http://www.bloomberg.com/apps/news?pid=20601012&sid=aMwurj2nS2Bs&refer=commodities
My Opinion: As previously mentioned, shares of gold producing stocks will rise this year, reflecting the increased profit they can make. With gold trading above $900/oz and currencies of resource rich nations depreciating, this presents a unique profit maximization opportunity for many.
Firms like Kingsgate consolidated have announced sales may double this year compared to last, a feat that is unlikely to be seen in any other industry. Armed with huge profits from last year and the prospect of higher gold prices this year, Kingsgate has reinvested all its profits to double capacity at its Thai mine.
Investors are bullish on gold producing companies and have put their money where their mouths are. Shares in Kingsgate have gained 31% alone this year, beating the 15% decline on the benchmark Australian Index. The Sydney based firm plans to sell shares on the Thai market in the future.
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