Gold trades more like a currency than a commodity. Written by Jan Nieuwenhuijs, originally published at Voima Gold Insight. To understand the price of gold, first, one needs to understand the true nature of its supply and demand dynamics. Because gold is immutable and has been used as money and a store of value for thousands of years, virtually nothing ever mined has been lost. There are vast above-ground stocks of gold, and mine production only adds 1.6% to these stocks annually. Accordingly, gold has a very high
The Essence of Gold Supply and Demand Dynamics
The Essence of Gold Supply and Demand…
The Essence of Gold Supply and Demand Dynamics
Gold trades more like a currency than a commodity. Written by Jan Nieuwenhuijs, originally published at Voima Gold Insight. To understand the price of gold, first, one needs to understand the true nature of its supply and demand dynamics. Because gold is immutable and has been used as money and a store of value for thousands of years, virtually nothing ever mined has been lost. There are vast above-ground stocks of gold, and mine production only adds 1.6% to these stocks annually. Accordingly, gold has a very high