| Gold Is Resilient to the Fed’s Likely Questionable Liftoff Move | |
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Gold Is Buoyant despite Falling Equity Markets FOMC meets on Wednesday
The FOMC (Federal Open Market Committee) meeting on Wednesday, August 19 was more subdued than hawkish. Investors were expecting a likely settlement on the decision of a rate hike, but that didn’t happen. A liftoff in the near term, say September, may have adverse effects on the precious metal lovers.
With the confusing reviews from the Fed on Wednesday, gold on COMEX rose 2.20% on August 20 and closed at $1,153.20 per ounce. Silver for September expiry also rose almost equivalent to gold and settled at $15.56 per ounce. In contrast, platinum rose ~2.10% and palladium rose 2.20%. The volumes for the precious metals were slightly higher than the previous trading day—August 19. The other precious metals, like platinum and palladium, are also following the herd.
The Fed’s minutes suggested that a confidence stratum should exist before the liftoff. The unfavourable economic indicators like the CPI (consumer price index), manufacturing sales, and consumer confidence will likely delay the rate hike. Although an approaching rate move is confirmed, when it occurs is the question. The overall outcome of the meeting wasn’t conclusive. It had wide-ranging opinions.
ETFs
The SPDR Gold Shares ETF (GLD) rose 1.70% on August 20 and closed at $110.44 per share. It has risen 3.71% in August. The volume has seen an upswing compared to the early days in August. Gold has risen during the month. The iShares Gold Trust ETF (IAU) rose 3.78% in a month.
The Market Vectors Gold Miners ETF (GDX) also saw a rise of 2.62% in a month. Member companies of the Market Vectors Gold Miners ETF (GDX), like Franco-Nevada (FNY), Agnico-Eagle Mines (AEM), Pan America Silver (PAAS), and First Majestic Silver (AG) also showed positive returns in August. Together, these companies account for ~9% of GDX.
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Pan American Silver Corp.
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PRODUCER |
CODE : PAAS |
ISIN : CA6979001089 |
CUSIP : 697900108 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Pan American Silver is a silver producing company based in Canada. Pan American Silver produces silver, copper, gold, lead and zinc in Argentina, in Bolivia, in Mexico and in Peru, develops gold and silver in Mexico, and holds various exploration projects in Argentina and in Mexico. Its main assets in production are QUIRUVILCA MINE, HUARON and MOROCOCHA in Peru, LA COLORADA, ALAMO DORADO, LLUVIA DE ORO and DOLORES MINE in Mexico, SAN VICENTE in Bolivia and MANANTIAL ESPEJO in Argentina, its main asset in development is LA PRECIOSA in Mexico and its main exploration properties are ORO BLANCO, EL DURAZNO, SAN ANTONIO ORO BLANCO, SANTA LUCIA, REAL VIEJO, PLANCHAS DE PLATA, LA DURA, LA RESERVA / EL CORREO, LA VIRGINIA GOLD/SILVER, LA CRUZ and LA BOLSA in Mexico, FLAMINGO, ESPEJO, REGALO, NAVIDAD, CALCATREAU, HOG HEAVEN, WATERLOO and LOMA DE LA PLATA (NAVIDAD) in Argentina, RIVER VALLEY PGM in Canada and PICO MACHAY in Peru. Pan American Silver is listed in Canada, in Germany and in United States of America. Its market capitalisation is US$ 2.9 billions as of today (€ 2.7 billions). Its stock quote reached its lowest recent point on November 07, 2008 at US$ 10.01, and its highest recent level on April 26, 2024 at US$ 19.06. Pan American Silver has 153 176 265 shares outstanding. |