As the new week kicks off, here’s a round-up of the Investing News Network’s top stories last week covering the coronavirus pandemic.
Another week has gone by in the global fight against the coronavirus pandemic, with people around the world slowly settling into the new normal brought by physical distancing, an active online social life and daily reports on COVID-19.
Governments continued to get stricter to contain the virus, with some countries implementing measures later than others. Last week, Mexico declared a national health emergency, and Argentina extended its lockdown until April 12. Global job losses also jumped, with the US reporting over 6.6 million claims for unemployment benefits in the latest week-long period.
The outbreak has now seen more than 1 million people get infected, with the death toll reaching over 52,600 as of Thursday (April 2). Of the more than 263,000 closed cases, over 210,000 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 Thursday.
INN’s COVID-19 coverage: Top stories this week
As the coronavirus continues to impact global markets, engaging online is quickly becoming the norm for communities around the world.
The mining space is no exception. Speaking in a Wednesday (April 1) webinar put on by Metals Investment Forum, Jay Taylor, Eric Coffin, Gwen Preston and Brien Lundin shared their thoughts on what’s happening in the wider economy and in the gold space specifically.
Each speaker discussed their own topics individually, but INN has gathered three main takeaways from the set of presentations as a whole. Click the link above for the experts’ thoughts on the yellow metal during these uncertain times.
The coronavirus has dictated a number of copper mine closures and project delays around the world as miners prioritize health and safety at their operations. However, supply disruptions won’t have a meaningful impact in the short term, according to Stefan Ioannou of Cormark Securities.
Speaking with INN, Ioannou said the overall dynamics of the market won’t be affected because, in the wake of the coronavirus outbreak, there’s also a significant erosion of demand and uncertainty.
“In terms of copper, the demand isn’t there,” he said.
Gold is known for being a store of value in tumultuous times, and the global market meltdown that’s now underway is driving that point home.
Physical demand for the yellow metal has spiked in recent weeks as people who are both new and experienced at buying gold rush for protection from economic turmoil. Major shortages of physical gold have developed, and the price of physical gold has risen noticeably higher than the spot price.
To find out more about what’s going on, the INN reached out to a number of US-focused experts in the space. Click the link above to learn what they said about why the yellow metal is suddenly in such short supply and what to do if you want to buy gold right now.
INN’s COVID-19 coverage: The bright side
All eyes are still on China as the word continues to look for positive signs of a recovery in the original epicenter of the pandemic. Consumer confidence is not there yet, but the Asian country “is doing a good job of bringing the economy back up,” according to Nick Colas of DataTrek Research. A poll by Reuters shows that analysts are expecting factory activity to see a recovery in March in China.
Last Thursday, in an effort to help developing countries address the immediate healthcare consequences of COVID-19, the World Bank approved the first emergency funds to help them in the fight against the pandemic. The bank approved US$1.9 billion to support projects in 25 countries, with projects in another 40 countries close to approval.
In commodities, despite having a volatile week, gold was trading above US$1,600 per ounce, while silver did nothing but trend upward by the end of the week, rebounding above US$14 per ounce.
Aside from coronavirus-related news, the mining space saw Alio Gold (TSX:ALO) and Argonaut Gold (TSX:ARG) merge in an at-market deal, and Premier Gold Mines (TSX:PG,OTC Pink:PIRGF) confirm its US$205 million offer for Centerra Gold’s (TSX:CG,OTC Pink:CAGDF) 50 percent interest in the Greenstone Gold Mines partnership. Meanwhile, Canada outlined plans to provide a 75 percent wage subsidy that could help the country’s mining sector.
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?
- 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.