Gold Prices Wither in Fed’s Wake, Gold Stocks to Watch

Gold prices

Gold price bulls have not had a good couple of days. The metal was hammered after the release of the Fed statement the other day. With the prospect of QE3 dim in the near future, gold prices were sent plumbing the depths to an 8-week low.

The dollar strengthened on the news, as the Fed indicated the economy is growing a moderate pace. Platinum has also surpassed gold in price for the first time a in a good while. Silver was also not spared the bloodbath, down over 4% on the day.

Analysts who have parsed the Fed statement, say there are increasing signs of an optimistic tone. Gold bulls have pegged the continued rally on the resumption of some form of QE 3. Could be the metal is in for a correction until the point comes when the central banks have to unwind the stimulus they have used to prop up both the financial sector and the markets.

Gold Stocks to Watch

Yamana Gold, Inc. (NYSE:AUY) closed the day down 4.92% at $15.46. AUY traded 15.3 million shares on Wednesday, more than double its average volume. AUY shares plummeted today as the price of gold fell more than $50. The company has a market cap of 11.53 billion.

Goldcorp Inc. (NYSE:GG) closed Wednesday down 3.39% at $44.45. GG has traded 11.9 million shares so far today, well above its daily average of 4.9 million shares. GG shares have dropped more than $3 this week. The company has a market cap of 36 billion.

Iamgold Corporation (NYSE:IAG) fell 3.47% today at $13.35. IAG traded nearly 5 million shares today, more than double its daily average. The company has a market cap of 5.02 billion.

New Gold Inc. (AMEX:NGD) finished Wednesday down 3.11% at $9.65. NGD has traded 5.6 million shares so far today, well above its daily average of 2.7 million shares. New Gold shares fell more than $1 over the past week. The company has a market cap of 4.45 billion.

Eldorado Gold Corp. (NYSE:EGO) closed the day down 5.02% at $13.44. EGO fell on heavy volume today with 6.2 million shares traded, 2.5 million shares more than its daily average. The company has a market cap of 7.41 billion.

SPDR Gold Trust (NYSEARCA:GLD) finished the day down 1.68% at $159.57. GLD traded well above its daily average volume today with 27.8 million shares traded. GLD has dropped about $9 a share this week.

Kinross Gold Corporation (NYSE:KGC) fell 6.07% Wednesday at $9.90. KGC has traded 23.8 million shares today, nearly 3 times its average volume. KGC shares have dropped more than $1 this week. The company has a market cap of 11.26 billion.

Barrick Gold Corporation (NYSE:ABX) closed the day down 4.48% at $43.32. ABX has traded 22.5 million shares so far today, 3 times its daily average. ABX shares fell close to $3 this week. The company has a market cap of 43.34 billion.

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About Kyle Pinder

Kyle Pinder has has over five years trading and research experience in the large cap space. While still in grad school, Kyle trades daily and keep Active Investor up to date with the latest breaking news coming out of Wall Street and Washington.

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