Gold mining ETFs rebounded last week following a disappointing year. And now it seems silver, also on the heels of an incredibly long slide, might be on the way up as well. Both precious metals rebounded in early trading, and this has been good news for precious metal ETFs. And it’s been exceptional news for mining ETFs - while the prices of gold and silver both continue to rise, production costs for mining them remain low.
On the silver side, ProShares Ultra Silver (AGQ) is up 9.69 percent to hit $18.45 a share, though they’re still way down from their 52 week high of $60.63 a share. The top performing silver mining ETF was iShares MSCI Global Silver Miners (SLVP) , which saw a 7.24 increase to hit $12.88 a share.
Market Vectors Junior Gold Miners ETF ($GDXJ) which specializes in smaller gold mine companies, shot up 8.55 percent to hit $42.64 a share. Continuing their impressive uptick on July 19, Direxion Daily Gold Miners Bull 3X Shares ($NUGT) shot up 18.36 percent to hit 7.75 a share. But they’re still way, way down form a 52 week high of $97.05 a share.
Popular gold-mining company investment bundle Market Vectors Gold Miners ETF ($GDX), which focuses on larger mining concerns, posted a 5.95 percent gain to hit $27.40. The ETF is weighted 11.97 percent towards mining concern Goldcorp, Inc. (GG) who shot up 6.4 percent. Goldcorp announces earnings on July 25.
All in all, eight out of 10 of July 22's best performing ETFs were associated with either gold or silver. Analysts, though, are still bearish on gold and silver's outlook for 2014.
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