The global gold demand fell by 7 percent to 973 tonne during the January-March period this year as compared to the same period last year mainly due to a decline in investment demand, according to the World Gold Council (WGC).
The overall gold demand stood at 1,047 tonnes in Q1 2017, WGC said in its ‘Gold Demand Trends’ report for Q1 2018.
The fall in demand was largely caused by a decline in investment demand for gold bars and gold-backed exchange traded funds (ETFs) following a subdued gold price environment, it said.
The total investment demand in the first quarter was down 27 percent at 287 tonnes, compared to 394 tonnes in the corresponding quarter of 2017.
China, Germany, and the US drove weakness in bar and coin investment causing a 15 percent drop in the global demand to 254.9 tonnes.
Highlights of the report:
- ETF inflows were down year-on-year.
- Investment in gold bars and coins was down.
- Jewelry demand was flat.
- Central banks bought more gold.
- Gold supply up 3 percent year-on-year.
About World Gold Council:
The World Gold Council is the market development organization for the gold industry. It works across all parts of the industry, from gold mining to investment, and their aim is to stimulate and sustain demand for gold.
The World Gold Council is an association whose members comprise the world’s leading gold mining companies. It helps to support its members to mine in a responsible way and developed the Conflict-Free Gold Standard.
Headquartered in the UK, they have offices in India, China, Singapore, Japan and the United States.