Gold de­mand at 8yr lows

Weak jew­ellery sec­tor, ETF in­flows blamed: World Gold Coun­cil

The Australian Mining Review - - NEWS - REUBEN ADAMS GLOBAL

SOFT jew­ellery sec­tor de­mand and lower in­flows into ex­change-traded funds ( ETFs) in Q3 2017 are blamed for the low­est level of global gold de­mand since Q3 2009. Ac­cord­ing to the World Gold Coun­cil’s lat­est

Gold De­mand Trends re­port, the 9 per cent year-on-year drop to 915 tonnes (t) was at­trib­uted to a 3 per cent fall in global jew­ellery de­mand, as In­dia’s new GST and tighter anti-money laun­der­ing reg­u­la­tions de­terred buy­ers.

In­flows into gold-backed ETFs grew by just 19t com­pared with the re­mark­able 144t in­flux in Q3 2016.

In­vestors con­tin­ued to favour gold’s risk-hedg­ing prop­er­ties, but the greater fo­cus was on buoy­ant stock mar­kets, the re­port stated.

Alis­tair He­witt, Head of Mar­ket In­tel­li­gence World Gold Coun­cil said it was a tough quar­ter for gold de­mand, but there were bright spots.

“Re­tail in­vest­ment de­mand in China grew for the fourth con­sec­u­tive quar­ter; the Turk­ish and Rus­sian cen­tral banks added to gold re­serves; and, after years of de­clines, we also saw in­creased use of gold in tech­nol­ogy, sup­ported by the de­mand for high-end smart­phones,” Mr He­witt said.

Vol­umes of gold used in tech­nol­ogy in­creased for the fourth con­sec­u­tive quar­ter as strong de­mand for LEDs and con­tin­ued growth in the use of 3D sen­sors in new smart­phones boosted de­mand by 2 per cent.

Year-to-date tech­nol­ogy de­mand was 244.4t; rep­re­sent­ing the first in­crease since 2010.

The re­port noted the de­vel­op­ment of a gold- based cat­a­lyst that could im­prove the per­for­mance and ef­fi­ciency of hy­dro­gen- pow­ered cars by US and Chi­nese re­searchers.

Writ­ing in lead­ing jour­nal Science, re­searchers de­scribed the de­vel­op­ment of a gold nanopar­ti­cle/ molyb­de­num- car­bide cat­a­lyst which at­tained a high level of ac­tiv­ity at low tem­per­a­tures, pro­duc­ing the pure streams of hy­dro­gen crit­i­cal to ef­fi­cient fuel cell op­er­a­tion.

Newspapers in English

Newspapers from Australia

© PressReader. All rights reserved.