On the eve of a new fever

For the first time in two years, an increase in demand for gold was recorded

In the first quarter of this year, for the first time in recent times, there was an increase in demand for gold on the world market, according to the World Gold Council, by 4%, to 831.7 tons. In dollar terms - by 22%, to $17.377 billion compared to the same quarter of the previous year. The reason is the increase in metal consumption in the jewelry industry, which increased purchases by 17%, to 572.8 tons, in monetary terms - by 38%, to $11.968 billion. This, in turn, was due to the fact that On the one hand, gold prices have stabilized, and on the other hand, jewelers have completely run out of reserves accumulated a year and a half ago and earlier, when prices were moderate.

Over the past two years, demand has fallen from quarter to quarter. Last year it decreased by 9.5%, to 3.4 thousand tons. First of all, jewelers purchased 16% less than a year earlier, especially in Asia and the Middle East. In the first half of last year, due to the rapid rise in prices, they almost froze purchases. But when the price stabilized in mid-summer and remained at the level of $570-600 per ounce almost until the end of the year, consumers of physical gold again began to actively buy it on the market. Since the beginning of this year, gold prices can be called stable. Over four and a half months, they grew by 4.6%, from 640 to 670 dollars per troy ounce. The maximum price during this period was noted on April 20 - $691.4, the minimum - in mid-January, $608 per ounce.

In connection with this trend, industrial demand for gold in the first quarter increased by 1%, to 111.8 tons, while in monetary terms - by 18% (due to rising prices), to $2.335 billion. Demand from investors in physical terms increased by 26%, to 147.1 tons, in dollar terms - by 13%, to $3.074 billion. Investment demand, according to experts, is growing in anticipation of a subsequent increase in prices.

However, against the background of growing demand for gold, its supply is decreasing: in the first quarter it fell by 2%, to 808 tons, although production from the subsoil during this period increased by 1%, to 580 tons. Recycling of gold decreased noticeably - by 13%, to 262 tons. Experts also attribute the decline in sales to sellers’ expectations of a continued rise in gold prices in the summer and a resumption of the price rally.

Anna LANDER