-Gold Demand Drops

High gold prices discouraged consumers from buying gold.  As a result, global gold demand dropped, and it actually amounted to 993 tonnes in the third quarter of the year, 10% down.

In particular demand for jewelry amounted to 493 tonnes, bars and coins 190 tonnes, cropped-safe_image.λphp.jpgtechnology 82 tonnes, central banks 82 tonnes too, and ETPs 146 tonnes.

On the other hand, recycling grew by 10% as the higher price encouraged consumers to sell some of their existing gold holdings.  Mine production was -0.5% as it continued to plateau.

Although there has been a 10% fall in demand, this highlights that price momentum is secondary to the strategic motives underpinning investment.  Overall, we maintain a positive look on the sector, particularly given the fragile macroeconomic backdrop, such as negative interest rates and geopolitical risks.

Author: Nektarios
Hi, there. My name is Nektarios. I have been an investor and market analyst for over thirty years. I created this website to provide you with the latest up-to-date investment news.

Leave a Reply

Your email address will not be published. Required fields are marked *