The gold price touched a multi-year high of US$1,453/oz overnight with the Australian dollar also giving up ground versus the U.S. dollar to put a rocket up the best ASX gold miners this morning.
Resolute Mining Limited (ASX: RSG) is up 11%, Newcrest Mining Limited (ASX: NCM) is up 6.1%, St Barbara Ltd (ASX: SBM) is up 6.5%, Saracen Resources Ltd (ASX: SAR) is up 9.4% (ASX: SAR) and Evolution Mining Ltd (ASX: EVN) is up 6.6%.
Check out how gold is covering the S&P/ ASX200 (ASX: XJO) leaderboard this morning.
Source: ASX website, Aug 2, 2019.
The AUD gold price is now sitting around A$2,135/oz to mean some local gold miners will be printing net profit margins close to A$1,000 per ounce of gold sold. No wonder shares have been on a tear over the past 12 months.
Moreover, there's always the potential for the gold price to move much higher if the US/China trade dispute balloons and sends more investors into gold as a traditional 'safe haven' trade.
The gold price can move in mysterious ways though, and I am not a buyer of gold proxies myself.
