How Are Mining Stocks Correlated to Precious Metals?
Mining companies saw a rise in their price during the past few trading days. Safe-haven bids could have contributed to rising precious metal prices.
On May 17, 2017, the implied volatility of First Majestic Silver, New Gold, Royal Gold, and Goldcorp stood at 54%, 55.5%, 28.9%, and 31.1%, respectively.
Agnico Eagle (AEM), Coeur Mining (CDE), Eldorado Gold (EGO), and IAMGOLD (IAG) have risen 16.2%, 2.3%, 4.7%, and 14.3% YTD, respectively.
After gaining for two consecutive trading weeks, crude oil prices continued to strengthen and traded higher in the early hours on May 22.
Over the past three years, Yamana has seen a rising correlation with gold, while AngloGold has seen a falling correlation to gold.
Precious metal investors remain concerned about the potential impact of any further interest rate hikes by the Fed.
On May 17, 2017, implied volatilities of First Majestic Silver (AG), Royal Gold (RGLD), Goldcorp (GG), and New Gold (NGD) were 51.6%, 26.9%, 28.4%, and 51.6%, respectively.
The CBOE Volatility Index (or VIX), which is a barometer of overall risk in the market, ended above 15.0% on Wednesday, May 17, 2017.
Gold prices are weaker in the early hours amid improved global sentiment, while silver is stable. Platinum is stable, while palladium struggles to rise.
After gaining some strength on Thursday, the US Dollar Index resumed its downfall on May 19. The US Dollar Index is weaker in the early hours.
While volatility has lessened recently as the French election results provided relief to investors, there are still many events that could set volatility moving up again. One of the most…
Looking at Wall Street analysts’ views can help investors understand the reasons behind gold’s price outlook and the path that gold investments are likely to take. Gold investments include physical gold,…
As of May 17, 2017, the price of gold has risen ~10% year-to-date. It’s been very volatile lately. In this series, we’ll look at the factors responsible for gold’s gain and reversal in 2017.
On May 16, 2017, the implied volatilities of Royal Gold (RGLD), Coeur Mining (CDE), Agnico Eagle (AEM), and IAMGOLD (IAG) stood at 27.2%, 49.4%, 30.8%, and 44.7%, respectively.
Precious metals have experienced sharp falls in prices, as the upcoming Federal Reserve meeting could result in another interest rate hike.
Precious metals have witnessed sudden and considerable downswings in their prices since mid-April 2017.
Gold (GLD) is stable, while silver (SLW) is weaker in the early hours. Gold is supported by political concerns in the US.
There are a few technical indicators to consider when analyzing the performance of mining stocks. While there are many important indicators that an analyst can monitor, we’ll focus on 14-day…
Precious metal prices have fallen suddenly and considerably since mid-April 2017, along with precious metal mining stocks and funds. However, precious metals’ revival over the past week has been beneficial for…
Precious metals have fallen sharply as the upcoming Fed meeting could result in another interest rate hike. Rising interest rates impact precious metals as well as mining companies. It’s widely expected…