How will the recycling of gold, silver and other raw materials from mobile phones affect the markets for these metals. [Times article]

Eoin Treacy's view

Thank you for this question which may be of interest to other subscribers. The World Gold Council estimated that about 10% of recycled gold comes from electronics at present. The method discussed in the above article suggests Excir is using both extreme heat and chemical deposition to extract precious metals from phones since they claim it can be done in seconds. There is no discussion of how dependent the process is on high prices.  

It is reasonable to conclude that as the price of gold trends higher and mining grades continue to contract, demand for recycled supply will increase and novel methods to deliver it will continue to emerge. Tailings leaching operations are also likely to gain in popularity as new technologies emerge. 

The VanEck Gold Miners ETF continues to rebound following the failed break below the psychological $30 area. It is now testing the region of the trend mean and sequence of lower rally highs. A sustained move above $34 will confirm a return to medium-term demand dominance.