Major new gold discovery to push gold to new high?

https://www.yahoo.com/news/worlds-largest-gold-deposit-found-012530485.html

 

"Major new gold discovery to push gold to new high?"

"Announcements of the findings have contributed to a further increase in the already skyrocketing gold price as demands for the resource continue to rise amid global uncertainty."

More supply .... lower prices.
Less supply .... higher prices.

Not sure new discoveries will be the reason gold hits new highs.

 

global stupidity to push bullet prices higher.

 

shouldn't change our cost much, the United States has the world's largest gold reserves, with approximately 8,133.46 metric tons of gold

 

Yeah bro it’s bouncing of The Vwap so we will see it go to 3000 in the next month or 2

 

Dude, you seriously need to go sign up for econ 101.

 

Agree, more supply most often pushes prices down, not up????????

Price is prolly not reacting to this news but to current geopolitical/economic news.

And then there is this:-

"However, just because gold deposits are there doesn’t mean it will be easy to obtain. Due to various economic and geological factors, just 10 percent of gold deposits on the planet are viable for mining."

https://www.iflscience.com/china-sa...d-deposit-worth-an-estimated-83-billion-76987

 

Major gold discovery should push gold prices lower, not higher. With demand held constant, ↑ in supply => ↓ in price. This is not economics 101, this is common sense 101. Am I living in an alternate universe??

 

Supply curve shifts to the right.

 

Yeah but the demand for gold is relatively inelastic, so with a shift to the right of the supply curve, it would still lead to a drop in the price.