Gold demand remains strong due to central bank purchases says report

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The World Gold Council has released its third-quarter report for this year, indicating a continued strong demand for gold. The council’s data reveals that central bank purchases have been instrumental in maintaining this demand.

The report shows that gold demand, excluding over-the-counter (OTC) transactions, reached 1,147 tonnes for the quarter. This figure is 8% higher than the five-year average. When OTC and stock flows are included, the total demand increases by 6% year-on-year to 1,267 tonnes.

Central banks’ net buying for the quarter was the third highest ever recorded, at 337 tonnes. Despite not surpassing the record set in the same period the previous year, the year-to-date gold demand has already reached 800 tonnes.

The report suggests that this strong buying trend from central banks is likely to continue for the rest of the…