Merk Gold ETF
What’s Expected for Commodities This Year
Oil prices and many other commodities surged for most of last year.
Gold and Gold Miners Have Recovered in October
Gold and gold miners have recovered in October after consolidating in September. However, gold and gold miners have declined year-to-date.
Why Some Gold Stocks Look Promising
Most gold companies have ample flexibility to weather a slump in gold prices. Debt has been reduced to levels that are manageable at lower gold prices and many companies have no net debt.
Why Gold Prices Could Increase in the Short Term
The Vanguard Group announced that its $2.3 billion Precious Metals and Mining Fund will change focus in late September to a more diversified mandate that features telecommunications, utilities, materials, and natural resources.
Gold Faces the Headwind of Additional Rate Hikes
The gold price in U.S. dollar terms has not responded to the Turkish crisis because, at this time, it poses virtually no immediate threat to either the U.S. economy or global financial system.
Gold Prices Have Slumped in 2018 on the Dollar’s Strength
The robust U.S. dollar has weighed on gold since May, and in August the U.S. Dollar Index (DXY)1 again reached new yearly highs.
Is It Time to Get Excited about Gold?
Without a second half catalyst, gold will probably drift sideways, falling below the lower trend line and further eroding confidence in the metal.
Why H1 2018 Should Be Interesting for the Gold Market
he second half of 2018 should be very interesting for the gold market. The chart shows the gold price has formed a wedge or pennant pattern that has been in place for several years.
Why Commodities Have Outperformed Other Assets in 2018
With global rates normalizing, geopolitics still posing major risks, and with one of the longest bull runs in U.S. stocks apparently stalling, 2018 might be a year of paradigm shift.
A Look at Gold Funds’ and Miners’ Technicals
Most precious metal mining stocks have fallen over the last few months due to falling gold prices.
A Quick Look at the Precious Metals Revival, Miners’ Performances
Precious metals prices shot up on January 19, 2018, with concerns looming over the shutdown the of the US government.
The Dollar and Its Relationship to Precious Metals
The US dollar rose 0.18% on Tuesday, January 9, 2018, which led to the lower price of spot gold (GLD) and silver.
A Bounded Relationship of Gold and the US Dollar
The US dollar rose 0.32% on January 3, which led to a lower price for spot gold and silver. During the last month, the US dollar (UUP) has fallen 0.78%, and gold has risen 2.9%.
Analyzing Precious Metals: Dollar Had Its Worst Year since 2003
Although most of the upswing in precious metals has been due to the rise in geopolitical risks in 2017, the dollar has been the most crucial factor.
Your End-of-2017 Correlation Study of the Major Miners
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.
The Revival of Miners and Technical Indicators on December 20
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.
Reading Miner Volatility in December 2017
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.
How Is Gold, Commercial and Non-Commercial, Moving?
Speculative positions fell sharply last week. It was the most significant one-week fall since May 2016.
Miners’ Correlation with 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 […]
How Inflation Becomes a Core Determinant of the Price of Gold
The possible interest rate hike is taking a lot of market participants’ attention. Many policymakers are also focusing on inflation numbers.
A Quick Look at Miners’ Technical Details
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.
Directional Changes in the Correlation of Miners to Gold
New Gold and Goldcorp have seen upward trends in their correlations with gold, while Newmont Mining has seen its correlation decline.
Yield Changes for Precious Metals: What Could Be the Impact?
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.
Analyzing a Few Core indicators for Miners
As of November 2, 2017, AGI, GFI, IAG, and HMY had call-implied volatilities of 46.9%, 40.4%, 44.3%, and 53.3%, respectively.
The Importance of Knowing the Technicals of Mining Stocks
On October 30, 2017, ABX, AU, KGC, and IAG had call implied volatilities of 29.1%, 40.9%, 41.6%, and 44.3%, respectively.
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.
1 Technical Trend That Could Affect Gold Prices
Investor complacency doesn’t hide the fact that there are financial risks to QT. Forty percent of the Fed’s balance sheet unwind is in mortgage-backed securities at the same time that the housing market is showing signs of slowing.
How Tightening Could Affect Gold Prices
Since the financial crisis, the stock market has risen consistently as long as the Fed continued to buy treasuries and mortgage-backed securities through its quantitative easing policies (QE 1-3).
How Gold Miners Could Benefit from Deregulation
A record number of junior companies attended the Precious Metals Summit. We are finding companies with attractive development projects in North America and West Africa as well as some exciting discoveries that merit watching.
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%.
Why Gold Fell in September
The momentum gold experienced in August carried over into early September. Geopolitical tension continued as South Korea reacted to possible preparation by North Korea for an intercontinental ballistic missile launch.
A Technical Analysis of Mining Shares in October
When investors look at mining stocks, it’s important that they do a technical analysis of the stocks.
Mining Shares: Analyzing a Few Key Technical Details
When investors consider parking money in the mining sector, there are a few crucial indicators that they should watch.
Analyzing Mining Shares’ Correlation in October
Understanding mining stocks’ correlation with gold is crucial for investors in precious metal mining stocks.
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.
How Are Gold and Bitcoin Different?
Bitcoins can be sent across borders. Bitcoin payment will be the same as paying someone in the same country. People don’t use gold much anymore.
Why Distributed Ledger Technology Is Game Changing
A distributed ledger is a database of transactions held and updated in decentralized form across different locations.
Bitcoin Might Not Replace Gold as a Safe-Haven Asset
Bitcoin is a global digital payment system that offers lower transaction fees than other online payment systems. It’s operated by a decentralized authority.
Gold Prices Could Test $1,300
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.
Reading the Movement in the Gold-Palladium Spread
The gold-platinum spread was approximately 1.6 on January 11, 2017. Its RSI (relative strength index) was as low as 40.
Why the Gold-Palladium Spread Is Falling Drastically
Palladium has seen a YTD rise of a whopping 32.5%, which is higher than the rise in platinum, silver, and gold. Earlier, palladium was underperforming its precious metal peers.
How Palladium Outperformed Gold: The Gold-Palladium Spread
Palladium has seen a year-to-date rise of a whopping 32.5%, which is higher than the rise in platinum, silver, and gold. Earlier, palladium was underperforming its precious metal peers.
What’s Affecting the Gold-Palladium Spread?
Palladium has seen a year-to-date rise of 24.9%, which is higher than the increase in platinum, silver, and gold.
Will Gold Keep a Close Watch on Inflation Numbers?
Donald Trump’s recent victory is shining a light on the possibility of a rise in inflation and how such a rise could work for gold.
Where Is the Gold-Palladium Spread Headed?
The gold-palladium spread has seen its ups and downs over the past few months. But the United Kingdom’s Brexit vote resulted in some strength for palladium.
Why Gold ETFs See Robust Net Inflows against Actively Managed Gold Funds
One of the dominant financial trends of the past decade has been a move by investors out of actively managed funds and into passively managed index funds or exchange traded funds (ETFs).
Are Inflation Concerns Likely to Boost Gold’s Performance?
The difference between yields on ten-year US notes and similar-maturity TIPS, a gauge of price expectations, expanded to as much as 1.7% last Tuesday.
How Did the Dollar’s Move Affect the Price of Gold?
Gold is valued in dollars. As a result, the stronger dollar, driven by the recovery of the US economy, is pushing the gold prices further down.
How the Fed’s Shifting Stance on Rates Affects Gold
The Fed’s Shifting Stance on Rates The summer doldrums came late this year for gold and gold stocks. Now that the U.K. Brexit decision is old news, the markets are again obsessed with the Federal Reserve’s (the “Fed”) shifting stance on rate decisions. Although the Fed’s tone had been dovish on rate increases following the […]
Demand from India Could Lend Support to the Gold Market
Demand from India Could Lend Support In the near term, India could lend support to the gold market. Indian gold demand has been very weak this year due mainly to the higher gold price. This suggests there is pent-up demand. A good monsoon season in India can lead to a bountiful fall harvest that typically […]
Jackson Hole: An Important Takeaway and What It Means for Gold
Yellen Channels Doobie Brothers’ “What Were Once Vices Are Now Habits” Another aspect of Janet Yellen’s Jackson Hole speech furthered our conviction for strong gold prices in the long term. She described all of the unconventional monetary policies implemented since the financial crisis (e.g., zero rates, QE, etc.) as components of the Fed’s “toolkit”. Perhaps […]
Company & Industry Overviews
Where Gold Is Likely to Head If the Fed Hikes Rates
The Fed has probably never tightened rates in past cycles with indicators so weak. In fact, at this point in the business cycle, a more normal stance would be to hold steady, looking ahead to a time when it might cut rates. Because of this, we believe any decision to raise rates in 2016 will […]
Company & Industry Overviews
Gold Prices Moving North after 3 Years of Underperformance
This year, gold prices had risen by 24% as of September 19. Gold prices fell in August due to the Fed’s hawkish stance.
Company & Industry Overviews
Stable Commodity Prices Have Supported Emerging Market Bonds
Perhaps one of the biggest tailwinds recently, particularly for local currency strategies, has been the stabilization and rebound in commodity prices this year.
Is Russia Another Gold Stacker?
In January 2016, Russia’s central bank bought almost 22 tons of gold worth ~$800 million—the eleventh month in a row that it bought large gold volumes.
How Are Negative Interest Rates Affecting Gold?
Negative interest rates around the globe, along with overall economic concerns, are adding to the unrest in the Market.
How Central Banks Are Affecting Gold Movement
Central banks around the world are affecting the movement of gold with their monetary policies.
US Dollar Buoyed, Pushed Gold and Gold-Based Funds Lower
As the dollar strengthens, dollar-denominated assets usually suffer. Foreign investors have to buy a rather expensive dollar to invest in these metals.