Why Precious Metals Miners Jumped in July

Image source: Sibanye Gold Limited

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BothSibanye Gold Limited (NYSE: SBGL)and Coeur Mining, Inc.'s (NYSE: CDE)led the precious metals mining industry in July with share price gains of 37% and 44%, respectively,. What drove those big gains? Investors' expectations of good news -- which they pretty much got from this pair and more.

Hints of the future

July was an OK month for gold and silver prices, with both up around 4% or so. Those relatively modest gains in precious-metals prices, however, don't exactly go hand in hand with Sibanye and Coeur's stock price advances. In fact, even the gains from AngloGold Ashanti Ltd. (NYSE: AU), Royal Gold, Inc. (NASDAQ: RGLD), and Silver Wheaton Corp. (NYSE: SLW), which were a step down from that pair at 21%, 18%, and 17%, respectively, seem out of line with the roughly 4% gain in silver and gold prices.

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