Insights

Global official gold reserves fell by 21.5t in November according to data released by the IMF. A sizable sale from Uzbekistan tipped the balance in what would have otherwise been a flat month.

The Chinese central bank has intensified its easing monetary policy efforts to accommodate the nation’s slowing economic growth.

On the 24th of December 2021, the James Webb Space Telescope will be launched (weather permitting) and ultimately give humanity the opportunity to understand even more about the universe. Gold, a metal that was born in the stars billions of years ago, has long played a critical role in space exploration - the JWST included.

We worked with our members and collaborated with key industry stakeholders to set out a framework that addresses key environmental, social and governance issues for the gold mining sector.

Retail gold demand in India remained robust in the month, buoyed by festival and wedding purchases. Official imports declined m-o-m due to a higher gold price and ample stocks, and the local market flipped back to discount.

In our conversations with investors we often get asked the same questions about gold’s ESG credentials, and this new video series aims to answer them by showing different perspectives from within the World Gold Council and our membership.

The Shanghai-London gold price spread fell amid a weaker local gold price 

The LBMA Gold Price PM finished November slightly higher as declines towards the end of the month wiped off earlier rallies. While the LBMA Gold Price AM in USD – which we normally use when comparing to the Chinese local gold price ‒ increased by 0.1%, the SHAUPM in CNY saw a minor drop of 0.3%. The appreciating CNY against the dollar and a steadily rising equity market may have contributed to the underperformance of the RMB gold price.

If responsibly mined, gold mining can contribute to the socio-economic development of the countries they operate in.

All-in Sustaining Costs (AISC) across the gold mining industry averaged US$1,123/oz in Q3’21, a rise of 4% q-o-q and the highest level since 2013. This is the fourth consecutive quarter of cost growth, with the average AISC up a significant 16% since the corresponding quarter in 2020.

India’s equity market has outperformed major equity markets in 2021, triggered by signs of economic recovery and an accommodative monetary policy from the Reserve Bank of India (RBI).

The United Nations’ climate change conference, COP26, finally wound up after two weeks in Glasgow and an extended period of ‘overtime’, as the world’s governments haggled over the exact nature of their commitments.

Retail demand strengthened in the month with festival and wedding purchases. Official imports were flat m-o-m as stocks remained ample and the average local market premium traded at flat

On November 9th the World Gold Council held an EVOLVE Investment Summit in Singapore. Our series of EVOLVE conferences explore the trends and issues shaping the future of finance. What happens in Asia is hugely significant for the gold market. India and China are the largest gold consuming markets, and other markets in the region including Singapore, Hong Kong and Japan are major trading centres for gold. In a post for goldhub, Dr Parag Khanna, one of this year’s keynote speakers, writes about the shifting economic centre of gravity and Asia’s role in the global economy.

The world appears to be poised for the next step in the evolution of money. Private cryptocurrencies have emerged as a potential new medium of exchange, although their long-term viability is yet to be proven. Central banks have also seized on the possibilities brought about by our highly digitised world with the development of central bank digital currencies, or CBDCs.

On November 3rd, 2021, we hosted our fourth annual conference, the EVOLVE Investment Summit virtually.

After five consecutive monthly inflows, collective holdings in Chinese gold ETFs reached 74t (US$4bn, RMB27bn) at the end of October, the highest AUM on record in tonnage terms. We cover this and more in our monthly blog on China's gold market. 

In this episode of our Strategic Edge series, Joyce Chang, Chair of Global Research at J.P. Morgan, discusses market and allocation strategy trends with our Global Head of Research, Juan Carlos Artigas.

Our latest Gold Demand Trends report takes a detailed look at the global gold market in the third quarter. The fact that gold demand so far this year is down 9%, while the average gold price over the same period was 4% higher, exemplifies gold’s diversification benefits, thanks to its varied roles as an investment, consumer good and a reserve asset.

At the last monetary policy meeting held in October, the Reserve Bank of India (RBI) maintained its accommodative stance and kept its policy repo rate unchanged at 4%

Explore India's gold market in September: gold prices, retail demand, RBI purchases and more!