a soaring Dollar, the outside market forces were really weighing on gold.
The silver market saw a massive broad based washout on Thursday as the market was hit with what appeared to be financial and physical commodity related selling themes. With massive declines in a host of physical commodity markets and the US factory orders report showing recessionary type data, it wasn't all that surprising to see silver suffer historical selling pressure. In the end the market seemed to be suggesting that without a total financial crisis, many longs were unwilling to hold onto silver.”- The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Greece joins stampede for Europe-wide bank bailout
Fed considers rate cut as recession fears mount
Momentum grows to ease mark-to-market accounting rules
Former Treasury secretary calls bailout plan 'crazy'
Comex prices aren't real, so root for them to go to zero
Ambrose Evans-Pritchard: Europe's banks more leveraged than U.S. banks
James Turk: Wealth destruction now is inflationary
The Statistics:
As of close of business: 10/01/2008
Gold Warehouse Stocks: | 8,596,414 | +4,998 |
Silver Warehouse Stocks: | 135,503,509 | - |
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) AND Tokyo Stock Exchage (TSE) AND Hong Kong Stock Exchange (HKEx) | SPDR® Gold Shares | 755.26 | 24,282,494 | US$ 21,362m |
London Stock Exchange (LSE) AND Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse ) | Gold Bullion Securities | 116.27 | 3,738,053 | US$ 3,161m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 12.40 | 397,829 | US$ 337m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 26.22 | 843,021 | US$ 741m |
Note: Change in Total Tonnes from yesterday’s data: The LSE added 0.34 tonnes.
COMEX Gold Trust (IAU)
Profile as of 10/1/2008 | |
Total Net Assets | $1,796,507,393 | Ounces of Gold
in Trust | 2,040,487.950 |
Shares Outstanding | 20,700,000 | Tonnes of Gold
in Trust | 63.47 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 10/1/2008 | |
Total Net Assets | $2,704,218,746 | Ounces of Silver
in Trust | 220,304,638.900 |
Shares Outstanding | 222,900,000 | Tonnes of Silver
in Trust | 6,852.24 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
Freeport’s (FCX) worker strike, NovaGold’s (NG) warrants exercised, Paramount’s (PZG) closed deal with Tara Gold Resources, Harmony’s (HMY) mine death, Gold Fields’ (GFI) agreement with Bateman Engineering N.V. to sell its BIOX Technology Business, International Minerals’ (IMZ.TO) cash costs, and Silver Dragon’s (SDRG.OB) feasibility study were among the big stories in the gold and silver mining industry making headlines today.
No “Winners” today.
LOSERS
1. Ivanhoe | IVN -24.51% $4.65 |
2. Coeur | CDE-22.97% $1.14 |
3. Entree | EGI -21.05% $1.05 |
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:
Platinex has encouraging Phase 1 sampling results and files NI 43-101 qualifying report on Shiningtree gold property - More
- October 02, 2008 | Item | E-mail
Fischer-Watt Acquiring Significant U.S. Uranium Assets - More
- October 02, 2008 | Item | E-mail
Metals Creek Resources Corp. Announces Initiation of Airborne Radiometric and Vtem Survey on Gabbro Lake Project, Western Labrador - More
- October 02, 2008 | Item | E-mail
Aurelio Announces Agreement to Sell Hill Copper-Zinc Project & 3% NSR in Gavilanes Gold Project to an Investment Company - More
- October 02, 2008 | Item | E-mail
NovaGold Investors Exercise Warrants for Proceeds of $16.2 Million - "NovaGold Resources Inc. (Toronto:NG.TO - News)(NG - News) today announced that on October 1, 2008 investors exercised an aggregate of 2,311,350 warrants to purchase approximately $16.2 million in NovaGold shares at C$7.00 per common share. The proceeds from these warrants which expired on October 1, 2008 will be used by NovaGold for general corporate purposes." More
- October 02, 2008 | Item | E-mail
Katanga Mining Appoints Interim CEO and COO - More
- October 02, 2008 | Item | E-mail
CMC Metals Ltd. - Silver Hart Mine Application Deemed Complete - More
- October 02, 2008 | Item | E-mail
Some miners see silver lining to financial turmoil - "Miners more used to finding riches underground say they may have struck an unexpected seam in the U.S. financial crisis: cheaper fuel and equipment.
The deepening crisis is cutting credit to everyone, forcing smaller and mid-size producers to shelve new or marginal projects and freeing up key materials for larger companies that have the cash liquidity to pay for them." More
- October 02, 2008 | Item | E-mail
AMF Declares Conformity of IAMGOLD's Cash Bid for Euro Ressources at EUR 1.20 Per Share - "The opening of the offer is an important step towards the successful completion of the acquisition which will benefit both IAMGOLD and the shareholders of Euro. The offer provides compelling value and liquidity for Euro shareholders. Once completed, this acquisition will, on consolidation, eliminate the royalty obligation on our flagship asset, the Rosebel mine, which reduces cash costs at the mine by approximately US$50 per oz. The completion of the acquisition will be a significant achievement in reaching our long-term objective of reducing our cash cost below the industry average." More
- October 02, 2008 | Item | E-mail
Pacific Comox Reports 46 More Holes for a Total of 119 in Carmelitas Zone of Mabel Property Averaging 1.6g/tonne Gold & 60g/tonne Silver Over 4.4 Meters - More
- October 02, 2008 | Item | E-mail
Chariot Resources: Shareholder Update - More
- October 02, 2008 | Item | E-mail
Anooraq Provides Market Update on Financing Strategy for Lebowa Acquisition - More
- October 02, 2008 | Item | E-mail
SIRIOS Obtains up to 23.8 g/t in Gold on the ESCALE Property - More
- October 02, 2008 | Item | E-mail
Victoria's Drill Hole NW-9 Hits 33.5 m of 11.48 g/t Gold Including 9.1 m of 20.68 g/t Plus 9.1 m of 15.22 g/t - More
- October 02, 2008 | Item | E-mail
Galantas Gold Corporation: Appointment of Chief Financial Officer and Grant of Options - More
- October 02, 2008 | Item | E-mail
Apella Commences Vanadium-Titanium Exploration at Lac Dore North - More
- October 02, 2008 | Item | E-mail
Coro Mining Elects Not to Acquire the Cerro Negro Mine in Chile - More
- October 02, 2008 | Item | E-mail
Workers strike Freeport's Cerro Verde mine in Peru - "The union at Freeport-McMoRan's (FCX.N: Quote, Profile, Research, Stock Buzz) Cerro Verde (CVE.LM: Quote, Profile, Research, Stock Buzz) copper mine, the third-largest in Peru, said on Thursday workers were on strike.
In June, union workers struck at the mine for 11 days in an attempt to pressure the company to comply with provisions in their labor contract." More
- October 02, 2008 | Item | E-mail
Northern Shield Provides Updates on Exploration at Nickel and PGE Properties in James Bay Lowlands - Impala to fly airborne survey at Highbank - More
- October 02, 2008 | Item | E-mail
Premier plans major exploration drill program at PQ-North - More
- October 02, 2008 | Item | E-mail
Golden Share Reports Results of Summer 2008 Program on Elwood and Acquisition of a New 15 Km2 Claim Bloc by Staking - More
- October 02, 2008 | Item | E-mail
Searchlight Minerals Corp. provides Clarkdale operations update - More
- October 02, 2008 | Item | E-mail
Caledonia Awarded Mining Licences for Nama Cobalt Project - More
- October 02, 2008 | Item | E-mail
Paramount Gold and Silver Corp. Closes Deal and Acquires 100% Interest in its San Miguel Project in Mexico - "Paramount Gold and Silver Corp. (PZG - News)(Toronto:PZG.TO - News)(Frankfurt:P6G.F - News)(WKN: A0HGKQ) has closed its deal with Tara Gold Resources Corp. (Tara) to acquire 100% of its San Miguel project in Chihuahua, Mexico. This agreement gives Paramount exclusive ownership of the San Miguel Project and increases Paramount's National Instrument 43-101 compliant silver-gold inferred resource by 32.6 million ounces (Ag Equivalent) to a total 108.5 million ounces (Ag Equivalent). Paramount's issued 7.35 million restricted common shares to Tara and based on an average trading price of $1.19 per share, the purchase price is $8,724,450. Paramount paid 26.8 cents per ounce of Silver Eq. resource in the ground for the remaining 32.6 million ounces (Ag Equivalent)." More
- October 02, 2008 | Item | E-mail
Freegold Core Drilling Extends Depth of Bulk Tonnage Mineralization at Golden Summit - More
- October 02, 2008 | Item | E-mail
Laramide Resources Ltd.: Drilling Results at Westmoreland Continue to Meet or Exceed Expectations-Hole WDD08-75 Returns 48 Metres @ 0.11% U3O8 - More
- October 02, 2008 | Item | E-mail
Sampling of a Mineralized Breccia Swarm at Romios Gold's Trek Property Averages 1.39% Copper, 0.49 g/t Gold and 7.85 g/t Silver Over Area Measuring 250 Metres - More
- October 02, 2008 | Item | E-mail
Cogitore Intersects More Copper-Rich Sulphide Stringers at the Scott Lake Project. - More
- October 02, 2008 | Item | E-mail
Roxmark updates drilling programs, gold resources at Northern Empire Mine - More
- October 02, 2008 | Item | E-mail
USCorp Updates Gold and Silver Mineralization at Twin Peaks Gold Property - More
- October 02, 2008 | Item | E-mail
International Minerals Reports Low Cash Costs at Pallancata Silver Mine, Peru - "International Minerals Corporation (Toronto:IMZ.TO - News) (Swiss:IMZ.SW - News) reports Total Cash Costs of US$5.89 per ounce of silver produced, net of gold by-product credits (US$3.30 per ounce for Direct Site Costs) at the Pallancata Mine for the fiscal fourth quarter ended June 30, 2008 (see Table below for details). The Pallancata Mine, located in southern Peru, is jointly owned by IMZ (40% interest) and Hochschild Mining plc ("Hochschild," 60% interest). Hochschild is the mine operator." More
- October 02, 2008 | Item | E-mail
Tournigan Arranges Sale of Non-Core Assets in Northern Ireland and the USA - More
- October 02, 2008 | Item | E-mail
Paladin Energy Ltd: Langer Heinrich Achieves Design Production for the Full Quarter - More
- October 02, 2008 | Item | E-mail
Immediate High-Value Drill Targets Identified on Elray Resource's Angkor Wat Project - More
- October 02, 2008 | Item | E-mail
Petaquilla Minerals Ltd. Retires a Portion of Its Senior Secured Notes - More
- October 02, 2008 | Item | E-mail
Mineral Hill Industries Ltd. - Non-Brokered Private Placement - More
- October 02, 2008 | Item | E-mail
Harmony Gold says 1 worker dead in accident at Elandsrand Gold Mine - "Harmony Gold Mining Company Ltd. said one mineworker died after a fall-of-ground accident at its Elandsrand Gold Mine near Carletonville in South Africa.
The incident occurred in the 102/37 W3 panel, about 2900 metres below surface, killing a waterjet operator." More
- October 02, 2008 | Item | E-mail
Silver Dragon Commissions Beijing Ten-star Technology Ltd. for Development of Its Erbahuo Silver Project - "Silver Dragon Resources Inc. (OTC BB:SDRG.OB - News) is pleased to announce that it has engaged Beijing Ten-star Technology Ltd., a Chinese project management and consulting service provider, for a feasibility study on project development of the Erbahuo silver mine, which is Silver Dragon's flagship property in northern China." More
- October 02, 2008 | Item | E-mail
Gold Fields to Sell BIOX Technology Business - "Gold Fields Limited ("Gold Fields") (NYSE, JSE, DIFX: GFI) today announced that it has entered into an agreement with Bateman Engineering N.V. to sell its BIOX Technology Business to Bateman Engineering for a net cash consideration of US$8.84 million." More
- October 02, 2008 | Item | E-mail
- Chris Mullen, Gold Seeker Report
- Would you like to receive the Free Daily Gold Seeker Report in your e-mail? Click here
Additional Resources for today’s Gold Seeker Report can be found:
© Gold Seeker 2008
Note: This article may be reproduced provided the article, in full, is used and mention to Gold-Seeker.com is given.
Disclosure: The owner, editor, writer and publisher and their associates are not responsible for errors or omissions. The author of this report is not a registered financial advisor. Readers should not view this material as offering investment related advice. Gold-Seeker.com has taken precautions to ensure accuracy of information provided. Information collected and presented are from what is perceived as reliable sources, but since the information source(s) are beyond Gold-Seeker.com’s control, no representation or guarantee is made that it is complete or accurate. The reader accepts information on the condition that errors or omissions shall not be made the basis for any claim, demand or cause for action. Past results are not necessarily indicative of future results. Any statements non-factual in nature constitute only current opinions, which are subject to change. Nothing contained herein constitutes a representation by the publisher, nor a solicitation for the purchase or sale of securities & therefore information, nor opinions expressed, shall be construed as a solicitation to buy or sell any stock, futures or options contract mentioned herein. Investors are advised to obtain the advice of a qualified financial & investment advisor before entering any financial transaction.
-- Posted Thursday, 2 October 2008 | Digg This Article | Source: GoldSeek.com
Gold Seeker Closing Report: Gold and Silver Fall Markedly With Oil and Stocks
