The spot price of gold has erupted in 2019. The yellow metal has benefited from tailwinds like the dovish turn from central banks in the developed world, as well as heightening global trade tensions. Gold has regained some of the momentum it lost in the late summer in early October as many top international indices are being hit with turbulence.
Gold was holding steady above the $1,500 mark at the time of this writing. Prices built momentum after United States Federal Reserve chairman Jerome Powell indicated that the central bank would seek to expand its balance sheet "soon". Easing monetary policy has been bullish for gold in 2019, and this will continue to be the case as we look ahead to the next decade.
New Gold (TSX:NGD)(NYSE:NGD) is a Toronto-based miner that possesses gold, silver, and copper-producing assets. Shares of New Gold have climbed 31% in 2019 so far.
New Gold is one of the few value adds in this sector even after enjoying a nice run-up so far this year. The stock possesses a price-to-earnings ratio of 21 and a favourable price-to-book value of 0.7.
Kinross Gold (TSX:K)(NYSE:KGC) is another top Canadian gold miner. Its stock has increased 48% in 2019 so far. The company’s CEO J. Paul Rollinson recently said that the spot price of gold had established a price floor of $1,500 due to favourable broader trends.
Kinross is set to release its Q3 2019 results in early November and I still like its price as the yellow metal looks as strong as ever in the final three months of this year.
