Here's Why Shares of SSR Mining Rose 14% in July
Adding to their 13% rise through the first half of 2019, shares of SSR Mining (NASDAQ: SSRM) climbed 13% in July, according to data from S&P Global Market Intelligence. While the increase in the prices of gold and silver contributed to the stock's rise last month, a vote of confidence from Wall Street and the company's report of its second-quarter mineral production represented additional forces contributing to the stock's ascent.
Movements in the stock prices of mining companies are closely correlated with the rise and fall of the market prices of the associated metals. Since SSR Mining's portfolio is most heavily weighted toward gold production -- it accounted for 87% of revenue in 2018 -- the stock's boost is unsurprising considering the price of the metal rose 2.7% last month. Silver also plays a role, representing 12% of revenue in 2018, so the fact that the price of silver rose 8% in July deserves partial credit for the stock's movement.
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