Big Mining Bargains, Monster Gains

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"Uranium stocks, both miners and developers, rank third in absolute stock price performance terms."

Listed gold and primary silver stocks continue to rank as the best-performing mining subsectors over the past 12 months, in absolute terms. But listed gold stocks have encountered headwinds over the past month, abating somewhat over the past week. Uranium stocks, both miners and developers, rank third in absolute stock price performance terms.

Over the past month, in particular, investors have been withdrawing funds from listed gold stocks, gold ETFs (exchange traded funds), and also, more lightly, from the three Tier I platinum miners.

There has been a distinct and discernable switch of mining investment portfolio flows, and no doubt also fresh investment flows, that have gone most heavily towards listed specialist miners and developers under the broad classifications of zinc, followed by nickel, uranium, copper, diamonds, tin and coal. There has also been positive net buying over the past month of specialist miners of aluminum, iron ore, silver, molybdenum and potash.

The main apparent spur behind the recent outflows from listed gold stocks has come courtesy of the ongoing recovery of a good number of commodity prices. Oil has this week touched 2009 highs near $55 a barrel.

Nickel miners and developers have proved next on the most attractive list over the past month; uranium stocks are next up, underpinned by a recent rise in spot commodity prices.

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