Newmont Sees a Less Lustrous 2020 in Light of COVID-19 Outbreak
In times of financial and political uncertainty, the conventional wisdom is that investors will run toward safe-haven investments like gold. But during these unprecedented times, investors aren't finding any comfort in the yellow stuff.
While the S&P 500 has plunged 32% over the past month, the price of gold has fallen about 8%. Similarly, the stocks of gold miners seem to be falling out of favor with investors. Newmont Corporation (NYSE: NEM), for example, has plummeted nearly 14% over the past month.
Presumably, the circumstances surrounding the drop in Newmont's stock can be attributed to investors' uncertainty regarding how the COVID-19 outbreak will affect the mining company's operations. On Monday, though, shareholders gained some insight as the company announced that it was withdrawing its 2020 mineral production forecast while suspending operations at several mines.
Source Fool.com
