We think of platinum and palladium as the “industrial metals,” but in 2016, there was more gold used in industrial applications than either of these two metals.
According to a report released by the World Gold Council, demand for gold in electronics has been growing since the fourth quarter of 2016. On top of that, other emerging technologies in the health and energy sectors are also driving up the industrial demand for gold. All of this could have a positive impact on overall gold demand in the future.
The amount of gold used in the technology sector grew for the fourth consecutive quarter, according to the latest demand report by the World Gold Council.
Tech industries consumed 67.3 tons of gold in Q3, a 3% increase year-on-year. Demand for memory chips served as a primary driver for increased industrial gold consumption.
Researchers have discovered a process using gold that appears to increase the effectiveness of a lung cancer treatment.
CNBC reported on the promising development in a story headlined, “Could gold finally have a purpose?” This silly headline plays into a common fallacy: this notion that gold doesn’t actually do anything. Warren Buffet encapsulated this attitude in a speech decades ago.
[Gold] gets dug out of the ground in Africa, or someplace. Then we melt it down, dig another hole, bury it again, and pay people to stand around guarding it. It has no utility.”
Of course, gold has many purposes, starting with the fact that gold is money. And it’s increasingly being used in technological applications from biomedical processes to energy production.
Researchers continue to come up with amazing new technologies utilizing gold.
We generally think of gold as an investment as well as money, but it is increasingly being used in high-tech applications. Gold’s conductivity and malleability make it suitable for a number of futuristic applications, from energy production to healthcare. Researchers are even using the metal in things that sound like they came out of a sci-fi book. In fact, the tech sector accounted for about 6% of gold demand in 2016.