UK-listed gold miners were spared the worst of the stock market slump last week after the precious metal suffered its largest one-day fall in nearly two years.
But they still face a precarious situation, with predictions of a continued gold price fall that will squeeze margins for producers and limit financing for explorers and developers.
Gold fell to below $1,100 per ounce last week, its lowest level since 2010, on fears of rising US interest rates and evidence of heavy selling in Asia. That means gold, which climbed from about $250 per ounce in 1999 and peaked at $1,900/oz in 2011, has retraced half of that long rise.
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