• 17-DEC-2010

Global Mining Companies Predict Gold Rush in 2011, According to PwC's 2010 Global Gold Price Survey Report

PricewaterhouseCoopers HQ, London
Mining companies in Canada and globally are predicting high gold prices to continue throughout 2011, according to PwC's 2010 Global Gold Price Survey Report released on December 17. The study reveals that concerns over embattled currencies, particularly the US dollar and Euro, are helping to drive the price of gold up. Large deficits and rising levels of debt have placed pressure on the traditionally strong global currencies, so that more countries may continue to turn to gold as a substitute to holding weakening foreign currencies. Resource-rich countries may increasingly look at gold investments to limit increases in the value of their currencies by expanding money supply to make such purchases. However, the current price of gold is still far below the high of 1980 in real terms, according to PwC's new report, which also shows that 82 percent of gold producers expect their forecasted production levels to increase throughout 2011.