Home/CNH/Commodities/Forex News Round Up

China’s Gold Demand Dropped 25% in 2014

Share Print 1

China’s gold consumption fell 25 percent in 2014 as the price collapse that triggered an “extraordinary” surge in buying the year before wasn’t repeated, the China Gold Association said.

Consumption declined to 886.1 metric tons from a record 1,176.4 tons in 2013, the Beijing-based group said in a statement on Friday. Demand for bars sank 59 percent, coin purchases slumped 49 percent and gold use in jewelry contracted 6.9 percent.

Gold fell 1.4 percent last year amid a rally in stock markets that damped interest in the metal as an investment and as an anti-graft drive in China hurt demand for luxury goods. Buying in China surged 41 percent in 2013, spurred by a 28 percent slump in prices.

“The precipitous drop in prices in 2013 led to an increase in demand of extraordinary proportions,” the association said in the statement on its website. “The relatively stable price in 2014 suppressed investment demand.”

via SOURCE

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza

@alfonso_forex

Back to Top