sounds too good

There will be a shifting of 2 billion ppl around the world to middle class within the next five years. If there is a transition in china of 1% to middle class per year that and extra 400 million consumers per year.

I did some rough numbers, for example, middle class consume gold, or to be more exact its new gold consuption.

Lets say for example if new gold consumption per person is 5gms, that would be and extra 2 billion grams of gold per year consuption or or $40 billion per year. I found a research report that back this up but was even more bullish at 7gms per ton which had measured current chinese consuption.

I forecast gold hitting towards $2000usd within five years.

This could also be applied to nickel, just say the emerging middle class consume 100gms of nickel in related consumer goods. That would result in 4 million tons of new nickel consuption per year.

This might sound like good news for nickel and but nickel pig iron will show its head every time nickel pushes towards the high $30k mark. I think it will be a balancing act. Nickel pig iron can be produced at about $18k to 26k per ton so if nickel fluctuates between 30 and 35k per ton, pig iron will not show its head.

I could be wrong because if nickel is in such short supply they will have to use pig iron to fill some of the demand. If demand goes through the roof again and stocks deplete then we could see nickel edging towards $55k per ton soon. lol

There are some products that nickel is a must, therefore a situation might occur where nickel becomes a luxury metal for high quality production.