Gold Demand Steadies in Q2 as Central Banks Boost Purchases

The World Gold Council reported that gold demand steadied in Q2 2026, following a modest growth in Q1. The total gold demand, including over-the-counter (OTC) activity, remained unchanged year-over-year at 1,269 tonnes.

This brought the first half of the year's total demand to 2,522 tonnes, a 2% increase from last year, with a record value of US$380 billion. Despite this, investment in gold ETFs declined by 45 tonnes due to weaker gold prices and rising inflation expectations.

Central banks, however, made significant purchases in Q2, buying 289 tonnes after a slowdown in Q1. Jewellery demand fell to its lowest quarterly volume since the pandemic, but spending on gold jewellery was up 14% year-over-year at US$40 billion.