Gold Investment Demand Reaches Record In First Half 2016 On Perfect Storm
Gold investment demand surged to a record in the first half of 2016 and overtook the previous high seen during the 2009 financial crisis on a “perfect storm” for gold according to the ‘Gold Demand Trends Q2 2016’ report which was released by the World Gold Council today.
Western investors especially in Europe saw the greatest increase in gold investment demand and Europe was the “largest market for gold bars and coins in Q2.”
Gold investment in Germany remained very robust and UK demand rise significantly from low levels as smart money diversified into gold ahead of the Brexit referendum. Japan also saw continuing robust demand due to concerns about the outlook for the Japanese economy, the debasement of the yen and negative interest rates in Japan.
U.S. gold investment demand also rose very significantly:
“First half demand for gold retail investment products was 75% higher than 2015, boosted by the sharp price increase. Sales of gold coins by the US Mint went through the roof. The number of 1oz Eagle coins sold in the first six months of 2015 more than doubled – to 405,000 from 198,500 in 2015 – and these coins were far more popular than smaller denomination (half- and quarter-oz) coins. Trade data also showed a huge influx in imports of gold coins from other countries.”
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Article from Gold Seek.com