Every calendar quarter the World Gold Council publishes its Gold Demand Trends report. On November 1, 2018 it published its report for July 1 – September 30, 2018. We’ve read the report so you don’t have to and here are our key insights:
- Central banks driving demand is an interesting trend that if it continues could dramatically shift the market
- Large growth in bar and coin demand
- Continued technology growth could be a harbinger of things to come
Central Banks – Part of a Larger Shift?
Growth of 22% in demand from Central Banks is big news. What do they know? With so much talk about currency realignment due to cryptocurrencies such as Bitcoin, and further talk about certain countries such as Russia and China making moves to reduce US dollar hegemony, this is a sector to watch.
Bar and Coin Demand – Are Retail Investors Following Suit?
Growth of 28% for bars and coins could mean that sophisticated retail investors are buying the same trend.
Technology Continues to Grow – Along With Its Demand Markets
While still a relatively small area of demand, technologies using gold has grown for 8 quarters in a row. And the technologies that use them, such as electric vehicles and mobile phones, continue to grow as well, which should lead to continued growth in demand.
The above were insights from the World Gold Council report. We see them, and other factors, as a sign we could be on the verge of a Gold Renaissance. To learn more about these and other trends, see our upcoming Gold Trends Report for 2020-2024. To get early access to that report, sign-up for our newsletter today (while it’s still free to do so).
