CAPITAL MARKETS

Strong results boost miners, gold gains

Market futures were mixed and gold was higher following yesterday’s US Federal Reserve meeting.

Staff reporter
 A shiploader at Fortescue Metals Group’s Herb Elliott port in WA

A shiploader at Fortescue Metals Group’s Herb Elliott port in WA

The Fed moved closer to tapering stimulus but said there was "some ground to cover to get there", Bloomberg reported.

Rates were kept near zero.

Gold was back above US$1,800 an ounce and around $1,816/oz on the spot market at the time of writing.

Australia-based iron ore producer Fortescue Metals Group shares were at an all-time high of A$26.58 in morning trade, taking the company's market capitalisation over $80.5 billion, as the company reported record iron ore shipments.

BHP also reached an all-time high intraday of A$54.10.

Miners gained in London yesterday, where precious metal producer Fresnillo shot up 6.95% on better than expected quarterly results.

Anglo American was up 1.7% and Rio Tinto rose 1.4%.

In the US, Newmont and Antofagasta both gained 0.9%.

Finally, it was a positive day across the board for miners in Toronto, where Fortuna Silver Mines was up 4.6%.

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