US consumer spending in December declined by a seasonally adjusted 0.3% month-over-month. That’s the biggest decline since September 2009.
The Fed assesses the US jobs report to determine whether the economy is strong enough to withstand higher interest rates. Recent numbers are improving.
It’s important to track the US PMI, and to keep an eye on the manufacturing indices of other economies—particularly the ones that impact the US dollar most.
The consumer sentiment index is a key indicator that gauges the average US consumer’s confidence level. Retailers, economists, and investors take note.
Crude oil prices rose to $53 last week but fell again when estimates from US exploration and production companies showed no signs of slowing production.
In January, gold holdings surged because of the Swiss National Bank’s decision to remove the euro cap, as well as other developments.
Agreement on the Greek bailout extension sent gold reeling to under $1,200 per ounce. Highly indebted Greece now has four months to get its ducks in a row.
Investors usually view gold as an inflation hedge. In this series, we’ll explore factors responsible for the recent volatility seen in gold prices.
Overall, Newmont Mining (NEM) delivered solid results with strong cost control measures. The company has been delivering good results consistently.
In the longer term, Newmont Mining (NEM) has three major projects in pipeline. They could add 250-330 thousand ounces of gold production to the overall volumes.
Newmont Mining (NEM) is pursuing projects to improve its near-term production profile—Turf Vent Shaft in Nevada, Merian in Suriname, and Waihi in New Zealand.
Attributable gold reserves at year-end 2014 totaled 82.2 million ounces—compared to 88.4 million ounces at the end of 2013.
Newmont’s Africa production is expected to decline from 740,000–800,000 ounces in 2015 and 2016 to 625,000–675,000 ounces in 2017.
In Indonesia, Newmont’s (NEM) copper production decreased 3% from 161 million pounds to 156 million pounds. It decreased due to lower mill throughput.
Newmont started operating in Australia and New Zealand in 2002. The region’s production decreased from 1,804 thousand ounces in 2013 to 1,698 ounces in 2014.
Most of Newmont’s South American mines are near maturity. The first full year of production at Merian will offset the impact of maturing operations at Yanacocha.
In 2014, total attributable production for North America was 1,631 thousand ounces—compared to 1,951 thousand ounces in 2013.
Newmont Mining (NEM) stated that it wants to deleverage its balance sheet. It plans to do this by pre-paying some of its long-term debt.
Newmont Mining (NEM) reiterated its capital allocation priorities in its fiscal year 2014 results. Newmont’s first priority is to improve its financial flexibility.
More than half of Newmont’s savings stem from improvements to costs applicable to sales, or CAS. The costs were reduced by almost 6%—compared to 2013.