The beginning of 2023 was marked by a decrease in global demand for gold

According to Reuters, the World Gold Council (WGC) reported that for the first quarter of 2023, the demand for gold in the world decreased due to a decrease in investor purchases. However, central banks and Chinese consumers continue to purchase the metal. The total volume of purchases in the first quarter amounted to 1081 tons, which is 13% less than a year earlier. More than half of this volume is accounted for by jewelry manufacturers. Interestingly, gold prices remain close to all-time highs above $2,000 an ounce. At the same time, gold bar and coin purchases in Europe and India fell as exchange-traded funds (ETFs), which hold gold bars for investors, sold the metal. The WGC forecasts growth in investment demand for gold this year, despite a drop in central bank purchases compared to last year. However, an increase in the stocks of the metal, accumulated by investors, may lead to an increase in gold prices, which will reduce demand in India.