London, Jan 6, 2026, 09:30 GMT — Regular session
- Fresnillo shares slip after a Citi price-target hike flagged fresh upside after a long bullion-led run
- Gold and silver hold firm as investors weigh rate-cut bets and risk sentiment
- Focus shifts to Friday’s U.S. payrolls report and Fresnillo’s late-January production update
Fresnillo PLC shares (FRES.L) edged down 0.5% to 3,478 pence by 09:30 GMT on Tuesday, easing after Citigroup raised its price target for the precious-metals miner.
The move matters because Fresnillo has become one of the FTSE 100’s most direct plays on gold and silver, with the stock trading near the top of its 52-week range. When bullion swings, miners often amplify the move as investors reprice expected profits.
Gold prices ticked higher on Tuesday after rising sharply in the previous session, supported by growing bets that U.S. interest rates will fall and by demand for safe-haven assets — investments people buy when risk rises. Lower rates tend to support non-yielding assets such as gold because they reduce the opportunity cost of holding them.
Citi lifted its price target to 3,900 pence from 3,000 pence and reiterated a “buy” rating, citing higher assumptions for silver and gold prices, Sharecast reported. The new target sits about 12% above Tuesday’s trading level. 1
The bank forecast 2026 EBITDA — earnings before interest, taxes, depreciation and amortisation, a common measure of operating profit — of $3.9 billion, and free cash flow — cash left after operating costs and capital spending — of $2.1 billion, the report said. Citi also pointed to a $1 billion cash dividend in 2026 and a $0.6 billion outflow linked to Fresnillo’s agreed acquisition of Canada’s Probe Gold. 1
Spot gold was up 0.4% at $4,463.63 by 07:22 GMT, while silver added 2.8% to $78.64, a Reuters report said. “We of course have a big week this week with the jobs report on Friday,” said Ilya Spivak, head of global macro at Tastylive. 2
Fresnillo closed 4.3% higher on Monday at 3,496 pence, lagging its 52-week high but extending a run that has drawn momentum buyers into the name. Trading volumes were below recent averages, MarketWatch reported.
Monday’s rally in precious-metal miners helped push London’s blue-chip index above the 10,000 mark for the first time, with an index tracking the sector rising 4.6% after the latest burst in gold and silver. The sector move has also kept attention on other London-listed names with high bullion sensitivity, including Endeavour Mining and Hochschild Mining.
But the stock’s proximity to its highs cuts both ways. Any reversal in gold and silver — for example, if Friday’s U.S. payrolls print forces markets to pare back rate-cut expectations — would likely hit miners quickly, and leave little room for operational disappointment.
