• 7 hours Social Media Influencers, Dream Job Or Billion-Dollar Fraud?
  • 9 hours Private Investors Turn Back On Mining
  • 13 hours Four Big Pharma Companies Reach $250 Million Opioid Settlement
  • 1 day ‘Click To Pray’, The Vatican’s Latest Attempt To Draw In Millennials
  • 2 days 3 Oil Stocks Ready To Weather The Geopolitical Storm
  • 2 days Gold Miners Eye Big Third Quarter Profits
  • 3 days The U.S. Doubles Down On Domestic Lithium Production
  • 4 days Reddit Trader Scores 14,000% Returns On Rogue Trade
  • 4 days The Tangled Web Stretching From Turkey To DC
  • 4 days The U.S. Dollar Eyes Greater Upside
  • 5 days More And More Americans Believe A Recession Is Looming
  • 5 days Is The Pot Stock Boom Over Already?
  • 5 days How The California Utility Crisis Could Have Been Avoided
  • 6 days The Ugly Truth About Investing In Private Equity Deals
  • 6 days The World Is Facing A $1 Trillion Food Waste Crisis
  • 6 days Is It Time To Buy The Dip In Gold?
  • 7 days The History Of Oil Markets
  • 7 days Three Stocks To Watch Ahead Of Earnings Season
  • 7 days Markets Flat As Bulls And Bears Battle It Out
  • 8 days The Mining Industry Still Has a Human Rights Problem
Private Investors Turn Back On Mining

Private Investors Turn Back On Mining

Private capital tracker Preqin in a third…

Is It Time To Buy The Dip In Gold?

Is It Time To Buy The Dip In Gold?

These price dips look like…

Gold Miners Eye Big Third Quarter Profits

Gold Miners Eye Big Third Quarter Profits

The gold miners are likely…

Mining.com

Mining.com

Mining.com

MINING.com is a web-based global mining publication focusing on news and commentary about mining and mineral exploration. The site is a one-stop-shop for mining industry…

Contact Author

  1. Home
  2. Commodities
  3. Precious Metals

Central Bank Gold Demand At Highest Level In Half A Century

Gold

Against a backdrop of continued stock market volatility and geopolitical risk, gold demand surged in Q4 of 2018, according to a new report released today from the World Gold Council.

Annual gold demand increased 4 percent on highest central bank buying in 50 years. Gold demand in 2018 reached 4,345.1 tonnes, up from 4,159.9 tonnes in 2017. Central banks’ demand for gold soared to the highest level since the dissolution of Bretton Woods. 

Central banks’ demand for gold soared to 651 tonnes in 2018, 74 percent higher year over year —the highest level since the dissolution of Bretton Woods and the US eliminated the gold standard.

Net purchases jumped to their highest since 1971, as a greater pool of central banks turned to gold as a diversifier.

Russia, Turkey and Kazakhstan remained key buyers throughout the year, while Russian gold production rose 10 percent year-over-year.

(Click to enlarge)

World Gold Council analysts assert that central banks reacted to rising macroeconomic and geopolitical pressures by actively increasing their gold reserves.

Related: The Stock Symbol All Weed Companies Want

Stock market weakness in the fourth quarter helped fuel inflows into gold-backed exchange traded funds, which resulted in 3.4B  of inflows. The report reveals annual inflows into gold-backed ETFs slowed to 68.9 tonnes, 67 percent lower than 206.4 tonnes in 2017.

Sizable annual flows into European-listed funds (+96.8 tonnes) drove growth in the sector, the report reads. And while North American funds experienced heavy outflows for part of the year, strong global Q4 inflows propelled total assets under management to 2,440 tonnes by year-end, up 3 percent year-over-year from 2,371 tonnes. For the first time since 2012, the value of total gold-backed ETF holdings finished the year above $100B.

By Mining.com

More Top Reads From Safehaven.com

Back to homepage

Leave a comment

Leave a comment