Stocks On the Move: Barrick Gold Corporation, Newmont Mining Corp, and IAMGOLD Corp

Gold stocks Barrick Gold Corporation (USA) (ABX), Newmont Mining Corp (NEM), and IAMGOLD Corp (USA) (IAG) are among the stocks making big moves in today's trading

Dec 29, 2016 at 12:20 PM
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U.S. stocks are lower after a round of mixed economic data. Among specific equities in focus today are gold stocks Barrick Gold Corporation (USA) (NYSE:ABX), Newmont Mining Corp (NYSE:NEM), and IAMGOLD Corp (USA) (NYSE:IAG). Here's a quick look at what's moving ABX, NEM, and IAG.

  • ABX is up 7.7% at $16.46, as gold futures rise for the fourth day in a row. Barrick Gold Corporation shares are down nearly 30% from their July highs, though the stock is up by more than 120% in 2016. ABX is now testing its 80-day moving average -- which capped a rally attempt in November -- and option players have been betting on more upside. ABX's 10-day call/put volume ratio at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) shows 4.27 calls bought to open for every put over the last two weeks, a ratio ranking in the bullishly skewed 94th annual percentile.

  • NEM is also flying high on today's gold rally, with the shares sitting up 6.7% at $34.98. NEM is up nearly 118% since hitting an annual low on Jan. 21, though the shares have retreated by 24% since touching a three-year high in mid-August. With today's bull gap, Newmont Mining Corp is currently trading above former resistance at its 40-day moving average. This is likely to be met with cheers in the option pits, given that NEM's 10-day call/put volume ratio at the ISE, CBOE, and PHLX sits in the bullish 91st percentile of its annual range, showing 2.82 calls bought to open for every put option over the last two weeks. 
  • IAG is trading 8.2% higher at $3.96 -- one of the top performers on the New York Stock Exchange (NYSE) -- also boosted by the gold's strength. Despite today's surge, IAG shares still sit below their 160-day moving average, which has acted as resistance since mid-November. Longer term, though, IAG is still up nearly 179% since the beginning of 2016. Near-term option players have rarely been more call-skewed over the past 12 months, with IAMGOLD Corp's Schaeffer's put/call open interest ratio (SOIR) of 0.13 sitting lower than 97% of all other readings from the past 12 months. 
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