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.
Market Vectors Gold Miners (NYSEArca: GDX) and Market Vectors Junior Gold Miners (NYSEArca: GDXJ) were up nearly 2% in recent trading. [Gold Miner ETFs May be Near Turning Point]
The ETFs are testing their 200-day simple moving average, a technical level that has acted as resistance the past month.
Bullion ETFs such as SPDR Gold Shares (NYSEArca: GLD) were also enjoying gains Tuesday as gold futures traded above $1,790 an ounce. [Gold ETFs on a Tear as Metal Nears $1,800]
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.