Gold and gold mining stocks were rising Friday after the U.S. said it ordered an airstrike that killed Iran’s Major General Qassem Soleimani. The news pushed some investors toward haven investments like the metal, as well as U.S. Treasury debt.
The price of gold had risen 1.5% to $1,548 an ounce, back near its September high in 2019. Some analysts have suggested gold could top $2,000 as soon as this year. Such gains could be spurred by gold purchases from central banks and other macroeconomic uncertainties.
A volatile lead up to the 2020 election, a weakening of the U.S. dollar, and now turmoil in the Middle East could all spur further gains for investments like gold.
RBC Capital Markets strategist Christopher Louney wrote Thursday that “slow but steady gains in the jewelry sector, coupled with strong bar and coin demand over both 2020 and 2021, provide a helpful undercurrent to continued strength in official sector demand (central banks) and gold-backed ETP flows—key in a world where investor demand carries significant weight in the price discovery process.”
Barrick Gold stock (ticker: GOLD) had risen 1.5% by mid-morning Friday, while Newmont Goldcorp stock (NEM) was up 1%. The VanEck Vectors Gold Miners (GDX) exchange-traded fund was up 0.9%.
For Newmont, specifically, the company competed the sale of its 50% stake in Kalgoorlie Consolidated Gold Mines for $800 million, and said it expects gold production to be 6.4 million ounces for 2020.
“Proceeds from the transaction will support Newmont’s disciplined approach to capital allocation, which includes strategically reinvesting in the business, strengthening the company’s investment-grade balance sheet and returning cash to shareholders,” CEO Tom Palmer said in a news release.
Write to Connor Smith at connor.smith@barrons.com
"mining" - Google News
January 04, 2020 at 12:27AM
https://ift.tt/2SQbvgH
Gold, Mining Stocks Rise as Investors Rush to Safer Havens - Barron's
"mining" - Google News
https://ift.tt/2PtPKA2
Shoes Man Tutorial
Pos News Update
Meme Update
Korean Entertainment News
Japan News Update
0 Comments:
Post a Comment