Gold's recent rally has been remarkable, with prices surging from USD 2,500 to USD 3,000 in just 210 days. This is a much faster increase compared to historical trends, where it has typically taken an average of 1,700 days for gold to rise in USD 500 increments.
Global gold exchange-traded funds (ETFs) saw continued inflows during February as holdings across all regions grew, data made available by the World Gold Council (WGC) showed.
Gold prices have been on an upward trend, with February seeing multiple new highs before pulling back to end the month at USD 2,835 per ounce, marking a 0.8 per cent increase, according to the WGC.
The record-breaking surge in gold prices has dimmed the appeal of the retail jewellery demand. The drop in gold imports in January also indicates the pullback in demand.
This surge was driven primarily by strong central bank purchases and increased investment demand. The combination of record-breaking gold prices and high volumes resulted in an all-time high total value of demand, reaching USD 382 billion.
The government's decision last July to reduce import duties on gold has significantly had a positive impact on the industry, and any increase in tariffs in the upcoming Budget may have adverse effects, said World Gold Council.
The stock market volatilities have boost the investments in the gold Exchange Traded Funds (ETFs) in India, as the country witnessed its eighth consecutive month of inflows into ETFs in December 2024, the world Gold Council (WGC) stated in its commentary.
Market projections suggest gold may experience steady, albeit modest, growth in 2025. Key economic variables like global GDP, bond yields, and inflation indicate a stable environment, though risks remain.
Gold demand in the electronics sector peaked in 2010 at 328 tons but gradually declined to 249 tons by 2023. Recent quarters, however, have shown a modest recovery, driven in part by the expansion of AI-enabled devices.
Mumbai (Maharashtra) [India], August 28: The World Gold Council (WGC) campaign on Quora, achieved notable results in terms of engagement and awareness.
The recently announced customs duty cut in the Union Budget will boost the gold demand in the country, making it a bright gold market destination, said the World Gold Council (WGC).
Exhibiting remarkable performance, the gold rose by 12 per cent year-to-date and outpacing most major asset classes, the World Gold Council said in its Gold Mid-Year Outlook 2024.