Gold - supply and demand
Mine production in the third quarter of 2019 was about one percent lower than in the prior-year quarter and amounted to 977.8 tonnes of gold. Gold production in Mexico rose particularly by 11 percent. The increase was mainly due to the re-producing Peñasquito mine. In Australia, gold production rose by around 7 percent. Overall, gold supply increased by four percent in the third quarter as the recycling rate has risen.
So where did all the gold go? Especially in gold-backed ETFs. These reached a new all-time high of 2,855.3 tonnes of gold in the third quarter of 2019, the highest quarterly inflow since the first quarter of 2016, driven by the safe-haven mentality and value preservation concerns. In terms of prices, gold was able to gain ground due to fears of further geopolitical tensions, the low interest rate policy and slower economic growth.
Central banks increased their gold inventories by 156.2 tonnes in the third quarter. Turkey, Russia and China were particularly active here. Buyers were reluctant to buy gold jewellery, as gold had become significantly more expensive. Similarly, purchases of gold bars and coins have decreased over the same period. Here, too, the higher gold price is likely to have had an impact, as well as investors' intentions to take profits with them.
Making a profit, avoiding a loss in value - an investment in gold stocks such as TerraX Minerals or Treasury Metals are a good choice.
TerraX Minerals - https://www.youtube.com/watch?v=GmZpC44kBXY - owns 735,000 ounces of inferred gold in soil from its Yellowsknife City gold project in the Northwest Territories according to an initial mineral resource estimate. The surface of the project has hardly been scratched," says Gerald Panneton, Chairman of the company.
Treasury Metals - https://www.youtube.com/watch?v=_QnPMAyKcPo=3s - is is working hard to make its Goliath gold project one of Canada's next gold mines. General exploration and development expenditures are secured by a recent private placement.
Current corporate information and press releases from TerraX Minerals (www.resource-capital.ch/de/unternehmen/terrax-minerals-inc/) and Treasury Metals (www.resource-capital.ch/de/unternehmen/treasury-metals-inc/).
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