Gold Production Fell 4%

The output of the world’s gold mines fell by 4% last year, according to estimates in a new report from the GFMS, a consultancy.

Among the largest drops came from South Africa, previously the world’s largest producer, which fell by 14% as well as Australia whose output fell by 14%.

China, Russia, and Peru, each in the world’s largest producers, increased gold output last year.

Add comment January 22nd, 2009

ETF Gold Holdings Hit Record Says World Gold Council

Gold held by exchange-traded funds reached a record level in 2008, as investors bought the metal as a safe haven against economic troubles, the World Gold Council said Tuesday in a report.

At 1,190 tons, ETF gold holdings are now higher than central bank holdings in Switzerland, the fifth last official gold holder in the world. Investors bought ETFs representing 96 tons of gold in the fourth quarter, following the purchase of an unprecedented 145 tons in the previous quarter, the WGC said.

Add comment January 20th, 2009

Chinese Gold Futures Trades Reach $217.9 Billion

According to the China Mining Association, “China’s futures transactions in 2008 hit a record high of 71 trillion yuan, including 1.49 trillion yuan for the newly listed gold futures contracts.” Based on recent exchange rate that’s $217.9 billion U.S.

According to the statistics, 2008 saw “1.36 billion lots traded with an accumulated value of 71.9 trillion yuan [$10.5 trillion] on China’s three futures exchanges, up 87 percent and 76 percent on year respectively.”

The association notes, “in December alone, 160 million futures contracts changed hands, with a total transaction value of 6.2 trillion yuan [$907.09 billion U.S.], up 82 percent and 19 percent on year respectively, and up 15 percent and 13 percent on month respectively.”

Add comment January 9th, 2009