NEW YORK (TheStreet) -- Shares of IAMGOLD Corp. (IAG) are higher by 10.66% to $2.34 in late afternoon trading on Monday, as gold mining stocks spike as gold prices settled higher by 3.6% to $1,218.10 per ounce this afternoon.
This is the first time since the end of October that gold has closed above $1,200, MarketWatch reports.
One reason for the increase in gold prices comes as Moody's Investor Services lowered Japan's sovereign credit rating, based on challenges the country's prime minister is facing as he tries to support a sustained economic growth, MarketWatch added.
Also helping the precious metal rise was a soft dollar, MarketWatch noted.
Separately, TheStreet Ratings team rates IAMGOLD CORP as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate IAMGOLD CORP (IAG) a SELL. This is driven by several weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, poor profit margins and generally disappointing historical performance in the stock itself."