The gold sector is having another strong session on Monday.
At the time of writing, the S&P/ASX All Ords Gold index is up 0.6% to 8,639.5 points. This stretches its year to date gain to a sizeable 17%.
Two key drivers of this outperformance have been the ASX 200 gold shares listed below.
Not only are they smashing the market this year, but they have just climbed to new highs on Monday morning. Here's what you need to know about these golden investments today:
Newmont Corporation (ASX: NEM)
The Australian-listed shares of this gold mining giant have reached a record high of $80.06 on Monday. Though, it is worth noting that the Newcrest Mining owner's NYSE listed shares are only at an 18-month high.
Nevertheless, this latest gain means that the ASX 200 gold share is now up approximately 35% since this time last year.
The catalyst for this has of course been a booming gold price. With central banks loading up on the precious metal, conflicts in the Ukraine and Middle East driving demand for safe haven assets, and interest rates tipped to fall very soon, the spot gold price has reached a record high this month.
This bodes well for the profitability of Newmont and its world class collection of assets.
The good news is that analysts at Macquarie think its shares can keep rising. This morning, they put an outperform rating and $90.00 price target on them. This suggests that its shares could rise a further 12% from current levels between now and this time next year.
Northern Star Resources Ltd (ASX: NST)
Another ASX 200 share that is scaling new heights on Monday is Northern Star. It has climbed to a new multi-year high of $16.11 this morning.
This means that the gold giant's shares are now up over 40% since this time in 2023. As with Newmont, this has been driven by the booming gold price.
Combined with its growing production and low costs, Northern Star appears well-placed to generate bumper profits in the near term thanks to the strong gold price.
The team at Macquarie is also feeling bullish about this gold miner right now. A note from last week reveals that they have put an outperform rating and $19.00 price target on Northern Star's shares. Based on its current share price, this implies potential upside of approximately 18% for investors over the next 12 months.
