While Gold Langishes, Gold Exploration Companies Bulk Up

Gold may have disappointed in the last two months, but that has not stopped more than a few gold-mining exploration companies from raising money through private placements. After a review of the recent gold slump, and the U.S.-centered causes of it, Gold Investing News' Kishori Krishnan presents a list of gold juniors that have recently raised money through private placements. The middle part of her report encourages the gold holder to stay the course.


There's little doubt about it: the gold-exploration sector is waking up. This Seeking Alpha article, "Emerging Junior Gold Producers Had Fantastic 2009,"shows that a junior-gold index vastly outperformed senior golds. The recent private-placement flood is a consequence of that outperformance, and of takeovers of at least two juniors by senior producers looking to expand their reserves more cheaply than in-house efforts would.


Then, there's a Reuters article entitled "The end of the gold love affair? Not for long." Its gist is that gold has gone dormant because the inflationary and greenback-knocking effects of the stimuli haven't kicked in as of yet.