DJE - Gold & Ressourcen PA (EUR)
- As at:
- 139.26 EUR
- 146.22 EUR
In October the DJE - Gold & Ressourcen fell -0.56%. Its benchmark index (60% Philadelphia Stock Exchange Gold and Silver Index, 20% Reuters/Jeffries CRB Index, 20% MSCI World Materials Sector Index (EUR)) rose 3.47%. Gold mining stocks performed well in October. The XAU gold mining index rose 8.23% in US dollar terms and 5.87% in euro terms due to the depreciation of the US dollar against the euro in October. Gold mining stocks thus performed better than the gold price itself. The price recovered from previous month's declines and rose 2.75% in US dollars and from USD 1,472 to USD 1,512.99 per ounce. Calculated in euros the price increase was lower (0.42%/ 1,356.62 EUR/ounce) due to the depreciation of the US dollar. Further support for gold is likely to come from the weak Chicago Purchasing Managers' Index published at the end of October. This could contribute to economic pessimism and new interest rate lowering fantasies which in turn should further support gold. The continued Brexit uncertainty should also continue to support gold. As long as real interest rates are falling or remain at current levels the gold price should be able to continue its upward trend. The uncertainty of investors, the investment crisis and a depreciation of the most important currencies supported by the central banks continue to speak for the alternative currency gold. The highest performance contributions in October came mainly from positions in the gold mining segment. The South African gold producers Gold Fields, Anglogold Ashanti and Sibanye Gold delivered particularly strong results. On the other hand, positions at the Australian gold producers Northern Star Resources (Australia), Evolution Mining and Newcrest Mining had a negative impact. The weighting of gold mining stocks at the end of October was unchanged at approx. 63% (previous month 63%). The focus continues to be on solidly financed producers that generate positive free cash flows even at lower gold prices and also have a certain growth perspective. Broader commodities/chemistry stocks closed generally worse than gold mining stocks in October: MSCI World Materials (+0.11% in €); (CRB commodities index -0.52%) - both in euro terms. At the end of the month values denominated in US dollars were partly hedged.