WGC: Gold Bar and Coin Investment Demand Surged in Q3

SEATTLE (Scrap Monster): The Gold Demand Trends Q3 2022 Report by the World Gold Council (WGC) indicates notable surge in gold bar and coin investment, amidst dip in demand for gold-backed exchange traded funds (ETFs).

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The retail investment demand for gold bars and coins hit the highest third quarter levels since Q3 2011. The demand stood at 351.1t, higher by 41% over the prior quarter and by 36% over the same quarter a year before. The sharp year-on-year growth in bar and coin demand was propelled by Turkey and Europe. The bar and coin investment demand in the U.S. was up by 3% y-o-y. The demand almost doubled in China. Meantime, the Indian demand witnessed 6% year-on-year improvement in Q3 2022.

The global ETF outflows totalled 227t in Q3 this year. This was the fifth consecutive month of ETF outflows. The outflows during the latter five months completely reversed the inflows witnessed during the initial for-month period of 2022.

The funds listed in North America recorded outflows of 149t, thus accounting for bulk of the quarterly outflows. Also, Europe-listed funds lost 78t during the quarter. On the contrary, Asian listed funds witnessed marginal inflow of 1t, said the WGC Gold Demand Trends Q3 2022 Report.