According to the World Gold Council, the use of gold in the technology sector in 2021 increased 9% to reach a three-year high.
While the demand for the technology is comparatively lower than in other sectors, its uses are far-reaching and prevalent in a variety of electronic products, from mobile devices to the sophisticated James Webb telescope recently launched into orbit.
The World Gold Council expects the metal to face similar dynamics in 2022 as it did last year, with competing forces supporting and dragging down its performance.
In the short term, according to Envela Corporation, the price of gold is likely to react to real rates, which in turn will respond to the speed at which global central banks adjust the money supply and their effectiveness in controlling inflation.
Because DGSE, a subsidiary of Envela, buys and resells precious metals, it is affected by changes in precious metal prices, which rise and fall based on global supply and demand dynamics, with the greatest impact for that company relative to gold as it represents a significant part of the precious metal in which it trades.
Gold
Gold prices increased during the early days of the COVID-19 pandemic, starting at $1,523 per ounce, as determined by the London AM Fix on January 1, 2020, and rose strongly during the first half of 2020 reaching a high of 2,060 dollars per ounce during August.
However, gold prices fell from the high to close at $1,891 per ounce, as determined by the London PM Fix on December 31, 2020.
Although gold fell during the second half of fiscal year 2020, it still registered a 24% increase during fiscal year 2020.
Gold prices continued to fall to a low of $1,683 per ounce on March 30, 2021 and then began to recover over the rest of the year, closing at $1,820 on December 31, 2021, as determined by the London AM Fix.
Thus, during fiscal year 2021, gold prices fell 4% from December 31, 2020.
Envela is a holding company that owns subsidiaries dedicated to the remarketing of goods. Envela’s remarketing operations in each subsidiary recondition owned or used goods for resale, or recycle the value of products by extracting materials, elements or components that can be sold.
