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According to latest report from World Gold Council (WGC) demand for gold fell to its lowest in six years in the second quarter of 2015, as falling prices led to lower demand from investors.
According to WGC, China and India, world's two of the largest buyer of physical gold is behind the loss in demand. While China remains burdened with economic slowdown and volatile stock market, Indian government has imposed high import duty to curb demand for gold. Jewelry demand dropped by 25% in India and 5% in China.
Central banks' purchase of the yellow metal dropped to 137.4 tons, down 13% from a year ago.
Demand dropped to 914.9 tons in the second quarter lowest level in six years.
This week gold has been showing some signs of interim comeback, from its lowest price since 2010.
Gold is currently trading at $1116/ troy ounce.
