WGC: Investors spur gold demand in Q1-Fortune-Magazine-IRISPANCY FASHION ACCESSORIES & JEWELRY

	Shopping bag \| \| My account \| Favorite \| Help \| Contact us \| Login or Register \| Logout

Jewelry \| Apparel & Accessories \| Bags & Accessories \| Magazine \| Business & Franchise Necklaces \| Bracelets \| Earrings \| Rings \| Pendants \| Jewelry Sets Brooches \| Hair Accessories \| Belts \| Caps \| Scarves \| Gloves \| Shoes \| Socks IRISPANCY Bags \| IRISPANCY Bags Accessories Vogue and Trend \| Mix and Match \| Celebrity \| Fortune \| Fun and Love \| Small Business \| Product knowledge \| Market Survey \| Expo Information \| Industry News Boutiques \| Sales Policy \| Franchise \| Events and Activities \| OEM and ODM

Magazine > Fortune > News Content

WGC: Investors spur gold demand in Q1

5/26/2009 3:53:55 PM

Total demand for gold in the United States was 15 percent higher in the first quarter of 2009 year-over-year, driven by retail investment demand, which rose 216 percent to 27.4 tonnes. Jewelry demand, however, fell 30 percent to 27.8 tonnes.

New York--Total demand for gold in the first quarter of 2009 increased 38 percent year-over-year, with fears of future inflation and ongoing financial uncertainty leading investors to flock to the metal, according to the World Gold Council's (WGC) Q1 '09 Gold Demand Trends report.

According to the report, this total demand for gold represents a 36 percent increase in value terms to $29.7 billion, with identifiable investment demand for the metal--which includes exchange traded funds (ETFs), bars and coins--a major source of growth, up 248 percent to 596 tonnes.

The figures, compiled independently for the WGC by GFMS Ltd., reveal a record level of investment into ETFs, with demand soaring 540 percent year-over-year to 465 tonnes. Net retail investment (total bar and coin demand) remained highly robust, increasing 33 percent year-over-year to 131 tonnes.

Germany was the single biggest bar and coin market for the quarter, where demand increased 400 percent year-over-year to 59 tonnes. Switzerland was second, up 437 percent to 39 tonnes, followed by the United States, up 216 percent to 27.4 tonnes.

"There has been a seismic shift away from capital appreciation toward wealth preservation, and we believe this trend will define investment behavior in the next decade," WGC Chief Executive Officer Aram Shishmanian said in a media release. "Gold, as one of the few assets that has held its value during the current economic crisis, has been sought out by investors who are drawn to its proven protective attributes as well as safeguarding themselves from the erosive effects of future inflation."

In terms of jewelry, gold demand was down 24 percent on year-earlier levels, with most countries suffering a decline as consumers responded to high and volatile gold prices, compounded by difficult economic conditions, the report states.

Industrial demand for gold was also down, decreasing 31 percent compared with the same period last year, with the electronics sector being the major contributor to the decline.

In the United States, total demand for gold was 15 percent higher than in the first quarter of 2008, driven by retail investment demand, which rose 216 percent to 27.4 tonnes. Jewelry demand, however, fell 30 percent to 27.8 tonnes, according to the report.

Mine production for the period was relatively stable, increasing 3 percent to 560 tonnes. Yet total supply surged 34 percent compared with the same period last year, reaching 1,144 tonnes, with scrap gold coming back into the market serving as the primary source of the increase.

"The shift in the balance of demand that we have witnessed this quarter, where the gold price has risen despite a severe drop in jewelry and industrial demand, perfectly demonstrates the robust nature of gold's fundamental supply and demand dynamics," Shishmanian said. "While jewelry demand is unlikely to return to more positive territory in current market conditions, it remains a key market driver. Affinity for gold jewelry remains, and we are confident that demand will grow as consumer confidence and purchasing power returns."

	Related News
	- Urban Outfitters reports Q1 earnings(5-14)
	- Tarrant Apparel gross profit increases in Q1(5-13)
	- Hanesbrands reports Q1 loss, to lay off 250 jobs(4-29)
	- Gold and diamond buttons to adorn most expensive suit(4-24)
	- Whoopi Goldberg's flying doctor(4-18)
	- China's economy slows to 6.1 percent in Q1(4-16)
	- Prices, economy, to drain gold jewelry demand(4-10)
	- Demand for sandals soars while summer approaches, Fitness Footwear(4-7)
	- 20 models to show off their talents at Gold Coast Fashion Week(3-30)
	- Internet drives demand for counterfeit watches(3-27)

Bussiness Partnership

Jewelry business opportunity

FAQ about products

JP Renaissance Enterprises Corporation, an active fashion and gift company that provides fashion accessories and jewelry. We expanded our branches in Asia and North America, now, we devote ourselves on globalization by deploying unique designs and concepts. Our designers put their efforts on introducing innovative ideas, integrating creative and trendy elements and developing new style, such as integrating the nature into our products. Our fashion accessories and jewelry are capable to give you a different fashion ideas, a different way to dress, and can surprise your friends, lover, parents, clients by sending them special gifts on holiday or in special events. The products are not only fashion symbols but also tools to communicate, for example, you can use our new fashion and gift guides as an interesting topic among girls, or share the experience of our online jewelry store or the latest shoes. hats and socks with your friends..

Furthermore, we provide dance holiday gifts assistance and special apparel gifts price comparison with professional wholesale and retail business. for examples, we not only sell free clothing, diamond cross pendant, motorcycle gloves and charm gold pendant as a manufacturer and wholesaler, but also provide party clothing gifts tips. Besides, while outputing luxurious goods and service, we also offer value packs and free gift cards, such as payless jewelry gifts, wholesale gifts on special events.

Clients all over the world can enjoy our products and service through the internet. For instance, buyers from Indianapolis - Indiana - United States, Winston-Salem - North Carolina - United States and Saint John - New Brunswick - Canada.

Our online Fashion Magazine, on the other hand, presents information about top holiday gifts guides, hair styles, life style trends, potfolio fashion tips, what to wear on anniversary, dressing tips, dressing guides or general fashion tips for women and for men, apparel accessories and clothing accessories industry news, product kownledge about fake iced out jewelry, silver bangles and baby clothing, fashion shows...

www.irispancy.com IRISPANCY FASHION ACCESSORIES & JEWELRY