The miner announced plans yesterday to divest its Russian assets yesterday
Kinross Gold Corporation (NYSE:KGC) announced plans yesterday to divest its Russian assets, amid Western sanctions against Russia over its invasion of Ukraine. The miner is reportedly in talks with Fortiana Holdings, a company that is registered in Cyprus and owned by Russian businessman Vladislav Sviblov, to sell its Arctic Russian mine. At last check, KGC is down 0.2% at $5.92.
A ceiling at the $6 level has kept a tight lid on Kinross Gold stock since mid-December. The security yesterday managed to score its first close above the 200-day moving average since November, distancing itself from a Dec. 15, annual low of $4.90. Year-over-year, though, KGC carries an 11.2% deficit.
A shift in the options pits could pressure the stock even lower. Over at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), KGC' 10-day call/put volume ratio of 18.71 stands higher than 81% of readings from the past year. This means calls have been picked up at a much quicker-than-usual pace.
It could be a good time to speculate on KGC's next move with options. The stock's Schaeffer's Volatility Index (SVI) of 41% ranks in the 26th percentile of its 12-month range. In other words, options players are pricing in low volatility expectations at the moment.