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Gold Stocks Look Cheap Compared to the S&P 500—What’s Next?

Annie Gilroy
Gold Stocks Look Cheap Compared to the S&P 500—What’s Next?

Along with gold, gold miner stocks (GDX) (NUGT) are also seeing a lot of selling pressure lately. Gold equities are essentially a leveraged play on gold prices and as such, they usually move in the direction of gold prices with greater intensity. On August 15, the VanEck Vectors Gold Miners ETF (GDX) has lost 20.0% of its value YTD, almost double the losses seen by the SPDR Gold Shares ETF (GLD).