A Brief Analysis of Mining Stocks in November 2017
On November 7, Agnico-Eagle Mines (AEM), Yamana Gold (AUY), Hecla Mining (HL), and Harmony Gold (HMY) had implied volatility readings of 33.6%, 48.4%, 36.3%, and 53.3%, respectively.
Materials
Why Albemarle’s Refining Solutions Segment Fell in 3Q17
Albemarle’s (ALB) Refining Solutions segment is the company’s lowest revenue generator, accounting for 22.6% of its total revenues in 3Q17 compared to 29.1% in 3Q16.
Are US Natural Gas Inventories Bullish for Natural Gas Futures?
The EIA estimates that US gas inventories rose by 15 Bcf (billion cubic feet) or 0.4% to 3,790 Bcf on October 27–November 3, 2017.
Potash Prices Move Sideways in Week Ending November 3
Last week was broadly flat for potash prices in the three locations discussed below.
How Central Banks’ Gold Buying Spree Coud Benefit Prices
While China and Russia have the fifth and sixth largest gold reserves globally, the movements in them are the most watched by gold investors the world over mainly because these economies have been quite vocal about adding gold reserves.
A Nice Surprise: Phosphate Prices Rose Last Week
Last week, surprisingly, the prices for DAP (diammonium phosphate) saw positive momentum week-over-week.
Why Vale Believes the Iron Ore Market Is in Balance
Vale’s (VALE) Ferrous division accounted for ~87.6% of its adjusted EBITDA in 3Q17, compared with ~82.0% in 2Q17.
Analyzing the Correlation of Mining Stocks to Gold
Kinross Gold’s correlation has risen from a three-year correlation of 0.69 to a one-year correlation of 0.77, which suggests that Kinross has moved in the same direction as gold 77% of the time.
Mosaic’s Sales: Phosphate Segment Continued to Disappoint
In 3Q17, Mosaic (MOS) reported sales growth of ~2% YoY (year-over-year) to $2 billion, which grew from $1.95 billion in 3Q16.
A Look at Mining Stocks’ Price Movement
Mining stocks’ reaction On Tuesday, October 31, precious metal mining stocks fell, following precious metals. In this part of our series, we’ll look at the moving averages and returns of four key mining stocks: Silver Wheaton (SLW), Hecla Mining (HL), Alacer Gold (ASR), and IAMGOLD (IAG). Hecla Mining and Alacer Gold have fallen 9.9% and 10.3%, respectively, YTD […]
Analyzing Miners’ Trends in October
Mining stocks’ correlation with precious metals Most of the time, mining stocks’ performance follows that of precious metals. However, they can deviate. Correlational analysis can give investors some insight into how mining stocks relate to gold and silver. In this part of our series, we’ll compare Royal Gold (RGLD), Goldcorp (GG), New Gold (NGD), and Newmont Mining (NEM). Mining […]
A Brief Analysis of Mining Stock Correlations with Gold
The iShares MSCI Global Gold Min (RING) and the Sprott Gold Miners (SGDM) rose with metals on Monday, climbing 1.2% and 0.83%, respectively.
These Factors Could Drive Newmont’s Free Cash Flow
Generating FCF (free cash flow) is very important for miners (GDX)(RING) as it helps them optimize their financial leverages, invest in projects supporting long-term value, and provide shareholder returns.
How Fertilizer Affordability Moved Last Week
Last week, the Fertilizer Affordability Index rose again week-over-week from 0.69x to 0.70x.
Last Week’s Top MLP Gainers
CVR Partners (UAN), the MLP mainly involved in the production of nitrogen fertilizers, was the top MLP gainer last week. CVR Partners rose 7.7%.
Reading the Correlation Movements of Precious Metal Miners with Gold
The iShares MSCI Global Gold Min (RING) and the VanEck Vectors Junior Gold Miners (GDXJ) fell 2.6% and 1.5%, respectively, on October 26.
Silver Mining Stock Technicals as of Last Week
AG, CDE, and HL have shown YTD losses of 12%,16%, and 9.2%, respectively. The silver-based Global X Silver Miners Fund (SIL) has a YTD loss of 0.31%.
A Technical Analysis of Mining Shares as of October 27
On October 26, 2017, Royal Gold, Newmont, Sibanye, and Yamana had call implied volatilities of 24.8%, 25.9%, 63%, and 48.4%, respectively.
How Gold Companies Have Performed in 2017
Gold stock indices also traded near their highs for the year, but then followed the gold price lower. During September the NYSE Arca Gold Miners Index (GDMNTR) retreated 6.5%.
Will China’s Steel Production Take the Sheen Away from Iron Ore Prices?
The most-traded January rebar contract on the Shanghai Futures Exchange climbed 4.3% to 3,776 yuan per ton.
Urea Prices Moved Higher in Week Ended October 27
Last week continued to be a positive week for urea prices. Prices have risen lately as a result of excess capacities cooling off.
Mosaic on the Street: Analyst Ratings and Price Targets ahead of the 3Q17 Results
As on October 25, the consensus analyst rating for Mosaic stood at 3.0, which suggests an overall “hold” recommendation for the stock.
Is Barrick Gold behind in Achieving Its Unit Cost Target?
Barrick Gold (ABX) reported AISC (all-in sustaining costs) of $772 per ounce in 3Q17, which is 10% higher year-over-year and 9% higher sequentially.
US Gas Rigs Hit 5-Month Low: Good or Bad for Natural Gas Futures?
Baker Hughes is scheduled to release its weekly US oil and gas rig report on October 27, 2017.
How Is US Natural Gas Production and Consumption Trending?
PointLogic estimates that weekly US dry natural gas production rose by 0.9 Bcf (billion cubic feet) per day to 74.6 Bcf per day between October 19 and October 25, 2017.
These Factors Are Affecting Gold
Gold, silver, platinum, and palladium have a five-day trailing loss of 0.67%, 0.44%, 1.1%, and 1.5%, respectively.
Can Cleveland-Cliffs’ Realized Prices in the US Recover in 2018?
For 3Q17, Cleveland-Cliffs reported average realized prices came in at $90.50 per ton.
A Brief Correlation Study of Mining Stocks as of October 23
The iShares MSCI Global Gold Min (RING) and the VanEck Vectors Gold Miners (GDX) have fallen 1.3% and 1.4%, respectively, on a five-day-trailing basis.
Is Cleveland-Cliffs’ Weak 4Q17 Outlook Temporary?
Cleveland-Cliffs (CLF) released its 3Q17 results on October 20. CLF reported earnings per share of $0.36, beating the consensus estimate by $0.04.
Mining Shares’ Directional Move in October
Most of the mining shares saw a downside move in the price on October 19, 2017, but gold and silver had an up day.
Which Elements Impact Precious Metals?
Gold fell for the third consecutive day on October 18, 2017, as the US dollar regained strength. However, October 19 was an up day for gold and silver.
Analyzing Mining Shares’ Correlation in October
Understanding mining stocks’ correlation with gold is crucial for investors in precious metal mining stocks.
Wall Street’s Forecast for Flotek Industries before Its 3Q17 Earnings
On October 16, 2017, all analysts tracking Flotek Industries rated it as a “buy” or some equivalent.
What Analysts Are Forecasting for Gold Miners’ 3Q17 Earnings
Analysts expect Barrick Gold’s (ABX) EBITDA to fall 17% YoY in 3Q17 to $988 million.
How Mining Stocks Are Reacting as of October 17
Despite the overall downturn among precious metals on Tuesday, October 17, precious metal mining stocks witnessed a mixed reaction that day.
October Update: What Analysts Think about FMC
FMC (FMC) stock has risen 6.0% over the past month. The stock has significantly outperformed the benchmarks (SPY) (MOO) YTD with a 68.0% rise.
Nitrogen Input: Natural Gas Prices Fell Last Week
The natural gas prices at Henry Hub in the US fell 4.1% week-over-week from a weekly average of $2.96 per MMBtu to a weekly average of $2.84 per MMBtu.
Agribusiness Stocks: Analyst Ratings, Price Targets in October
We’re nearing the end of the year, and most agribusiness stocks have underperformed the benchmark indexes.
Are Global Fears Controlling Precious Metals?
Ongoing worries in North Korea and political chaos in Washington have been crucial in boosting the prices of precious metals.
How Key Mining Stocks Are Correlated with Gold in October 2017
The PowerShares DB Gold Fund (DGL) and the Vaneck Merk Gold Trust (OUNZ) have risen 12.1% and 12.95, respectively, year-to-date, taking strong cues from gold.
Factors Driving Analysts’ Forecast of a Drop in CLF’s Net Debt in 2017
According to consensus estimates, CLF’s net debt should fall 42% by the end of 2017 compared to 2016.
Alcoa Continues Its Rally as China Keeps Its Commitment
China exported 370,000 metric tons of unwrought aluminum in September, compared to 410,000 metric tons in August.
Inside Mining Stock Technicals on October 12
Most precious metals had a down day on Tuesday, October 10, despite the recent overall upward movement in precious metals.
Behind the Recent Correlation Movements of Precious Metals
Among these four miners, AngloGold has the lowest correlation with gold so far this year, while Coeur Mining has the highest correlation YTD.
Can Cleveland-Cliffs’ Realized Prices in the US See an Uptick in 3Q17?
Cleveland-Cliffs’ (CLF) average realized prices increased 24% year-over-year and 22% quarter-over-quarter to $97 per ton in 2Q17.
India Expects Fertilizer Consumption to Rise in 2017
India is another major market for NPK (nitrogen, phosphate, and potash) fertilizers. The country is partly self-sufficient in nitrogen fertilizers.
Phosphate Market Struggles, Hope from Demand Growth
Among the three NPK (nitrogen, phosphate, and potash) fertilizers, phosphate fertilizers have had the worst recovery.
The Reaction of Precious Metals on October 11
The last few days have seen a rise in precious metal prices. However, on Wednesday, October 11, 2017, the prices of these loved metals fell.
How Global Indicators Are Affecting Precious Metals
Gold reached its two-week high price of $1,294.5 an ounce on Tuesday, October 10, and ended the day at $1292.1 per ounce.
Behind the Recent Analyst Rating Changes for Silver Miners
After the Guatemalan government’s decision to suspend Tahoe Resources’ (TAHO) license, the company saw several downgrades.