This weekend's WSJ ran an article on its Money & Investing section titled "As Gold Climbs, So Do the Deals." Interesting as this shows how gold is tending to become more mainstream. Points of this article include the following:

Higher gold prices are triggering multibillion dollar deals by miners . The run up is being driven by investors who bought more than half of all gold sold in the 2nd quarter.

Large miners seeking to feed that demand are gobbling up rivals. GG said it would buy Andean Resources for $3.4 b a month (35% premium) after KGC agreed to pay $7.1 b for Red Back Mining. GG's bid topped an earlier bid from Eldorado Gold who said it wasen't giving up and will pursue its bid.

"Especially tempting to miners are smaller exploration focused companies like Andean that have proved themselves adept at the financially risky work of discovering new gold veins."

"Investor led gold rallies often end in sorrow. In the first quarter of 2009, when the stock market hit a low amid the financial crisis and investor demand was at its recent peak, gold surged 24%. Prices then fell 13% in the following quarter." {Susan Comment - interesting isn't it how they use this statistic to support this comment but not where gold prices have since gone!}

A more sustained run up in gold prices will be driven by sheer income gorwth in emerging countries per Dundee Wealth Managment. Chinese and Indian investors are buying gold bars and coins at unprecedented pace.

Susan Comment - This article makes me think Timmins is even more valuable and in fact GDXJ may be an all around generic way to play this wave of takeovers.

Any thoughts you may have?