World demand for gold has decreased by 12%, falling to its lowest level in 6 years, the World Gold Council reports.
Courtesy of The World Gold Council
The demand for gold slid to 914.9 tons in the period from March to June this year, compared to the 1,038 tons during the same period last year. The price of gold has fallen more than 40% since it peaked at $1,900 per ounce in 2011, RT reports.
Demand for jewelry, which makes up about 60% of global gold consumption, fell by 14% in the second quarter to 513.5 tons, from 594.5 tons a year ago according to the news agency.
The World Gold Council reports, the main reason for the negative demand trend are India and China which account for around 50% global gold consumption.
Gold demand in India has dropped 25% while in China decreased by 3%. The two countries are expected to consume a total of between 900 to 1,000 tons this year.
Here is one more interesting chart presenting gold demand in the first 6 months by category. You can easily see that jewellery is the main consumption contributor.
Courtesy of The World Gold Council
The full report “Gold Demand Trends Q2 2015” can be accessed here.
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