Like any other commodity, the price of gold is determined by supply and demand. The most of the world’s gold comes from the hard rock mining, but it can also be produced using placer mining methods or as a by-product from copper mining. China, Australia, and Russia are the largest producers of gold in the world. When it comes to demand, gold’s main use is for jewelry production. But, it’s also used in the aerospace industry, medicine, dentistry, and electronics. Governments and central banks are buyers of gold.