WGC Q2 report

The World Gold Council’s second quarter report on Gold Demand Trends revealed jewellery demand, which represents 53% of all demand, has maintained its broad upward trend since 2009; investment demand increased 4% to 235t as a whole from Q2 2013 but physical bar and coin demand is down with outflows from ETF’s much lower making up the net increase; technology use fell just 3% to 101t as manufacturers look for alternative and retail sales are subdued globally; central bank net purchases were up strongly at 28% or 118t; and mine supply increased 13% taking the total supply increase to 10% to 1078t.

Topically on the central bank figure the following quote came from Russia late last week which says it all..

“Due to the worsening geopolitical situation, the Central Bank actively redistributed foreign exchange reserves, replacing US Treasury bonds with gold,”