RE:RE:RE:RE:Interesting! Curvature -
Your post is so full of errors and half-truths they have either been put there on purpose or you are incredibly ignorant of critical factors in the space in which by your presence on this board suggests you invest.
First, "peak gold" does not imply we will ever run out of gold bullion. Rather, it refers to the date at which the maximum rate of gold extraction from all sources is reached. One might compare it to "peak oil." However, there is one very important distinction between the two: gold is able to be recycled and reused while oil is destroyed as it is used. There is a theory that oil is continuously being produced but so far as I know, it is still only a theory. Further, I strongly doubt that every bit of gold on planet earth will ever be discovered.
Instead of "very little real demand" as you state, in saner parts of the globe where gold is treasured for the money it is - NOT a mere commodity - as in PRC and the Russian Federation and many, many smaller countries in the east - they cannot get enough gold. China and Russia increase their official Central Bank stores monthly. China mines gold at a cost of US$2,500.00 the ounce. Now, does this sound like "very little demand" to any sane person? Obviously not. And related to this, the bigger question is, "why would Red China mine gold at a cost more than twice its present price?" Clearly, they know gold will be worth a multiple of its present cost in due time and that same opinion is borne out by people like Jim Sinclair who is a straight-up guy who really DOES know his gold.
So, the world is awash in gold, is it? That is an absolutely false statement and it was made with intent to mislead or out of astounding ignorance. I am not insulting you but if you are going to make such grandiose statements, make sure they bear at least some semblance to the truth.
No, the world is NOT awash in gold. What the world is awash in is PAPER gold so that the bankster crooks and manipulators can live another day on their fiat by regularly flooding the market with "keyboard gold" they create to artificially suppress the price or REAL gold when it starts to get away from them and give naive individuals the false impression the world is awash in gold.
Well, guess what? It WILL get away from them in time and that time steadily approaches because their massive interventions - you surely have seen the "waterfall charts" where, for example, a year's real bullion production is dumped on the market in a few seconds, dumping the price by $50 or so - are having less and less effect. Do you think they are doing this with real bullion??? Well, they are not.
You are correct in that the higher the price of gold goes, the more economic all deposits become.
Your last sentence I find rather convoluted and I am not sure what you are trying to say. Do you know? Let's have a stab at it anyway, shall we?
You seem to be saying that it takes years to bring a gold deposit to market and that that interim delay is what causes "big spikes."
Spikes in the price of gold are caused by demand exceeding supply FOR ANY REASON when the purchaser wants "good delivery" or wants the physical gold delivered to him. He does not want paper, he does not want ETF empty promises, he does not want encumbered gold in any way. He wants the real thing. That is the main reason for a big spike and could obviously be set off by many things, usually of a calamitous nature - and that could be a financial calamity just as well as a geopolitical calamity.
Good fortune to you and to us all.