Global gold demand fell in the first quarter of 2023, WGC says

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LONDON – Global demand for gold fell in the first three

From 2023 where the big purchases were by central banks and Chinese consumers

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The World Gold Council (WGC) said on Friday that it was offset by lower investor buying.

Total order reached 1,081 tons, down 13% from the first quarter of 2018

In 2022, the WGC said in its latest quarterly report on demand trends.

About half of the demand for gold comes from jewelers, investors, and countries

responsible for most of the rest. Bullion is a safe and secure asset for investors

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You often buy more in times of economic uncertainty.

Demand rose to an 11-year high in 2022 thanks to the world’s largest central bank

register. Meanwhile, gold prices are nearing record highs above $2,000 an ounce.

Among the bright spots during the first quarter, central banks bought 228

tons of gold, more than in any January-March period in data dating back to

2000, WGC said.

Jewelry demand in China came in at 198 tons, the largest in any quarter since the first quarter

2015, with the end of the control of COVID-19 unleashed consumer spending.

Meanwhile, US buyers worried about banking and economic turmoil bought 32

tons of gold bars and coins, the highest in any quarter since 2010.

On the other hand, purchases of gold bars and coins fell in Indo-Europe

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Demand for jewelry fell to a three-year low and exchange-traded funds (ETFs)

The World Gold Council said hoarding bullion for investors sold gold.

Investment demand was already picking up in March as bank failures spread

Fear through the markets Analysts predicted the end of the interest rate in the United States

He increases.

The World Gold Council said investment demand is likely to grow this year and the central bank

Buying will remain strong, albeit below last year’s high.

However, hoarding by investors is likely to increase the cost of gold,

Which can reduce demand in countries like India where consumers are often placed

WGC analyst Krishan Gopaul said:

Here are the numbers and comparisons.

Quarterly Gold Demand (Tons) *

Q1’23 Q4’22 Q1’22 month over year

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month year %

Change change

Jewelry manufacturing 508.6 601.3 516.4 -15% -2%

Technology 70.0 72.3 81.0 -3% -13%

– Of which electronics 56.0 58.0 66.2 -3% -15%

– Other industries 11.6 11.9 12.0 -3% -3%

– Dentistry 2.4 2.4 2.7 -2% -12%

Investment 273.7 250.6 558.4 9% -51%

– of which bars and coins 302.4 340.3 287.7 -11% 5%

– ETFs and similar products -28.7 -89.6 270.7 -68% -111%

Central banks and other institutions. 228.4 378.6 82.7 -40% 176%

Gold demand 1,080.8 1,302.8 1,238.5 -17% -13%

OTC and others 93.6 -69.7 -73.3 -234% -228%

Total demand 1,174.4 1,233.2 1,165.1 -5% 1%

*Source: World Gold Council, Gold Demand Trends, Q1 2023

(Reporting by Peter Hobson; Editing by Toby Chopra)

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