We expect global gold prices to improve over the current levels over our investment horizon. However, with the anticipated appreciation of the South African rand against the US dollar, we expect the company's rand realized gold prices to drop in 4Q 09 and FY 2010. In addition, the company expects input costs to remain high in its South African operations over the near term, especially electricity costs, leading to operating margin curtailment over both years....

Spot gold prices have improved significantly in 2Q 09. Going forward over our investment horizon; we expect global gold prices to remain at higher-than-historical levels. Furthermore, supported by the appreciation of the US dollar against the South African rand, we believe the company’s rand realized gold prices will continue to rise in FY 2009 and FY 2010. In addition, the company anticipates lower input costs over the near term, leading to operating margin improvement…

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Gold Fields Limited’s (Gold Fields) top-line and profitability came in ahead of our estimates in 2Q 09, due to higher-than-expected realized gold prices. Growth in the top-line was also supported by the successful commissioning of the Cerro Corona project during the quarter. However, considering that we expect gold prices to fall over our investment horizon, we reiterate our SELL rating even though the target price…