10/09/2008 - 14:57

Gold stocks hit as price falls

10/09/2008 - 14:57

Bookmark

Save articles for future reference.

Gold stocks have followed the downward trajectory of the precious metal with its trading price falling nearly $US30 today.

Gold stocks have followed the downward trajectory of the precious metal with its trading price falling nearly $US30 today.

At midday, spot gold in Sydney was trading at $US771.40 per fine ounce, down $US28.80.

The lower price for the precious metals also follows falls in the Australian dollar, which dipped below US80 cents today, and a weaker oil price with light crude for October delivery dropping $US3 to $103.26 per barrel.

Accordingly gold miners closed sharply lower, with Newcrest Mining Ltd down nearly 6 per cent to $20.02, Newmont Mining Corporation fell 6.5 per cent to $4.55, Avoca Resources Ltd dropped 1.5 per cent top $1.685 and Lihir Gold sank 10.7 per cent to $1.75.

Meanwhile Norton Gold Fields, which operates the Paddington gold mine in Western Australia closed unchanged at 18 cents.

The latest trading price for the precious metal is a far cry from highs reached earlier this year of over $US1000/oz, and a forecast made by Sino Gold chief executive Jake Klein in August that gold could climb as high as $US1200/oz.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

Subscription Options