India and China remained the dominant figures in the global gold market, accounting for close to 45 percent of total demand in the third quarter (July-September) of 2015, a World Gold Council report said in New Delhi on Thursday.
"China and India remain the dominant figures in the global gold market, accounting for close to 45 percent of total demand. But what was particularly noticeable this quarter is that the consumer response to the price dip was a truly global occurrence," Alistair Hewitt, head of Market Intelligence at the World Gold Council, said.
"There were significant gains in bar and coin demand in China and across Europe, but it was in the US where we saw the most dramatic growth, with US Mint Eagle sales reaching their highest level since Q2 (April-June) 2010. Global jewellery demand also picked up, in what is traditionally a quiet time of the year for jewellery demand," he added.
Total gold demand in Q3 2015 stood at 1,121 tonnes, an increase of eight percent compared to the same period last year, according to the World Gold Council's Gold Demand Trends report.
It said the Q3 2015 consisted of two distinct halves - in the first part, a number of factors, including exchange traded fund (ETF) outflows, contributed to a price dip which buoyed consumer demand around the world.
A shift in tactical investor positions in the latter part of the quarter led to modest ETF inflows in August and September, which helped to push prices back up.
Demand for gold in India for Q3 2015 was at 268.1 tonnes up by 13 percent as compared to overall Q3 demand for 2014 which was at 238.2 tonnes.
India's Q3 2015 gold demand value was Rs.62,939 crore, a rise of 5.8 percent in comparison with Q3 2014 (Rs.59,480 crore).
The total jewellery demand in India for Q3 2015 was up by 15 percent at 211.1 tonnes as compared to Q3 2014 (184.2 tonnes). The value of jewellery demand was Rs.49,558 crore, a rise of 7.7 percent from Q3 2014 (Rs.45,996 crore).
The overall jewellery demand globally for Q3 2015 was 632 tonne compared to 594 tonne in Q3 2014, up six percent year-on-year. Consumers in India, China, the US and the Middle East took advantage of lower prices in July and August.
This was particularly evident in India, partly as festival purchases were brought forward, resulting in a 15 percent increase in jewellery demand to 211 tonne over the period.
The central banks remained a significant source of demand, and were net buyers for the 19th consecutive quarter.
