Today: wrap-up - August 30, 2010

Today: wrap-up - August 30, 2010

The TSX began the trading week on a positive note, eking out a 15.83 point increase on Monday to 11,895.55, as the financials market higher, as did the prices of gold and copper.

The metals and mining sector was one of the head gainers on the TSX, up .9%, while financials added .45% along with energy climbed .4% even as crude oil for October delivery slid 47 cents to $74.70 a barrel.

Meanwhile, gold for December delivery moved $1.30 higher to $1,239.20 an ounce, while the price of copper also climbed, and the TSX Venture increased 8.32 points to end the day at 1,497.17.

In global financial news, Statistics Canada reported that Canada's complete current deficit widened by $2.6 billion to reach $11 billion in the 2nd quarter, observing the seventh straight 1 / 4 of deficit.

On the TSX, Fronteer Gold (TSX: T-FRG) announced that it will acquire AuEx Ventures (TSX: T-XAU) for a total value of $280.8 million. Under the plan of arrangement, AuEx shareholders will receive 0.645 of a Fronteer Gold share, 66 cents in cash and 0.5 of a share in a new exploration company for each AuEx share.

Fronteer Gold is currently the 51% owner and operator of Long Canyon, an advanced stage exploration project in Nevada and with this transaction, is acquiring the remaining 49% interest in Long Canyon as well as the rest of AuEx's interests in Long Canyon's regional "Pequop District". Shares of AuEx Ventures jumped $1.19 to $5.69, while Fronteer Gold shed 63 cents to $7.76.

And on the Venture, shares of Sterling Resources (TSX: V-SLG) moved 44 cents higher to $2.33, as the company announced the successful drilling of the Cladhan sidetrack well located on Block 210/29a in the North Sea. Sterling says the sidetrack was drilled to a total depth of 11,215 feet, encountering a gross hydrocarbon column of 159 feet with 102 feet of net hydrocarbon bearing sandstones compared to the discovery well, which had 31 feet of net pay with 36 degrees API oil. Sterling holds a 39.9% interest and is the operator of the License P1064.

Read more on today market rap on Goldinvestor.com

In global financial news, Statistics Canada revealed that Canada's complete current deficit widened by $2.6 billion to reach $11 billion in the 2nd quarter, observing the 7th straight quarter of deficit.

On Another Note:

Gold is at $1,200 but, You Haven’t Seen Anything Yet!

Adrian Douglas recently week provided more evidence that powerful interests are suppressing the gold price. Once that fact is finally understood by the masses, the price of gold is likely to explode to levels not imaginable even by the most ardent gold bugs. I am not cheering for that day because when the masses finally do catch on to who badly they have been conned by our policy makers, and/or how badly wrecked our financial system is and how evil and corrupt our government is, there will be a mass exodus from paper into gold and no doubt silver as well. That will happen