| How the Fed’s Decision and Oil Prices Are Impacting Gold | |
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Precious Metals Are Happy to Say Goodbye to 2015 (Continued from Prior Part) Rising rates
As the gold prices have fallen in 2015, all eyes are now set on the Fed and its announced “gradual” lifting of interest rates. The rising interest rates pressure gold, as they do not bear any immediate cash flows as Treasuries and equities do. Gold has long been considered a store of value assets without intermediary cash flows.
The higher the Federal Reserve raises interest rates, the worse it gets for gold investors. Higher rates hurt gold-based ETFs like the SPDR Gold Shares (GLD) and the iShares Gold Trust (IAU).
Gold mining stocks like Royal Gold (RGLD), GoldCorp (GG), and New Gold (NGD) have lost 42.7%, 37.8%, and 46.5%, respectively, during the past year. These three stocks make up 14.1% of the Market Vectors Gold Miners ETF (GDX).
Oil-led inflation
Crude oil has fallen significantly during the past year, which has also contributed to gold’s fall. This is because oil prices play a significant role in deciding inflation. Inflation and gold tend to move in opposite directions, as gold is used as a hedge against inflation. Crude oil dropped about 35% in 2015, which in part led to the 10% drop in gold.
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New Gold Inc.
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PRODUCTEUR |
CODE : NGD |
ISIN : CA6445351068 |
CUSIP : 644535106 |
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ProfilIndicateurs de MarchéVALEUR : Projets & res.Communiqués de PresseRapport annuelRISQUE : Profile actifsContactez la cie |
New Gold est une société de production minière d'or basée au Canada. New Gold est productrice d'or, d'argent, de cuivre, de plomb et de zinc au Mexique et en Australie, en développement de projets d'argent, de cuivre et d'or au Bresil, au Canada et au Chili, et détient divers projets d'exploration au Canada. Ses principaux projets en production sont PEAK MINES en Australie et CERRO SAN PEDRO, MESQUITE et CERRO SAN PEDRO au Mexique, ses principaux projets en développement sont AMAPARI au Bresil, NEW AFTON au Canada et EL MORRO au Chili et ses principaux projets en exploration sont AJAX - PYTHON, BUCK CLAIMS, 3TS, SIZZLER, CC PROPERTY, VO PROPERTY, TAK PROPERTY, MOUSE MOUNTAIN, G-SOUTH, CHUBBY BEAR, LIBERTY BELL, BOULEVARD, BOUVETTE, WIT YUKON, RAM, SLATE FALLS, PROSPECTOR MOUNTAIN, MAYO, DAVIDSON, BLACKWATER, BOULDER CREEK, CAPOOSE, NATIONAL, CORRAL CANYON et RUDE CREEK au Canada et RIO FIGUEROA au Chili. New Gold est cotée au Canada, aux Etats-Unis D'Amerique et en Allemagne. Sa capitalisation boursière aujourd'hui est 1,3 milliards US$ (1,2 milliards €). La valeur de son action a atteint son plus haut niveau récent le 07 janvier 2011 à 9,99 US$, et son plus bas niveau récent le 20 mars 2020 à 0,39 US$. New Gold possède 575 460 032 actions en circulation. |