Gold’s appeal dates back centuries and its popularity in global consumer demand has been making headlines recently.
The precious metal is seeing buying pressure for its many different outlets, including the more obvious like its institutional financial performance, along with retail, collectors, and the jewelry industry.
There are many reasons behind the purchasing of gold, as its financial security and status symbols.
The gold market saw all-time record highs last year. Now, its demand has picked up tremendously.
But there’s also tradition, which is seldom mentioned when it comes to gold inflow.
The worldwide demand for gold has significantly increased this year, which may foreshadow something bigger to come for the precious yellow metal’s price movement.
Countries like India and China, which are responsible for quite large annual gold imports, are experiencing an increase in their gold activity by impressive amounts.
India is the world’s second-largest consumer and gold imports in August alone doubled in volume compared to last year. This marked a new five-month high, which some believe will be broken again in the near future.
In terms of value, August imports surged to $6.7 billion from $3.7 billion a year ago.
China, the world’s top consumer of gold, is experiencing an e-commerce boom that is fueling rising demand for the metal’s traditional symbolism of national pride.
Millennials in the country are being credited for driving the rebound in gold demand, after a pandemic-induced slump.
Older generations view the precious metal as a status symbol and a sign of wealth.
The heritage gold market is expected to reach $15 billion by 2024.
Sales of pendants, earrings, gold bracelets and necklaces that draw on dragons, phoenixes, peonies, and other traditional Chinese patterns and symbols have skyrocketed as of late.
The sale of these pieces sent China to double its gold jewelry demand in the first half of 2021 compared to the previous year, according to the World Gold Council.
It’s clear that gold attracts purchases for many different purposes and reasons from all areas of the world.
In all, the global gold mining market is forecasted to grow from $214.1 billion this year to $249.6 billion by 2026.
That’s also why it has a positive track record spanning back thousands of years.
Call American Hartford Gold today at 800-462-0071 to learn why thousands of Americans are flocking to precious metals like gold.