3 ASX gold shares surging ahead on Friday

It's a good day on the ASX for gold shares.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points
  • Gold prices continue to strengthen after extending the relief rally of June
  • The increase has seen several ASX gold shares climb so far today
  • Gold now trades at US$1,791 per troy ounce 

Gold prices continue to surge after finding a bottom last month. The yellow metal now trades at US$1,791 per troy ounce.

A wave of macroeconomic crosscurrents is lifting the gold price this month after traders had sold it down to 52-week lows.

Gold prices climbed more than 1% to hit a fresh one-month peak on Thursday. According to Reuters, this "was underpinned by a retreat in the dollar and U.S. Treasury yields, as investors kept a close tab on U.S.-China tensions".

With the relief rally in place, these three ASX gold miners have opened the session in the green on Friday.

gold, gold miner, gold discovery, gold nugget, gold price,

Image source: Getty Images

OceanaGold Corp (ASX: OGC)

Shares of OceanaGold are up more than 8% higher on Friday and now trade at $2.61 apiece on no news.

After a period of heavy downside since April, the company's shares have bounced from three-month lows as trading volume surges to around three times the four-week average.

On 29 July, the company released its second-quarter financial report, showing a period of sales growth.

The company reported revenue for the six months ended 30 June 2022 increased by 55.4% over the comparative period last year. This was "due mainly to higher sales volumes and higher average gold and copper price," OceanaGold said.

"Net profit after tax [NPAT] for the six months ended 30 June 2022 was $98.0 million compared to $47.4 million for the same period in 2021," it added.

This year to date, the OceanaGold share price has clipped a 12% gain.

Bellevue Gold Ltd (ASX: BGL)

Shares in Bellevue Gold have pushed 5.42% higher today and now trade at 87.5 cents apiece. Certainly, the gold price looks to have helped Bellevue shares today.

The company released its second-quarter report in July where it said it had significantly de-risked its Bellevue Gold Project in WA by locking in 90% of pre-production capital under contract.

Moreover, with exploration and capital expenditure in the gold sector heating up, "[e]merging producers like Bellevue could be on the menu for the big producers," Livewire notes.

Despite the updates, the Bellevue share price has slipped more than 17% into the red over the past 12 months to date.

Ramelius Resources Ltd (ASX: RMS)

Shares of Ramelius are another gold play that has spiked more than 5% in today's session at the time of writing.

Investors have bid the Ramelius share price 5.5% higher on no news, with the gains looking to be correlated to sector strengths today.

After several months of downturn, the stock has caught a bid since 30 June. This is curious, as sentiment was poor following the release of the company's production update a week earlier.

The company reported its "gold production for FY22 will fall marginally short of the current guidance range".

Nevertheless, with the price of gold strengthening, and the broad sector strengthening since June/July, the stage is set for Ramelius to gain on the chart.

Motley Fool contributor Zach Bristow has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Gold

Female miner smiling in front of a mining vehicle.
Gold

Why has the Newcrest share price leapt 7% in under a week?

The Newcrest share price looks to be benefiting from tailwinds blowing in on three fronts.

Read more »

Gold bars on top of gold coins.
Gold

Why is everyone suddenly talking about ASX 200 gold stocks again?

Gold is all the rage on the ASX 200 this week.

Read more »

a man wearing a gold shirt smiles widely as he is engulfed in a shower of gold confetti falling from the sky. representing a new gold discovery by ASX mining share OzAurum Resources
Gold

Why are ASX 200 gold stocks like Northern Star having such a stellar run today?

Is a US bank responsible for gold's stellar performance today?

Read more »

a woman wearing a sparkly strapless dress leans on a neat stack of six gold bars as she smiles and looks to the side as though she is very happy and protective of her stash. She also has gold fingernails and gold glitter pieces affixed to her cheeks.
Gold

2 ASX gold ETFs hitting record highs today

What's driving these ETFs to new highs today?

Read more »

A woman wearing a gold top and carrying a gold bar gives the thumbs down signal as she leans against a wall with a sombre look on her face as the Kingsgate share price goes lower
Gold

Guess which ASX gold share just crashed 49%

This gold share certainly isn't glittering on Thursday.

Read more »

gold, gold miner, gold discovery, gold nugget, gold price,
Share Gainers

Guess which ASX mining share just leapt 62% on a 'bonanza gold' find

The ASX mining share entered a trading halt on Friday pending today’s announcement on its gold exploration campaign in Western…

Read more »

Female miner smiling at a mine site.
Resources Shares

Why are ASX 200 mining shares leading the market today?

The top 5 ASX 200 shares today are all from the mining sector. What's going on?

Read more »

A woman holds a gold bullion in each hand, arms out showing her muscles with an incredulous look on her face.
Earnings Results

2 ASX gold stocks on the move following results updates

One went up, the other went down.

Read more »