Gold ETFs drew record first-half inflows, as the metal’s price soared amid global uncertainty. The recent investment momentum may be slowing, but allocations are tipped to grow still further.
Demand for gold touched an all-time high of $150 billion last year, buoyed by gold jewellery purchases in India and investment demand in China.
As the gold price remains close to record highs amid market uncertainty, two more products linked to the metal will soon hit Asian markets, from Invesco and the Singapore Mercantile Exchange.
The country consumes relatively little gold per capita compared to other nations, yet it could exhaust its domestic supply within six years, says the World Gold Council.
An apparent change in behaviour by these institutions may be affecting investors' approach to the metal, says the World Gold Council.
Changes in the gold price lag global money-supply growth by six months, meaning gold can be taken as an indicator of future inflation, according to the World Gold Council.