-- Posted Tuesday, 21 October 2008 | Digg This Article
| | Source: GoldSeek.com
| Close | Gain/Loss |
Gold | $766.30 | -$21.30 |
Silver | $10.07 | +$0.31 |
XAU | 85.65 | -9.90% |
HUI | 201.20 | -9.65% |
GDM | 599.74 | -9.58% |
JSE Gold | 1823.58 | +73.49 |
USD | 84.37 | +1.30 |
Euro | 130.63 | -2.82 |
Yen | 99.74 | +1.56 |
Oil | $70.89 | -$3.36 |
10-Year | 3.703% | -0.183 |
T-Bond | 115.171875 | +1.6875 |
Dow | 9033.66 | -2.50% |
Nasdaq | 1696.68 | -4.14% |
S&P | 955.05 | -3.08% |
The Metals:
Gold rose nearly 2% to over $800 in Asia, but it then fell back off for most of the rest of trade and ended near its low of $765.30 with a loss of 2.7%. Silver briefly spiked lower at the New York open to see a 23 cents loss at $9.53, but it then rallied back higher into the close and ended near its high of $10.188 with a gain of 3.2%.
Euro gold fell to about €586, platinum lost $3.50 to $877, and copper fell over 11 cents to about $2.00.
Gold and silver equities fell nearly 7% in the first half hour of trade before they rebounded to see less than 4% losses by midmorning, but they then fell back off to new lows with the major indices in late trade and ended with over 9% losses.
The Economy:
There were no major economic reports today, but the fed announced it “will provide up to $540 billion in loans to help relieve pressure on money- market mutual funds beset by redemptions.”
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil fell on more worries of waning world demand. The U.S. dollar index rose again on the belief that the rest of the world is worse off than the US. Treasuries rose as the Dow, Nasdaq, and S&P fell on worries over mostly disappointing earnings reports and outlooks.
Among the big names making news in the market today were Pfizer, US Bancorp, UAL, Nissan, DuPont, 3M, CITIC Pacific, Lockheed Martin, Caterpillar, Kerkorian and Ford, National City, Fifth Third, KeyCorp, Lilly, Coach, and Carl Icahn and Lions Gate.
The Commentary:
“December Gold closed down 22 at 768. This was 1 up from the low and 11 off the high.
December Silver finished up 0.385 at 10.075, 0.065 off the high and 0.535 up from the low.
The gold market remained under pressure throughout most of the trading session on Tuesday. In fact with a another new high in the US dollar, ongoing deflation expectations and moderate weakness of the US equity market gold appeared to be just another physical commodity market facing a sagging demand outlook. While some polls had hoped that the CDS unwinding would result in fresh financial sector anxiety, the only anxiety present in the gold market on Tuesday seem to be coming from fears of too much economic slowing ahead. With a sharp slide in oil prices and general weakness in a host of other physical commodity markets, this fear of ongoing deflationary selling was certainly prominent.
With silver prices clearly diverting with the weak action in the gold market many traders speculated that short gold long silver spread activity was providing spillover support to silver prices. Some traders even suggested that higher platinum prices indicated long platinum short gold spread activity. In other words, it is possible that mechanical trade activity temporarily served to support silver prices during the trade on Tuesday. However seeing the Chicago Fed national activity Index come in extremely weak has to be disconcerting to all physical commodity markets. In the end, it was impressive to see silver hold up in the face of sharp declines in energies, equities and another pulse up in the US Dollar.”- The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Volcker makes a comeback as part of Obama brain trust
Ted Butler and Izzy Friedman: The silver rush is on
Metal keeps drying up as Comex pretends otherwise
The Statistics:
As of close of business: 10/20/2008
Gold Warehouse Stocks: | 8,565,237 | - |
Silver Warehouse Stocks: | 133,086,457 | -284,217 |
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 | 756.25 | 24,314,178 | US$ 19,325m |
London Stock Exchange (LSE) AND Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse ) | Gold Bullion Securities | 123.52 | 3,971,294 | US$ 3,077m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 11.89 | 382,097 | US$ 296m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 26.22 | 842,845 | US$ 670m |
Note: Change in Total Tonnes from yesterday’s data: SPDR subtracted 0.61 tonnes.
COMEX Gold Trust (IAU)
Profile as of 10/20/2008 | |
Total Net Assets | $1,660,555,820 | Ounces of Gold
in Trust | 2,108,859.706 |
Shares Outstanding | 21,400,000 | Tonnes of Gold
in Trust | 65.59 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 10/20/2008 | |
Total Net Assets | $2,169,748,810 | Ounces of Silver
in Trust | 221,698,064.200 |
Shares Outstanding | 224,400,000 | Tonnes of Silver
in Trust | 6,895.58 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
Freeport’s (FCX) quarterly results, Midway’s (MDW) director resignation, Barrick’s (ABX) acquisition option, Timberline’s (TLR) drill results, Fronteer’s (FRG) joint venture, and First Majestic’s (FR.TO) third quarter silver production were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Timberline | TLR +10.87% $1.02 |
2. Northern Dynasty | NAK +7% $2.14 |
3. Seabridge | SA +6.44% $10.25 |
LOSERS
1. Banro | BAA -17.24% $1.20 |
2. Ivanhoe | IVN -15.49% $2.40 |
3. Lihir | LIHR-14.71% $12.41 |
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:
Khan Resources Announces Normal Course Issuer Bid - More
- October 21, 2008 | Item | E-mail
Abcourt Renegociates the Jonpol Option - More
- October 21, 2008 | Item | E-mail
Court in Costa Rica Suspends Clearing Operations at Crucitas - More
- October 21, 2008 | Item | E-mail
Midway Gold Corp.: Director Resigns - "Midway Gold Corp. ("Midway") (CDNX:MDW.V - News)(NYSE-A: MDW) reports that William M. Sheriff has resigned from the board of directors of Midway for personal reasons and to avoid any potential conflict of interest between his role as a director of Midway and his role as a senior officer and director of a creditor of Midway, Golden Predator Mines, Inc. Midway thanks Mr. Sheriff for his service as a director and support as a shareholder of Midway." More
- October 21, 2008 | Item | E-mail
Marifil Acquires Promising Limestone Project 100 Million Tonne Target of Cement-Grade Limestone - More
- October 21, 2008 | Item | E-mail
Hawk Updates Disclosure on First Phase of Drilling on the Soocana Vein System; Metallurgical Testing of the Black Sands Zone Underway From Holdsworth - More
- October 21, 2008 | Item | E-mail
DIOS Hotish Butte Zone Returns Up to 0.23% U308 in Surface - More
- October 21, 2008 | Item | E-mail
Romarco Files Updated Haile Gold Mine Project NI 43-101 Technical Report - More
- October 21, 2008 | Item | E-mail
FACTBOX-Mines and plants hurt by low prices, high costs - "The global financial crisis and sharp falls in metals prices have forced several companies to abandon or put on hold their plans to bring new mines on-stream.
Some existing producers have also shut down or curtailed their output at mines and plants as high costs and low prices bite. Below are details of the major projects and facilities which have been affected in recent months, as well as other related news." More
- October 21, 2008 | Item | E-mail
Mercator Starts Commissioning of the Mineral Park Mill - More
- October 21, 2008 | Item | E-mail
KWG and Spider complete 2008 drilling program at Big Daddy Chrome Deposit; preliminary metallurgical test work yields positive results - More
- October 21, 2008 | Item | E-mail
Portage Minerals Announces Resignations - More
- October 21, 2008 | Item | E-mail
Everton Resources Webcast: Shareholder Update - More
- October 21, 2008 | Item | E-mail
Golden Band Resources: exploration and development update - More
- October 21, 2008 | Item | E-mail
Tiger Resources consolidates project interests around Kipoi Resource - More
- October 21, 2008 | Item | E-mail
Avalon Ventures Ltd.: Progress Report on Drilling Results, Resource Estimates, Environmental and Metallurgical Studies for the Lake Zone REE Deposit, Thor Lake - More
- October 21, 2008 | Item | E-mail
Goldstake-Clay Property - More
- October 21, 2008 | Item | E-mail
Rockcliff Commences Third Phase VTEM Airborne Survey on its Snow Lake VMS Project, Manitoba. - More
- October 21, 2008 | Item | E-mail
Noront Completes Preliminary Economic Assessment on Eagle One Deposit-Direct Ship Method - More
- October 21, 2008 | Item | E-mail
EurOmax intersects 542 metres of skarn with disseminated chalcopyrite at Karavansalija - More
- October 21, 2008 | Item | E-mail
Anglo Swiss Resources Inc. Announces Strong First Assay Results at Kenville Gold Mine Property - More
- October 21, 2008 | Item | E-mail
North American Palladium Announces Temporary Closure of Lac Des Iles Mine Due to Depressed Metal Prices - More
- October 21, 2008 | Item | E-mail
Rimfire Commences Drilling at the Walmer Property, Australia - More
- October 21, 2008 | Item | E-mail
Vantex Cuts 11.67 g/t Au Over 3.20 Meters at Santa Anna - More
- October 21, 2008 | Item | E-mail
Platinex's NI 43-101 recommends $2.6 million exploration program on Muskox - More
- October 21, 2008 | Item | E-mail
Colorado Goldfields Inc. Completes 2008 Drilling Program, Eyes the Future - More
- October 21, 2008 | Item | E-mail
Merrex Reaches $12,000,000 Deal with IAMGOLD for Siribaya - More
- October 21, 2008 | Item | E-mail
Barrick gets option to buy majority in Nevada site - "Levon Resources Ltd. and Coral Gold Resources Ltd. Tuesday granted a subsidiary of Barrick Gold Corp. the option to acquire up to a 75 per cent interest in the Norma Sass property in Nevada, consisting of 36 unpatented mining claims.
Barrick may earn a 60 per cent interest in Norma Sass by incurring total exploration expenditures of at least $3-million (U.S.) in annual instalments by Dec. 31, 2014." More
- October 21, 2008 | Item | E-mail
Corriente Resources Inc.: Due Diligence Visits Completed in Ecuador - More
- October 21, 2008 | Item | E-mail
AuEx to Retain 49% of Long Canyon - More
- October 21, 2008 | Item | E-mail
FNX Mining Suspends Contact Nickel Production at Its Levack Mine - More
- October 21, 2008 | Item | E-mail
VMS Ventures Inc.: Drill Hole RD-08-64 Intersects 14.47 Metres of 3.27% Copper at Reed Lake Discovery Zone, Snow Lake Manitoba - More
- October 21, 2008 | Item | E-mail
GobiMin announces Strategic Review of Yellow Mountain Project - More
- October 21, 2008 | Item | E-mail
Timberline Discovers High-Grade Gold Zone at Butte Highlands - "The most encouraging hole to-date, BH-DDH 08-03, was drilled 100 feet northwest of previously-tested mineralization boundaries. The hole returned several mineralized gold intervals, including 2.0 feet of 0.62 ounces per ton (oz/t), 37.0 feet of 0.22 oz/t, 5.0 feet of 0.26 oz/t, 9.0 feet of 0.43 oz/t, and 35.0 feet of 0.14 oz/t. These results demonstrate the northwest extension of the Upper, Middle, and Lower zones, while the latter two intervals comprise a new discovery at depth, a potential offset portion of previously-identified zones. Both the extension and the discovery have the potential to greatly increase mineralization estimates at Butte Highlands." More
- October 21, 2008 | Item | E-mail
First Majestic Silver Corp.: Third Quarter Silver Production - "FIRST MAJESTIC SILVER CORP. (Toronto:FR.TO - News)(Other OTC:FRMSF.PK - News)(Frankfurt:FMV.F - News)(WKN: A0LHKJ) (the "Company") is pleased to announce that a conference call and webcast has been scheduled on Thursday, October 23, 2008 at 11:00 a.m. (Pacific Time) to discuss the results of the third quarter silver production." More
- October 21, 2008 | Item | E-mail
Freeport-McMoRan Copper & Gold Inc. Reports Third-Quarter and Nine-Month 2008 Results - "Net income applicable to common stock for third-quarter 2008 totaled $523 million, $1.31 per share, compared with $775 million, $1.87 per share, for third-quarter 2007. Net income applicable to common stock for the first nine months of 2008 totaled $2.6 billion, $6.20 per share, compared with $2.4 billion, $6.58 per share, for the first nine months of 2007." More
- October 21, 2008 | Item | E-mail
Fronteer Establishes 51%-49% Joint Venture at Its Majority-Owned Long Canyon Gold Project - "Fronteer Development Group Inc. ("Fronteer" or the "Company") (Toronto:FRG.TO - News)(AMEX:FRG - News) is pleased to announce it has elected to continue as majority owner (51%) and manager of Long Canyon through a participating joint venture with AuEx Ventures Inc. ("AuEx") (49%). Fronteer has elected to not earn an additional 14% by sole funding the project through to completion of a feasibility study." More
- October 21, 2008 | Item | E-mail
Freeport-McMoRan's profit sinks, delays projects - "Freeport-McMoRan Copper & Gold Inc (FCX.N: Quote, Profile, Research, Stock Buzz) shares slumped by 7 percent on Tuesday after the company posted a sharp drop in quarterly profit and said it would curtail planned mine expansions because of weaker metals prices and current economic conditions. Freeport said it would delay expansion projects at its Serrita and Bagdad copper mines in Arizona and would push back the restart of its Miami mine in the state, cutting about $370 million in planned capital costs." More
- October 21, 2008 | Item | E-mail
- Chris Mullen, Gold Seeker Report
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-- Posted Tuesday, 21 October 2008 | Digg This Article | Source: GoldSeek.com
Gold Seeker Closing Report: Gold Falls Nearly 3% While Silver Gains Over 3%
