Yamana (NYSE:AUY), Novagold (AMEX:NG), Newmont (NYSE:NEM) Rise on Soaring Gold Prices

Newmont Mining Corporation (NYSE:NEM), Novagold Resources Inc (AMEX:NG)
and Yamana Gold, Inc. (NYSE:AUY) are all up today as the news the stress tests for banks in the EU weren't as accurate or reliable as portrayed, has gold prices soaring today, surpassing record levels in mid-day trading, reaching as high as $1,261.60 for December delivery.

It was highly suspect when the stress tests were performed, as many noted at the time they didn't seem to have strong controls in place to give a reliable record of the condition of the banks. Now it seems the European banks hold far more government debt than originally believed.

This renews the specter of an ongoing recession, which we at Everything Gold have never believed left in the first place.

The sovereign debt crisis confirms that belief, among a number of other things, and that will be a strong positive for gold prices and gold miners going forward, as we can see today.