Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Despite analysts’ optimistic forecasts for the end of the year, gold futures finished at their lowest level in more than two weeks on Monday.
December Comex gold was last down $3.20 an ounce at $1,313.80. December Comex silver was last down $0.349 at $18.865 an ounce.
The British pound took a hit from news that the U.K. aimed for a clear break from the European Union, while rumours about the Deutsche Bank negotiating a reduced settlement with the U.S. Department of Justice took buying interest away from the safe-haven metal.
Data on U.S. manufacturing also weighed on prices for gold. According to the The Institute for Supply Management, the U.S. manufacturing index rose to 51.5% last month after its August plunge. Thus, the dollar gained on these stronger-than-expected results, while investors are trying to figure out, by looking at jobs stats later this week, whether U.S. interest rates will rise by the year end.
