It has been said that we have reached “peak gold” in 2015. After this year we see a further going decline of gold production.
All over the world, gold mines are closing due to the high costs of mining gold (around $ 1,500 per ounce), so it gets harder for mining companies to make profit on their investments, with the present day prices of gold which are around $ 1,330 an ounce.
The amount of gold discovered and the number of major discoveries have been trending downward over time.
With this knowledge in mind, there is the expectation that within 15-20 years, the production of gold will become critical and could even stop.
For some reason, we never hear of this and what could be the effect on the price of gold. This of course due to the market manipulation of the metal markets.
At some time, when nothing is happening in the mining methods and people are coming aware what really is going on, this will have on the longer term an effect on the gold prices.
So I am not saying that prices will skyrocket on the shorter term as some of the so called experts are trying to tell us, but for the longer term the fact that we are slowly running out of gold will certainly give a big push in the price levels for the precious metals.
Looking at the present day prices, I can only say that it is wise to invest a certain portion of your wealth for the longer term into gold and silver.
Todays prices are an opportunity for the future!
Enjoy!