WA’s gold miners enjoy bonanza gains on the ASX as the price of the precious metal holds on global tailwinds

WA’s bevy of gold miners have shined on the Australian Securities Exchange with strong gains on Monday across the sector as investors flock to safe haven assets thanks to multiple global tailwinds (reports The West Australian).


Shares rose in WA-based gold stocks across the board on Monday — the biggest winners including Red 5 and De Grey Mining, surging 8.2 per cent and 7.4 per cent, respectively.

Westgold jumped 5 per cent, Genesis Minerals gained 4.5 per cent, Regis Resources climbed 3.4 per cent and major Northern Star Resources was up 3.2 per cent.

The gold price surpassed $3000-per ounce last month and has remained over the milestone in the early stages of November.

Red 5 managing director Mark Williams told The West Australian the US Federal Reserve’s indication it would slow down interest rate rises has been a key driver behind the gold price momentum.

“I think investors are looking forward to the end of rate rises in the US and that has had a positive impact on gold,” Mr Williams said.

“Volatility is also a good reason for people to find a safe haven in gold and it’s definitely a volatile period at the moment that has put a wind in gold’s sails.”

The gold price leapt from around $2800/oz to $3000/oz in the days following the onset of the Israel-Hamas war last month.

Mr Williams said Red 5 will “stay grounded” given the rapidly evolving nature of the current gold environment.

“We are focused on delivering a strong 12 months from our three producing mines and processing plant as we remain on track to hit the top end of our production guidance.”

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