Gold and silver miner exchange traded funds (ETFs) are breaking out as precious-metals prices are rising fast. Gold futures hit a new high Wednesday, and silver prices are up over 27% this year alone. [Gold, Silver ETFs Sparkle As Metals Hit New Highs.]
Market Vectors Gold Miners (NYSEArca: GDX) is up 5.3% this week, and so far prices are drifting just below its 52-week high, reports NASDAQ. Spot silver hit a 31-year peak of $39.64 on Wednesday and it is currently trading at $39.58 an ounce. Global X Silver Miners (NYSEArca: SIL) is up 7.5% over the past week. [Silver ETFs Outshine Gold.]
Both ETFs pared early gains Thursday after opening higher by more than 1%.
Miners see their profit margins increase when gold and silver prices are high. Miner ETFs are an alternative for investors who aren’t interested in physically-backed or futures-based options.