Global Gold demand slipped 1% year over year to 1,369 tonnes in the third quarter, according to the World Gold Council. The industry body said buying patterns varied across different uses of the metal, with lower purchases of bars, coins and jewellery partly offset by central-bank buying and demand from technology firms.
The gold price has also fallen. After reaching highs above $5,000 per ounce in January, it corrected sharply in the spring and declined over the summer with fluctuations. Since late last week, it has traded below $4,000 per ounce.
Louise Street, an analyst at the World Gold Council, told the F.A.Z. that the recent drop below $4,000 was linked in part to high oil prices and expectations of rising interest rates. Higher rates tend to weigh on gold, which pays no interest. A stronger dollar has also made the dollar-priced metal more expensive for buyers using other currencies.
Despite the recent price decline, the council considers conditions for gold broadly favourable, citing geopolitical uncertainty, stress in financial markets and continuing inflation concerns. Street said stable demand was the most likely scenario through the end of the year. According to forecasts compiled by Bloomberg, analysts expect a median gold price of $4,350 per ounce in the fourth quarter, around $450 above its current level.
Private investors worldwide bought 268 tonnes of bars and coins in the third quarter, 19% less than a year earlier. Street said some buyers appeared uncertain about the price direction and were waiting before making purchases. In Germany, purchases of bars and coins totalled 7.8 tonnes, down around 20% year over year.
Central banks continued to add to their gold reserves, buying 321 tonnes in the quarter, 42% more than in the same period last year. Street said central banks had cited diversifying reserves and hedging risks as reasons for their purchases.
Gold-backed exchange-traded funds recorded inflows of 211 tonnes after outflows in the second quarter. That was still 6% below the unusually strong level a year earlier. Street suggested uncertainty in bond markets, concerns about a correction in AI stocks and France’s budget crisis may have helped prompt investors to return to gold ETFs. She said similar effects could reach buyers of bars and coins with some delay.
Jewellery demand fell 17% to 313 tonnes, as high precious-metal prices continued to weigh on the sector. Its value nevertheless edged up to $43 billion because gold was more expensive in the third quarter of 2026 than in the same quarter of 2025.
Technology-sector demand rose 3% year over year to 85 tonnes, its highest quarterly level since the fourth quarter of 2021. The council pointed to stronger demand for gold in AI data centres, where it is difficult to replace, while manufacturers of lower-cost consumer electronics are seeking cheaper alternatives for use on circuit boards.
Sources: FAZ.