Demand for gold bars, coins, and jewellery increased in March quarter. Total gold demand rose due to rising investment interest, positive inflows in gold ETFs, and strong macroeconomic support in India.
Demand for gold from India could stand between 700 metric tons and 800 metric tons in 2024, with the figure falling near the lower end of the range if prices continue to rally, Sachin Jain, CEO of WGC s Indian operations, told Reuters.
Safe-haven demand, driven by geopolitical and economic uncertainty, investment in the OTC market, persistent central bank buying, and high demand from Asian buyers caused a rally in gold in March-April, pushing the first-quarter gold price to a record average of $2,070 per ounce.
The increase in demand was further fueled by the Reserve Bank of India s (RBI) robust gold purchases. The central bank purchased over 19 tonnes of gold during the initial quarter of the current calendar year 2024.