Why SSR Mining Stock Dropped Today

SSR Mining (NASDAQ: SSRM) banal declined 3.4% done 12:45 p.m. ET Wednesday aft golden prices took different limb little connected ostentation fears. This morning, the U.S. Bureau of Labor Statistics reported the Consumer Price Index (CPI) roseate 2.4% for a 2nd consecutive period successful February.

These 2 things are connected.

Will AI make the world's archetypal trillionaire? Our squad conscionable released a study connected the 1 little-known company, called an "Indispensable Monopoly" providing the captious exertion Nvidia and Intel some need. Continue »

There's a warfare successful the Mideast, and it whitethorn past a while. Investors presumption precious metals similar golden and metallic arsenic harmless havens successful times of conflict, and SSR mines some (along with lead, zinc, and copper). Silver prices soared 2.5% successful the aftermath of the attacks connected Iran, and golden prices leapt 2.6%.

War tin besides beryllium inflationary, though, particularly erstwhile it restricts lipid supplies and drives up substance prices. So portion CPI held dependable successful February (still supra the Fed's 2% ostentation target), the interest is that the March information volition amusement a crisp emergence successful inflation.

If this happens, investors whitethorn merchantability precious metals (which don't wage interest) and bargain bonds alternatively (which bash wage interest, and wage more interest arsenic ostentation rises). This interest has golden sinking 1.1% (to $5,183 an ounce) today, and metallic down 5.3% astatine $84.85.

Out of each the world's golden stocks, though, SSR Mining whitethorn beryllium 1 of the safer choices.

Why? Recall that 1 week ago, SSR agreed to currency retired its involvement successful its Turkish golden excavation for $1.5 billion. This limits the stock's vulnerability to falling golden prices (if they bash fall) -- portion guaranteeing a $1.5 cardinal windfall today.

When you see that SSR costs little than 17x trailing net and hardly 8x guardant earnings, SSR looks to maine similar a good, inexpensive mode to put successful golden successful uncertain times.

Before you bargain banal successful SSR Mining, see this:

The Motley Fool Stock Advisor expert squad conscionable identified what they judge are the 10 champion stocks for investors to bargain now… and SSR Mining wasn’t 1 of them. The 10 stocks that made the chopped could nutrient monster returns successful the coming years.

Consider erstwhile Netflix made this database connected December 17, 2004... if you invested $1,000 astatine the clip of our recommendation, you’d person $522,791!* Or erstwhile Nvidia made this database connected April 15, 2005... if you invested $1,000 astatine the clip of our recommendation, you’d person $1,132,678!*