Chinese gold demand rebounds in Q3
(Kitco News) Gold demand in China sees a recovery in Q3, surging 29% in comparison to Q2 data, according to the China Gold Association. Increased gold demand is being driven by an economic recovery in China as well as a rebound in the wedding market, the association said. However, China's overall demand for the year still remains weak, writes Commerzbank. "After the first three quarters, Chinese gold demand is still nearly 30% down on the same period last year, at 548 tons," says Commerzbank analyst Daniel Briesemann. In the meantime, gold continues to trade around the $1,900 an ounce level, notes Briesemann, adding that a bigger price pullback is being prevented by healthy investment demand. "The gold ETFs tracked by Bloomberg registered inflows of 3.5 tons yesterday. Even if inflows have lost some of their momentum in recent weeks, many market participants still seem to view the current gold price as an attractive buying opportunity," he writes.