Gold Miners Profits Disappoint

Gold miners should be doing well. The price of oil falling back to an average around $60 a barrel from an all time high of $147 in mid 2008 has led to a significant lowering of the cost of production.

During the same period, for six of those months the gold price has been comfortably over $900 an ounce. This column has long been advocating the benefits of investing in gold miners, and, by the by, putting our money where our mouth is. Read more

Banks Showing No Reluctance To Lend To Gold Miners

Unlike in other business sectors, banks are showing no reluctance to lend to gold miners.

Both major and junior producers are finding little difficulty in raising finance to develop their businesses. No other sector has shown the resilience of gold to the current stock market meltdown, currently little more than 10% off from its all time high in early 2008.

Despite the odd snippet of good news, today’s being some welcome uplift in buying activity in the US domestic housing market, the outlook for Anglo American economies and their currencies continuous to deteriorate, strengthening the appeal of gold as a safe haven asset. Read more