Canadian gold producer Goldcorp (NYSE:GG) released fourth-quarter earnings results that fell short of expectations on both the top and bottom lines. Low gold prices have tightened financial growth at gold names over the past couple of years. Economists forecast the US Fed to raise rates in June, which could prompt further short selling pressure in bullion.

Goldcorp expects to deliver free cash flow (FCF) during the year at $1,200/oz. gold, with rising production and big cuts in capital spending. These results are highly reliant on how gold performs over the next 10 months. Gold outflows will persist if the US Fed raises rates, thus decreasing the likelihood of FCF creation. Gold was priced at $1,165/oz. at the time of this writing.

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