South African Mine Strikes to Have Limited Impact on Gold Prices

Source:

"Gold prices are likely to receive only limited support from the labor unrest in South Africa, as the yellow metal's price is being underpinned by other factors, metals analysts said Thursday."

Kitco News, Alex Létourneau

Gold prices are likely to receive only limited support from the labor unrest in South Africa, as the yellow metal's price is being underpinned by other factors, metals analysts said Thursday.

Labor strife in South Africa is growing. Workers at platinum mines received wage concessions from some mining companies and now mine workers from some of the world's largest gold-producing companies are striking.

"Any kind of supply disruption is always going to be supportive for gold prices," said Frank Lesh, a trader at FuturePath Trading. "On the other hand, the gold market is more about demand than it is about supply and this is really sort of minor in the long term because there is enough gold out there to go around.". . .View Full Article

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