Gold supply facing strain
Gold supply is set to come under some pressure this year as output for 2014 will fall below expectations, so warns Barrick Gold Corp., Goldcorp Inc. and Newmont Mining Corp.
The three mining companies are the largest producers, by market value, according to Bloomberg. Thanks to gold’s major correction last year, miners were ‘forced’ to take ‘at least $30 billion of write-downs,’ reports Bloomberg.
Whilst the fall in fresh gold supply will be good for the gold price, given the insatiable demand for physical at present, there is no consensus amongst miners as to when production will begin to suffer.