:max_bytes(150000):strip_icc()/INV_SilverMining_GettyImages-1968503843-9aa1412097264936b540064ea3756303.jpg "Mining Stocks Sink on Disappointment with Latest China Stimulus")
:max_bytes(150000):strip_icc():format(jpeg)/INV_SilverMining_GettyImages-1968503843-9aa1412097264936b540064ea3756303.jpg)
Key Takeaways
- Mining company stocks sank Tuesday after China’s latest moves to boost its economy fell short of a hoped-for major stimulus package.
- The country’s economic planning agency maintained that China still expects to meet its annual economic goals.
- The news sent prices for gold, silver, copper, and other metals lower Tuesday.
Shares of Freeport-McMoRan (FCX) and other miners tumbled Tuesday, along with the prices of key metals, after China announced economic measures that fell short of a much-anticipated added stimulus package.
Silver futures were recently off about 4%. Futures were down some 2% for copper and platinum, and more than 1% for palladium. The spot gold price slipped more than 1%.
China’s economic planning agency, the National Development and Reform Commission (NDRC), laid out plans Tuesday that included expediting government spending. The agency restated earlier proposals to stimulate consumption, increase investment, and aid low-income groups, among others.
China Still Confident It Will Meet Economic Goals
When the latest economic measures were announced, NDRC Chair Zheng Shanjie said Beijing is fully confident of reaching its annual economic and social development goals.
U.S.-traded shares of Freeport-McMoRan, Southern Copper (SCCO), Rio Tinto (RIO), and BHP (BHP) were among the mining industry‘s big losers Tuesday, with each recently dropping 4% or more.
TradingView