NEW YORK (TheStreet) -- Kinross Gold Corp. (KGC) - Get Report stock is gaining 3.91% to $3.19 in afternoon trading on Wednesday as gold regained its appeal as a safe haven when equity markets declined earlier today.
Gold for April delivery is up 0.53% to $1,229.10 per ounce on the COMEX this afternoon.
"Gold is rising on the back of weak risk appetite, but what stands out today is that the market is rising even though the dollar is higher as well," Danske Bank senior analysts Jens Pedersen told Reuters. "We've definitely reached a new range above $1,200 due to re-pricing risks of Fed rate hikes."
Higher gold prices will depend on changes in monetary policy, especially if the Fed decides to increase interest rates, Reuters added. An interest rate hike will boost the dollar, making gold more expensive to hold abroad.
"The sustainability of gold's rally comes down to the Fed and the market pricing in only one or no rate increases this year," Robin Bhar from Societe Generale told Reuters.
Kinross Gold is a Canadian gold mining company with operations in Russia, Chile, the U.S., Brazil and other countries.
Separately, Kinross Gold has a "sell" rating and a letter grade of D at TheStreet Ratings because of the company's weaknesses, such as disappointing return on equity.
You can view the full analysis from the report here: KGC
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.