I can't get a feel for the answer to this: do miners respond more to the price of PM's or to the market? Obviously, if both are down they will go down and both are up they, too, will be up. My question really relates to opposite moves: SM up/PM down or SM down/PM up...which has the most effect on miner stocks?
I'm thinking in very broad terms rather than specifics. That is, take all "miners" as a group, all PM's as a group and Dow/S&P/Nasdaq as group. (Individuals within those groups, for a variety of reasons, can perform differently than the group as a whole - I'm thinking about the group.)
For example, if the SM is down 10% and PM's are up 5%, what happens to miners? What might a simple formula for this be?
Dm = Dsm + (Dpm*2) Change in miners = Change in SM + 2xChange in PM
Appreciate your thoughts.