Gold Bar and Coin Investment Hit 8-Year Peak

SEATTLE (Scrap Monster): The Gold Demand Trends Full Year 2021 Report says that annual gold bar and coin investment surged 31% to 1,180t, mainly on account of record high volumes in the US and Germany.

Bar and coin investment accelerated sharply in the first half of the previous year, which gained by almost 50% over the previous year by the end of H1 2021. This was largely due to the comparison with a weak H1 2020, when markets were in lockdown and key markets such as Thailand witnessed weakness in response to the pandemic. The investment demand maintained good momentum in the second half of 2021 as well.

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The bar demand for the full year 2021 was up by almost 50%, whereas official coin demand slipped marginally to 291t, in reflection of the significant drop in demand in Turkey. Bar and coin demand jumped to an eight-year high in the midst of high global inflation.

According to the WGC report, the Chinese gold bar and coin demand reached 77t in Q4. The 2021 annual demand totalled 285t, significantly higher by 44% on 2020. The Indian demand surged to an eight-year high of 79t. The Turkish bar and coin demand slumped, with retail investment roughly halved to 61t. The Middle East region demand too was down by 4% to 55t. The U.S. bar and coin investors purchased a record of 117t of gold during the previous year.