Hi there Champs, "And this is relevant to the gold price how??"...

Hi there Champs,

"And this is relevant to the gold price how??"

When the supply of a commodity increases by 10% when demand is falling I would expect the price of that commodity to fall.

I don't doubt that the demand for gold in 2013 was higher than it is now. But the supply, thanks to ETF divestment, was higher again still. The big difference between 2013 and 2014 is lower turnover.