• 17 hours Australian Billionaire To Invest In $88 Million Struggling Solar Project
  • 1 day Twitter-Shaming: The Biggest Threat To Any Business
  • 2 days Canada Looks To Become A Major Source For Critical Minerals
  • 2 days Hedge Funds Are Piling Into This Key Commodity
  • 4 days Trade Deal Not Likely Before Christmas 2020
  • 4 days America's $16 Trillion Debt Bubble Is About To Burst
  • 4 days Black Friday Breaks Online Shopping Records
  • 5 days Tesla's Biggest Competitor Is Hiding In Plain Sight
  • 5 days Are Celebrities Good Or Bad For Cannabis Stocks?
  • 7 days Venezuela’s Crisis Continues As Maduro Spends $5 Billion On Oil Deals
  • 8 days Elon Musk Claims 250,000 Orders For Cybertruck
  • 9 days How To Survive Thanksgiving Politics With Cannabis Gravy
  • 10 days The Fragility Of Monetary Policy
  • 10 days 5 Oligopoly Stock Picks For Your 2020 Portfolio
  • 11 days $7 Trillion In Unfunded U.S. Pensions As Domestic Debt Hits A Record High
  • 11 days Retail Is Alive And Well, But Only For The Rich
  • 12 days New Tech Could Unchain The Solar Revolution
  • 12 days China's Boldest Move Yet To Ditch The U.S. Dollar
  • 12 days 5 Stocks That Surpassed Earnings Expectations
  • 14 days Male Stress Increases With Female Earnings
The Fragility Of Monetary Policy

The Fragility Of Monetary Policy

Armed with a false theory,…

Gold Miners Are Having A Stellar Second Half

Gold Miners Are Having A Stellar Second Half

The major gold miners just…

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