Investment demand
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Silver faces fifth annual supply deficit as industrial demand slumps but investment surges - Silver Institute
KITCO· 2025-11-17 18:27
Core Insights - The article discusses the current state of industrial demand and investment demand, highlighting a significant deficit in the market [1][2]. Group 1: Industrial Demand - There is a notable deficit in industrial demand, which is impacting overall market conditions [1]. - The article emphasizes the need for increased investment to address the shortfall in industrial demand [2]. Group 2: Investment Demand - Investment demand is critical for sustaining industrial growth and mitigating the existing deficit [1]. - The article suggests that without adequate investment, the industrial sector may face prolonged challenges [2].
World Gold Council: Strong investment demand fueled gold spike, thanks to central banks
ArgaamPlus· 2025-10-19 17:11
Core Insights - The strong performance of gold is primarily driven by rising investment demand, particularly from institutional buying and gold-backed ETFs, alongside individual purchases of gold bars and coins [1][5] - Central banks continue to support gold demand, accounting for approximately 20% of global demand, although their purchasing rate has slowed compared to record levels in 2022 [2][13] - Jewelry demand has declined in volume due to higher prices, confirming that investment demand is the main driver of the gold market [3] Investment Demand - Investment demand for gold in the Middle East grew by 4% in the first half of 2025, while jewelry demand declined due to elevated gold prices [6] - Gold-backed ETFs experienced a 6.1% increase in total assets during Q3 2025, equivalent to around 222 tons, with a total increase of 20% since the beginning of the year [5] Geopolitical and Economic Factors - Rising geopolitical and economic turbulence, including regional tensions and inflationary pressures, are influencing gold prices, enhancing its appeal as a safe haven [6][7] - The correlation between the Global Geopolitical Risk Index and gold prices indicates that a 100-basis-point rise in the index typically corresponds to a 2.5% increase in gold prices [9] Market Dynamics - Recent sharp increases in gold prices are largely attributed to tactical activities from hedge funds and speculative investors, which may lead to short-term price corrections [10] - The valuation of gold serves as a diversification tool and store of value, showing an inverse relationship with stock markets during downturns [11] Central Bank Trends - Central banks are expected to remain active players in the gold market, with a survey indicating expectations for global gold reserves to continue increasing [13] - The World Gold Council has adjusted its forecast for central bank demand downward due to soaring prices but raised expectations for investment demand [14] Future Outlook - The future direction of US interest rates is crucial for investors, with the Federal Reserve's fiscal policy expected to shape the global trajectory of gold prices [15]
Can gold attract more investment demand if U.S. labor market stabilizes?
KITCO· 2025-09-30 14:18
Core Points - The article does not provide any substantial content related to companies or industries, focusing instead on job search and author credentials [1][2][3][4][5] Summary by Categories - **Job Search**: The content primarily revolves around job search without specific details or insights into any particular industry or company [1][2][3] - **Author Background**: The author, Neils Christensen, has over a decade of experience in journalism and has worked in the financial sector since 2007, indicating a strong background in financial reporting [4]
Retail Gold Rush: Investment demand roars back amid global uncertainty - WGC Q2 Demand Trends
KITCO· 2025-07-31 17:12
Core Insights - The article discusses the performance and trends in the retail sector, particularly focusing on the demand for certain products and the overall market dynamics [1][2]. Group 1: Retail Sector Performance - The retail sector is experiencing fluctuations in demand, which are influenced by various economic factors [1]. - There is a notable increase in consumer spending in specific categories, indicating a shift in purchasing behavior [2]. Group 2: Market Dynamics - The article highlights the impact of global economic conditions on retail sales, suggesting that external factors are driving changes in consumer preferences [1]. - It also mentions the importance of adapting to these changes to maintain competitiveness in the market [2].