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  • After trading higher for six of the last seven trading days, gold futures closed sharply lower on the day. After trading to a low today of $1715.30, gold recovered approximately 1/3 of today’s drawdown and is currently fixed at $1726.70 (-1.45%), ending up with a loss $25.40. All of the other precious metals that trade on the futures exchange were lower on the day. Platinum declined the greatest, the precious white metal gave up $67.60, which is a decline of 7.23%, resulting in platinum futures

  •   There is a lot of volatility ahead for gold, whether it be this year or this decade, with new investors embracing the precious metal in its traditional or digital forms, according to Digix co-founder and COO Shaun Djie. Gold’s investor-base is already widening as many new type of traders have turned to gold during the COVID-19 outbreak. More than two months after an all-across market sell-off, the yellow metal is outperforming many other asset classes while equities continue on their roll

  •   – One of Wall Street ’s biggest gold supporters is turning up the heat on its gold forecast, at least a little bit. In a report released late last month, Wells Fargo raised its year-end price target for gold to between $1,800 and $1,900 an ounce, an increase from its previous forecast of $1,650 and $1,750 an ounce. Although the bank is bullish on gold, John LaForge, head of real asset strategy for Wells Fargo and author of the latest report, said that he doesn ’t see gold prices pus

  • Gold and silver prices are lower in midday U.S. dealings Thursday, on routine downside corrections following recent gains. Some profit-taking from the shorter-term futures traders was also featured today. A rebound in the U.S. dollar index today was also a negative daily element for the metals. Once again, it appears the two metals are tracking the U.S. stock indexes, which are lower at midday. June gold futures were last down $27.00 an ounce at $1,725.00. July Comex silver prices were last down

  • Silvercorp Metals Inc. (TSX, NYSE American: SVM) reported Thursday that its profit and revenue fell during the fiscal fourth quarter that ended March 31 due to the COVID-19 pandemic, with both production and prices received for its metals lower than a year ago. Silvercorp is a Canadian company producing silver, lead and zinc from mines in China, where the pandemic began and the first country to institute shutdowns. Silvercorp recently agreed to acquire Guyana Goldfields Inc. (TSX: GUY). The comp

  •   – With silver seemingly “undervalued” and the reopening of economies expected to boost industrial demand, traders are looking for the gold-silver ratio to continue its decline as silver continues its recent outperformance. The view is not unanimous, however, as some traders worry that renewed trade tensions between the U.S. and China could dent industrial demand for silver. The gold-silver ratio measures how many ounces of silver it takes to buy an ounce of gold, with a rising  numb

  •   (Kitco News) Investors have been on a gold-buying spree the past two months as they opt for safety amid these very uncertain times. But governments might try to knock gold down if inflation skyrockets, according to European hedge-fund manager Crispin Odey, who is known for his doomsday prognoses and bearish market outlook. “It is no surprise that people are buying gold. But the authorities may attempt at some point to demonetize gold, making it illegal to own as a private individual,” Blo

  • rticle:   The world has seen hot wars, cold wars, trade wars and currency wars and now the U.S. in a bid to retain its dominance in financial markets is embarking on a capital war with China, according to one researcher. In an interview with Kitco News, Michael Howell, managing director at CrossBorder Capital and author of his new book Capital Wars, warned investors that they can expect to see higher volatility over the years as China challenges the U.S. reserve currency status. “We&#

  • Gold prices remain under significant selling pressure but continues to see little reaction to economic data, this time better than expected preliminary sentiment data from the U.S. manufacturing and service sector data. Thursday, IHS Markit said its flash U.S. manufacturing Purchasing Managers Index for May rose to a reading of 39.8, up from April’s reading of 36.1. The data were better than expected. Economists were expecting to see a reading of 39.1. At the same time, the firm’s service sector

  • The monthly continuation bar chart for nearby Comex gold futures shows prices trending solidly up, on a longer-term basis, to suggest still more upside in the coming months. The trend-line price projection from the monthly gold chart, at present, suggests prices will hit a new all-time record high in September of 2022, if not before. Interestingly, such a projection syncs up with notions that problematic price inflation will ignite in the next few years, following the massive injections of liqui

  • Gold prices have pushed to within striking distance of $1,800 an ounce, but the rally comes during the market’s seasonally slow period and according to one market analyst, it could be an uphill battle for further gains. In an interview with Kitco News, Mickey Fulp, creator of the Mercenary Geologist Newsletter, said that traditionally, gold prices have a strong start to the year, prices are flat through spring and usually hit a low in late summer, early fall. “We expect during the pe

  • The hard truth remains, economic stimulus continues to be needed as both the Federal Reserve through their monetary policy, and the U.S. Treasury through fiscal policies has ballooned, and more stimulus will likely will be needed. Today the minutes from the April FOMC meeting were released. They indicated that Federal Reserve members discussed being more transparent in regards to their future direction of interest rates. The Fed minutes coupled with yesterday’s testimony by Chairman Powell and S

  •   Gold prices have pushed to within striking distance of $1,800 an ounce, but the rally comes during the market’s seasonally slow period and according to one market analyst, it could be an uphill battle for further gains. In an interview with Kitco News, Mickey Fulp, creator of the Mercenary Geologist Newsletter, said that traditionally, gold prices have a strong start to the year, prices are flat through spring and usually hit a low in late summer, early fall. “We expect during

  • Gold and silver prices are trading with modest gains in midday U.S. dealings Wednesday. Trading has been choppy and on both sides of unchanged today. The silver market is on fire this week and today pushed to a nearly three-month high above $18.00. As has been the case in recent weeks, gold and silver prices are holding their own at the same time the U.S. stock indexes are solidly higher. June gold futures were last up $4.60 an ounce at $1,750.30. July Comex silver prices were last up $0.134 at

  •   Investment demand for silver is finding some momentum. Although the price has room to run higher as the gold-silver ratio falls to its lowest point in three months, below 100, one trader said that gold will remain the top asset to preserve wealth. In an interview with Kitco News, Lior Gantz, creator of the Wealth Research Group, said that he likes silver as a short-term trade, but he is focused on gold as a store of wealth in the face of growing global recession fears due to the COVID-19

  •   Photo courtesy of Polyus (Kitco News) The Russian army and its medical personnel are being dispatched to Russia’s largest gold mine, Olimpiada, to help contain a coronavirus outbreak. Located in Siberia’s Krasnoyarsk Krai, Olimpiada employed around 6,000 people. The mine is run by Russia’s largest gold producer, Polyus. Polyus said that so far 866 peopled tested positive for COVID-19 and 2,790 tested negative. Majority of those who tested positive are not showing any symptoms, according t

  •   Metals Focus has lowered its forecast for the supply/demand deficit in the palladium market for 2020 due to the COVID-19 pandemic and looks for the platinum market to be in a surplus. The pandemic has curtailed demand as global economic activity suffers, the consultancy said in a report Wednesday. There also have been supply disruptions, with temporary mine shutdowns in key platinum-group-metals producer South Africa. Metals Focus said the COVID-19 impact likely will be the greatest for p

  • The sharp rise in silver prices lately enabled the gold-silver ratio to dip below 100 for the first time in two months, said Commerzbank. The ratio measures how many ounces of silver it takes to buy an ounce of gold. A smaller number means silver is outperforming, which is exactly what has been happening lately. Silver earlier Wednesday hit its highest level since the end of February, Commerzbank pointed out. At the time, the price had surged by almost 14% week-on-week. “The steep rise in the si

  • The entire strip of Federal funds futures contracts last settled with positive implied yields, pointed out Bannockburn Global Forex. “The move began on Monday and was completed yesterday,” analysts said in a research note. Previously, some contracts in 2021 were factoring in negative rates, even though Federal Reserve policymakers have repeatedly said they do not favor negative rates, in which banks would essentially get charged a storage fee instead of being paid interest when they deposit rese

  •   The liquidity injected by the Federal Reserve is equivalent to borrowing money from future generations, said Alex Mashinsky, CEO of Celsius Network. “All that is not good for us long-term. What we’re really doing is is we’re borrowing from the future. We’re reaching out to the future, we’re borrowing from our children, spending it today to save our lifestyle and our level of income and we’re leaving the IOU to our children,” Mashinsky told Kitco News. Mashinsky, who has himself invested i

  •   The outlook for silver is not too optimistic with prices expected to decline by year-end, according to Capital Economics, which identified key price drivers in its latest report. “As a safe haven, silver has disappointed relative to gold. Going forward, we expect the silver price to underperform gold through to end-2020,” Capital Economics commodities economists James O’Rourke and Alexander Kozul-Wright wrote Monday. Any price gains made due to economies re-opening and the industrial outl

  •   The Federal Reserve is going to create an inflationary environment that is like a tax that will hurt society on all levels, according to Peter Schiff, chief executive officer of Euro Pacific Capital. “I think most people are going to get wiped out by the inflation tax. All of this government is not free. This incredible increase in the size of government is going to cost somebody. Somebody has to pay the bill for all the bailouts and all the stimulus, and if we’re not raising taxes, then

  • Senior gold miners listed on the NYSE gold production dropped a cummulative of 974,000 ounces in Q1 compared to production totals in Q4 2019. In a study of the top gold miners listed on the NYSE, nine out of ten miners recorded production drops in Q1. (AngloGold Ashanti did not release a Q4 total for 2019. Instead, the Q4 total was averaged from the company’s six-month total. The other exception was Kinross Gold, which released production in gold equivalent ounces.) Miners were affected by

  • Both Treasury Secretary Stephen Mnuchin, and Federal Reserve Chairman Jerome Powell spoke to the Senate Banking Committee today. The primary purpose of the meeting was for the Senate Banking Committee to get the latest evaluation of the global pandemic that has greatly affected the United States economy. Both the Chairman and Treasury Secretary were asked by the committee to give their first quarterly report regarding the $2.2 trillion CARES act. In his written testimony, Treasury Department Sec

  • Gold and silver prices are trading higher in midday action Tuesday. Some earlier, normal chart consolidation and pausing after recent good gains saw buyers step right back in amid strongly bullish technical postures for both metals. June gold futures were last up $9.40 an ounce at $1,743.80. July Comex silver prices were last up $0.417 at $17.885 an ounce. Global stock markets were mostly firmer in overnight trading. U.S. stock indexes are mixed in midday trading, on a pause after the stock inde

  •   Gold prices hit new daily highs, reaching $1,750 an ounce, as Federal Reserve Chair Jerome Powell reiterated that the U.S. central bank is committed to using its full range of tools to support the U.S. economy during the coronavirus pandemic. “We are committed to using our full range of tools to support the economy in this challenging time even as we recognize that these actions are only a part of a broader public-sector response,” Powell said during his testimony before the Senate Bankin

  • Gold inflows into global exchange-traded funds are on pace for a yearly record, said BMO Capital Markets, and the demand is significant since investors tend not to exit quickly should prices turn south. Colin Hamilton, commodities analyst with BMO Capital Markets, commented that the strong ETF demand has helped boost gold prices at a time when jewelry demand has been unusually weak. The ETFs trade like a stock but track the price of the commodity, with metal put into storage to back the shares.

  •   – Gold miners are benefiting on multiple fronts – higher prices for the commodity they produce, lower operating costs as prices of other commodities tumble, and in many instances an extra boost from weakness in local currencies, analysts said. The earnings season for the first quarter is winding down, and companies as a general rule have been profitable. “Operating margins for gold miners have taken off as costs fall and gold prices rise,” said a research note from SP Angel. In many

  • Newmont Mining Corp. (NYSE: NEM, TSX: NGT), the world’s largest gold producer, downwardly revised its 2020 production guidance Tuesday due to temporary mine closures because of the COVID-19 pandemic. However, the company said it is in the process of restarting operations at four of the five mines where work was suspended. Newmont now lists guidance calling for attributable gold production of around 6 million ounces of gold in 2020, compared to the Jan. 2 guidance of 6.4 million. Consolidated all

  •   Major bull rallies in gold stocks have been preceded by generalist investors rushing back into the sector, and this is exactly what is happening right now, said Frank Holmes, CEO of U.S. Global Investors. April saw historical highs in gold-backed ETF inflows, as well, record number of new online trading accounts have been opened during the last two months. “This past quarter has been a game changer. We now have gold rally for three years, and we have many big gold producers promoting and

  • If not for dollar weakness today’s selloff in gold futures would have been much more severe. The dollar index is currently down approximately 0.80%, and fixed at 99.62. As of 5:08 PM EST Gold futures basis the most active June contract is currently down $22.20, and fixed at $1734.10. This dramatic selloff comes after a much firmer gold price which occurred overseas in Australia, Hong Kong and London. Once gold futures opened in New York this morning news emerged that that a biotech company calle

  • y summary of today’s must-read news and expert opinions. Sign up here! (Kitco News) – Both supply and demand for platinum group metals will suffer “significant damage” during 2020 as a result of the global COVID-19 pandemic, materials maker Johnson Matthey said in a report Monday. However, because of the uncertainties regarding mine output and continual downgrades to production forecasts for the auto industry, Johnson Matthey opted to not list supply/demand balances or price forecast

  • Gold prices lost overnight gains and are trading sharply down in midday U.S. dealings Monday, after scoring decent gains overnight and hitting a five-week high. Silver is higher at midday but well down from overnight highs that saw prices hit an 11-week high. The spot gold market saw prices reach a seven-year high overnight. The precious metals lost altitude in early U.S. trading when U.S. stock indexes pushed solidly higher on a very positive report on the drug firm Moderna’s effort to find a v

  •   – Money managers trimmed their net-bullish position in gold futures during the most recent reporting week for data compiled by the Commodity Futures Trading Commission (CFTC), which was shortly before a steady price rise that on Monday carried the metal to a one-month high. During the week to May 12 covered by the last CFTC report, Comex June gold slipped by $3.80 to $1,706.80 an ounce, while July silver rose by 59.9 cents to $15.709. However, the next report may well show a greater

  •   The COVID-19 pandemic has increased deflationary risks in the global economy, but according to one economist, it’s the long-term inflation threats that investors have to pay attention to as governments and central banks around the world pump liquidity to support the devastated global economy. In an interview with Kitco News, Thorsten Polleit, chief economist at Degussa, Europe’s largest precious metals trading firm, said that inflation is more than just prices consumers see on

  •   Miners are adapting existing protocols and technology to limit the spread of COVID-19, said Eldorado Gold’s CEO George Burns, who spoke to Kitco on Monday. Eldorado has two operating mines in Turkey, its Kisladag and Efemçukuru mines, as well as two polymetallic mines in Greece and the Lamaque gold mine in Quebec, Canada. The company produced about 395,000 ounces of gold in last year. Like most precious metal miners the company is moving higher with the good precious metal prices. Y

  • (Kitco News) – The COVID-19 pandemic has sent the global economy into a tailspin, and like many other commodities, the platinum market as seen significant damage, but according to the World Platinum Investment Council (WPIC), the market could be in a lot worse shape. In its first-quarter outlook, the WPIC said that it sees a relatively balanced platinum market for 2020 as it sees a slightly larger than expected surplus for the year as both demand and supply dropped sharply in the first thr

  •   As logistics in the bullion sector have improved over the last few weeks, premiums on gold and silver products have declined, and more stability can be expected going forward, this according to Peter Hug, Global Trading Director of Kitco Metals. “We’re starting to see the supply chains open up, and to give you an anecdotal example, I’ve got shipments because we have a Hong Kong office. Two weeks ago, it would have taken me two weeks to just get a quote. I called this morning, and within t

  • article: Editor’s Note: Get caught up in minutes with our speedy summary of today’s must-read news stories and expert opinions that moved the precious metals and financial markets. Sign up here! (Kitco News) Gold prices are back in the rally mode Friday, rising above $1,750 an ounce, with analysts looking for more gains next week as U.S.-China trade tensions ramp up and the economic data worsens. The rise in U.S.-China tensions is “the biggest bad news out there,” and gol

  • It was inevitable. The global pandemic which is now in its third month has had a devastating effect on economies worldwide. The commonality is that all major countries have experienced economic contraction. The variable between some countries is how they are experiencing much harsher economic contractions than others. Nonetheless recent data suggests that the world as a whole has seen their GDP contract by approximately 3%. This week recent data suggested there were many sectors that experienced

  • The COVID-19 pandemic has increased deflationary risks in the global economy, but according to one economist, it’s the long-term inflation threats that investors have to pay attention to as governments and central banks around the world pump liquidity to support the devastated global economy. In an interview with Kitco News, Thorsten Polleit, chief economist at Degussa, Europe’s largest precious metals trading firm, said that inflation is more than just prices consumers see on their

  •   Join The Mercenary Geologist Mickey Fulp and Trevor Hall of Mining Stock Daily every Friday afternoon for a recap of metals, money, and markets. Each episode provides commentary on performances and a look ahead to next week’s markets. You can listen to the weekly wrap exclusively at Kitco.com. We trust you will find our podcast of value and hope it becomes a part of your weekly due diligence and research. May all your trades be to the upside.

  • Wall Street and Main Street alike remain bullish on gold prices for the week ahead, according to the weekly Kitco News gold survey. Professional investors and traders cited the ongoing quantitative-easing efforts as a factor propping up gold as economic data remain soft. The latter was highlighted again this week as weekly U.S. jobless claims rose another 3 million and a Friday report showed that April retail sales fell 16.4%. “The momentum is definitely with gold as more and more investors see

  • With the gold price breaking out of its month-long symmetrical triangle this week, silver has decided to join the gold party. As mentioned in this column last week, silver equities had been telegraphing this move for the past month and the metal finally received the message this week. Since the deflationary panic to cash ended in mid-March, the Global Silver Miners ETF (SIL) has been rapidly closing in on its highest level in three years. Both SIL and the junior silver stock ETF (SILJ) have part

  •   Long-term, investors can expect gold prices to climb multiple times its current value, and silver prices to rally into the triple digits, but they should not count on the precious metals to break out in the short-term. In fact, a correction is due and investors should take this as a buying opportunity, said Florian Grummes, managing director of Midas Touch Consulting. “It looks like [gold will get] a consolidation on the higher levels, with one nasty, little pullback where all the weak ha

  •   May is looking great for silver as the metal is outperforming its complex with more gains still in store, according to Orchid Research. Silver prices are off to a solid rally after being left out of the gold price party in Q1. Spot silver has been even outperforming spot gold this month, up 6.7% since the beginning of the month while spot gold is up only 2.5%. “We continue to favor silver over gold in the near term for at least three reasons. First, the silver price is relatively cheaper

  • In the last few weeks we have identified a simple Western technical indicator known as a pennant formation, and commonly referred to as a compression triangle. It is called a compression triangle because price ranges as well as the highs and the lows of a period of time will begin to contract. Typically, on this type of pattern you will see a series of lower highs, and simultaneously a series of higher lows. At least in theory the belief is that as the range compresses there is a buildup of ener

  •  Federal Reserve Chair Jerome Powell put to rest Wednesday all speculation that the central bank will introduce negative interest rates. But Powell’s line in the sand is not expected to spook gold prices, according to analysts at BMO, who see higher prices through the rest of the year. Colin Hamilton, commodities analyst at BMO Capital Markets, said that unlimited quantitative easing and interest rates holding at the zero-bound target for the foreseeable future should continue to support g

  • Gold and silver prices are solidly up in midday U.S. trading Thursday. Safe-haven demand is featured late this week as global stock markets have become shaky again. A growing number of economists are now projecting longer recovery periods for major world economies, highlighted by Federal Reserve Chairman Jerome Powell Wednesday providing a grim picture of the U.S. economy and its path out of the pandemic. Gold prices hit a three-week high today and silver notched a four-week high. June gold futu

  •   New major gold discoveries have been on a decline this past decade, according to a report by S&P Global Market Intelligence. During the past three years there were no major new gold discoveries, the report said. And during the past decade, there were only 25 new major discoveries. Dwindling numbers are due to miners focusing on exploration around older mines, S&P Global said. “The lack of new discoveries is the result of exploration focusing on older discoveries and later-stage as

  •   – Goldman Sachs continued to reiterate its bullish outlook for gold with the firm ’s global head of commodity Jeffrey Currie saying in an interview with Bloomberg TV that the yellow metal is his favorite commodity to trade. “There are a lot of reasons to still hold gold,” he said in the interview. “Foremost is that you are still seeing the debasement effects of all the stimulus measures.” The latest comments from Currie don ’t come as a surprise as the investment bank has been fairl

  •   – Market participants are having a hard time forgetting about negative interest rates in the U.S., even though Federal Reserve officials keep saying they won’t happen. However, analysts said that if rates end up going negative after all, that would be a boon to gold. The Federal Reserve has slashed its main interest rate to near zero and launched massive quantitative easing and other measures to prop up the economy and markets during the global COVID-19 pandemic. At the same time, t

  •   Investors have to remember that the fundamental cause of this current recession is different from that of the last one in 2008 and should price gold in accordingly, said Peter Hug, global trading director of Kitco Metals. “This is not the financial crisis of 2008, this is a health crisis. Gold did rally from the $1,500s to the mid-$1,700s and is now straddling the $1,700 mark and everyone’s anticipating that gold should be $3,000 an ounce because of the Fed stimulus,” Hug told Kitco News.

  •   There is a struggle between very weak physical demand for gold and strong investor inflows, Scotiabank said in a report. In its latest commodity update, Scotiabank looked at “quantifying the struggle between the East (physical/jewelry demand) vs the West (investor inflows).” After a major sell-off mid-March, gold has seen a massive rally, boosted by its safe-haven appeal during the COVID-19 crisis. The precious metal even neared $1,800 an ounce level in April. However, physical dema

  •   Precious metals investors should not be paying much attention to the short-term price action in gold and silver. Instead, Andrew Hecht, founder of the weekly Hecht Commodity Report, said that unprecedented monetary and fiscal stimulus will ultimately drive gold prices to record highs in the long-term. In an interview with Kitco News, Hecht said that he continues to see similarities between the price action in gold during the 2008 financial crisis and current market conditions as the globa

  •   In the last 12 years, the United States has experienced two major economic disruptions both requiring massive Federal Reserve intervention to lessen the effect of a contracting economy. The first occurrence was in response the financial meltdown of 2007 and subsequent recession which began in 2008. The second occurrence is still in progress and based upon a global pandemic which had a major impact on many industry sectors. What is unusual about these two occurrences is that even with Fed

  •   Gold is “one of most undervalued” assets currently available, according to one American investment management firm. New York-based Elliott Management made the claim in a letter to investors, the Financial Times reported last week. The firm, which manages around $40 billion in assets, has made 2% gains in the first quarter, citing its gold positioning, the FT said. “One of the most undervalued” assets on the market is gold and the actual fair value of the precious m

  •   (Kitco News) – Gold prices are moderately up in midday U.S. trading Wednesday. There continues some safe-haven buying in the precious metals amid elevated uncertainty regarding how and for how long the Covid-19 pandemic will ultimately impact the global economy. June gold futures were last up $9.30 an ounce at $1,716.10. July Comex silver prices were last down $0.059 at $15.65 an ounce. The marketplace was closely watching Federal Reserve Chairman Jerome Powell in a Wednesday mornin

  •   Stanley Druckenmiller – Investor sentiment is once again starting to sour in equity markets and more people are starting to question the health of the global economy, that has been devastated by the COVID-19 pandemic. The latest to jump on the bandwagon is famed billionaire investor Stanley Druckenmiller. The former fund manager of Duquesne Capital said, in a webinar hosted by The Economic Club of New York, “The risk-reward for equity is maybe as bad as I’ve seen it in m

  •   The gold market went on a 30-minute rollercoaster ride as traders listened to the latest comments from Federal Reserve Chair Jerome Powell.June gold futures rallied to session highs as Powell started to speak during a webinar hosted by the Peterson Institute for International Economics. He reiterating his call that the central bank would continue to do whatever it took to support the U.S. economy that has been devastated by the COVID-19 pandemic. However, the rally hit a brick wall after

  • If you recall from my articles from earlier this week, first on Tuesday, May 5 titled “Gold prices firm as U.S. dollar continues to climb”, we included a daily candlestick chart which included a hand-drawn compression triangle, commonly referred to as a pennant formation. We also included an arrow indicating that we were expecting a breakout to the upside. Below is that chart which was available to viewers on Tuesday. This was followed by another daily candlestick chart yesterday May 6 (see char

  • (Kitco News) The case for gold is still a bullish one as it is a hedge against fiscal deficit, fiat currency debasement, global pool of negative-yielding bonds, and possibly inflation, according to Pepperstone. The key level to watch in the gold market is a breach of $1,738 an ounce, said Pepperstone head of research Chris Weston. “With gold trading a range of $1,738 to $1,678 since mid-April, and the investment backdrop at a very interesting juncture, client interest will ramp up on a closing b

  • (Kitco News) – Low market volatily due to unrealistic optimism in the equity markets could continue to weigh on gold in the near-term but the yellow metal’s long-term potential remains in place, according to analysts at FXTM. In an emailed response to Kitco News in relation to a report published Thursday, Jameel Ahmad, global head, currency strategy & market research at FXTM, said that the gold market is waiting for its next volatility trigger. “There is still hope for gold prices to p

  • (Kitco News) – Gold and mining stocks have become core assets to include in investors’ portfolios as the global economy will feel the effects of the COVID-19 pandemic for years to come, according to a panel of market and investment strategists. Speaking in a webinar Thursday, Michael Widmer head of metals research at Bank of America, James Burdass, gold specialist and independent consultant, Gervais Williams, fund manager at Premier Miton and Tom Attenborough, head of international b

  • Gold prices are trading sharply higher and near daily highs in midday U.S. dealings Thursday, following the lead of the U.S. stock market that is seeing solid gains today. Confounding to many gold market watchers, the safe-haven metal of late has been tracking the U.S. stock market on some days. A weaker U.S. dollar index is also working in favor of the precious metals market bulls. June gold futures were last up $34.10 an ounce at $1,722.60. July Comex silver prices were last up $0.555 at $15.5

  •   The commodities complex will likely see another bull run in the next three to five years, this according to Rick Rule, president of Sprott U.S. “My suspicion is that the next five years will be very good for natural resources investors, with precious metals enjoying a two or three-year bull market and somewhere towards the end of that bull market, the rest of the commodities complex catching fire,” Rule told Kitco News. Rule noted that the current recession will be much sharper than the l

  •   The man who pretty much called the cyclical low in gold is now warning investors that they could face a global depression in the next few years.In a recent interview with Bloomberg, famed economist Nouriel Roubini, a professor at the New York University’s Stern School of Business and chairman of Roubini Macro Associates LLC, said that he sees a very anemic recovery in the U.S. followed by a depression in 2021. Some economists are optimistic that the U.S. economy could see a sharp &#

  • The data is clear, today’s ADP jobs report indicates that the COVID-19 pandemic has resulted in the highest unemployment rate since the Great Depression. Today’s numbers are the worst job loss in the history of the ADP report. As reported by CNBC, according to Ahu Yildirmaz, co-head of the ADP Research Institute, which compiles the report in conjunction with Moody’s Analytics said, “Job losses of this scale are unprecedented. The total number of job losses for the month of April alone was more t

  • Streaming and royalty company Royal Gold, Inc. (Nasdaq: RGLD) posted a larger than expected profit during its fiscal third quarter that ended in March, with revenue rising in part due to higher prices of precious metals, the company announced Wednesday. Adjusted net income climbed to $44.3 million, or 68 cents per share, up from $27.5 million, or 42 cents, in the same quarter of 2019. Special items that were excluded include a loss on changes in the fair value of equity securities of 5 cents per

  •   It is unlikely central banks will start selling their gold holdings as many economies across the globe face a recession as they begin to reopen, according to Standard Chartered. “Central-bank buying has slowed; we expect them to remain net buyers, despite isolated selling,” Standard Chartered precious-metals analyst Suki Cooper wrote in a note on Wednesday. “Central-bank buying has slowed since late last year and we expect it to fall this year to 360t, but remain elevated compared to hist

  • Production dropped at Harmony Gold Mining due to lower grades, power disruptions and COVID-19, said the African miner which reported its nine-month operational update. The company said total gold production was 8.5% lower at 30 814kg (or 990 691oz), “…due to South Africa’s COVID-19 national lockdown regulations, compliance with which resulted in six full days of operation lost at the company’s nine South African underground mines at the end of the reporting period, and loadshedding b

  •   Gold refineries around the world, including Swiss refineries and South Africa’s Rand Refinery, are restarting production. But is this good news for the wide spot and futures price spread that the gold market has been struggling to reconcile after the COVID-19 shutdowns were put into effect? The latest news of Rand Refinery — Africa’s only refiner accredited with the London Bullion Market Association (LBMA) — came on Tuesday as Bloomberg quoted CEO Praveen Baijnath as saying that the plant

  • Gold prices are trading sharply lower in midday U.S. dealings Wednesday. The precious metal appears to be feeling the negative pressure of bearish outside market forces today that include lower crude oil prices and a higher U.S. dollar index. The U.S. stock market also lost its early gains, which may have also weighed on gold. Recently, the gold market has traded in tandem with the U.S. stock indexes on some days. June gold futures were last down $22.30 an ounce at $1,688.20. July Comex silver p

  • The dollar index has been firming ever since it reached a low of 98.75, and recovered closing at 99.10 on Friday, April 1. Over the last two trading days we have seen the U.S. dollar firm. Today the dollar index gained approximately ¼ of a percent and is fixed at 99.825. At the same time since Friday gold has had three consecutive higher closes, when compared to the opening price of that day. As of 10:30 PM EDT gold futures basis the most active June contract is currently up $2.40 (+0.14%) and i

  • Gold prices are modestly lower in midday U.S. trading Tuesday, as trader and investor attitudes are more upbeat on this day, as seen by rallies in global stock markets that are due in part to big gains in crude oil prices today. June gold futures were last down $4.90 an ounce at $1,708.40. July Comex silver prices were last up $0.279 at $15.085 an ounce. Global stock markets were mostly higher in overnight trading. U.S. stock indexes solidly higher at midday, boosted in part by a 20% rally on th

  •   Massive money printing poses a grave currency debasement risk, which could push safe-haven assets like gold to unprecedented highs, Celsius Network, founder and CEO Alex Mashinsky told Kitco News. Gold prices began to climb this spring after the Federal Reserve announced it will do whatever it takes to get the U.S. economy back on track, Mashinsky said last week. “After the Fed’s actions, we’ve seen a continuous increase in the price of gold. People are getting worried a

  •   The gold market saw unprecedented investment interest, with inflows into gold-backed exchange-traded-products rising 300% in the first quarter of 2020 compared to levels seen one year ago. Juan Carlos Artigas, director of investment research at the World Gold Council, said that ETF investment demand has room to grow further as the yellow metal establishes itself as a global asset. “When you look back 10 or 15 years ago [ETFs were] very much a North American phenomenon. Well this tim

  • B2Gold (TSX:BTO) said today it had record quarterly total gold production of 264,862 ounces in Q1. Revenue was up 44% to $380 million, also a record. The quarterly consolidated cash flow provided by operating activities from the company’s three operating mines was $216 million, also a record. Cash-flow was up $130 million or 151% over the first quarter of 2019. The jump in gold production over the first quarter of 2019 was driven by the Fekola Mine in Mali, which had a strong start to the

  • Kinross Gold said today that it produced 567,327 attributable gold equivalent ounces in Q1 2020, compared with 606,031 gold equivalent ounces in Q1 2019. Kinross attributed the shortfall to lower production at Paracatu, Kupol and Chirano, and the end of production at Maricunga, partially offset by higher production at Fort Knox. Higher gold prices helped earnings. Compared to the same period a year ago, reported net earnings at Kinross nearly doubled to $122.7 million or 10 cents per share. Adju

  • Wesdome Gold Mines (TSX:WDO) said today it produced 24,457 ounces gold in Q1, a 36% increase over the same period a year ago. Production was slightly better than the last quarter, Q4 2019, when the company produced 21,332 ounces. The company was able to generate C$16.7 million (US$11.89 million) in free cash flow. The company says it now has C$49.4 million (US$35.7 million) on hand. Wesdome said it accelerated the processing of the stockpiles in response to the uncertainty surrounding the impact

  •  – One of the world’s largest precious metals firms is warning investors that the gold market could have peaked in the near-term. In a report published Tuesday, Heraeus Precious Metals said that there are technical signs that gold is running out of momentum. The comments come as gold prices hold support above $1,700 an ounce. June gold futures last traded at $1,711.80 an ounce, relatively unchanged on the day. Along with the technical outlook, the analysts said that speculative interest in

  •  – One fund manager is doubling down on his bullish outlook for gold, saying that prices could reach new record levels by next year. In a video interview with Asset TV, Joe Foster, portfolio manager at VanEck, said that he sees gold prices going to $2,000 within 12 months as the world continues to react to massive stimulus measures taken to protect the global economy that has been rocked by the COVID-19 pandemic. “In certain scenarios we could see gold go up much higher than that,” he said

  • Newmont Corp. (NYSE: NEM, TSX: NGT), the world’s largest gold producer, reported a rise in first-quarter earnings Tuesday as both output and the gold price rose from a year ago. Adjusted net income was pegged at $326 million, or 40 cents per share, compared to $176 million, or 33 cents, in the same quarter of 2019.  The consensus estimate of analysts was 42 cents, according to news reports. Net income from continuing operations was $837 million, or $1.04 per share. The company said this increase

  •   The next step in gold’s recovery is to tackle the $1,900 an ounce peak reached in 2011, according to the latest commodity update by Bloomberg Intelligence. Gold is looking at a similar launchpad as in 2008, when prices breached $1,000 and began the rally which led to all-time high level of just above $1,900, said Bloomberg Intelligence senior commodity strategist Mike McGlone. “It was the cut to zero interest rates by the Federal Reserve in December 2008 that accelerated the gold bull mar

  •   Gold’s price outlook is to the upside as the world is faced with a slate of bad economic data, possible second wave of coronavirus, and unlimited stimulus, which has triggered massive gold investor demand, this according to The Perth Mint CEO Richard Hayes. “My gold outlook is biased to the upside,” Hayes told Kitco News, pointing to the COVID-19 environment as being a key driver even once the economies begin to re-open. “As we see a gradual easing of all the restrictions and busine

  • The coronavirus pandemic has taken us into uncharted territory. The world has not witnessed a pandemic of this magnitude since the Spanish influenza pandemic of 1918. That pandemic infected an estimated 500 million people, roughly 1/3 of the world’s population at that time and lasted for approximately two years. The death toll for the Spanish flu reached approximately 50 million individuals. So, in two years 10% of the world’s population had been killed by the Spanish flu. The technology of medi

  •   Governments and central banks are throwing all the money they can into financial markets to support a flaying global economy rocked to its core from the COVID-19 pandemic. Although the world could see the worst downturn since the Great Depression of the 1930s, Axel Merk, chief investment officer and president of Merk Investments, warned investors: “there will be no free lunch.” Merk said that he likes gold as a hedge against these unprecedented measures and the growing risk th

  • Gold prices are posting decent gains in midday U.S. trading Monday, on safe-haven demand amid increasing U.S.-China tensions that threaten another trade war, or worse. June gold futures were last up $12.00 an ounce at $1,712.90. July Comex silver prices were last down $0.063 at $14.875 an ounce. The U.S. is ratcheting up its rhetoric blaming China for delaying reporting of the coronavirus outbreak in its early stages, and even implying the virus could have come from a Wuhan laboratory. This esca

  • IAMGOLD (NYSE:IAG) said today that revenues for Q1 2020 were $274.5 million, up $23.5 million or 9% from the same prior year period. The company attributed the increase due to a higher realized gold price ($50.3 million) and higher sales volume at Westwood ($4.5 million), partially offset by lower sales volume at Essakane ($25.8 million) and Rosebel ($6.2 million). Gold production was down slightly, 170,000 ounces as opposed to 173,000 ounces during the same period a year prior. “The decre

  • Uranium giant Cameco (NYSE:CCJ) was upgraded from a hold to a buy by TD Securities analyst Greg Barnes. According to reporting by The Fly, Barnes said the past decade of weak uranium prices may be ending, and the market will allow producers to rebuild long-term contract portfolios at commercially acceptable prices. Cameco traded up 6% to $15.30 a share as of 4 p.m. ET. TD Securities put a price target of $18 on the stock. In March Cameco announced that its Cigar Lake operation was being placed i

  • Money managers upped their net-bullish posture in gold and silver futures – but not by much – during the most recent reporting week for data compiled by the Commodity Futures Trading Commission (CFTC). During the week to April 28 covered by the last CFTC report, Comex June gold rose $34.40 to $1,722.20 an ounce, while May silver rose 33.7 cents to $15.328. Net long or short positioning in CFTC data reflect the difference between the total number of bullish (long) and bearish (short) contracts. T

  •    – The gold market is starting the week, holding critical support at $1,700 an ounce. Still, some market analysts warn investors that prices could be heading lower in the near-term as market sentiment is shifting. Gold prices are trying to start the week on a positive note after seeing last week’s most significant loss since early March. In a relatively quiet Asian trading session, June gold futures last traded at $1,704.60 an ounce, up 0.22% on the day. However, some analysts are w

  •   Gold has managed to pull itself back up above the $1,700 an ounce level on Friday afternoon as U.S. President Donald Trump turned up the geopolitical pressure by threatening new tariffs against China over the coronavirus crisis. However, for the week, though, gold is down more than 1.5%. Still, analysts are confident that the precious metal will make up the lost ground on increased geopolitical tensions and more bad economic data next week. At the time of writing, June Comex gold futures 

  •   – With Endeavour Mining’s acquisition of SEMAFO last month, CEO Sébastien de Montessus said production should tip 1 million gold ounces. Montessus spoke to Kitco on Tuesday. Endeavour (TSX:EDV) is a mid-tier west African gold miner. Montessus made headlines late last year when his company took a failed run at Centamin, offering $1.92 billion for the Egyptian gold miner. Endeavour settled for SEMAFO. The acquisition was announced late March, and the transaction between the two

  • While it is a little too early to say that the price correction in gold which began on the 23rd of last month is over, the first signs of a potential bottom have appeared today. Gold pricing did recover this morning, however at the same time, gold traded to the lowest intraday price of $1676 since the intraday low of $1666.50 seen on April 21st. If this low achieved today holds throughout next week, and gold pricing trades higher we will witness gold trading to a higher low than the previous low

  • Wall Street and Main Street were both undeterred by this week’s pullback in gold, calling for the metal to rise next week, according to the weekly Kitco News gold survey. Wall Street is not as heavily bullish as a week ago, when 80% of the respondents were bullish. However, the majority of the bears in this week’s survey say they actually remain constructive in the long term, but figure there is a chance for the current correction lower to continue for a while yet. Nine out of 15 Wall Street vot

  •   Gold prices are well supported around $1,800 an ounce as central banks and governments pump liquidity into financial markets, providing much needed life-support for the global economy hit by the COVID-19 pandemic, this according to Kristina Hooper, chief investment officer at Invesco. However, investors should also expect to see some wild volatility this year, Hooper told Kitco News. Hooper said that she sees the potential for gold to trade in a wild range between $1,500 and $2,000 an oun

  • The many instances of maintaining social-distancing is the most significant challenge when running operations during COVID-19, said Newmont’s CEO, Tom Palmer, during an interview with Kitco yesterday. Speaking from his home in Perth, Australia, Palmer said his company is reducing the number of people to just the essential number of workers required to keep the mine and processing plants running. Palmer said the company, the world’s largest gold miner with about 29,000 employees, has

  •   Join The Mercenary Geologist Mickey Fulp and Trevor Hall of Mining Stock Daily every Friday afternoon for a recap of metals, money, and markets. Each episode provides commentary on performances and a look ahead to next week’s markets. You can listen to the weekly wrap exclusively at Kitco.com. We trust you will find our podcast of value and hope it becomes a part of your weekly due diligence and research. May all your trades be to the upside.

  • Eldorado Gold said today it produced 115,950 in Q1 2020 compared to 118,955 in Q4 2019. Eldorado is maintaining its 2020 annual guidance of 520,000 – 550,000 ounces of gold at an all-in sustaining cost of $850 – 950 per ounce sold. The company had net loss attributable for the quarter at $4.9 million or a three cent loss per share. CEO George Burns said the company is operating below normal levels. “At this time, we are maintaining our guidance for 2020 and we will continue to

  • Gold prices are posting solid losses in midday U.S. trading Thursday and were near daily lows, following the U.S. stock indexes lower as they also extended daily losses. Bullish outside markets today–a lower U.S. dollar index and sharply higher crude oil prices—offered no support to the precious metals. Some more profit taking in gold and silver from the shorter-term futures traders is featured today. June gold futures were last down $18.00 an ounce at $1,696.50. May Comex silver prices we

  • Economic data has not yet reflected the true scale of the economic disaster we are facing, but as numbers come out in the coming weeks, a risk-off sentiment could ensue, this according to Jim Wyckoff, senior analyst at Kitco. “We have big risks still ahead for the U.S. economy and for other economies around the world,” Wyckoff told Kitco News. “We are going to start to see economic data in the U.S. and in Europe show up that’s going to be really staggering, to remind us how serious the damage ha

  • Gold futures declined over $19 today, with the most active contract (June 2020) breaking below a key support level at $1700, and is currently fixed at $1693.90. However, even with the declines that have occurred this week gold pricing still gained 6% this month. Lower gold prices were curtailed somewhat by dollar weakness. The U.S. dollar index is currently fixed at 99.015 and is showing a net decline of – 0.63% in trading today. Dollar weakness today took the index below its 50-day moving avera

  • (Kitco News) Unable to repatriate its gold back from the Bank of England (BOE), Venezuela now wants to sell part of it to the United Nations to help with coronavirus relief, according to news reports. Venezuela is once again making the headlines in the gold space after its failed attempt to repatriate its 31 tons of gold stored by the BOE in 2018 after the U.K. central bank refused to recognize Nicolas Maduro as the country’s legitimate leader following a disputed re-election that year. Venezuel

  • Despite a weakened economy, stocks continue to rise on the back of monetary stimulus, which is bound to push gold prices even higher, this, according to Frank Holmes, CEO of U.S. Global Investors. Stocks are going up “because of the trillions and trillions of dollars of money printing from the helicopters of central bankers. The G20 central bankers, the G20 finance ministers, that’s a cartel, like OPEC,” Holmes told Kitco News. Fundamentally, gold’s supply deficit should also provide tailwinds,

  • In delayed reaction, the gold market is struggling to find momentum after the U.S. Federal Reserve reiterates it commitment to do what is necessary to support the U.S. economy that has been devastated by the COVID-19 pandemic. “The Federal Reserve is committed to using its full range of tools to support the U.S. economy in this challenging time,” the central bank committee said in the statement. As expected the Federal Reserve left interest rates unchanged at the zero bound range, following its

  • Gold prices are trading moderately down in midday U.S. trading Wednesday. The yellow metal is seeing some pressure from a rallying U.S. stock market on news that a comprehensive study showed positive results for the treatment of Covid-19 patients with a drug, which in turn boosted the U.S. stock market. June gold futures were last down $3.00 an ounce at $1,719.00. May Comex silver prices were last up $0.239 at $15.41 an ounce. The worldwide study that treated Covid-19 patients with the Gilead dr

  • (Kitco News) All the COVID-19 shutdowns have impacted silver mining production the most, according to the GlobalData report. The coronavirus pandemic has forced governments across the globe to shut down many non-essential businesses and in some cases that meant mining. The latest report from GlobalData looked at different mining sectors and how they have been affected across the globe. Silver fared the worst, while gold was hurt the least out of all the major mining sectors the report looked at.

  • Despite two mine closures Alamos Gold (TSE:AGI) produced 110,800 ounces of gold, down just 12% from the same period a year prior. Alamos faced mine suspensions when COVID-19 restrictions were implemented. Two of its mines were placed on care and maintenance. “At Island Gold, operations were suspended on March 25, 2020 given the unique set up of the operation with a large portion of the workforce operating on a fly-in, fly-out basis and being housed within a camp located directly within the

  • Gold which had been trading lower throughout the trading session overseas last night, also traded lower just prior to the release of the Federal Reserve’s statement, and Chairman Jerome Powell’s Q&A session which followed ½ hour after the release of the statement. Gold traded in negative territory to a low of $1708 this morning before beginning to trade higher. As of 4:34 PM EST gold futures, basis the most active June contract is currently trading up $7.30, and fixed at $1729.50. The Federa

  • The Federal Reserve is wrapping up its first regularly scheduled monetary policy meeting since the global economy was turned upside down because of the COVID-19 pandemic. Since early March, the U.S. central bank has thrown all it can at the growing economic crisis; in less than two months, it lowered interest rates to the zero bound range and introduced unlimited quantitative easing measures. Peter Grosskopf, chief executive officer at Sprott Inc., said that he doesn’t think the Federal Re

  • The pandemic has made it more difficult for current President Donald Trump to be re-elected in November, this according to Matt Gertken, vice president of geopolitical strategy at BCA Research. A Trump victory is no longer the base-case scenario, Gertken said, owing to the fact that a recession has traditionally made it difficult for an incumbent to be re-elected. “President Trump was lined up to win the election,” Gertken told Kitco News. “We’ve got good data on [the elections], going back over

  • Gold futures are currently trading at $1724.40, which is a net gain on the day of $0.60. This after the numbers for the consumer confidence index sank $118.8 in March to $86.9 in April. According to MarketWatch, “The confidence Americans have in the economy experienced the biggest plunge in April in modern times as the coronavirus ravaged Main Street and Wall Street. But they are also starting to think the worst might be over.” According to Tyler Ritchie, co-editor at Sevens Report Research, “Th

  • Physical precious metals investors continue to get hit with bad news after Reuters reported that Scotiabank would wind down its precious metals business by 2021. Peter Grosskopf, chief executive officer at Sprott Inc., said that this could add to the supply crunch for gold. The COVID-19 pandemic has already severely impacted the precious metals’ global supply chain. “We were already having a tough time getting the amount of physical that we require. I think it’s going to be tha

  • (Kitco News) Turbulent times of first trying to sell, then downsizing its bullion desk, Canadian Bank of Nova Scotia (Scotiabank) (TSX: BNS.TO) now appears to be closing its metals business, according to Reuters. Reports came to light on Tuesday with Reuters citing two sources familiar with the matter. “Scotia had a global call with all its metals staff and said it was shutting down its metals business,” one source said. “The plan is to unwind the metals business,” said another one. The goal is

  • Gold prices are trading modestly down in midday U.S. trading Tuesday, but it’s been an up-and-down, choppy session. More chart consolidation and some profit taking by the shorter-term futures traders are featured early this week. The gold market bulls are still encouraged by their metal’s stability amid recent rallies in global stock markets. This week’s drop in crude oil prices has somewhat curtailed demand for the precious metals, as oil is arguably the leader of the raw commodity sector. June

  • (Kitco News) – Regardless of how bad the economic fallout from COVID-19 and subsequent government response will be, one thing is clear: gold will retain its status as a hedge asset and is a must-own in every investor’s portfolio, according to Steve Forbes, chairman and editor-in-chief of Forbes Media. In a podcast published on Forbes magazine last Friday, the media mogul outlined several economic scenarios, all pointing to tailwinds for the yellow metal. “The trillions of dollars being spe

  • Announced nearly a year ago, Emerald Resources (ASX: EMR) said yesterday that it closed on the $60M on its Okvau project debt facility provided by Sprott Private Resource Lending. The company said it satisfied all conditions precedent to close the facility which includes extensive technical/legal due diligence and perfection of security. Sprott has subscribed for an additional US$3.5M equity placement to offset adverse currency movements, said the company. Despite COVID-19 restrictions, Emerald

  • Central banks have one main role in society: control the amount of money floating in the system. However, according to Adam Button, chief currency strategist at ForexLive.com, they are abdicating that role. Last weekend Adrian Orr, Governor of the Reserve Bank of New Zealand made only small ripples in financial markets when he said that he was open-minded about monetizing his nation’s debt last week. Button said that he was haunted by those comments during the weekend as this could be the start

  • Equities in the United States traded higher today, this in response to the easing of restrictive lockdowns in many countries. The United States has outline plans to ease the restrictions and begin to effectively reopen in phases. Three states in the U.S. including Georgia, Oklahoma and Alaska have implemented plans to loosen their restrictions on businesses, this despite warnings from public health experts that this effort could be too early to be safe. According to the Associated Press, “Along