NMA Forecasts Continued Gold Bull Market, Record U.S. Coal Production
Source: Mineweb.com (1/30/07)
In a survey for the National Mining Association, respected economist and mining policy expert Connie Holmes forecasts that U.S. coal production will set a record this year with gold continuing to enjoy its longest bull market in decades.
During a briefing Monday in Washington, D.C. with reporters, Holmes said that U.S. gold production will remain flat this year “with some small upside potential.” She noted that “this is the longest bull market since gold began to be traded on the world market in the early 1970s.”
“Price increases are being driven by deteriorating political conditions, political unrest, a relatively weak U.S. dollar and concerns regarding the long-term implications of the U.S. trade and budget deficits,” Holmes said. “Additional, demand for gold is outstripping production on a global basis, a situation that will not soon change as China is now legally allowing the sale of gold.”