TLDR;
This video provides a weekly update on the mining industry, focusing on gold's record-breaking price surge, the Federal Reserve's interest rate cut, and significant transactions and developments within the gold mining sector. It also touches on changes in the VANC Gold Miners ETF (GDX) and upcoming events like the Zigun Gold International IPO.
- Gold price hits new record, influenced by Fed rate cut.
- Newmont and Alamos Gold announce divestments.
- Zigun Gold International plans a major Hong Kong IPO.
- VANC Gold Miners ETF (GDX) tracks a new index, impacting holdings.
Intro [0:00]
Charlotte Mloud from investingnews.com introduces the weekly update, highlighting the biggest stories in the mining industry. Viewers are encouraged to like the video, subscribe to the channel, and leave comments.
GOLD [0:17]
Gold reached a new price record, surpassing $3,700 per ounce, following the US Federal Reserve's meeting where a 25 basis point interest rate cut was announced, bringing the range to 4 to 4.25%. Fed Chair Jerome Powell described the cut as a risk management measure, shifting focus towards the jobs market despite inflation remaining above the 2% target. Steven Moran, a new Fed governor, dissented, preferring a 50 basis point cut. Will Rind of Granite Shares suggests gold has become an alternative to the US dollar, surpassing the euro in official reserve holdings and appealing to investors due to its lack of credit or counterparty risk amid geopolitical concerns and currency debasement.
BULLET BRIEFING [3:36]
The Denver Gold Group hosted its mining forum in Colorado Springs, featuring Newmont's sale of its Yukon-based coffee project to Forte Metals for up to $150 million, part of Newmont's strategy to cut costs after acquiring Newest Mining in 2023. Alamos Gold plans to sell its Turkish subsidiary to Nural Holding for $470 million, which includes the Karassi Gold project, blocked since 2019. Zigun Gold International is preparing for a Hong Kong IPO that could raise over $3 billion, valuing the company at $24.1 billion, with trading set to begin on September 29th. The VANC Gold Miners ETF (GDX) began tracking a new index, the Market Factor Global Gold Miners Index, on September 19th, resulting in changes to its holdings, including a decrease in Newmont's weighting by 6.04%.
OUTRO [6:33]
The host concludes the update, encouraging viewers to like the video, subscribe to the channel, and share their thoughts in the comments.