Investors turn to gold miners as metal outpaces inflation

From Miningmx

The recent surge in the gold price is finally attracting money into funds that invest in gold miners after a period in which the market preferred physical gold and gold derivatives, said Reuters.

The newswire said in a report on Monday that gold equity funds are set to attract their largest net monthly inflows in more than a year in March on the back of profit outlooks and boost cash flow.

Although gold prices also rose last year, miners still struggled to offset inflation-driven spikes in labour and fuel costs while facing regulatory hurdles such as tax disputes in Mali and project delays in Canada, said Reuters.