Meera Shawn

The PowerShares DB Gold Fund (DGL) and the VanEck Merk Gold Trust (OUNZ) rose 2.2% over the five trading days leading up to December 27, 2017.

A gold-silver spread of 77.3 suggests that it requires almost 78 ounces of silver to buy a single ounce of gold.

Agnico, Randgold, Yamana, and Barrick have call implied volatilities of 24.3%, 21.1%, 38.8%, and 22.8%, respectively.

The rise in inflation could be a positive sign for the current scenario.

Gold and the US dollar are mostly inversely related to each other.

Bitcoin has steadily fallen in price since the holidays began, but it looks stationary from yesterday. Bitcoin prices have been almost flat over the past 24 hours.

On a year-to-date basis, AngloGold has seen the highest correlation to gold, while Cia De Minas has the lowest year-to-date correlation.

Coeur Mining and Hecla Mining have seen a loss in their prices on a year-to-date basis, falling 17.9% and 24.0%, respectively.

Alamos Gold, Sibanye Gold, Agnico Eagle Mines, and Pan American Silver have call-implied volatilities of 43.2%, 50.5%, 22.1%, and 27.5%, respectively.

All four precious metals had an up day on December 20, 2017. Gold increased 0.43% on the day and closed at $1,267.80 per ounce.

Bitcoin was trading at $17,000 on Wednesday, December 20, while the SPY Index was at $268.

A brief analysis of mining stocks is crucial when investors are parking their money in the precious metals market, specifically in mining companies.

In this article, we’ll discuss the gold-silver, gold-platinum, and gold-palladium spreads. These three spreads stand at 77.9, 1.38, and 1.23, respectively.

In this article, we’ll take a look at the call-implied volatilities and RSI scores of Barrick Gold, Kinross Gold, Eldorado Gold, and IAMGOLD.

All four precious metals except palladium witnessed an up day on December 18, 2017. Platinum touched the day’s high of $915.3 and ended up at $913.2 per ounce.

In this article, we’ll aim to study the correlations of Yamana Gold (AUY), Pan American Silver (PAAS), Coeur Mining (CDE), and Barrick Gold (ABX) with gold.

Precious metals and miners saw some relief on December 13 after the Fed raised rates as expected. Sibanye Gold (SBGL), Aurico Gold (AUQ), and Goldcorp (GG) rose 3.5%, 3.6%, and 5.8%, respectively.

The Global X Silver Miners ETF (SIL) and the Sprott Gold Miners (SGDM) have fallen 3.5% and 4.4%, respectively, on a 30-day trailing basis.

Gold, silver, and platinum all had a down day on Tuesday, December 13, mainly due to speculations over the Federal Reserve’s pending interest rate decision.

If we look at the YTD correlations of the select mining shares to gold, there has been a reasonable fall. On a YTD basis, Sibanye Gold has the least correlation to gold.

Speculative positions fell sharply last week. It was the most significant one-week fall since May 2016.

We’ll briefly analyze mining stocks’ correlation with gold. Gold is the most crucial of the precious metals, and mining stocks tend to increasingly take their price changes from gold.

Correlation analysis A correlation study of mining stocks to precious metals is important. It gives insights about miners’ potential price movement. Although the mining shares are essentially part of the market’s equity segment, they’re more coordinated with metals’ movement. Gold is the most dominant precious metals. We’ll discuss how Yamana Gold (AUY), Pan American Silver (PAAS), Coeur […]

Investors have their eyes set on the interest rates. A rise in the interest rates causes the demand for precious metals to fall.

Gold Fields, Coeur Mining, Hecla Mining, and IamGold have call implied volatilities of 40.4%, 46.7%, 33.6%, and 44.3%, respectively.

In this part of the series, we’ll look at the gold-silver spread, the gold-platinum spread, and the gold-palladium spread.

Often, gold, silver, platinum, and palladium react to the overall risk in the market.

If we look at the YTD (year-to-date) correlations of the select mining shares to gold, there has been a reasonable fall.

All four precious metals saw a down day on Monday, December 4, 2017, after the US dollar, in which the four metals are priced, rose $0.39%, propelled by the Senate passing its tax reform bill.

Gold is the most dominant among the four precious metals. It’s important that investors analyze how miners are moving compared to precious metals.

RGLD, GG, SBGL, and GOLD reported RSI levels of 52.5, 62.7, 49.2, and 81.4, respectively.

The possible interest rate hike is taking a lot of market participants’ attention. Many policymakers are also focusing on inflation numbers.

The gold-platinum ratio was ~1.4 on November 22, 2017.

In September 2017, palladium prices overtook the price of platinum.

Precious metals have been closely associated with the movement of the US dollar over the last few months.

The US stock markets were closed on Thursday, November 23, 2017, for Thanksgiving, and the next day (Black Friday) was quite slow for precious metals. Gold played in a narrow range that day.

Gold remains the most dominant among the four precious metals. It’s crucial that investors analyze how the miners are moving versus precious metals.

After a substantial slump on Monday, gold futures for December delivery rose 0.5% on Tuesday and closed at $1,281.7 per ounce.

Precious metal slump All four precious metals saw a down day on Monday, November 20. Gold fell 1.6% to $1,275.30 per ounce, after touching a one-month high on Friday, November 17. The fall in precious metals was most likely due to the rise in the US dollar. The US Dollar Index rose 0.45% on Monday. Gold, silver, platinum, […]

Correlation analysis Mining stocks’ performance usually depends on precious metal prices. Correlation analysis can give investors some perspective on how mining stocks relate to precious metals, especially gold. In this part of our series, we’ll look at four miners—Royal Gold (RGLD), Goldcorp (GG), Franco-Nevada (FNV), and Randgold Resources (GOLD)—and their correlation with gold. On Monday, the ETFS Physical […]

If we look at the one-year correlation of miners, Barrick Gold has the lowest correlation with gold, while Yamana has the highest.

As of November 16, 2017, Alamos Gold, First Majestic Silver, Sibanye Gold, and AngloGold Ashanti had call-implied volatilities of 46.9%, 54.6%, 63%, and 40.9%, respectively.

For India, gold imports have fallen 16% in value to ~$2.9 billion in October 2017 compared to $3.5 billion in the corresponding month last year.

When you look at mining stocks’ performance, it’s important to analyze their correlation with gold. These stocks typically take their directional cues from gold, which is the most dominant among precious metals.

Geopolitical events like the tensions with North Korea helped drive the price of gold higher in September 2017.

New Gold and Goldcorp have seen upward trends in their correlations with gold, while Newmont Mining has seen its correlation decline.

Precious metal miners saw mixed performance on Tuesday, November 14. Gold and silver saw an up-day while platinum and palladium were low.

Mining stocks’ performance usually depends on precious metals’ performance. However, the two can deviate. Correlation analysis can give investors some perspective on how mining stocks relate to gold and silver.

Besides the impact of interest rates, there are also other global indicators that could play on precious metals—the most important being the US dollar.

If we look beyond the dollar influence on precious metals, we can analyze how the probability of an interest rate hike could influence precious metals and their miners.