On Dec. 31, 2016, the price of gold stood at 1,156.00. Today, it is knocking on the $1,300 mark. The yellow metal is on track to gain about 12% in 2017, its best year since 2010. Gold has made these gains despite a number headwinds that we would expect to put a significant drag on gold.
Here are seven major themes that have driven gold news over the past year.
The SchiffGold Friday Gold Wrap podcast combines a succinct summary of the week’s precious metals news coupled with thoughtful analysis. You can subscribe to the podcast on iTunes.
The SchiffGold Friday Gold Wrap podcast combines a succinct summary of the week’s precious metals news coupled with thoughtful analysis. You can subscribe to the podcast on iTunes.
The last few weeks have been tough on gold. If you have a short-term mentality, you might even think the gold market has gone bearish. But as World Gold Council chief market strategist John Reade pointed out in a piece he wrote for the December issue of WGC Gold Investor, 2017 has been good for gold. And he sees some key reasons to believe 2018 will be as well.
Some people were predicting Bitcoin would push through the $10,000 level before the end of the year. At the rate it’s going, it may happen before the end of the month.
Bitcoin is on a roll. The cryptocurrency broke $9,000 over the Thanksgiving holiday and quickly pushed up to $9,700. There are also increasing signs of mainstream adoption. CME Group plans to list Bitcoin futures beginning in mid-December, and Coinbase says it added more than $100,000 new users over the Thanksgiving holiday.
Some analysts look at all the action in the world of cryptocurrency and predict the demise of gold. But there are plenty of reasons to believe gold will be just fine.
The SchiffGold Friday Gold Wrap podcast combines a succinct summary of the week’s precious metals news coupled with thoughtful analysis. You can subscribe to the podcast on iTunes.
There’s a significant platinum shortage on the horizon according to an industry report.
According to a quarterly report released by the World Platinum Investment Council, a resurgence in demand for platinum jewelry, increasing industrial demand, along with falling production, will lead to a shortfall of 275,000 ounces in 2018.
The SchiffGold Friday Gold Wrap podcast combines a succinct summary of the week’s precious metals news coupled with thoughtful analysis. You can subscribe to the podcast on iTunes.
The Texas Bullion Depository took a step closer becoming operational earlier this month when officials announced the location of the new facility. The creation of a state bullion depository in Texas represents a power shift away from the federal government to the state, and it provides a blueprint that could ultimately end the Federal Reserve’s monopoly on money.
The world silver market may be on the verge of a major supply crunch.
Two-thirds of the top silver miners have suffered significant production decreases in 2017, according to information released by World Metal Statistics.
Through the first eight months of this year, silver production in Chile has dropped 20%. Australian production has fallen by 19%. Silver production in Mexico is down 2%. Peru has seen a 1% production decline. And China has had the biggest drop in mine output, according to the report, falling by a whopping 25%.
