Gold Fundamentals : things in perspective:

Before we get into further details, in order for you to realize how small the Gold market really is, a few things should be put in perspective: - Total Gold Mines Annual productions are at about 2,200 metric tons, after having peaked at about 2,500 tons in year 2000. These figures are ridiculously small compared to other metals: - Copper mine production was 15 Million metric Tons in 2006. That was 6,800 times more than gold! (in weight terms) Copper having 2.15 times less density than Gold (8.96, vs 19.32), there was 14,659 times more copper than gold mined worldwide in 2006 (in volume terms). - World Steel production was over 1,200 Million metric Tons in 2006. That was 545,500 times (over half a million times) more than Gold! In other words, for each metric Ton (2,200 pounds) of steel produced in 2006, there were only 1.83 grams of Gold produced (0.059 Ounce)!!. - In volume terms, the comparison is even worse: With a density of only about 8, steel is less than half the density of Gold (19.32). Therefore, for each cubic foot of Gold that was mined in 2006, there were over 1.3 million cubic feet of steel produced by steel mills. To sum this up, in 2006 the Gold production was about 15,000 times smaller than Copper, and 1.3 Million times smaller than Steel in volume terms. So, you can see how incredibly small the Gold Market is compared to other metal commodities.

---

Add this page to your favorite Social Bookmarking websites