Primero Mining Corp

Goldcorp’s (GG) all-in sustaining costs (or AISC) are falling. In 2013, its AISC was $1,031 per ounce. It expects the AISC to be in the range of $950–$1,000 for 2014.

Gold prices once again retreated on Friday, November 25, by $10.3 to close at $1,179 an ounce—the lowest level that gold has seen since February.

COMEX-traded gold futures for June delivery fell marginally by 0.24% and closed at $1,190.30 per ounce on Wednesday, May 6, 2015. Gold prices were down.

The Fed rate hike expectation has been one of the biggest factors driving gold prices for some time. Interest rates have been near zero since 2008.

COMEX-traded June gold futures fell marginally by 0.50% and closed at $1,183 per ounce on May 11. Gold prices traded almost flat—led by weak Asian demand.

Lower gold prices impact gold mining stocks. The US Dollar Index appreciated against the major currencies and increased by 0.06% on May 7, 2015.

Gold June futures contracts trading in COMEX rose by 0.54% and settled at $1,193.20 per ounce on May 5. Prices gained as the US Dollar Index depreciated.

June gold futures trading in COMEX settled at $1,192.40 per ounce on May 12, 2015. The increase in gold prices was supported by the depreciating dollar.

After falling 18% in 1Q17, physical demand for gold seems to have picked up in 2Q17.

Physical gold demand India and China constitute ~50% of the global demand for physical gold. These markets are price sensitive, so when gold prices fall, physical gold-buying in these markets provides support for gold. In this article, we’ll see if demand from India and China could accelerate in 2017. Indian gold demand India’s demand for gold […]

June gold futures contracts increased marginally by 0.19% and closed at $1,188.80 per ounce on May 28, 2015. Gold prices increased marginally.

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

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

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.

A study of the correlation of mining shares to gold is important since it gives investors an idea of the directional move of miners compared to gold.

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.

The Sprott Gold Miners (SGDM) and the iShares MSCI Global Gold Min (RING) have risen 10.6% apiece on a YTD (year-to-date) basis.

Among the miners that we’re looking at in this part of the series, Sibanye Gold has the lowest correlation to gold on a YTD basis, while Gold Fields has the highest correlation to gold.

Mining funds that have a strong relationship to precious metals are the Global X Silver Miners (SIL) and the VanEck Vectors Gold Miners (GDX).

On a YTD basis, First Majestic has the lowest correlation to gold, while Primero Mining has the highest correlation to gold.

Monday, September 25, 2017, was a day of revival for mining shares as tensions in North Korea resurfaced.

In this part of our series, we’ll look at the relationships that some miners have with the precious metals they mine.

The miners that experienced the greatest losses during the past five trading days were IamGold (IAG), Silver Wheaton (SLW), Goldcorp (GG), and Primero Mining (PPP). These miners fell 7.5%, 6.0%, 6.2%, and 57.5%, respectively.

On September 18, gold fell 1.1% and closed at $1,306.90 per ounce. Of the precious metals, silver fell 3.1% and closed at $17.10 per ounce.

Among the four miners we’re looking at, Gold Fields has the highest correlation to gold on a YTD basis, while Sibanye Gold has the lowest correlation to gold.

Silver Wheaton has a three-year correlation of ~0.70 with gold and a year-to-date correlation of ~0.80.

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

Silver Wheaton has the highest correlation with gold, while Franco-Nevada has the lowest correlation.

Palladium is the precious metal with the highest returns on a YTD basis. It has risen 28.6% YTD. The other three precious metals have been slower.

Precious metals once again saw a down day on Thursday, August 3, 2017, except for platinum, which rose 1.1%.

Gold prices fell once again on Wednesday, July 26, 2017. Gold futures for August expiration were 0.22% lower for the day, settling at $1,249.4 per ounce.

Another element that was crucial in determining the directional movement of precious metals was the two-day Federal Reserve meeting.

Gold hit a four-week high on July 24, 2017. Gold futures for August expiration touched a high of $1,259 per ounce on the day, ending up at $1,254 per ounce.

In this part of the series, we’ll look at the technicals of mining stocks such as New Gold (NGD), Newmont Mining (NEM), Gold Fields (GFI), and Primero Mining (PPP).

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.

Precious metals saw an up-day on July 20, 2017, after Mario Draghi said that policymakers would discuss potential changes in the bond-buying program in autumn.

Gold fell again on Friday, June 9, 2017, for the third consecutive day. It touched a low of $1,264.80 per ounce and then settled at $1,269.50.

Gold retreated on June 8, 2017, by almost 1% to $1277.50 an ounce. Silver and platinum followed, falling 1.2% and 1%, respectively.

On June 6, the implied volatilities of Alamos Gold, Primero Mining, Silver Wheaton, and Franco-Nevada were 51.1%, 90.6%, 30.8%, and 24.5%, respectively.

One of the critical elements that plays on precious metals besides the overall market sentiment is the US dollar.

The gold-platinum spread was ~1.3 on April 26, 2017. The gold-platinum spread RSI on that day was 59.

Now that mining companies have begun witnessing revivals from their losses earlier this year, it becomes crucial to examine the volatility figures and RSI.

Besides the Fed’s stance, another crucial factor that is playing on precious metals is the US dollar.

Amid the recent turbulence in markets, precious metals have begun to rise, but we’ve only seen the slightest positive impact on mining shares.

Aside from the Trump trauma that gripped markets last week, another specific focus on Friday, March 24, was the Fed.

For those investors interested in parking their money in mining shares, it’s crucial to understand which stocks are closely tied to precious metals and which aren’t.

The buoyancy of precious metals could be challenged even more by future interest rate hikes, as the Fed indicated by its latest hike on March 15.

The uncertainty of the markets not only closely impacts precious metals, but also precious metal mining stocks.

Agnico-Eagle Mines has the highest correlation to gold year-to-date. Primero Mining is the least correlated to gold.

It’s important to understand which mining stocks have overperformed and underperformed precious metals.

Mining companies that have high correlations with gold include B2Gold (BTG), Royal Gold (RGLD), Agnico Eagle Mines (AEM), and Primero Mining (PPP).

Precious metal prices have risen due to uncertainty since Donald Trump won the US presidential election.

Mining companies with high correlations to gold include Agnico-Eagle Mines (AEM), Primero Mining (PPP), Silver Wheaton (SLW), and Franco-Nevada (FNV).

Sibanye Gold is the most correlated with gold on a YTD (year-to-date) basis among the four stocks in our review.

The rate hike phenomenon in December 2016 played negatively for precious metals.

Many of the changes in precious metals are determined by the overall health of the economy.

Sibanye Gold is the most correlated with gold on a YTD basis among the four stocks in this review.

It’s important to monitor the implied volatilities of large mining stocks as well as their RSI levels—especially after the carnage in precious metal prices.

The SPDR S&P Metals and Mining ETF and the Vaneck Vectors Junior Gold Miners Fund have seen YTD gains of 6.9% and 14.8%, respectively, as of January 11.

The volatilities of Gold Fields, Agnico-Eagle, Primiero, and Randgold were 25.9%, 20.8%, 33.4%, and 15.2%, respectively, on December 5, 2016.

Fluctuations in the dollar are a major determinant of changes in the prices of precious metals. Gold and the US dollar mostly have an inverse relationship.

While many investors are watching the Fed’s interest rate stance, others are looking at the fundamentals of South African precious metal mining companies.

After Donald Trump won the US presidential election on November 8, gold initially climbed above $1,300 per ounce. Shortly after that, it was back its original trading range and fell even lower after that.

Precious metals saw some good news at the beginning of 2016. However, lately, precious metals prices have been falling slowly. As a result, mining stocks have also fallen.

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.

On November 14, 2016, Dallas’s Federal Reserve president, Robert Kaplan, said that the US central bank is on track to raise rates soon.

Mining companies that have high correlations with gold include Primero Mining (PPP), Silver Wheaton (SLW), Franco-Nevada (FNV), and RandGold Resources (GOLD). These companies have risen significantly year-to-date.

The precious metals market has risen in 2016. Despite this trend, it’s important to know which mining stocks are overperforming and which are underperforming precious metals.

The precious metal market has risen in 2016. Despite this trend, it’s important to know which mining stocks are overperforming and underperforming precious metals.

The precious metals market has skyrocketed in 2016. Despite this trend, it’s important to know which mining stocks are overperforming and which ones are underperforming precious metals.

The precious metals market has skyrocketed in 2016. But it’s important to know which mining stocks are overperforming and underperforming precious metals.

The current weakness in the rand made it fall to all-time lows against the US dollar in early 2016 but has helped mining companies.

The amount of money flowing to gold fell. Funds like the SPDR Gold Shares (GLD) and the iShares Silver Trust (SLV) suffered.

Gold’s price rally on September 6, 2016, was the biggest increase in the precious metal since June. July and August were disappointing for precious metals.

The precious metals market rose in 2016. Gold’s correlation with Agnico-Eagle has risen from a 0.59 three-year correlation to a 0.64 one-year correlation.

Plummeting precious metals on Wednesday, August 17, 2016, were also a result of the comparative strength of the US dollar.

Mining shares had a mixed reaction on Tuesday, August 16, despite the rise in precious metals. Sibanye Gold (SBGL) and Agnico Eagle Mines (AEM) rose by 0.74% and 0.06%, respectively.

Miners that have high correlations to gold include Silver Wheaton (SLW), Cia de Minas Buenaventura (BVN), and AngloGold Ashanti (AU).

Most mining companies reversed 2015 losses in 2016 and have posted substantial gains. The correlation between mining stocks and precious metals is high.

Miners that have strong correlations to gold include Agnico Eagle Mines (AEM), Silver Wheaton (SLW), and Franco-Nevada (FNV).

Precious metal mining shares that have a high correlation with gold include Sibanye Gold (SBGL), Gold Fields (GFI), and Agnico Eagle Mines (AEM).

On Monday, July 18, the stocks related to base metals and precious metals traded with mixed sentiment amid moderate strength in metals.

The US dollar is a crucial currency to consider when analyzing the precious metals, as they are priced in the US dollar.

Demands for gold and silver have risen this year due to the haven bids that followed the global unrest.

Usually, the US dollar and precious metals follow opposite paths. However, over the past month, the US dollar and gold have been moving together, both rising.

Most of the time, precious metals and the US dollar are inversely related. A fall in the US dollar is a stimulus for these precious metals.

Miners followed gold Most mining companies reversed their 2015 losses during the first few months of 2016, posting substantial gains. The correlation between mining stocks and gold remains high, and most companies surged following gains in gold. June 24, 2016, remained of considerable importance as gold rose to a two-year high due to additional haven bids on the […]

Gold futures for August expiration rose 0.83% to close at $1,272.70 per ounce on Thursday, June 9, 2016.

The strength of the US dollar impacts precious metals significantly.

DXY surged by 0.74% on a 30-day trailing basis. During the same time frame, precious metals continued to have a downward sentiment.

The US Dollar Index, denoted by the DXY Currency Index, fell 0.18% on Monday, May 16. It accumulated losses close to 0.31% on a 30-day trailing basis.

Gold gave steady returns to investors for the first two months of 2016 as unrest and instability continued in the markets. However, March started with some ups as well as downs for gold.

Palladium has been the best performer during the past 30 days. It earned about 18%—significantly higher than the gains in the other three precious metals.

The rise in gold also helped funds like the VanEck Vectors Junior Gold Miners ETF (GDXJ) and the leveraged Direxion Daily Gold Miners ETF (NUGT).

The World Gold Council’s latest reports for fourth quarter demand show that the demand for gold bars and gold coins has been strong.

Goldman Sachs expected gold prices to end 2015 at $1,190 per ounce and to fall to $1,000 per ounce in 2016.

The slump in the Chinese market added to the losses for platinum and palladium. Platinum recovered from its losses. It gained ~1.7% on a year-to-date basis.

Monday, February 1, 2016, witnessed a massive purchase of 12,196 tons into the SPDR Gold Shares ETF (GLD).

The soaring demand for gold drove gold inventories down as of February 1. Active movement in the registered category showed a ~73% decline in inventory.

Gold prices scored the biggest monthly gain in January of all precious metals, marking the biggest leap for gold in more than a year.