Coronavirus Round-Up: US Job Losses Hit 20 Million

Another week of battle to contain the coronavirus outbreak has kicked off, with unemployment numbers pointing at the negative impact the pandemic is having on the global economy. 

In April, the US economy lost 20.5 million jobs, which is the steepest plunge in payrolls since the Great Depression. Canada also hit a record high, with almost 2 million jobs lost last month.

More than 3.88 million people have been infected, with the death toll reaching over 268,000 as of last Thursday (May 7). Of the over 1.59 million closed cases, more than 1.33 million have recovered.

To keep investors up to date with what’s been going on in the mining industry related to COVID-19, we’ve put together a round-up of the Investing News Network’s (INN) top stories last week on the pandemic. All information and data were current as of last Thursday.

INN’s COVID-19 coverage: Top stories this week

1. Incrementum: Every Gold Dip Should be Bought Right Now

In a keynote at the recent World Gold Forum, Ronald-Peter Stoeferle of Incrementum honed in on gold’s recent performance, suggesting that at this point it’s time to take the opportunity to buy.

Stoeferle, who is a partner at Incrementum and the originator of the annual In Gold We Trust report, explained that a bull market has three stages: accumulation, public participation and distribution.

“I think we’re in the first third of this public participation phase, so every dip should probably be bought,” he told listeners at the online event.

2. Gwen Preston: Gold is Exciting Right Now, Don’t Limit Your Ability to Profit

During a comprehensive overview of the gold market for a Metals Investor Forum webinar, Gwen Preston explained why all signs point to gold, and how to take advantage of the rising tide.

Recounting the factors that have created the current gold bull market, the Resource Maven noted that the most pro-gold factor at the moment is negative real interest rates.

“If we look at the US 10 year, it’s currently yielding 0.6 percent. If you take inflation away from that, you end up paying over a percent to own US debt right now,” she said.

3. 3 Experts Share Ideas on Opportunities and Challenges Amid Uncertainty

Commodities and markets across the board have been hit hard since the start of 2020, but many still believe there are big opportunities for investors during this uncertain time.

Speaking at a Mining Beacon webinar last Wednesday (May 6), Adrian Day of Adrian Day Asset Management, Jayant Bhandari of Anarcho Capital and Matt Fifield of Pacific Road Capital shared their investment ideas and thoughts on the current season.

INN’s COVID-19 coverage: The bright side

Last week, the rate of increase in COVID-19 fatalities globally cooled on Thursday after three straight days of accelerating, according to the Financial Times.

The US and China also agreed to push forward with their agreed Phase 1 trade deal, which increased investor confidence by the end of last week, pushing global stock markets higher.

In commodities, gold broke past US$1,720 per ounce, with silver almost reaching US$15.50 per ounce. In base metals, copper was trading around the US$5,200 per tonne level by the end of the five day period, up almost 9 percent since the beginning of Q2.

More COVID-19 coverage from INN

Click the links below for more of INN’s commodity-specific coverage of COVID-19:

• Gold and COVID-19: Who’s Reacting and How?
• Silver and COVID-19: Who’s Reacting and How?
• Platinum, Palladium and COVID-19: Who’s Reacting and How?
• South African Economy Uncertain as COVID-19 Closes Mines
• Copper and COVID-19: Who’s Reacting and How?
• COVID-19: Copper Mines Impacted by Coronavirus Measures
• Zinc and COVID-19: Who’s Reacting and How?
• Lithium and COVID-19: Who’s Reacting and How?
• Cobalt and COVID-19: Who’s Reacting and How?
• Diamonds and COVID-19: Who’s Reacting and How? 
• Potash and COVID-19: Who’s Reacting and How?

Don’t forget to follow us @INN_Resource for real-time updates!

Securities Disclosure: I, Priscila Barrera, hold no direct investment interest in any company mentioned in this article.