Financial Sense Junior Gold Mining Index Review by Frank Barbera 03/17/2008

General Comments

It was another week of record headline for the Precious Metals complex, with spot Gold closing higher for the 3rd consecutive week, and the ninth time in the last thirteen weeks. On the week, Gold surged above $1,000 for the first time ever ending the week at a reading of $1,002.50 for a gain of $29.90/oz, or 3.07%. In addition to strong gains in Gold, Silver surged an additional 2.53% moving higher for the 11th time in the last 12 weeks. On the week, Silver closed at $20.63, up from $20.12, for a gain of $.51/oz. Elsewhere, Platinum prices rebounded gaining $50 per ounce to close at $2,066 per ounce for a gain of 2.48%; platinum rebounding from last weeks close of $2,016.00 per ounce. Given the strength in metal prices, the week generated a strong showing for large cap mining producers, with the XAU higher by 6.50 index points or 3.20%, the HUI gaining 28.05 index points or 5.76% and the GDX ETF gaining 5.55%. However, with the exception of Junior producers, most of the smaller cap secondary Gold Miners ended the week largely unchanged or slightly down, continuing a lengthy period of under performance. On the week, the FSO Junior Mining Index ended at 277.05, down slightly from last weeks close of 278.54, with the index ending above the 50 day moving average at 271.27, but still well below the 200 day moving average at 281.99.

Financial Sense Junior Gold Index™

Mining Index

Above: the FSO Junior Mining Index - 40 stocks

Among the FSO Sub-Indices, the Junior Producers gained ground tacking on 6.25 index points to close at 299.25, up 2.13% from last weeks close of 293.00. For the Junior Producer Index, the 50 day average ended at 279.01 with the 200 day average at 287.17. Development stage stocks were soft on the week, with the FSO Junior Development Index ending down 17.60 index points at 511.48, down 3.32% from 529.08 the prior week. Finally, Exploration stocks ended the week almost unchanged with prices edging lower by .80 basis points to finish at a reading of 183.98, down from 184.78 the prior week. For Exploration stocks, the decline of .4% left the index back below both the 50 day average at 184.75 and the 200 day average at 195.43.

Financial Sense Junior Gold Index™

Producer Index

Above: FSO Junior Producer Index

Financial Sense Junior Gold Index™

Development Companies

Above: FSO Junior Development Index

Financial Sense Junior Gold Index™

Exploration Companies

Above: The FSO Junior Exploration Index

That’s all for now,
Frank

*Please note that the individual companies in this index are proprietary and will not be disclosed due to compliance and regulatory issues resulting from the relationship of FinancialSense.com, Puplava Financial Services, Inc., Registered Investment Advisor and Puplava Securities, Inc. Member Firm FINRA/SIPC.