Paulson Holds Gold, Soros, Robertson Sell

Hedge fund managers were cautious in the latest quarter in reference to their gold investments, with John Paulson holding onto his gold investments, while George Soros sold some of his and Julian Robertson sold all of his fund's stake in Market Vectors Gold Miners ETF.

Paulson didn't sell any of Paulson & Co.'s 21.8 million shares in SPDR Gold Trust, of which the fund is the biggest shareholder in.

With the price of gold dropping, that obviously had a negative impact on the value of Paulson's stake in SPDR, as it fell from a value of $3.75 billion to $3.54 billion in the fourth quarter. During the fourth quarter spot gold prices dropped about $100 an ounce, or close to five percent.

Paulson also held onto stakes in major gold miners AngloGold Ashanti and Barrick Gold (ABX), among a number of others.

George Soros cut his position in SPDR Gold by over 50 percent from the 1.32 million he held in the third quarter to 600,000 shares in the fourth quarter.

Via Tiger Management, Julian Robertson held onto his stake in the Junior Gold Miners ETF.

All of this isn't entirely unexpected, as it was thought that gold could drop in the short term while rebounding as the year goes on.

This should be the case, with gold and other commodities jumping once the equities market begins to correct.

At this time gold is pressing down towards the $1,600 an ounce mark, with some believing it'll go below that in the not-too-distant future.

Gold ETFs (UGL) (GLD) (GDX) (GDXJ) Soar

Shares of gold ETFs ProShares Ultra Gold (NYSE:UGL), SPDR Gold Trust (NYSE:GLD), Market Vectors Gold Miners ETF (NYSE:GDX) and Market Vectors Junior Gold Mine (NYSE:GDXJ) traded higher Wednesday as gold, silver and the majority of other commodity prices were up on the day.

PowerShares DB Gold Double Short ETN (NYSE:DZZ), ProShares UltraShort Gold (NYSE:GLL) and PowerShares DB Gold Short ETN (NYSE:DGZ) all closed down as expected on an up gold day.

June gold climbed $15.80 to $1,495.80 per troy ounce, a 1.1 percent gain on the Comex division of the New York Mercantile Exchange. The less traded May contract was up $15.80, or 1.1 percent, to $1,495.60 a troy ounce.

The silver contract for May delivery gained $1.61, or 4.8 percent, to $35.10 a troy ounce.

The U.S. dollar index, which measures the dollar against a basket of six currencies, traded at 75.438, down a little from 75.441 late Tuesday. That was also a factor in gold and silver prices going up.

ProShares Ultra Gold (UGL) closed Wednesday at $76.66, gaining $0.95, or 1.25 percent. SPDR Gold Trust (GLD) ended the day at $145.60, up $0.86, or 0.59 percent. Market Vectors Gold Miners ETF (GDX) closed at $55.39, rising $0.38, or 0.69 percent. Market Vectors Junior Gold Mine (GDXJ) closed at $35.39, gaining $0.92, or 2.67 percent.

Gold ETFs (UGL) (GLD) (GDX) (GDXJ) (GTU) Trading Down

Shares of gold ETFs ProShares Ultra Gold (NYSE:UGL), SPDR Gold Shares (NYSE:GLD), Market Vectors Gold Miners ETF (NYSEArca:GDX), Market Vectors Junior Gold Mine (NYSEArca:GDXJ) and Central Gold Trust (AMEX:GTU) are under pressure today, as commodities are getting hammered, dragging precious metals down with them.

The most actively traded gold contract, for June delivery, was recently down $14.60, or 1%, at $1,502.30 per troy ounce.

Silver futures prices were down 7.3 percent $35.660 per troy ounce on the Comex division of the New York Mercantile Exchange.

PowerShares DB Gold Double Short ETN (NYSE:DZZ), ProShares UltraShort Gold (NYSE:GLL) and PowerShares DB Gold Short ETN (NYSE:DGZ) were all trading up because of their gold-shorting strategy.

ProShares Ultra Gold (UGL) was trading at $77.48, dropping $1.67, or 2.12 percent, as of 2:31 PM EDT. SPDR Gold Shares (NYSE:GLD) was at $146.29, losing $1.61, or 1.09 percent. Market Vectors Gold Miners ETF (NYSE:GDX) was trading at $54.67, down $2.09, or 3.68 percent. Market Vectors Junior Gold Mine (NYSE:GDXJ) was at $35.53, falling $2.02, or 5.38 percent. Central Gold Trust (AMEX:GTU) was at $56.78, down $0.57, or 0.99 percent.

Gold ETFs SPDR (GLD) (GDX) (GDXJ) (IAU) (DGP) Trade Down As Gold Falls

Gold and silver prices went through a reversal Friday, as gold closed down and silver rebounded to close higher, putting pressure on gold ETFs like SPDR Gold Trust (NYSE:GLD), Market Vectors Gold Miners ETF (NYSE:GDX), Market Vectors Junior Gold Mine (NYSE:GDXJ), PowerShares DB Gold Double Long ETN (NYSE:DGP) and iShares Gold Trust (NYSE:IAU), which all closed down Friday.

Gold for June delivery fell $13.10 to close at $1,493.60 at the Comex division of the New York Mercantile Exchange. The spot gold price was down by about $13 an ounce. Silver prices settled up 21 cents to $35.01 an ounce.

The U.S. dollar index was up 0.74 percent to $75.75 as the euro continued to get hammered on the sovereign debt crises in Europe. The euro plunged 1.7 percent last week as Greece was again in the spotlight for the need to probably be bailed out again, as it appears the country refuses to implement austerity measures to deal with the situation, as it, along with numerous countries, has made progressive, socialists promises they aren't able to keep.

Besides the long-term collapse of the U.S. dollar and the European sovereign debt crises, other factors offering support to gold include tightening in China, inflation, and unrest in the middle east.

SPDR Gold Trust (GLD) closed Friday at $145.63, down $0.96, or 0.65 percent. Market Vectors Gold Miners ETF (GDX) ended the day at $54.21, falling $0.44, or 0.81 percent. Market Vectors Junior Gold Mine (GDXJ) closed at $34.69, dropping $0.67, or 1.89 percent. iShares Gold Trust (IAU) closed at $14.59, declining $0.10, or 0.68 percent. PowerShares DB Gold Double Long ETN (DGP) ended the session at $46.19, falling $0.66, or 1.42 percent.

Gold ETFs (UGL) (GLD) (GDX) (GDXJ) (GTU) Crushed as Gold Prices Fall

Gold ETFs ProShares Ultra Gold (NYSE:UGL), SPDR Gold Trust (NYSE:GLD), Market Vectors Gold Miners ETF (NYSE:GDX), Market Vectors Junior Gold Miner (NYSE:GDXJ) and Central Gold Trust (AMEX:GTU) got hit hard Thursday as gold and silver prices continued their fall.

One exception was ProShares UltraShort Gold (NYSE:GLL), which ended the trading session up again, closing at $25.29, gaining $1.41, or 5.90 percent. A number of commodity ETF shorts have been soaring during the commodity correction

Gold for May delivery, the front-month contract, ended the trading session Thursday down $34, or 2.2 percent, at $1,480.90 per troy ounce on the Comex division of the New York Mercantile Exchange.

The silver contract for May delivery closed 8 percent lower, down $3.152, at $36.231 per troy ounce.

Since the Friday settlement price silver has plummeted 25 percent.

The U.S. dollar was also up, adding pressure to the two precious metals, as it gained 2 percent against the euro. That came largely from European Central Bank President Jean-Claude Trichet who suggested there will no interest-rate boost in the near future.

Nothing has changed the underlying fundamentals for gold or silver though, and this is just a healthy correction before gold and silver prices begin moving up again.

As long as easy money policies continue by the Federal Reserve and interest rates remain near zero, there is nothing to stop gold and silver prices from continuing to rise.

Inflation, political unrest, sovereign debt crisis and the collapsing U.S. dollar will also play a major role over time for gold and silver prices.

Market Vectors Junior Gold Miner closed Thursday at $35.79, falling $2.15, or 5.67 percent.

Pressure on (UGL) (GLD) (GDX) (GDXJ) (GTU) as Gold Prices Fall

Shares of gold ETFs like ProShares Ultra Gold (NYSE:UGL), SPDR Gold Trust (NYSE:GLD), Market Vectors Gold Miners ETF (NYSE:GDX), Market Vectors Junior Gold Mine (NYSE:GDXJ) and Central Gold Trust (AMEX:GTU) were dropped Tuesday as the price of gold fell on the session, with the U.S. dollar gaining a little.

On the other hand ProShares UltraShort Gold (NYSE:GLL) responded in the positive, as expected.

Gold for June delivery fell $16.70 to $1,540.40 an ounce at the Comex division of the New York Mercantile Exchange. The gold price traded in a range as high as $1,551.40 and as low as $1,516.20. The spot gold price fell over $15 for the day.

A temporarily stronger U.S. dollar put some pressure on gold and silver prices Tuesday, as the U.S. dollar index climbed 0.04 percent to $73.09.

Also surprising the market was the decision by India to boost their interest rates by 50 basis points to fight inflation. That puts the lending rate their at 8.89 percent, and the overnight lending rate at 7.25 percent.

Silver fell another $3.49 Tuesday to settle at $42.576 per troy ounce on the Comex division of the Nymex.

Most of pressure on silver prices has come from the CME Group decision to raise margin requirements by 11.6 percent, starting at the close of market on Tuesday.

Gold looks like it's just taking a needed breather before resuming its upward run.

Gold stocks have been overall lagging the price of gold, and that should change assuming the costs of inputs remain lower than the push up in gold prices.

A growing number of gold miners are increasing dividends to attract investors.

Market Vectors Junior Gold Miners (GDXJ) closed at $37.92, falling $1.82, or 4.58 percent.

Gold ETFs (UGL) (GLD) (GDX) (GDXJ) (GTU) Down as Gold Closes Level

Shares of ProShares Ultra Gold (NYSE:UGL), iShares Gold Trust (NYSE:GLD), Market Vectors Gold Miners ETF (NYSE:GDX), Market Vectors Junior Gold Mine(NYSE:GDXJ) and Central Gold Trust (AMEX:GTU) trade down as gold closes level.

ProShares UltraShort Gold (NYSE:GLL) which wins when gold is under pressure, closed Monday up.

Silver prices for July lost $2.51 to settle at $46.08 an ounce, after getting crushed 13 percent, as it fell as low as $42.20.

Gold for June delivery jumped 70 cents Monday to settle at $1,557.10 an ounce at the Comex division of the New York Mercantile Exchange. After losing 2.5 percent to drop to $1,540.30, the yellow metal rebounded to $1,577 an ounce.

The U.S. dollar index changed directions after an rally early in the trading session Monday and was down 0.09 percent at $72.96. The U.S. dollar index was fell almost 4 percent in April and is struggling to keep from breaking below its record low of $71.

It is surprising to see gold and silver pressured, as in April gold was up 8.92 percent and silver a whopping 28.72 percent.

One piece of financial information somewhat ignored Monday because of the hoopla surrounding the death of Osama bin Laden, was the manufacturing report concerning China in April which showed production had slowed down during the month. That should help the price of gold and silver going forward.

ProShares Ultra Silver closed Monday at $296.50, falling $62.46, or 17.40 percent.

Central (GTU) (GLL) (UGL) (GLD) (GDX) (GDXJ) Trade Mixed as Gold Price Breaks Records Again

Central Gold Trust (AMEX:GTU), ProShares UltraShort Gold (NYSE:GLL), ProShares Ultra Gold (NYSE:UGL), SPDR Gold Trust (NYSE:GLD), Market Vectors Gold Miners ETF (NYSEArca:GDX) and Market Vectors Junior Gold Mine(NYSEArca:GDXJ) closed mixed Friday as gold price records continue be broken.

Gold futures soared past $1,550 an ounce Friday as investors looked for an alternative to the U.S. dollar, which continues to collapse.

The most-actively traded gold contract, for June delivery climbed $25.20, or 1.6 percent, to settle at a record $1,556.40 a troy ounce on the Comex division of the New York Mercantile Exchange.

It roared past its intraday peak to $1,569.80 in electronic trading after the close. May gold rose $25.20, or 1.6 percent, to end at a nearby record $1,556.00. Measured by percent and the U.S. dollar, it's the largest monthly gains since November 2009.

Most-active July silver jumped $1.058, or 2.2%, to a record settlement of $48.599 a troy ounce, while the May contract rose $1.064, or 2.2 percent, to $48.584, just short of its all-time settlement high of $48.70 hit on January 17, 1980. In April, the May silver contract rallied $10.712, or 28.3 percent, to its biggest monthly U.S. dollar gain in Comex history.

The ICE Futures U.S. Dollar Index was down 0.2 percent on Friday, increasing demand for the dollar-denominated precious metals by making them less expensive for foreign buyers.

Inflation concerns in America, Europe, China and Russia also has contributed to the jump in gold prices.

Other factors affecting gold and silver are the collapsing U.S. dollar, sovereign debt crisis in Europe, unrest in the Middle East and consequences of the Japanese earthquake.

Central Gold (GTU) (GLL) (UGL) (GLD) (GDX) (GDXJ) Close Mixed as Gold, Silver Break Records

ProShares UltraShort Gold (NYSE:GLL), ProShares Ultra Gold (NYSE:UGL), SPDR Gold Trust (NYSE:GLD), Market Vectors Gold Miners ETF (NYSEArca:GDX), Market Vectors Junior Gold Mine(NYSEArca:GDXJ) and Central Gold Trust (AMEX:GTU) closed mixed Thursday even as silver and gold prices broke all-time records. It appears investors are taking some profits off the top.

Gold prices soared while silver prices climbed Thursday as investors bought the metals against a weak dollar and higher inflation expectations.

Gold for June delivery settled $14.10 higher at $1,531.20 an ounce at the Comex division of the New York Mercantile Exchange. The gold price soared to a record intra-day level of $1,538.80 an ounce while the spot gold price rose $6.90.

Silver prices for July moved up $1.55 to settle at $47.54 an ounce.

Spot silver jumped almost 4 percent Thursday to an all time high at $49.51 an ounce, surpassing the previous record set in 1980.

The ICE Futures U.S. Dollar Index was down 0.4 percent. The collapsing greenback aided dollar-denominated gold and silver by making them less expensive for foreign buyers, generating more demand.

SPDR Gold Trust (GLD) (UGL) (GDX) (GDXJ) (GTU) Close up as Gold Prices Soar to New Records

ProShares Ultra Gold (NYSE:UGL), SPDR Gold Trust (NYSE:GLD), Market Vectors Gold Miners ETF (NYSE:GDX), Market Vectors Junior Gold Mine(NYSE:GDXJ) and Central Gold Trust (AMEX:GTU) closed up Wednesday, as gold posted new records again and silver soared.

Gold prices Wednesday climbed to another record, reaching as high as $1,529.20 on the Comex division of the New York Mercantile Exchange, before ending the session at $1,517.10 an ounce for June at the Comex.

At the close of regular trading on Comex, silver for May delivery jumped 91 cents, or 2 percent, to end at $45.96 an ounce. Gold and silver were pushing higher in after-hours trading.

Some of this was the result of Federal Reserve chairman Ben Bernanke saying he won't be doing anything soon to combat the soaring inflation.

Bernanke likes to use the so-called core inflation numbers, which exclude food and fuel, which are part of the surging increase in inflation, but aren't officially counted. Which is why Bernanke can say core inflation will rise 1.3%-1.6%, below its 2% inflation mandate.

As to economic growth, Bernanke admitted it was slowing down in the U.S. in 2011, somewhere in the range of 3.1%-3.3%.

The non-action by the Fed concerning interest rates is a very bullish factor for gold and silver, and will continue to offer support and impetus to the precious metals.

The euro climbed to $1.4782 from Tuesday's $1.464. The U.S. dollar rose against the yen, up to 82.11 yen from Tuesday's 81.53 yen.

Central Gold Trust closed Wednesday at $58.60, rising $1.20, or 2.09 percent. Market Vectors Junior Gold Mine closed at $41.63, gaining $1.48, or 3.69 percent. Market Vectors Gold Miners ETF ended the day at $61.61, climbing $1.39, or 2.31 percent. SPDR Gold Trust closed at $149.20, jumping $2.82, or 1.93 percent. ProShares Ultra Gold closed at $80.72, gaining $2.98, or 3.83 percent.

UltraShort Gold (GLL) (GDXJ) (UGL) (SLV) Close Mixed as Gold, Silver Soar Again

iShares Silver Trust (NYSE:SLV), ProShares UltraShort Gold (NYSE:GLL), ProShares Ultra Gold (NYSE:UGL) and Market Vectors Junior Gold Mine(NYSE:GDXJ) closed mixed Wednesday as silver continues its upward climb and gold to break records on almost a daily basis.

After surpassing the $45 level Wednesday, silver prices ended the day up 54 cents to close at $44.46 an ounce. That was also another 31-year high as it pushes to break $50 and move on to an all-time record. Silver traded between $43.835 and $45.400.

Gold prices roared to another intraday record, reaching as high as $1,506.20 an ounce before pulling back to settle for June delivery at $1,498.90 an ounce, an increase of $3.80 at the Comex division of the New York Mercantile Exchange.

Wednesday was the fourth session in a row gold prices broke an intraday record, as well as settling at a new record as well.

Gold and silver prices continue to surge on safe-haven buying with the major impetus at this time probably being a collapsing U.S. dollar. The U.S. dollar index fell 0.84% to $74.43 as it continues to struggle after Monday's S&P downgrade of the U.S. economy and warning of a credit downgrade if the U.S. doesn't quit its outrageous spending and reduce its debt.

The downgrade of the outlook of U.S. debt, sovereign debt crisis in Europe, Chinese inflation, soaring oil prices, and the ongoing fallout from the earthquake in Japan are just some of the other factors offer support to gold.

The gold-silver ratio, which measures how many silver ounces are needed to acquire an ounce of gold, fell under 34 — its lowest level since 1983.

Market Vectors Junior Gold Mine closed Wednesday at $41.53, up $0.86, or 2.11 percent. ProShares Ultra Gold closed at $77.86, gaining $0.53, or 0.69 percent. ProShares UltraShort Gold ended the trading day at $24.35, falling $0.18, or 0.73 percent. iShares Silver Trust closed at $44.12, rising $1.12, or 2.61 percent.

SPDR Gold Trust (GLD) (GDX) (SLV) (GDXJ) (SIL) Down with Broader Commodities

Gold and silver prices fell Tuesday after running up recently, as oil prices fell, dragging commodities in general down with them. The Global X Silver Miners ETF (SIL), Market Vectors Gold Miners ETF (GDX), Market Vectors Junior Gold Miners ETF (GDXJ), iShares Silver Trust (SLV) and SPDR Gold Trust (GLD) all closed down on the day

Gold for June delivery fell $14.50, or 1%, to $1,453.60 an ounce on the Comex division of the New York Mercantile Exchange. It had traded as low as $1,445 an ounce.

Silver declined from its 31-year high over the previous session. The May contract (SIK11) dropped 55 cents, or 1.3%, to settle at $40.07 an ounce.

The U.S. dollar fell again, making the downward move even more counterintuitive to the fundamentals.

Market Vectors Junior Gold Miners ETF closed Tuesday at $39.44, down $1.29, or 3.17 percent. Market Vectors Gold Miners ETF closed at $61.11, falling $0.99, or 1.59 percent. Global X Silver Miners ETF ended the session at $28.39, declining $1.00, or 3.41 percent. SPDR Gold Trust closed at $141.61, dropping $1.03, or 0.72 percent. iShares Silver Trust closed at $39.09, falling $0.12, or 0.31 percent.

Hecla Mining (HL), Goldcorp (GG), Market Vectors Gold Miners ETF (GDX), Market Vectors Junior Gold Miners (GDXJ) All Up

Miners Hecla Mining (HL), Goldcorp (GG) are moving up today, as well as Market Vectors Gold Miners ETF (GDX) and the Market Vectors Junior Gold Miners (GDXJ), which are all jumping.

Gold futures were down slightly in New York in morning trading with contracts for April delivery at $1,405.60 an ounce. Spot gold was up $3.90 to $1406 an ounce as of 1:16 PM EST.

While a number of analysts believe there has been some downward pressure on the sector because of profit taking and what some assume are better alternatives at this time, there are just as many that see mixed signals and enormous uncertainty in the Middle East, sovereign debt crisis in Europe and soaring inflation as just as powerful factors in determing where capital will flow.

Market Vectors Junior Gold Miners (NYSE:GDXJ) May Have Set Options Record

Options traded on Market Vectors Junior Gold Miners (NYSE:GDXJ) ETF may have reached record levels on Friday, as volatility has been the name of the game for small- and mid-cap mining stocks, and the Market Vectors Junior Gold Mine ETF tracks those companies.

Call options were the major focus of traders, according to derivatives strategists at Susquehanna Financial Group, bearish puts being extremely active above the norm.

It hasn't been confirmed as of this writing if the activity was indeed a record, but it seems to be when adding the numbers.

While some of the unusually high activity was attributable to volatility in general, as mentioned, there is also what is called a "delta neutral" play, which specifically targets the volatility of the ETF, which with the high number of trades, points to the probability investors believe that pattern will continue for now.

Much of this comes from disparate economic forces which are pushes from different directions, causing much of the uncertainty, and ultimately, volatility.

The highest amount of interest was in $50 calls due to expire in February 2011. That trade assumes Market Vectors Junior Gold Miner ETF won't break the $50 mark at that time, which would be in the middle of February.

Also highly active were $39 put options due to expire this week.

Market Vectors Junior Gold Mine closed Friday at $41.56, up $0.20, or 0.48 percent.

SPDR Gold (NYSE:GLD), Market Vectors Junior Gold (NYSE:GDXJ), Market Vectors Gold Miners (NYSE:GDX) Down after Friday's Gold Slaughter

China is emerging as the greatest economic influence in the global markets, as evidenced on Friday when just speculation they may raise interest rates drove Market Vectors Junior Gold Miners ETF (NYSE:GDXJ), SPDR Gold Shares (NYSE:GLD) and Market Vectors Gold Miners ETF (NYSE:GDX) down, among most gold and diversified miners.

The gold market was driven on Friday primarily by the news the consumer price index in China had risen 4.4 percent. That generated the rumors, speculation and panic which led to the price of gold plummeting by about $40 an ounce.

Very few companies with any significant gold exposure survived the carnage, although much of the fallout was from traders who had to sell off their long positions in gold in order to cover margin calls.

Long-term gold investors aren't concerned about this at all, as they understand a correction will happen off and on, and they're nothing less than buying opportunities to invest in more gold assets.

Market Vectors Gold Miners ETF closed Friday at $60.07, dropping $1.71, or 2.77 percent. Market Vectors Junior Gold Miners ETF ended the week at $39.18, falling Friday by $1.57, or 3.85 percent. SPDR Gold Shares closed Friday's session at $133.69, losing $3.97, or 2.88 percent.

Market Vectors Junior Gold Miners ETF (NYSE:GDXJ) About to Take Off?

The fairly new Market Vectors Junior Gold Miners ETF (NYSE:GDXJ) may be a great way to play the gold sector now, as gold is about to take off as most barriers have been removed, and even more important, gold mining companies look like they're finally going to start moving up with gold futures' prices, which Market Vectors Junior Gold Miners ETF could strongly participate in.

Why this is important at this time, or any time market conditions are like this, is the majority of large gold miners have most of the value they represent built into the share price of the stock. While they will definitely improve in value as gold prices rise, they are mature companies that won't move quickly.

On the other hand, junior gold miners are ready to break out, and it's quite possible more than one will skyrocket as a result, which will strongly benefit anyone who has invested in the Market Vectors Junior Gold Miners ETF.

A number of those following the gold industry believe the junior gold miners are the ones with tremendous upside potential, and because they have been held back for some time, as gold continues to move up, a lot more notice will go toward the junior gold miners and their fundamentals, which in a number of cases are underestimated.

Eventually they'll move to their true value, and when they do, as long as they're represented in the Market Vectors Junior Gold Miners ETF, it will rise with them.

Of course if you prefer to play it safe, you can always go the route of the Market Vectors Gold Miners ETF (NYSE: GDX), which moves in accordance with the large cap miners.

Either way, they're both positioned strongly, but the Market Vectors Junior Gold Miners ETF is probably about to take off, and it's a solid bet those investing in it won't be sorry they are.