Downturn in Gold Miners Signals Strength in Equities and Vice Versa
Tweet
Share
E-mail
Gold mining stocks have been the favorite hiding place for investors whenever markets get panicky. Many investors prefer the gold miners ETF (NYSE: GDX) to spot gold (NYSE: GLD) as a short term play because miners tend to be slightly cushioned relative to the spot, which can prove to be important in very negative risk-off days. GDX has also underperformed relative to the spot on a longer term basis, say traders, and this makes it even more appealing.
Today GDX is lower by 0.64 percent, as the broader market and SPY trade higher by the same amount.
Today GDX is lower by 0.64 percent, as the broader market and SPY trade higher by the same amount.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Warsh: Inflation Data Don’t Suggest Trend Meaningfully Improved
- Crude Inventory Rose 0.1 Million Barrels Last Week - EIA
- SPDR Gold Trust (GLD) spreader of 115,876 contracts of September 420 and 430 calls as share price up 1.22%
Create E-mail Alert Related Categories
ETFsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
