Friday is proving to be just another day at the office for gold miners exchange traded funds and that is not a good thing.
On a day when U.S. stocks are again soaring, these equity-based ETFs are getting drubbed because, well, gold is getting drubbed. The SPDR Gold Shares (NYSEArca: GLD) is down almost 3% and hit a new 52-week low earlier today.
Speaking of new lows, in what has become a prominent pattern, Friday’s ETF all-time low club is chock full of miners funds. To this point Friday, 35 ETFs have made new all-time lows, of which nearly 10 are gold or silver miners funds. Yes, this scenario is starting to sound like a broken record. As we reported late in Thursday’s session, of the 17 ETFs that were at all-time lows at the writing of that piece, 13 were gold or silver miners funds. [What’s Happening With Miners ETFs]
Today’s list does not include the Market Vectors Gold Miners ETF (NYSEArca: GDX), the largest miners ETF, but that fund continues to hover around its lowest levels since October 2008.
Friday’s new all-time low ETF club is populated by some familiar names including the Market Vectors Junior Gold Miners ETF (NYSEArca: GDXJ), which has managed to lost almost 19% this week. And yes, the Direxion Daily Gold Miners Bull 3X Shares (NYSEArca: NUGT) and the Direxion Daily Junior Gold Miners Index Bull 3x Shares (NYSEArca: JNUG) are all-time low repeat offenders as well.
Though the pair is trading above their intraday lows, NUGT is down 13.2% and JNUG is off 18.6%. That brings their weekly losses to nearly 39% and over 50%, respectively, and there is still time to go in Friday’s session. [Getting it Wrong With Leveraged Miners ETFs]