Stand 30.06.2021
April aold prices fnished at $1,694 per ounce, up 7.4%, as steady demand for physical aold exposure rose throuahout the month. Gold stocks, too, were in steady and risina demand durina April. B2Gold, Wheaton Precious Metals and Gold Fields put up very aood performance as investors souaht out exposure to laraer mid-cap names with quality balance sheets. Operatna results for 1Q20 are now beina reported and look quite aood. Many operators did not see a sianifcant impact from recent mine suspensions and shutdowns, as many of those occurred in March, while hiaher aold prices are clearly benefina the sector. Gold minina industry producton estmates suaaest about 3-4% of annual producton will be postponed or realized later this year or in 2021. As such, cash costs are up sliahtly too, on a cost per unit of producton basis, about 2-3%. hose costs increases are ofset by hiaher aold prices, which in aeneral, despite mine suspensions, have also made many mine assets much more valuable. Lower oil prices and relatvely weaker currencies for some operatons are also ofseina hiaher unit costs for some operatons. We have made no chanae to the overall investment strateay with a contnued focus on quality companies with cashed up and sound balance sheets that operate eecient and safe mines. he strona performance durina the past month could lead to some proft takina and result in a typical seasonal correcton as summer months beain. he aold price is very well supported by broad demand from investors addina aold positons to ofset other, more volatle market exposure, which should be supportve of aold prices well above $1,500 per ounce.