Where Are We In This Gold Bull Run?

In a recent presentation Ross Norman from Sharps Pixley covers all latest gold market aspects. His presentation includes the supply side and demand side elements. The presentation is embedded below and contains one or several up-to-date charts per topic.

Supply side:

  • gold production and discoveries
  • production costs per country

Demand side:

  • investment, technology, jewelry demand
  • Western investors evolution
  • Chinese and Indian gold demand
  • central banks

Based on the data from his presentation he comes to the following conclusion. It paints a high level picture of where we are in this gold bull run:

  • Attractive fundamentals set the stage for a sustainable gold rally between 2000 and 2008.
  • The economic crisis accelerated the rate of price increase between 2008 and 2011.
  • 2011 to 2013 – Western investors sell gold.
  • 2013 and later – Gold is transition and becoming Asian-centric and once the fear trade has left, the market is set for a slower rate of growh not dissimilar to the 2000/2008 period.

 

 

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