Newmont (NEM) might not be the most exciting gold play out there but as the mining sector juggernaut, its robust performance has been nothing short of remarkable. January hasn’t even crossed the finish line but NEM stock is already up over 26% on a year-to-date basis. With a supply crunch stemming largely from both monetary and industrial demand, the fundamental narrative seems incredibly bullish.
Long term, Newmont probably has room for growth and you certainly don’t want to short this incredible name. Short term, I’m seeing evidence of a frustrating — albeit temporary — lull that could potentially materialize, and one that just might allow fair-weather bears to scalp a quick profit.
