Gold News: Mineable Gold Could Run Out In 20 Years

Gold News

In another two decades, rare commodities such as gold could become extremely scarce according to analysts at Goldman Sachs. Gold has been used as a measure of wealth for more than 4,000 years, as the ancient Egyptians realized that the precious metal was not only shiny and heavy, but also rare. Gold prices could soar if the market believes that future discoveries will be limited, which very well could be the case.

gold news

Gold become even more rare of a commodity than it already is, as gold production could hit a peak in 2015. A Goldcorp slide show from an earnings report last year revealed a gold-mining-industry forecast that production would peak in the mining industry this year. This was destined to happen at some point, as mining output of the precious metal has been relatively flat for years as new discoveries of gold have been falling rapidly.

In the short-term, gold prices are being affected by the monetary policies of the world’s central banks. The metal’s price edged lower on Wednesday but held above a price floor of $1200 an ounce as the dollar retreated and expectations grew that the Federal Reserve could delay an anticipated US interest rate rise to next year. The Fed had opened the door for raising rates as early as June, but recent poor economic data from the US and the Fed’s cautious outlook led many to believe it would wait, sending gold on a seven-day rally, its longest such streak since 2012.


Comments are closed.