The Gold Economy

As I write this all of the uranium miners are in rally-mode.

Last week I wrote an article about titled, “Is Now the Time to Buy Uranium Miners” as the share prices of the leading small cap uranium mining companies were plummeting.

I mentioned in the article about how the current sell-off in uranium, due to the catastrophic events in Japan, could offer an opportunity to average into one of the top small cap uranium mining stocks at very attractive prices. The company – Denison Mines (AMEX: DNN). The stock has rallied 40.3% since

By Boyd Erman

Shares of Kinross Gold (KGC) have taken such a beating relative to the company’s gold mining peers that there’s a buzz on some trading desks that the miner is a ripe takeover target.

Shares of Kinross are down almost 23 per cent so far this year, as of Friday. By comparison, Goldcorp Inc. (GG) has gained 2 per cent, Barrick Gold Corp. (ABX) has lost 8 per cent and Newmont Mining Corp (NEM) is down 17 per cent.

The result is that in

Gold equity investors have been cheered by recent company promises to improve dividends. The pledges have been underwritten by thickening margins, especially over the last 18 months, as gold prices outpaced input costs for the first time in several years.

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Being in the business of literally pulling cash out of the ground means that precious metal miners must pay higher and high dividends to maintain their claim as an option on bullion prices that is more attractive than merely physical gold.

To halt the filching of market share by exchange-traded gold, equities have no option

The first quarter of the new year has been a tumultuous one, marked by geopolitical unrest in North Africa and the Middle East, major natural disasters in New Zealand and most recently in Japan, and of course ongoing economic turmoil throughout much of the industrialized world. This has resulted in rather extreme market volatility, amid fits of risk aversion associated with broad-based uncertainty about the likely impact of recent events.

Most importantly, our hearts go out to the people of the world who are suffering right now; be it due to political repression, natural disaster or economic hardship. However