NEW YORK (TheStreet) -- Shares of Goldcorp (GG) are rising by 2.22% to $18.91 in mid-afternoon trading on Tuesday, as some mining and related stocks get a boost from the increase in the price of gold.
The precious metal is gaining today as some investors were looking toward the safe haven asset due to the pullback in global debt markets and the decline in the dollar, the Wall Street Journal reports.
Gold for June delivery is up by 0.82% to $1,192.70 on the COMEX this afternoon. The dollar is lower by 0.52%, according to the Wall Street Journal dollar index.
Prices of government bonds in Japan, parts of Europe, and the U.S. moved lower as investors that jumped into the debt markets in recent weeks were forced to get out as prices declined, the Journal said.
"The trade got crowded because deflation isn't as bad as people think... If the bonds (yields) are going to rally off the thought that there's not going to be bad deflation, gold will rally off that news as well," Ira Epstein, a broker with the Linn Group told the Journal.
Separately, TheStreet Ratings team rates GOLDCORP INC as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:
"We rate GOLDCORP INC (GG) 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 unimpressive growth in net income, weak operating cash flow and generally disappointing historical performance in the stock itself."