|Day's Range||27.00 - 29.30|
ETF Trends CIO & Director of Research Dave Nadig joins Seana Smith on The Ticker to discuss his top ETF picks amid market volatility surrounding the coronavirus outbreak.
Movers Indices • S&P 500 ETF (NYSE:SPY) rose 2.18% to $259.53.• Nasdaq ETF (NASDAQ:QQQ) rose 3.02% to $190.90.• Dow Jones Industrial Average ETF (NYSE:DIA) increased 2.14% to $221.24.• FTSE/Xinhua China 25 ETF (NYSE:FXI) rose 2.74% to $37.07.• FTSE Europe ETF (NYSE:VGK) increased 0.86% to $42.98.Commodities • United States Oil ETF (NYSE:USO) fell 4.36% to $4.28.• Gold ETF (NYSE:GLD) increased 0.09% to $152.42.Bonds • 20+ Yr Treasury Bond ETF (NASDAQ:TLT) increased 0.85% to $169.13.Industries • Retail ETF (NYSE:XRT) decreased 0.03% to $30.03.• Energy (NYSE:XLE) increased 0.62% to $28.50.• Technology (NYSE:XLK) rose 3.61% to $81.49.• Financial (NYSE:XLF) rose 0.86% to $21.18.Stocks Higher • Johnson & Johnson (NYSE:JNJ) increased 6.98% to $131.88.• BioNTech (NASDAQ:BNTX) increased 13.42% to $62.38.• Owens & Minor (NYSE:OMI) rose 32.73% to $7.30.Stocks Lower • ING Groep (NYSE:ING) decreased 9.27% to $5.48.• Groupon (NASDAQ:GRPN) decreased 21.88% to $1.Top News • Benzinga Pro's Stock To Watch For Mon., Mar. 30, 2020: Johnson & Johnson (JNJ) https://www.benzinga.com/pre-market-outlook/20/03/15693692/benzinga-pros-stock-to-watch-for-mon-mar-30-2020-johnson-johnson-jnj• Carly Fiorina Blasts Corporate Bailout Funding In $2T Coronavirus Relief Bill https://www.benzinga.com/general/politics/20/03/15690587/carly-fiorina-blasts-corporate-bailouts-funding-in-2t-coronavirus-relief-bill• Mercedes F1 Develops Breathing Aid That Eliminates Need For Ventilators https://www.benzinga.com/news/20/03/15691133/mercedes-f1-develops-breathing-aid-that-eliminates-need-for-ventilators• 31 Stocks Moving in Monday's Pre-Market Session https://www.benzinga.com/news/20/03/15692662/31-stocks-moving-in-mondays-pre-market-session• Mark Zuckerberg And Priscilla Chan Donate $25M To Gates Foundation Coronavirus Accelerator https://www.benzinga.com/news/20/03/15690761/mark-zuckerberg-and-priscilla-chan-donate-25m-to-gates-foundation-coronavirus-acceleratorUpcoming Earnings • CUI Global (NASDAQ:CUI) will release earnings today for Q4. Last year, for the same quarter, they reported an EPS of -$0.1 and revenue of $26,952,000. Analysts predict the revenue to be around $5,950,000 and the EPS to be at -$0.11.Earnings Recap • Cal-Maine Foods (NASDAQ:CALM) reported earnings today for Q3, higher than consensus estimates. They reported an earnings per share of $0.28, and sales of 345,588,000. Last year, for the same quarter, they reported an EPS of $0.82 and revenue of $383,992,000.See more from Benzinga * Cal-Maine Foods: Q3 Earnings Insights * 5 Communication Services Stocks Moving In Monday's Pre-Market Session * 18 Healthcare Stocks Moving In Monday's Pre-Market Session(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Benzinga's PreMarket Prep airs every morning from 8-9 a.m. ET. During that fast-paced, highly informative hour, traders and investors tune in to get the major news of the day, the catalysts behind those moves and the corresponding price action for the upcoming session.On any given day, the show will cover at least 20 stocks determined by co-hosts Joel Elconin and Dennis Dick along with producer Spencer Israel.For those who don't have the time to tune in live or listen to the podcast, Benzinga will highlight one stock that merits further discussion. This analysis is not a buy or sell recommendation.Not only have stocks been volatile as of late, but so have the futures markets. One of the most popular futures markets is gold. For those not wanting to venture into the futures markets, a similar ETF that mimics the moves in gold is the SPDR Gold Trust (ARCX: GLD).A Gold ETF As described by ETF.com, the GLD is the largest ETF to invest directly in physical gold. Its structure as a grantor trust protects investors: trustees cannot lend the gold bars. Yet taxes on long-term gains can be steep, as GLD is deemed a collectible by the IRS.It is extremely liquid, trading at miniscule spreads.Different Trading Hours Than Futures One disadvantage to trading the ETF instead of the futures market: limited trading hours. While the futures market trades nearly on a 24-hour basis, GLD does not. After-hours trading takes place from 4-8 p.m. EST and premarket trading is from 4-9:30 a.m. EST.Movement in the spot gold and futures market will not be reflected in the share price during those time periods. During those times, there are often huge price fluctuations that can work for or against your position.Gold, Gold Stocks Not Always A Safe Haven The primary reason investors put some of their portfolio in gold is that it is perceived as a safe haven or a hedge against declines in the stock market.On many occasions, this turns out to be true. In the recent market downturn, almost everything was crushed -- including the metals markets.The reason is that the meltdown in the global equities markets triggered forced liquidation in all markets, including the commodities and a surge in the U.S. dollar.Technical Take On The Gold Futures At the onset of the massive decline in the equites, gold futures acted a safe haven, As the market began to crater in later February, the April gold futures made a seven-year high on March 9 ($1,704.30) and ended that session at $1,675.70 before the bottom fell out.Over the next five days, it made a new low for the year by $75, falling to $1,450.90 on March 17 and rebounding to the end the session at $1,486.50.As quickly as it fell, gold bounced back over the next six sessions, peaking on Wednesday at $1,699.30 before backing off to end the day at $1,633.50.At this time, you have to respect the major resistance at the psychological $1,700 area.For those investors looking for another leg higher, that is the major hurdle gold has to clear. If not, a breach the matching lows from Wednesday ($1,615.20) and as of Noon EST Thursday ($1,611) could indicate a another retreat.Gold was trading at $1,637 per ounce at the time of publication Thursday, according to goldprice.org. The SPDR Gold Trust was 1.84% higher at $154.08. See more from Benzinga * PreMarket Prep Stock Of The Day: Nike * PreMarket Prep Stock Of The Day: General Electric * PreMarket Prep Stock Of The Day: Boeing(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
When the economy transitions from expansion to contraction and the market transitions from a bull to a bear, investors can't expect all the same stocks and funds to outperform and the same investing strategies to continue to work.Economic fears due to the spread of the COVID-19 coronavirus has led the market to plummet in the past month, with the Dow Jones Industrial Average falling from the 30,000 level to under 19,000 earlier this week.Investors priorities flip from maximizing gains to minimizing risk, and buying volume rotates into brand new pockets of the market. The past few weeks of trading in the market may seem like total chaos, but a closer look reveals certain groups of stocks and funds are outperforming others.Here are eight ETFs to consider that could outperform during a U.S. recession.Benzinga is covering every angle of how the coronavirus affects the financial world. For daily updates, sign up for our coronavirus newsletter.1\. Health Care SPDR (NYSE: XLV) The health care sector is one of the main sectors of the economy that has historically been a defensive place for investors to put their money during economic downturns.While other businesses are shutting down amid the COVID-19 outbreak, demand for health care services is booming. In the longer term, the fact that former Vice President Joe Biden has surpassed Senator Bernie Sanders as the likely Democratic presidential candidate further eliminates risks associated with a radical overhaul of the U.S. health care and pharmaceutical industries.In the past month, the XLV ETF is down just 21.6% compared to a 29.5% drop by the overall S&P 500.2\. Utilities SPDR (NYSE: XLU) Another potential place for investors to find safety during a recession is Utility stocks. In addition to its relative stability and downside valuation protection, the XLU ETF pays a generous 4.6% dividend yield.Utilities have historically outperformed during economic downturns because Americans must keep the lights on and water flowing no matter how bad it gets. Many utilities have limited competition and operate under strict government regulations, which further serve to create a stable earnings and revenue environment.Utilities may not be a sexy investment, but they can be an excellent source of reliable dividend income while interest rates are at 0%.3\. Consumer Staples Select Sect. SPDR (NYSE: XLP) Another market sector that performs relatively well when the economy tanks is the consumer staples sector.When Americans cut their spending in times of uncertainty, those cuts don't typically include toothpaste, toilet paper and laundry detergent. Consumer staples stocks are relatively recession-resistant, making them safe places to invest during market downturns. Over the past month, the XLP ETF is down just 19.4%, making it the best-performing SPDR sector ETF of all.As an added bonus, the XLP ETF pays a 3.1% dividend, so investors can get paid while they wait for the economy to recover.4\. SPDR S&P Dividend (NYSE: SDY) Not only do dividend stocks and ETFs provide yield for investors when interest rates are nearly 0%, many dividend stocks actually outperform the broad market during economic downturns. The SDY ETF pays a 3.3% yield, which is leaps and bounds better than the interest rates you'll find these days in U.S. Treasuries, high-yield savings accounts or certificates of deposit.The risk in buying high-yield dividend stocks is that the economic hardship will trigger a dividend cut. But dividend ETFs such as the SDY, which holds 120 different stocks, provide the type of diversification that protects against individual dividend cuts.5\. VANGUARD IX FUN/RL EST IX FD ETF (NYSE: VNQ) Real estate is another popular flight-to-safety investment, and real estate investment trusts often pay extremely high yields.The VNQ ETF holds 181 different investments that cover roughly two-thirds of the entire U.S. REIT market. Real estate has historically had relatively low correlation to traditional stocks and bonds, making the VNQ fund an excellent source of portfolio diversification. Investors also don't have to worry about REIT dividend cuts as they are obligated by law to distribute 90% of income to investors.The VNQ ETF currently pays a 5.5% yield and has an expense ratio of just 0.12%.See Also: Ray Dalio: What's Happening In The Markets Has Not Happened In Our Lifetime6\. SPDR Gold Trust (NYSE: GLD) The classic safe-haven investment during times of economic turmoil is gold. There are plenty of reasons investors buy gold during recessions. They argue that there is a limited quantity of physical gold in the world, although gold miners add roughly 3,300 tons of gold to the global supply annually. Gold buyers also see the precious metal as a hedge against inflation that could be triggered by central bank stimulus over time.Whatever the reason, the GLD ETF is down just 2.4% year-to-date, insulating investors from the majority of the broad market sell-off.7\. ISHARES TR/EDGE MSCI INTL VALU (NYSE: IVLU) Another way for investors to protect themselves during a recession is to rotate from growth stocks to value stocks.Value stocks typically have high profit levels relative to their share prices and tend to generate strong cash flows, have stable revenues and carry relatively low debt levels. Self-funding, blue-chip companies can be insulated from the type of uncertainty that is created if credit markets start to tighten. Many of these stocks also pay dividends.The IVLU is one good way for U.S. investors to get exposure to international value stocks and a 2.5% yield.See more from Benzinga * Bitcoin Is Still Failing As A Flight To Safety Investment * 7 Ways To Invest In Gold Amid Coronavirus Fears(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Gold's safe haven status has been challenged further this week as gold prices continue to decline. The commodity was down to $1,498 on Thursday as world stock markets continued to slump due to the coronavirus pandemic. More risk-averse investors have been displaying a marked preference for the dollar at the expense of bullion, according to FXTM analysts. "Gold has been left in the dollar's wake, as investors rush to lap up the greenback amid a liquidity crunch and fears that the global economy is hurtling towards a recession," said Han Tan, market analyst at FXTM. "With volatility in gold prices at its highest since 2008, bullion has not been spared by the market panic."Benzinga is covering every angle of how the coronavirus affects the financial world. For daily updates, sign up for our coronavirus newsletter.Once the liquidity squeeze eases and gold prices find more stable footing, investors concerned about the global economic outlook should eventually come back to the precious metal and send prices towards $1,600, according to FXTM. For the immediate term, should bullion prices weaken further, stronger support is set to arrive at the $1,400 psychological level, Tan said. Once gold is allowed to rediscover its equilibrium, that should serve as a platform for bullion to make its way toward $1,600, the analyst said. Price Action The SPDR Gold Trust (NYSE: GLD) was trading down 0.53% at $139.95 at the time of publication Thursday and the VanEck Vectors Gold Miners ETF (NYSE: GDX) was trading up 7.27% at $21.11.Related Links:Commodities Analyst Says Oil Price Slump Hammers US Shale Companies: 'Supply And Demand Are Going In Opposite Directions'Oil Prices Fall To 17-Year Low, OPEC And IEA Warn Of 'Major Consequences' For Developing CountriesSee more from Benzinga * Williams-Sonoma Reports Q4 Earnings Beat * Five Below Reports Q4 Earnings Beat, Temporarily Closes Stores * Ford, GM And Fiat Chrysler To Shut Down US Factories: Report(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
The outlook for gold prices looks bullish even though the metal’s price has declined today. Investors started to rotate back into risk assets, boosting stock indices. Most analysts agree that the overall outlook for gold is an uptrend as concerns about the coronavirus and a price war in oil continue. Gold outlook is "bulletproof" In his daily commentary, OANDA […]
While gold prices plummeted roughly $80 as most asset classes are tanking after coronavirus panic has spiraled out of control, the precious metal may still be working as it is supposed to be according to some experts.
Gold sank like a rock last week. But it was the Vaneck Vectors Gold Miners ETF (NYSEARCA:GDX) where panic selling was fully embraced. Let's examine what's happening off and on the price chart and determine whether GDX stock is a more worthwhile buy, sell, or hold-off proposition for your portfolio in today's market.Source: Shutterstock Some gold investors might be asking the question, 'what just happened?' And the answer isn't entirely clear, other than the listed and highly-liquid SPDR Gold Trust (NYSEARCA:GLD) tumbled 3.05% Friday to cap off a weekly decline of just over 9%. In total, the selling pressure was the fiercest for the hard asset since September 2011.The aggressive selling in gold comes on the heels of the precious metal narrowly hitting seven-year highs out the gate last Monday. But the metal's status as a safe haven was quickly compromised by a couple drivers to varying degrees.InvestorPlace - Stock Market News, Stock Advice & Trading TipsA surprise rate cut by the Federal Reserve and other stimulus packages to combat the COVID-19 economic fallout may have found some gold investors attempting to rotate unsuccessfully into U.S. debt markets during the week. Gold investors may also be guilty of rotating prematurely into equities during the week as well. * 7 Drowning Energy Stocks to Avoid for Now Undoubtedly, Friday's massive oversold rally in the broader averages and better-than-expected March consumer sentiment report also played a hand in gold's fast price collapse. Lastly, analysts point to forced selling in the metal to cover losses in other risk assets, as well as a way for gold investors to simply raise cash in a crisis that's still far from finished. Recovery TBDBut as bad as it was for straight-up gold investors, on the back of those same drivers, it was gold mining companies and GDX which fared even worse. Bottom-line, with the smallest businesses to largest household names from Microsoft (NASDAQ:MSFT) to Disney (NYSE:DIS), or Coca-Cola (NYSE:KO) taking costly preventative measures, it would be nearsighted to believe mining companies will prove immune to similar actions and economic hardships. Right?Others appear to see the connection in a big way. Industry giants and heavily-weighted ETF constituents Newmont Corp (NYSE:NEM), Barrick Gold (NYSE:ABX), Franco-Nevada Corp (NYSE:FNV) and Wheaton Precious Metals (NYSE:WPM) fell 7% to 21% on the week. Still and maybe somewhat ironically, diversification fared even less well as GDX investors saw shares plummet nearly 15% Friday and 41% for the five-day period. GDX Monthly Price Chart Source: Charts by TradingViewThe good news is, if you're thinking the panic selling in GDX may be a bit too extreme, the monthly price chart is trying to promote that belief. With shares of GDX indicated to fall again out the gate Monday, prices in the ETF will be challenging a key area of technical support from $16 - $17.The technical zone is backed by the instrument's 76% retracement level of its five-year cycle low-to-high, as well as lateral and angular support lines formed over the last couple years. It's an interesting spot to consider picking up stock in the gold mining ETF. That being said, I'd suggest holding off on any purchases within the framework of a falling knife.A failure to hold price support could lead to a continued quick plunge towards $13 and the 2015 low in GDX. As much, today's recommendation is for investors to monitor shares for a flattening of the monthly stochastics or a bullish crossover on the weekly time frame. Should that play out and $16 level hold on the price chart, then taking out the shovel and buying stock in a less risky safe haven makes appreciably more sense.Investment accounts under Christopher Tyler's management do not currently own positions in any securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional options-based strategies, related musings or to ask a question, you can find and follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * America's Richest ZIP Code Holds Wealth Gap Secret * 7 Drowning Energy Stocks to Avoid for Now * 10 SPAC IPO Stocks to Buy As the Market Enters Bear Territory * How Does the Coronavirus Impact the 5 Biggest U.S. Stocks? The post Where and When to Shovel GDX into Your Portfolio appeared first on InvestorPlace.
World markets have been pummeled overnight, bringing CME index futures to a crashing halt while U.S. equity funds forecast that the S&P 500 and Nasdaq 100 will open nearly 10% lower on Monday morning. More sophisticated market players have taken steps to hedge their portfolios through options, inverse funds, and a few commodities. Beginner and intermediate investors don't have that luxury because poorly timed or placed hedges can blow up into major losses that make things even worse.
Stocks put together a mild bounce on Friday, following Thursday's beating. Here's a few top stock trades for Monday. Top Stock Trades for Tomorrow: Facebook (FB)Source: Chart courtesy of StockCharts.comFacebook (NASDAQ:FB) has been hammered, as shares have fallen from almost $225 in January to a recent low of $155. The stock wasted little time breaking below uptrend support (blue line) and its major moving averages.The hard thing about both Facebook and the market? The speed in which these declines have taken place. It's trapped a lot of bulls at higher prices, as they are unable to get out of their positions without incurring massive losses. These big gaps make it so that stop-losses can be inefficient too.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 9 Gold Stocks to Stave Off Coronavirus-Induced Volatility In the case of Facebook, we have a well-defined low down near $155. Holding up above $160 now, bulls want to see if we can hurdle Thursday's high, putting $170 to $175 back on the table. Above that and perhaps a move to $185 is possible, with the 200-day moving average in play above that.Below Thursday's low and a gap-fill into the low-$150's is possible. If that level gives out, more selling pressure can ensue. Top Stock Trades for Tomorrow: General Electric (GE)Source: Chart courtesy of StockCharts.comThings have gotten ugly for General Electric (NYSE:GE). Worries about the aerospace sector have investors concerned, on top of the volatility and market selling pressure weighing on stocks.Shares dipped below the $7 mark briefly this week. A move back over $8 could send the stock back toward prior uptrend support (blue line) around $9.50. However, investors' concern here is a break of the 2018 lows.Below the mid-$6's could cause a further flush in the stock, particularly if there's more selling in the broader market. GE is slowly but surely turning things around, but it's not in the best of positions yet. Let's see if the lows hold. Top Stock Trades for Tomorrow: Gold ETF (GLD)Source: Chart courtesy of StockCharts.comPeople call gold a safe haven. That could be said about multiple assets, many of which have come under pressure over the past week as investors and institutions sell what they can, not necessarily what they want.I think that's the case with gold, depicted above via the SPDR Gold Trust ETF (NYSEARCA:GLD).For now, the uptrend (blue line) and the 200-day moving average are holding as support. From a fundamental perspective, there are a lot of reasons to own gold at this point. But currently, the technicals are mixed.Traders who go long can use the 200-day as a point of reference on the downside. If that fails as support, sellers can likely drive GLD down to the $136 to $137 area. Back over $145 puts $150-plus on the table. Top Stock Trades for Tomorrow: BitcoinSource: Chart courtesy of TradingView.com Like gold, so much for bitcoin acting as a safe haven during times of duress. However, the digital currency's performance has been much worse than the yellow metal. Bitcoin has plunged almost 40% so far for the week. At Thursday's low, bitcoin was down 50% for the week.That is not indicative of a healthy safe haven. Some use the Grayscale Bitcoin Trust (OTCMKTS:GBTC) to trade bitcoin, but it doesn't matter. Both are under fire.Bitcoin is below its 200-week moving average, as depicted above. It's also below uptrend support (blue line). Reclaiming those marks would require a move north of $5,500. That would put the November low near $6,500 on the table.Below this week's low and the 2018 low is on the table, meaning a drop to the $3,200 to $3,500 area.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities. More From InvestorPlace * America's Richest ZIP Code Holds Wealth Gap Secret * 7 Stocks to Sell as We Enter a Bear Market * 4 Energy Stocks Paying Jaw-Dropping Dividends * 3 Stocks to Buy That Will Dodge Any Volatile Market The post 4 Top Stock Trades for Monday: FB, GE, Gold appeared first on InvestorPlace.
The gold market is seeing weakness Thursday morning, when "common sense" might suggest safe-haven buying was in order. Let's look at the charts of the gold exchange-traded fund, SPDR Gold Trust , to see what price points to focus on at this juncture in time.
During the coronavirus-spurred 2020 stock correction, these ETFs have outperformed the market, including U.S. Treasuries, bonds, gold and China-linked ETFs.
During the coronavirus-spurred 2020 stock correction, these ETFs have outperformed the market, including U.S. Treasuries, bonds, gold and China-linked ETFs.
Over the past year, shares of the Canadian-based gold miner Kinross Gold (NYSE:KGC) are up over 70%. Gold has recently hit a high for 2020 and the gold spot price is up over 10% year-to-date, hovering around $1,683 per ounce. And KGC stock has been one of the prime beneficiaries of the run up in gold price as well improved conditions across the industry.Source: Shutterstock All asset classes have their advantages and disadvantages. So far in 2020, gold is proving to be one of the best investment instruments. But gold prices can be volatile, so I wouldn't necessarily load up the truck. Indeed many analysts recommend a 5% to 10% allocation of a personal investment portfolio to gold as an insurance policy. There are different ways to participate in the volatility or increase in the price of gold. One way is to invest in gold mining companies like Kinross Gold. Let's take a closer look. Gold as an Asset ClassGold has fascinated humans since the dawn of time. Today, most gold produced is used for jewelry or investing purposes.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThere are different reasons behind this year's rally in gold, including the worries about the recent coronavirus outbreak, choppiness in the oil market, talk of a global recession, and rather volatile global equities.This shiny metal's price tends to shoot up in turbulent times as investors turn to traditional safe havens like gold. Between 2007 and 2011, mainly during the global financial crisis, the price of gold went from $700 per ounce to an all-time record of $1,900 in September 2011. * 10 Stocks to Buy for Your 10-Year-Old The current rally in the price started in June 2019 when gold traded around $1,300 per ounce. It looks like the move up is finding support due to the current volatile backdrop. Could gold once again hit $1,900 in 2020?You may be familiar with arguments about gold being a hedge against inflation and a store of wealth. In general, gold has also had a negative correlation to stocks.Analysts are also discussing the near-term possibility that U.S. dollar interest rates may go to zero and that pressure may be put on the Fed to introduce negative rates. If U.S. dollar deposits see negative rates, smart money is likely to move not into other currencies, but possibly into commodities, including precious metals such as gold. KGC Stock Offers Gold AlternativeMany investors regard gold miners as a proxy for gold. And in recent months, many gold miners have indeed seen their share prices pop as the global gold price has surged.Moody's Investor Service on March 2 upgraded Kinross Gold's credit rating to investment grade as its cash cost was "in line with investment grade peers, steady production and conservative financial policies."The upgrade follows the company's most recent earnings. On Feb. 13, management released fourth quarter and year-end 2019 results which most investors approved of. Management has either met or exceeded guidance targets for production, costs and capital expenditures for the past eight years.The miner posted a profit of $521.5 million or 41 cents per share in Q4. A year ago, the numbers were a loss of $27.7 million or 2 cents a share.During 2019, the group generated robust free cash flow. In Q4, it increased liquidity position to over $2 billion. InvestorPlace contributor and Louis Navellier recently provided a detailed analysis of the company, with a focus on its strong cash balance.Management expects to further reduce capital expenditures by approximately $100 million in 2021 compared to 2020 guidance.If gold remains at its current price or moves higher, miners, like KGC, will likely report better margins and rising free cash flow, potentially boosting their stock prices even further.On a final note, when a company owns a mine, it also owns all of the gold stored within it. Kinross Gold currently has mines and projects in the U.S., Brazil, Russia, Mauritania, Chile and Ghana.However, I'd like to remind readers that there may be geopolitical risks regarding the country where the mine is located. In other words, miners' share prices tend to be rather choppy. Investor TakeawayWe cannot know the future with certainty. However, for a good number of people gold is an important asset for defensive diversification. If you also think that the recent strength is the start of a new rally in the precious metal, then gold mining companies like Kinross Gold will likely continue to have a bright 2020. * 7 Ideal Stocks to Buy for Cautious Investors If you are an investor who also follows short-term technical charts, you may be interested to know that prices of both spot gold as well as KGS stock are at overbought levels. On Feb. 24, Kinross Gold shares reached a 52-week high of $6.27. They are currently hovering around $5.70. Although the rally could still continue in March, a pullback is looking more likely in the coming days.However such a drop in price may provide a better entry point for long-term investors who would like to buy into KGC shares. Yet passive income investors should note that most gold miners either do not pay any dividends or are low-dividend payers. KGC stock does not pay a dividend.If you would like to invest in gold miners, but would like to diversify across the industry, then there are also investment funds or exchange-traded funds (ETFs) that invest in gold miners or synthetically holds gold bullion. Examples of such funds would be the VanEck Vectors Gold Miners ETF (NYSEARCA:GDX) or the SPDR Gold Shares (NYSEARCA:GLD).As of this writing, the author did not hold any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 8 Stocks to Buy in March for a Coronavirus Rebound * 5 Big Reasons Stocks Will Rebound From the Coronavirus Selloff * 4 Large-Cap Stocks Still in Trouble The post With Gold Price on the Rise, is March the Month for Kinross Gold Stock? appeared first on InvestorPlace.