How the world’s gold is being sold for Rs 2,500 a kg

Posted On September 27, 2021

The world’s most precious metals are being sold at a premium, with gold at a record high of $1,865 per kg, while silver and platinum have surged.

The World Gold Council’s latest report on the global supply of gold and silver found that the world has reached the “peak” of the supply of these precious metals, which have been largely priced at their market prices.

It said the gold price has soared above $1.6 million per ounce, while the silver price has risen to an all-time high of nearly $1 million per gram.

The report said silver and gold prices are now “at the highest levels ever seen” with the price of a pound of silver at more than $10,000.

This compares to a price of just over $800 per pound of gold last year, when the world was still trading at a low price of around $800.

Gold is now “the second-most valuable metal in the world after gold, overtaking silver,” said the report.

The council said gold prices will rise further over the next two years and the gold supply will increase over the coming years. 

The gold market has been trading at an all time high and is “now poised to surpass $1 billion per annum by 2021,” the report said.

The gold price is “not yet in a bubble”, the report noted, but it could be “in the stratosphere” by the end of the decade.

The global market for gold and its derivatives, which include silver and copper, has soared.

In December last year it was estimated that gold traded at $2,974 per ounce.

The latest report said the market has risen from $1bn in 2016 to $4.3bn in 2021.

Gold has been traded at a global premium, as prices of other metals have fallen in recent years, including silver, platinum and palladium.

The gold market is currently at a level of $2.6 trillion, the report added.

“While the market for precious metals has risen, it is unlikely to recover,” the WGC said.

“It is unlikely that the gold market will experience a correction for at least two years, given the current volatility.”