Independents

Save E-mail Print Most Popular RSS Reprints

Gold jewelry demand expected to decline

March 25, 2009

Similar Stories | Topics

New York--Consumers' desire to purchase gold jewelry will remain "weak" in 2009, and the metal's price again is expected to top $1,000 per ounce, a report released Tuesday detailing the gold market worldwide states.

According to the Gold Yearbook 2009, an annual report released by CPM Group, fabrication demand for gold - which consists mostly of jewelry but also includes electronics, dental, medical and other uses - declined 6.6 percent in 2008, from 82.9 million ounces to 77.4 million ounces.

This year, total demand is forecasted to slip another 7.9 percent, to 71.3 million ounces.

According to the report, consumer spending on discretionary items, such as gold jewelry, will remain weak in 2009, with jewelry demand falling 7.1 percent, from 60.8 million ounces in 2008 to 56.5 million ounces in 2009.

While the metal might not be attracting jewelry store shoppers, investment interest is expected to remain high, the report states.

Due to the inclination to acquire safe haven assets worldwide, investor buying is projected to reach a record 52.3 million ounces this year, up from the 43.3 million ounces purchased in 2008.

The continued volatile and weak financial conditions also are expected to be supportive of strong investment demand this year.

Combined with short term and speculative activity, gold prices are expected to surpass last year's record intraday high of $1,033.90 reached on March 17, 2008,
the report states.

CPM Group, a precious metals and commodities research, consulting, asset management and investment banking firm, produces annual yearbooks on gold, silver and platinum group metals.

The Silver Yearbook is slated for release on April 28, while the Platinum Group Metals Yearbook is slated to come out on June 30.
For more information, visit CPMGroup.com.
Save E-mail Print Most Popular RSS Reprints
Post a Comment
* Required field
* Author:
* Comment:
 

More Independents

JCOC: 11 percent to purchase jewelry this holiday

Paso Robles, Calif.--Eleven percent of Jewelry Consumer Opinion Council (JCOC) panel members plan to purchase fine jewelry or watches as a gift this holiday season, with 82 percent of this group believing they are either somewhat or extremely likely to do so, according to the JCOC's Pre Holiday study. Read More

JA offers grant fund for state association partners
Jewelers: Win Platinum Points over the holidays
More Independents

More Like This

'Platinum Yearbook' shows continued price hikes
June 27, 2007 | National Jeweler Network
Prices surge for platinum metals in 2007
June 25, 2008 | National Jeweler Network
A 2009 prediction: Designers will drive palladium
February 27, 2009 | National Jeweler Network
TOPICS
Business | Clothing Accessories | Clothing and Accessories | Commodity Markets | Financial Markets | Gold Prices | Jewelry

Design Portfolio

advertisement

Video

Small multi video player located on right rail of NJN site

advertisement

Sponsored by:

Retailer Toolbar

America's Best Jewelers
Join the ONLY Social Network for Jewelry Retailers. Get access to expert content, peer best practices, and more.
Start networking today.
Newsletters
Newsletters
Topic-specific newsletters that deliver the latest news on jewelry, diamonds, wholesale operations and high-volume buying directly to your in-box.
Reader Connect
ReaderConnect
Supplier information presented with every article, bringing you related, actionable content on every topic.
Jewelry Yellow Pages
Yellow Pages
A comprehensive listing of associations, organizations, suppliers and services for the jewelry industry.
Classifieds
Classifieds
A comprehensive listing of job postings, product offerings and other materials for sale for the jewelry industry.
NJN Customer Connect
CustomerConnect
The most sophisticated suite of marketing services available for jewelry retailers, from Internet tools to data marketing.

advertisement