NYSE Arca Gold Miners Index (NT (^GDMNTR)
It seems that every time new, scary headlines emerge, press articles declare that gold no longer serves as a safe haven.
Gold equities outperformed gold bullion in March, as the NYSE Arca Gold Miners Index (GDMNTR)1 gained 2.9%, while the MVIS Global Junior Gold Miners Index (MVGDXJTR)2 advanced 2.2%.
Gold prices tend to rise in the fourth quarter of the calendar year. Gold prices have gained an unannualized ~3.8% in the fourth quarter.
Company & Industry Overviews
While gold fell sharply in the last quarter of 2016, gold stocks weren’t far behind. The market capitalization–weighted NYSE Arca Gold Miners Index or GDM fell 20.2%.
The rationale behind choosing the passively managed approach is evident in the genesis of GDX, which launched in 2006 as the first gold miners ETF offered in the U.S.
As we have pointed out repeatedly this year and discussed in detail in our June update, gold companies are well managed, and gold stocks provide leverage to gold since valuations remain attractive. Therefore, it is no surprise that stocks enjoyed another surge higher in July. The NYSE Arca Gold Miners Index[1. NYSE Arca Gold Miners Index (GDMNTR) […]