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Message: Canadian Gold Stocks Rally as Gold Price Opens 2010 Higher

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Canadian Gold Stocks Rally as Gold Price Opens 2010 Higher

posted on Jan 04, 10 02:02PM

http://www.goldalert.com/stories/Canadian-Gold-Stocks-Rally-as-Gold-Price-Opens-2010-Higher

Investors, notably on the institutional side, have begun to highlight the potential advantages of consolidation amongst gold companies - whereby gold miners can add to their gold reserves and expand their leverage to the gold price by acquiring some of the small- and mid-cap gold companies in Canada. The visibility of small gold mining companies has increased and rising share volumes have made many of these companies more investable on the institutional side. The successful launch of the Market Vectors Junior Gold Miners ETF (GDXJ), has helped to elevate the profile of many small-cap gold miners, including components such as Premier Gold (PG.TSX) and San Gold (SGR.TSXV) - two emerging gold producers whose share price performance in 2009 demonstrated the higher gold price leverage investors can obtain in the small- and mid-cap strata of the gold sector.

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