-- Posted Tuesday, 8 May 2012 | | Disqus
| Close | Gain/Loss |
Gold | $1606.80 | -$31.90 |
Silver | $29.50 | -$0.57 |
XAU | 150.86 | -3.22% |
HUI | 402.44 | -3.38% |
GDM | 1167.18 | -3.39% |
JSE Gold | 2201.38 | -17.30 |
USD | 79.81 | +0.22 |
Euro | 130.14 | -0.40 |
Yen | 125.26 | +0.10 |
Oil | $97.01 | -$0.93 |
10-Year | 1.837% | -0.040 |
T-Bond | 144.46875 | +0.71875 |
Dow | 12932.09 | -0.59% |
Nasdaq | 2946.27 | -0.39% |
S&P | 1363.72 | -0.43% |
The Metals:
Gold fell to as low as $1595.59 by late morning in New York before it bounced back higher in afternoon trade, but it still ended with a loss of 1.95%. Silver slipped to as low as $29.13 and ended with a loss of 1.9%.
Euro gold fell to about €1235, platinum lost $15.75 to $1508, and copper lost 7 cents to about $3.69.
Gold and silver equities fell over 4% by midday before they rebounded a bit in late trade, but they still ended with over 3% losses.
The Economy:
NFIB business optimism index rises in April Reuters
Job Openings in U.S. Increased to Three-Year High in March Bloomberg
Tomorrow at 10AM EST brings Wholesale Inventories for March expected at 0.6%.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil fell as the U.S. dollar index and treasuries rose on renewed worries about Europe (Greece today) that sent the Dow, Nasdaq, and S&P lower.
Greece teetering on political precipice as parties fail to agree smh
Among the big names making news in the market today were Bank of America, Facebook, Morgan Stanley, McDonald’s, and DirecTV.
The Commentary:
“The HUI is reeling once again as it continues losing value against the price of an ounce of gold bullion. The index has fallen below chart support at the round number of 400 and is currently near the lows of the day as I write this.
As you can see from the following chart, it is approaching what I consider to be one of the most significant levels of chart support from a technical analysis perspective, and that is the critical 50% Fibonacci retracement level.
The mining shares as a whole, have now retraced exactly HALF of all their gains from the bottom that was produced back in late 2008 when we got the first round of QE that was used to buy up all those "wonderful" mortgage backed securities.
If the index is going to bottom, it will bottom here and now or else it is going to experience a washout that could possibly take it down towards the 340 level at which point the shares will either reverse or basically end up back where they started from in 2008.
Keep in mind that value-based buyers are now a definite minority when it comes to investing. Actually we have very little investors left in the markets as they are all becoming traders thanks to the hedge fund crowd which in effect, has become the market.
This the reason why we cannot as of yet see a bottom in the mining shares, no matter how inexpensive they become in comparison to bullion and in spite of some very good profits being reported by some specific firms.
The hedgies are using them as the short leg of that same ratio spread trade which has been their bread and butter in the gold sector for the last two years. When they finally are forced out, that will be a sight to see but for now, they continue to overwhelm the value-based buying that is occurring in this sector.
Notice the last chart showing the CLOSING MONTHLY PRICE - back at levels last seen at the very inception of the gold bull market in 2001!”- Dan Norcini, More at http://www.traderdannorcini.blogspot.com/
GATA Posts:
Iran accepts Chinese renminbi for crude oil
China's gold imports jump as country may become biggest user
Warren Who? Gold bugs still think they have right idea
The Statistics:
As of close of business: 5/07/2012
Gold Warehouse Stocks: | 11,060,508.664 | +9,599.82 |
Silver Warehouse Stocks: | 141,601,645.146 | -416,389.30 |
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 Exchange (TSE) AND Hong Kong Stock Exchange (HKEx) | SPDR® Gold Shares | awaited | awaited | US$awaited |
London Stock Exchange (LSE) AND NYSE Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse - Xetra) | Gold Bullion Securities | awaited | awaited | US$awaited |
London Stock Exchange (LSE) AND NYSE Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse - Xetra) AND NYSE Euronext Amsterdam | ETFS Physical Gold | awaited | awaited | US$awaited |
Australian Stock Exchange (ASX) | Gold Bullion Securities | awaited | awaited | US$awaited |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | awaited | awaited | US$awaited |
Note: No change in Total Tonnes from yesterday’s data.
COMEX Gold Trust (IAU) Total Tonnes in Trust: 180.13: No change from yesterday’s data.
Silver Trust (SLV) Total Tonnes in Trust: 9,585.83: No change from yesterday’s data.
The Miners:
Jaguar’s (JAG) comprehensive restructuring and turnaround plan, Rubicon’s (RBY) budget, Richmont’s (RIC) drill results, Timberline’s (TLR) second quarter results, Hecla’s (HL) first quarter results and dividend, and Endeavour Silver’s (EXK) first quarter results were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Hecla | HL +5.67% $4.10 |
2. Revett | RVM+0.83%$3.66 |
LOSERS
1. Jaguar | JAG-35.14% $1.44 |
2. Eldorado | EGO-8.97% $11.67 |
3. NovaGold | NG -7.76% $5.23 |
Winners & Losers tracks NYSE and AMEX listed gold and silver mining stocks that trade over $1.
Please see Yahoo’s Mining/Metals News Wire for all of today’s mining news.
- Chris Mullen, Gold Seeker Report
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© Gold Seeker 2012
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-- Posted Tuesday, 8 May 2012 | Digg This Article
| Source: GoldSeek.com
Gold Seeker Closing Report: Gold and Silver Fall Almost 2%
