Lower Prices Boost Gold Jewelry Demand

RAPAPORT... Global demand for gold jewelry rose 6% year on year to 535.7tonnes in the third quarter, as reduced prices drove consumer purchasing, theWorld Gold Council (WGC) said. Orders for gold jewelry in India climbed 10% to 148.8 tonnesin the three months ending September 30, as the price of gold dipped to itslowest level since January. In addition, the sharp growth was also due to relatively weak demand a year ago, as consumers bought jewelry before thethird quarter, ahead of the implementation of the country's new goods andservices tax on July 1, 2017. Demand in China grew 10% to 174.2 tonnes amid strongpurchasing during the Mid-Autumn and Qixi festivals. The US market rose 4% to28.3 tonnes, with plain yellow-gold pieces proving the most popular choicesamong consumers, the WGC said. Middle East demand fell 12% to 37.7 tonnes dueto geo-economic challenges and currency depreciation. Global demand for gold in all forms - such as bars andcoins, and for technology, finance and investment - rose 13% to 964.3 tonnes. Image: Vendors selling gold jewelry at the Grand Bazaar in Istanbul, Turkey. (JD Lasica/Cruisable.com)