Following the results of the first quarter of 2012 China’s investment and jewellery demand reached record 255.2 t, having grown 10% on the previous year’s levels, according to a recent report by World Gold Council.
Investment demand recorded strong growth with a quarterly record of 98.6 t, up 13% from Q1 2011, demonstrating investors’ continued need to preserve wealth amidst ongoing concerns over inflation. Jewellery demand in China also increased significantly to 156.6 t, up 8 percent, accounting for 30% of global jewellery demand making China the largest jewellery market for the third consecutive quarter.
Global gold demand fell 5 percent on the year to 1,097.6 tonnes in the first three months of 2012.
Marcus Grubb, Managing Director, Investment at the World Gold Council noted: “China and India have seen continuing economic growth and whilst China’s economy is expected to slow, it will nonetheless surpass the rates of growth in the West. As we previously forecasted China is likely to become the largest source of demand for gold in 2012.
China's physical gold bars and coins demand rose 13 percent on the year to a quarterly record of 98.6 tonnes, while jewellery demand climbed 8 percent to 156.6 tonnes and accounted for 30 percent of the world's gold jewellery market, the WGC data showed.
Dasha Platonova, Editor in Chief of the Asian Bureau, Rough&Polished
