The World Gold Council's second quarter Gold Demand Trend Report was released Thursday. Precious metal investors seeking comprehensive demand and supply trends for gold are well advised to review the report.
Among the more notable second quarter highlights was the strong level of Central Bank purchases which totalled 157.5 tons, the highest quarterly level since Central Banks became net buyers in 2009. At the current rate of accumulation, the official sector, including Central Banks, are set to purchase 500 tons in 2012, more than the 458 tons purchased in 2011. Prior to the financial meltdown of 2008, central banks had been net sellers of gold to the tune of 400-500 tons per year for nearly 20 years.
For the quarter, gold demand declined 7% from Q2 2011, and 10% from the Q1 in 2012. A big drop in Indian consumer demand drove the fall in Q2 2012 purchases. The supply of gold declined 6% year over year.
Second quarter 2012 gold supply was 1,059 tons, a decline of 6% versus the comparable period in 2011, and essentially flat from the Q1 in 2012.
Gainesville Coins is offering the 1 oz 2012 Gold Panda Coin at as low as $49.99 over spot. Gainesville Coins is offering the 100 oz Johnson Matthey Silver Bars at as low as $0.69 over spot.