Gold miner exchange traded funds were among the best-performing sector ETFs on Tuesday as the precious metal continued to march toward $1,800 an ounce.
The ETFs are testing their 200-day simple moving average, a technical level that has acted as resistance the past month.
Gold miner stocks have underperformed bullion prices in recent years but some investors are looking for miners to close the valuation gap.
Market Vectors Gold Miners is down 4.6% for the trailing year, compared with a 25% gain for the bullion ETF over the same period, according to Morningstar.
Silver ETFs rallied more than 4% on Tuesday. [Silver ETFs Advance; Metal Retakes $36]
Market Vectors Gold Miners
Full disclosure: Tom Lydon’s clients own GLD.