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.
A new month has kicked off, bringing renewed hopes that the battle against the coronavirus may be taking a turn, with countries starting to outline plans to ease lockdowns while possible treatments for COVID-19 continue to raise optimism.
More than 3.27 million people have now been infected, with the death toll reaching over 232,000 as of last Thursday (April 30). Of the more than 1.26 million closed cases, over 1.03 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
Gold has risen 34 percent since the end of last April, when it was at about US$1,275 per ounce, and is one of the few commodities that has benefited from the current unpredictability seen in the markets.
But while gold has hit record highs across consumer and producer currencies, the yellow metal is still below its peak US dollar value.
“It has set fresh all-time highs across a multitude of other currencies — the Australian dollar, the euro, the South African rand, the CNY and the Indian rupee,” explained Suki Cooper during her presentation at the World Gold Forum, a recent event that was held remotely.
Investors often hear that they should include gold in their portfolios, and with the yellow metal’s price on the rise this year those calls are only getting stronger.
Speaking in a webinar last Tuesday (April 28), Mark Stacey, head of portfolio management at AGF Investments, made the case for why gold is at a tipping point, saying that now is the time for investors to seriously look at adding it to their portfolios if they haven’t already.
“I think there’s a number of reasons why people have not been investing in gold, but now is the time to consider it — it should be part of your portfolio,” he said.
It would have been impossible to predict what 2020 had in store for the markets and the global economy, but what will the most powerful countries do in a post-COVID-19 world?
“The stimulus that is out there is coming (in) at more than US$10 trillion,” said Kovacevic, who is CEO of CopperBank. “And how will these three blocks use this money to stimulate the economy? … I think most of this money will go into modern infrastructure.”
INN’s COVID-19 coverage: The bright side
Last week, an experimental drug called remdesivir raised hopes that the fight against COVID-19 may be closer to an end. Initial data in a study shows that it shortens the recovery time of hospitalized patients.
Daniel O’Day, CEO of Gilead Sciences (NASDAQ:GILD), which manufactures the drug, said the major biopharmaceutical company will focus on making remdesivir accessible and affordable to as many people as possible once it is approved.
In commodities, gold was still hovering around the US$1,700 level for most of the week, with silver also trading around the US$15 per ounce mark. Base metals were also holding onto gains, with nickel testing the US$12,000 per tonne level.
Aside from coronavirus-related news, last week the mining space saw Silvercorp Metals (TSX:SVM,NYSE:SVM) announce plans to buy Guyana Goldfields (TSX:GUY) in a C$105 million cash and stock deal. Meanwhile, billionaire Eric Sprott invested C$60 million in MAG Silver (TSX:MAG,NYSEAMERICAN:MAG). Sprott recently said that the obvious purchases today are gold and silver — the physical metals themselves.
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.