FGLD - Precious metals miners slide as gold dips below $2000

2023-04-19 08:40:47 ET

Gold tumbles below $2,000/oz on Wednesday, pressured by hawkish commentary from Federal Reserve officials, which is prompting expectations of another rate hike ahead.

Benchmark U.S. Treasury yields rose to a near one-month high, lifting the dollar, which makes gold less affordable for buyers holding other currencies.

Comex gold for June delivery -1.7% to $1,985/oz, and May Comex silver -1.7% to $24.83/oz.

ETFs: ( GLD ), ( NYSEARCA: GDX ), ( GDXJ ), ( IAU ), ( NUGT ), ( PHYS ), ( GLDM ), ( AAAU ), ( SGOL ), ( BAR ), ( OUNZ ), ( FGLD ), ( SLV ), ( PSLV ), ( SIVR ), ( SIL ), ( SILJ ), ( SLVP )

Precious metals mining stocks are indicated lower in U.S. pre-market trading, including AngloGold Ashanti ( AU ) -5% , Harmony Gold ( HMY ) -4.2% , Eldorado Gold ( EGO ) -3.1% , Kinross Gold ( KGC ) -2.9% , Fortuna SIlver Mines ( FSM ) -2.8% , Sibanye Stillwater ( SBSW ) -2.7% , Coeur Mining ( CDE ) -2.7% , Gold Fields ( GFI ) -2.5% , Barrick Gold ( GOLD ) -2.2% , New Gold ( NGD ) -2.2% , Newmont ( NEM ) -2.1% , Agnico Eagle Mines ( AEM ) -2.1% , First Majestic Silver ( AG ) -2% , Wheaton Precious Metals ( WPM ) -2% .

Gold's drop was caused as the markets readjusted expectations of the Fed's rate-hike path , Saxo Bank's Ole Hansen told Reuters, adding gold's rally has only been delayed as the market re-prices when rates would peak.

Bolstered by bets that the Fed may be close to ending its rate-hiking cycle, gold has been holding close to record highs set in 2020 .

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