Aussie gold stocks lose shine in H1 as economic woes overshadow strong prices

Ramelius Resources

28/06/2024 24:20

** Australian gold stocks  .AXGD  are on track to retreat
1.4% for H1, as broader economic concerns in Australia took the
steam out of strong gains in the bullion
    ** The sub-index rose over 11% in both H1 and H2 2023; AXGD
underperforms 2.2% rise in the benchmark index  .AXJO  H1 2024
    ** Although gold prices hit record highs earlier in the year
and is currently trading at elevated levels, Australian gold
sub-index has materially underperformed prices  GOL/ 
    ** High inflation in Australia, low GDP, interest rates
remaining at a 12-year high and a rate hike now in picture has
weighed on the performance of gold stocks
    ** Gains in U.S. dollar  =USD  in recent weeks also weighed
on the sub-index
    
    ** Shares of gold miners Northern Star Resources  NST.AX 
and Evolution Mining  EVN.AX  are on track to retreat 4.7% and
12.9% for H1, respectively 
    ** Ramelius Resources  RMS.AX  on track to rise over 12% on
making a takeover offer for Canada-based mine operator Karora
Resources  KRR.TO 
    ** RMS hit a 3-1/2-year high in April 22 on hiking
production forecasts

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Australian gold stocks performance in 1H 2024    https://tmsnrt.rs/3zjf2eL
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 (Reporting by John Biju in Bengaluru)
 ((John.Biju@thomsonreuters.com;))