World Gold Council (WGC) stated in its latest Gold Demand Trends update that total global gold demand (including OTC investment and stock changes) grew 3% y/y to 1,313 tonnes (t), the highest quarterly total in WGC data series. It noted that value measure of demand jumped 44% y/y to a record of US$146 billion (bn) has well. Year-to-date demand is marginally higher at 3,717t, equating to US$384bn in value (+41% y/y).

 Investors remained firmly in the driving seat in Q3. Huge ETF buying (222t), accompanied by 316t bar and coin investment (+17% y/y) was instrumental to the rise in overall demand.

 Accelerating investment demand fuelled the stellar gold price rise during Q3. Ongoing geopolitical turbulence and US dollar weakness continued to drive safe-haven buying, with added impetus from FOMO-driven flows.

Central banks remained a firm pillar of demand for gold in Q3. They bought an estimated net 220t of gold in the quarter, 28% higher than Q2 and 6% above the five-year quarterly average.

 Record-high gold prices in Q3 resulted in a sharp y/y drop in gold jewellery consumption to 371t. This contrasts with a 13% y/y increase in value to US$41bn.

 Total gold supply rose 3% y/y to a quarterly record of 1,313t. Mine production, which typically sees seasonal growth in Q3, was up 2% y/y to 977t.

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