International gold demand steady in Jan-Mar 2014: WGC

Jan-Mar 2014 average gold price was US$1293/oz, down 21% on the year before

International gold demand remained flat at 1074.5 tonnes in January-March 2014 period, while jewellery purchases recorded a moderate increase of 3% aided by lower gold prices, as per the latest World Gold Council (WGC) Gold Demand Trends report.

Key finding of the reports are as follows:

* Gold demand of 1074 tonnes in Jan-Mar 2014 was fractionally lower than 1077 tonnes seen in Jan-Mar 2013

* ETF outflows slowed to just 0.2 tonnes. With demand for bars and coins totalling 283 tonnes, this means overall investment demand was 282 tonnes, a 2% fall on Q1 2013

* Demand in the jewellery sector was up 3% to 571 tonnes. Jewellery demand in China was up 10% to 203 tonnes, while demand in India fell 9% to 146 tonnes

* Demand in the technology sector was 99 tonnes for the quarter, down 4% compared to the previous year

* Jan-Mar 2014 mine production was up 6% on last year at 721 tonnes. Recycling fell 13% resulting in total gold supply that was 1% higher than a year ago at 1,048 tonnes

* Net central bank purchases totalled 122 tonnes, 6% lower than a year ago, making this the 13th consecutive quarter in which central banks have been net purchasers of gold

* Gold demand in value terms in Jan-Mar 2014 was US$45bn, down 21% on last year

* The Jan-Mar 2014 average gold price was US$1,293/oz, down 21% on the year before

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