After last year’s massive bullion buying spree, China’s gold fever is set to cool in 2014 as consumers grapple with a slowing economy, said World Gold Council (WGC).
“The sudden price drop in 2013 meant some Chinese consumers brought forward jewelry and bar purchases, which may limit growth in demand in 2014,” the industry body representing gold miners wrote in a new report on Tuesday.
The surge in demand brought about by lower prices saw China surpass India as the world’s top consumer of physical gold in 2013. The mainland accounts for 26 percent of global private sector gold demand, making it a key driver of the bullion market.
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