COMEX Gold Off One Week Low

Published on Oct 30, 2020 11:03

COMEX Gold futures tanked to one month low of $1869 per ounce in last session in US, sliding on broad demand worries. The metal yet again saw some buying thereafter and trades at $1877 per ounce, up 0.50% on the day. The global Q3 gold demand was 19% lower y-o-y at 892 tonnes (t), the World Gold Council (WGC) noted in its latest Gold Demand Trends update. Strong growth in global investment demand for gold in Q3 partly offset weakness elsewhere as COVID-19 remained in the driving seat. Demand for gold dropped to its lowest quarterly total since Q3 2009 - as consumers and investors continued to battle the effects of the global pandemic. At 2,972.1t year-to-date (y-t-d) demand is 10% below the same period of 2019.

Demand for gold used in technology remained weak in Q3, down 6% y-o-y at 76.7t. But the sector saw a decent quarterly improvement as some key markets emerged from lockdown. The total supply of gold fell 3% y-o-y in Q3 to 1,223.6t, despite 6% growth in gold recycling, with mine production still feeling the effects of the H1 COVID-19 restrictions.