Direxion Daily Jr Gld Mnrs Bull 3X ETF

Gold hit a fresh six-year high on Friday as trade tensions between the US and China escalated. The SPDR Gold Shares ETF (GLD) closed up 2%.

Amid the trade war, weakening economic indicators, and the yield curve inversion, Jeffrey Gundlach believes the Fed has lost control of interest rates.

Jeffrey Gundlach sees upside potential in gold prices as negative-yielding debt rises worldwide. He sees gold rising to $1,600–$1,700 per ounce.

Today, bond yields are sinking and stock markets are tanking as markets become fearful of an upcoming recession.

Gold prices received a boost after President Trump’s tweet that 10% duties would be levied on $300 billion of Chinese goods starting on September 1.

After the turnaround in gold prices that began at the end of 2018, the fortunes for gold stocks are also looking brighter.

Gold price’s reversal this year has created opportunities in gold stocks. The SPDR Gold Shares ETF (GLD) had gained 11% year-to-date as of Friday.

Ray Dalio mentioned in a LinkedIn post on Wednesday that it’s important for investors to explore the market paradigm in which they’re currently operating.

Gold prices have seen a reversal in the last month or so. The SPDR Gold Shares ETF (GLD) gained 8.0% in June alone.

On July 2, President Trump nominated Judy Shelton to the Fed’s board. Shelton is an advocate of the gold standard.

Among miners, Eldorado Gold (EGO), New Gold (NGD), IAMGOLD (IAG), and Barrick Gold (GOLD) have seen the highest gains of 50.6%, 44.4%, 40.3%, and 36.4%, respectively.

After remaining soft for the first five months of the year, gold prices (GLD) have seen a sudden turnaround since the end of May.

Gold is now trading close to a six-year high following the Fed’s dovish pivot at its June policy meeting. After being range-bound for the last five years, gold has finally broken out and its outlook is bullish.

Gold futures registered their single largest one-day jump of 2.8% on June 20 following the Fed’s dovish stance at its June meeting. While the Fed kept rates unchanged, it hinted at future rate cuts if the conditions warrant them, which sent gold prices soaring.

During DoubleLine’s investor webcast on June 13, Jeffrey Gundlach said, “I am certainly long gold.” His call on gold is based on his expectation that the US dollar (UUP) will finish lower this year.

Fed rate cuts Fed policymakers are set to meet on June 18 and 19. Whereas the market has not priced in a rate cut in June, at least two rate cuts are expected by the end of the year. Amid the overall slowdown, US employment had been a bright spot until last month’s jobs report showed fissures may be appearing in the […]

Among senior and intermediate miners (JNUG) (GDX), New Gold (NGD), Barrick Gold (GOLD), Eldorado Gold (EGO), and Kinross Gold (KGC) have the fewest “buy” ratings from analysts, at 0.0%, 16.0%, 38.5%, and 40.0%, respectively.

Gold prices have fallen 3.6% this year after falling ~1.9% in 2018, significantly underperforming broader markets.

Eldorado Gold (EGO) significantly outperformed its peers (JNUG) (GDXJ) as well as gold (GLD) in the first quarter with a gain of 60.8%.

IAMGOLD (IAG) comes third, after Wheaton Precious Metals (WPM) and Agnico Eagle Mines (AEM), as far as the most “buy” ratings for gold stocks are concerned.

Gold miners usually act as a leveraged play on gold prices. In 2018, the VanEck Vectors Gold Miners ETF (GDX) fell 9.3%, amplifying the 1.9% fall in gold prices (GLD).

In a press release, Newmont Mining (NEM) said this one-time special dividend will be paid to Newmont shareholders of record as of April 17, 2019.

Due to more uncertainty and the positive macro backdrop offered by the Fed, gold prices (IAU) (JNUG) could get another significant boost.

In this article, we’ll consider analysts’ estimates for senior gold mining companies’ (GDX) (JNUG) revenues going forward.

The production growth of most of the miners (GDX) (JNUG) is either in decline or flat at best.

Of the 20 analysts covering Kinross Gold (KGC) as per the consensus compiled by Thomson Reuters, 40% have given it “buy” ratings, and 55% have given it “holds.”

Warren Buffett’s disdain for gold is well known. Once he said, “It doesn’t do anything but sit there and look at you.”

Stanley Druckenmiller shared his views on markets and the economy with Bloomberg TV in December.

Gold’s price saw its fourth consecutive positive monthly return in January. It rose ~3% in the month after its rise of 4.9% in December.

Among senior and intermediate miners, New Gold, Barrick Gold, Eldorado Gold, and Kinross Gold have the fewest “buy” ratings.

According to the World Gold Council, holdings in gold-backed ETFs and similar products rose by 69 tons in 2018, equivalent to $3.4 billion worth of inflows.

In 2018, as gold prices (GLD) fell 1.9%, the VanEck Vectors Gold Miners ETF (GDX) multiplied that loss by falling 9.3%.

Jeffrey Gundlach said during Barron’s 2019 Roundtable that “Gold and commodities broadly should benefit this year.”

In 2018, as gold prices (GLD) fell 1.9%, the VanEck Vectors Gold Miners ETF (GDX) amplified that loss by falling 9.3%.

Newmont Mining (NEM) and Goldcorp (GG) held a conference call on January 14 to brief investors and analysts on their merger.

Like the Fed’s policies, the strong US dollar (UUP) impacted gold prices (GLD) this year.

Unlike other banks, BNP Paribas has a negative bias for gold going into 2019. Harry Tchilinguirian, global head of commodity markets strategy at BNP Paribas, is negative on gold (SGOL)(GLD).

Bank of America Merrill Lynch (BAML) is overweight on precious metals going into 2019.

For a large part of the year, gold prices (GLD) have languished due to a strong US dollar (UUP), hawkish Fed rate hike outlook, and rising equity markets.

For most of the year, gold prices (GLD) have languished, thanks to a strong US dollar (UUP), hawkish Fed rate hike outlook, and strength in the equity markets.

As we’ve discussed in this series, market uncertainty is increasing after an unusually calm 2017 and part of 2018.

The yield curve tracks the yields of Treasury securities maturing at different times. For example, the yield of two-year securities (SHY) is usually lower than that of ten-year securities (IEF)(TLT).

The US dollar (UUP) has been on an upward trajectory in 2018 so far. Year-to-date, it’s up ~7.4% compared to other major global currencies.

On November 20, Jeffrey Gundlach told Reuters that investors haven’t shown an appetite for Treasuries even though US stock markets have fallen.

After a calm period in stock markets, downside risks have increased.

In this article, we’ll look at analysts’ estimates for those companies’ (GDX) (JNUG) revenues going forward.

The US dollar (UUP) has been on a fairly upward trajectory in 2018 thus far.

CEO Steve Letwin stated during IAMGOLD’s third-quarter earnings call that it’s focused on becoming a low-cost producer.

By October 17, Agnico Eagle Mines (AEM) has lost 20.3% of its value year-to-date, while the VanEck Vectors Gold Miners ETF (GDX) had fallen 14.3%.

Of the analysts covering Kinross Gold (KGC), 42.0% recommended a “buy” and 58.0% recommended a “hold.”

The US dollar (UUP) has been on a fairly upward trajectory in 2018 thus far.

Eldorado Gold (EGO) stock has seen rapidly deteriorating analyst sentiments in the past year.

According to the COT report for the week ended August 24, detailing holdings as of August 21, money managers were net short on gold for the ninth straight week.

The SPDR Gold Trust ETF (GLD) has fallen ~8.0% year-to-date and ~11.0% from its April peak.

After making discretionary cuts on exploration and capex for many years, gold miners (GDX) (JNUG) have started to refocus on production growth.

According to the COT report for the week ended August 10, money managers were net short on gold for the eighth straight week.

According to the COT report for the week ended August 3, money managers were net short on gold for the seventh straight week.

Kinross Gold’s (KGC) Tasiast Expansion could provide an upside to its medium-term production.

Goldcorp has outlined its 20/20/20 growth plan, which aims at improving production, reserves, and unit costs by 20% each by 2021.

According to the COT report for the week ended June 26, 2018, money managers were barely net long on gold with just over 4,000 net speculative long contracts.

Eldorado Gold (EGO) is one of the few gold stocks that have seen rapidly deteriorating sentiments from analysts in the last year.

The International Monetary Fund (or IMF) also warned that the downside risks to the world financial stability have increased over the past six months.

So far in this series, we’ve looked at various factors impacting gold’s outlook in 2018. The most recent factor supporting gold prices is the fear of a full-blown trade war.

Of the analysts covering Kinross Gold (KGC), 47% have recommended “buy” and 53% have recommended “hold.”

IAMGOLD (IAG) has many organic growth opportunities. It’s pursuing expansion opportunities at existing deposits and expects initial resource estimates at Monster Lake, Nelligan, and Eastern Borosi.

Performance-wise, the VanEck Vectors Gold Miners ETF (GDX) and the SPDR Gold Shares ETF (GLD) have diverged this year.

What the markets have long been fearing has finally come true, at least in part. The S&P 500 (SPY) (SPX) hit a record high on January 26, 2018. Since then, the index has fallen ~8% as of February 6, 2018.

None of the analysts covering Kinross Gold (KGC) recommended a “sell” rating on the stock. 40% of them have “buy” ratings, while 60% suggest a “hold” for the stock.

Besides the slump of the US dollar during 2017, the other most important and most talked-about indicator is the US interest rate.

While gold might benefit briefly from the new year rally, a large portion of the remaining performance will depend on the outlook for the US dollar.

We looked at Wall Street analysts’ ratings for senior miners in the previous part of this series. In this article, we’ll look at analysts’ estimates for gold mining companies’ (GDX)(JNUG) top and bottom lines.

After discretionary cuts on exploration and capital expenditure, gold miners (GDX)(JNUG) have started to refocus on production growth. We’ll discuss these initiatives in this part of our series.

A majority (or 56%) of analysts recommend a “hold” for the stock, while 44% have given it a “buy” rating. There were no “sell” ratings for the stock.

As with most timeframes in the market, the laggards are a mix of surprising and obvious names (in hindsight, of course). This October, they stand out a little more than usual since so many asset classes are up this year.

Gold has had a solid year so far, up 13.5% through mid-October. And though it peaked in early September at over $1,350 per ounce, it had a quick drop back to $1,261 in early October only to bounce back over $1,300 in mid-October.

AngloGold Ashanti (AU) saw its last recommendation change in May 2017, when CIBC downgraded the stock to a “sector perform” rating.

Goldcorp (GG) has one of the strongest project pipelines in the industry. It plans to compound returns by focusing on its existing mines with organic growth.

Most mining shares witnessed an up day on Monday, September 25, 2017, as precious metals increased over the ongoing global tensions.

In the absence of earnings growth to justify the current valuations of US equities, many investors may begin looking for trade that is less crowded.

Royalty and streaming companies are quite different than other precious metal miners in terms of business model.

Intermediate gold miners are smaller than senior gold miners in terms of production and market capitalization, but they are still generally liquid.

The price-to-earnings (or PE) multiple of the S&P 500 has risen 80% since 2011.

Kinross Gold’s (KGC) revenue estimate for 3Q17 is $821 million, implying a sequential fall of 5.5% and a yearly fall of 9.8%.

Primero and Goldcorp have seen the highest correlation with gold, while Goldcorp has the lowest correlation.

Mining stocks have bounced back from the choppy markets we’ve seen over the past month. On July 20, most mining stocks saw upward movements in their prices.

In this article, we’ll look at some important technical indicators for Coeur Mining (CDE), Barrick Gold (ABX), Buenaventura (BVN), and AngloGold Ashanti (AU).

For Kinross Gold, the analyst recommendations are equally divided between “buy” and “hold” at 44% each, while 11% of the analysts recommend a “hold.”

One of the most important factors affecting gold right now would be a worsening US economic outlook.

After years of cutting back on sustained capital expenditure, gold miners (GDX) (JNUG) have started to refocus on production growth.

The RSI levels of our four select mining giants have all increased lately due to their higher stock prices.

Goldcorp’s 4Q16 results beat market expectations, mainly due to lower costs and higher gold prices. The market was happy with the company’s results.

After remaining subdued for the past few months, gold futures last week recorded their highest weekly gain of 2.4% since February 3.

Goldcorp’s 4Q16 results beat market expectations mainly due to lower costs and higher gold prices.

Leveraged mining funds such as the Direxion Daily Junior 3X Gold Miners (JNUG) and the ProShares Ultra Gold (AGQ) also have significant correlations with their respective precious metals.

Cerro Casale has proven and probable gold reserves of 23.2 million ounces and 58.7 million ounces of silver reserves.

Mining funds such as the leveraged Direxion Daily Gold Miners (NUGT) and the Direxion Daily Junior Bull Gold 3X (JNUG) rose substantially at the beginning of 2017.

US equity market euphoria US equity markets (SPY) (SPX) (DIA) (DOW) have been on a high since President Trump’s win in November 2016. Hopes of deregulation, tax cuts, and fiscal spending have spurred the markets, which have risen more than 10% in the last four months. Market participants’ take During a Bloomberg interview, BlackRock’s Global […]

Mining companies with high correlations to gold include Randgold Resources (GOLD), Yamana Gold (AUY), Pan American Silver (PAAS), and Coeur Mining (CDE).

The rise in precious metals over the last few months has been due to insecurity among investors, given the political climate.

Goldcorp’s (GG) all-in sustaining costs (or AISC) in 4Q16 were $747 per ounce, a fall of 24% year-over-year (or YoY) and 8% quarter-over-quarter.