For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

Global gold demand surges 53% in Q2 2013: WGC

|

Global gold demand surges 53% in Q2 2013: WGC
Consumer demand for gold surged 53% in Q2 2013, the latest World Gold Council Gold Demand Trends report shows. Recent falls in the gold price have generated significant increases in demand, most notably from consumers in China and India - by far the biggest markets for gold - compared with the same time last year.

"Globally, jewellery demand was up 37% in Q2 2013 to 576 tonnes (t) from 421t in the same quarter last year, reaching its highest level since Q3 2008. In China, demand was up 54% compared to a year ago; while in India demand increased by 51%. There were also significant increases in demand for gold jewellery in other parts of the world: the Middle East region was up by 33%, and in Turkey demand grew by 38%," a release from the World Gold Council states.

 

Bar and coin investment grew by 78% globally compared to the same quarter last year, topping 500t in a quarter for the first time. In China, demand for gold bars and coins surged 157% compared with the same quarter last year, while in India it jumped 116% to a record 122t. Taking jewellery demand and bar and coin investment together, global consumer demand totalled 1,083t in the quarter, 53% higher than a year ago.

 

For the tenth consecutive quarter, central banks were net buyers of gold, purchasing 71t, which reinforces the trend that began in Q1 2011.

Demand in the technology sector was stable once again, totalling 104t, a rise of 1% on last year.

Meanwhile gold held in gold-backed ETFs, which in 2012 accounted for just 6% of the world's gold demand, fell by just over 400t, driven by hedge funds and other speculative investors continuing to exit their positions. This was predominantly in the US.

Overall, demand for gold in Q2 2013 was 856t, down 12% on a year ago. On the supply side, recycling fell 21% in the quarter while mine production was 4% higher than a year ago, at 732t.

In total, supply was 6% lower than a year ago.

Marcus Grubb, Managing Director, Investment at the World Gold Council commented: "The second quarter continued the trend that we saw in the first, of a rebalancing in the market, as gold coming onto the market from ETF sales met with a wave of demand for bars and coins, as well as jewellery. This surge in bar and coin investment was a common theme in key markets around the world, and has been particularly prominent in the world's biggest gold markets, India and China. This shift from West to East has been further reinforced by recent data from the LBMA showing that in June the volume of gold transferred between accounts held by bullion clearers hit a second consecutive 12-year high, buoyed by strong Asian physical demand."

GoodReturns.in

Read more about: gold
Company Search
Get Instant News Updates
Enable
x
Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X