Ten stocks kicked off the trading week soaring—seven of which soared to new 52-week highs as investors began cheering and positioning portfolios ahead of a highly anticipated interest rate cut.
The stocks outperformed Wall Street’s main indices, which all finished in the red during the session. The tech-heavy Nasdaq fell by 0.82 percent, the S&P 500 declined by 0.69 percent, while the Dow Jones was down by 0.55 percent. In this article, we name Tuesday’s 10 best-performing stocks and break down the reasons behind their strong performance.
To come up with the list, we considered the stocks with at least $2 billion in market capitalization and 5 million shares in trading volume.
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10. First Majestic Silver Corp. (NYSE:AG)
Shares of First Majestic soared to a new all-time high on Tuesday, mirroring the spot prices of silver, as investors positioned ahead of a highly anticipated interest rate cut this month.
At intra-day trading, the stock climbed to its highest price of $9.62 before closing at $9.61, up 5.14 percent, closely tracking silver spot prices, which jumped by 0.46 percent to $40.88—its highest in 14 years—on optimism that lower rates would spark buying appetite for precious metals.
The Federal Reserve is set to decide on interest rates at its upcoming FOMC meeting in the next few days, with investors and analysts highly expecting a rate cut following signals from its chairman, Jerome Powell, that the central bank may finally cut rates. Any cut could weaken the US dollar and make it easier for overseas buyers to purchase precious metals such as silver and gold.
The bullish sentiment spilled over to mining stocks, including First Majestic Silver Corp. (NYSE:AG)—a company heavily focused on silver production.
In other news, First Majestic Silver Corp. (NYSE:AG) recently announced positive drilling results from its ongoing exploration program at the San Dimas Silver/Gold mine in Durango, Mexico.
“We are realizing strong results from numerous veins at San Dimas near-mine extensions at Elia, Sinaloa, Roberta, and Santa Teresa, and we are excited by the new high-grade silver and gold intercept of the Coronado vein in the West Block,” said First Majestic Silver Corp. (NYSE:AG) President and CEO Keith Neumeyer.
“These new results confirm our view that San Dimas has significant growth opportunities and remains a cornerstone asset for our long-term growth strategy,” he added.
9. Cipher Mining Inc. (NASDAQ:CIFR)
Cipher Mining soared to an all-time high anew on Tuesday, as investors loaded positions following Bitcoin’s rally during the day.
At intra-day trading, Cipher Mining Inc.’s (NASDAQ:CIFR) stock touched a new 52-week high of $8.78, before trimming gains to end the day just up by 8.9 percent at $8.32 apiece.
The rally mimicked the surge in Bitcoin prices, which, as of this writing, was up by 1.95 percent at $111,369.20.
Year-to-date, shares of Cipher Mining Inc. (NASDAQ:CIFR) have already jumped by 89 percent, fueled by the growing investor interest in cryptocurrencies.
While not directly tied to Cipher Mining Inc. (NASDAQ:CIFR), optimism was further spurred by news that President Donald Trump’s sons recently formed a new Bitcoin mining company to position themselves in the booming digital asset space.
In recent news, Cipher Mining Inc. (NASDAQ:CIFR) earned a “buy” recommendation from investment firm Canaccord with a higher price target of $9. Even with the week-on-week jump, the new price target still marked a 17.8-percent upside from Friday’s closing price.
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