Money supply increases - gold becomes more valuable
The increase in money supply is higher than ever. In the USA, for example, the money supply rose by 23 percent in July compared to the same month last year. The same applies to Great Britain and Euroland: 10 to 11 percent increase is higher than ever before. As long as interest rates are at their lowest, this will naturally benefit the mountain of debt of the states. But what happens if interest rates rise again at some point. Then there will soon be low tide in the public coffers. That in turn affects us all.
What political and financial distortions will then arise is not something you want to know. That is where we have to steer against them. And for thousands of years this has only been possible with a value that remains, the value of gold. The fact that this is gradually finding its way into many people's minds can be seen in the great demand for physical gold and also in mixed funds, which are absorbing more and more gold values.
And gold is more likely to be produced by gold companies such as Canarc Resources and Caledonia Mining, which can extract the precious metal from the earth. But in no comparison to money. Every year, some 3,000 tons of gold are produced worldwide. If gold production is expanded thanks to technical progress, the cost of extracting gold will rise. From today's perspective, economically viable gold mining is limited to around 54,000 tons.
Canarc Resources is focused on the exploration and development of gold and silver deposits in North America. The main focus is on Nevada, British Columbia (Canada) and the USA. Major projects include the New Polaris, Windfall Hills and Princeton gold projects.
Caledonia Mining, with its Blanket Mine in Zimbabwe, has been a successful gold producer for years. The company's growth strategy is working, and production is already increasing. In 2022, 80,000 ounces of gold are expected to be produced.
Current company information and press releases from Caledonia Mining ( https://www.resource-capital.ch/en/companies/caledonia-mining-corp/).
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
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