-- Posted Monday, 13 May 2013 | | Disqus
| Close | Gain/Loss |
Gold | $1431.40 | -$11.90 |
Silver | $23.60 | -$0.19 |
XAU | 105.81 | -2.49% |
HUI | 272.74 | -2.58% |
GDM | 804.65 | -2.54% |
JSE Gold | 1467.11 | +6.31 |
USD | 83.28 | +0.14 |
Euro | 129.69 | -0.22 |
Yen | 98.19 | -0.20 |
Oil | $95.17 | -$0.87 |
10-Year | 1.923% | +0.023 |
T-Bond | 144.71875 | -0.28125 |
Dow | 15091.68 | -0.18% |
Nasdaq | 3438.79 | +0.06% |
S&P | 1633.77 | +0.00% |
The Metals:
Gold fell to as low as $1426.90 at about 6AM EST before it bounced back higher in New York, but it still ended with a loss of 0.82%. Silver slipped to as low as $23.523 ended with a loss of 0.8%.
Euro gold fell to about €1104, platinum lost $9 to $1478.50, and copper rose slightly to about $3.36.
Gold and silver equities fell over 2% in the first half hour of trade and remained near that level for the rest of the day.
The Economy:
Report | For | Reading | Expected | Previous |
Retail Sales | Apr | 0.1% | -0.3% | -0.5% |
Retail Sales ex-auto | Apr | -0.1% | -0.2% | -0.4% |
Business Inventories | Mar | 0.0% | 0.3% | 0.0% |
Tomorrow at 8:30AM EST brings Export and Import Prices.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil fell on signs of weak demand out of China.
The U.S. dollar index rose on better than expected Retail Sales data that sent treasuries lower.
The Dow, Nasdaq, and S&P waffled near unchanged as better than expected Retail Sales data was offset by doubts about whether or not the recent stock rally can continue.
Among the big names making news in the market today were Vivus, Chesapeake, and Dell.
The Commentary:
“Gold has had a nice bounce off the 1320 level due to robust demand for the actual metal, especially out of Asia. The problem for the metal here in the West is that speculators, most notably hedge funds, are eager sellers of the metal with many pressing it from the short side while others have yanked their money out of the metal to shove it into stocks so as not to miss the rocket blast higher and have to deal with unhappy clients.
I have been concerned that physical demand for the metal will wane as the price moves higher with those who are intent on acquiring the metal waiting, hoping, for a chance to buy it down below $1400 again. Whether they get the chance to do that remains unclear at this point.
I would like to note that the metal has now completed a sizeable bounce off that recent low but has run out of steam when it entered the $1475 - $1485 zone. In the process of so doing, it has carved out what is referred to in technical analysis jargon as a BEARISH PENNANT OR FLAG FORMATION. I have sketched the flag in heavy blue lines so that you can more readily see it. Normally this pattern forms after a steep drop in a stock or commodity which is followed by a mini uptrend. That uptrend then fails and the stock or commodity begins to move lower again.
Some TA analysts will use a break of the lower trend line formed on the actual flag portion of the pennant (think of a flag for a golf course hole and you will be able to visualize it better - In this case of a bearish flag it is an upside down golf course hole flag) - to validate the flag. That is an aggressive posture. I am much more conservative especially when you do get a recovery bounce of the nature and size that we saw occur in gold. I prefer to see the actual bottom of the flagstick taken out before confirming a flag. After all, a bounce off the recent low of some $160 is rather significant. Now, if gold had managed to claw its way back only to $1400 or so before failing, I would be a bit more aggressive but the size and extent of the buying down at that $1320- $1340 level was so strong that only the most aggressive of traders would want to call this flag validated merely because it drops through the lower trend line.
Generally how these formations are used, whether it is a bullish flag or bearish flag, is to measure the length of the flagstick. In this case, that flagstick starts up near $1590 and extends to $1320 for a measurement of $270.
If we use the case of the aggressive trader who decides that a break of the lower trend line (the pennant) has validated the flag, that $270 then gets subtracted from the breakout point, approximately $1470 in this case, to give us a downside target for the next leg lower. That would yield a gold price near $1200 as a final target.
As just stated, I do not recognize a valid pattern here until the bottom near $1320 were to give way. Gold may never reach that point or it may. I simply do not know. If it did, then I would consider the pattern validated if that level failed to hold and would have to look for a gold price of $1320 - $270 = $1050.
Let's just hope that we do not get a violation of $1320!”- Dan Norcini, More at http://www.traderdannorcini.blogspot.com/
GATA Posts:
GoldMoney interviews Catherine Austin Fitts and Ronald Stoeferle
The Statistics:
As of close of business: 5/10/2013
Gold Warehouse Stocks: | 7,998,141.786 | -64,195.066 |
Silver Warehouse Stocks: | 164,888,907.900 | -606,188.735 |
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 | 1051.646 | 33,811,468 | US$48,364m |
London Stock Exchange (LSE) AND NYSE Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse - Xetra) | Gold Bullion Securities | 138.13 | 4,441,056 | US$6,374m |
London Stock Exchange (LSE) AND NYSE Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse - Xetra) AND NYSE Euronext Amsterdam | ETFS Physical Gold | 152.66 | 4,908,200 | US$8,004m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 11.16 | 358,789 | US$514m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 42.45 | 1,364,715 | US$2,214m |
Note: Change in Total Tonnes from yesterday’s data: SPDR subtracted 2.53 tonnes.
COMEX Gold Trust (IAU) Total Tonnes in Trust: 194.57: -0.22 change from yesterday’s data.
Silver Trust (SLV) Total Tonnes in Trust: 10,440.40: No change from yesterday’s data.
The Miners:
AngloGold’s (AU) first quarter earnings, Avino’s (ASM) production report, Fortuna’s (FSM) drill results, and Seabridge’s (SA) drill results were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Eurasian | EMXX +3.33% $1.55 |
2. Fortuna | FSM +1.43% $2.84 |
3. AuRico | AUQ +1.25% $4.87 |
LOSERS
1. Mag Silver | MVG -4.15% $7.16 |
2. Vista Gold | VGZ -3.87% $1.49 |
3. Allied Nevada | ANV -3.79% $9.13 |
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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-- Posted Monday, 13 May 2013 | Digg This Article
| Source: GoldSeek.com
Gold Seeker Closing Report: Gold and Silver Fall Almost 1%
