Gold rallies with record ETF inflows after COVID-19 impacted consumer demand in H1

Gold rallies with record ETF inflows after COVID-19 impacted consumer demand in H1

The total demand for gold dropped by 6 percent to 2,076 tonnes in H1 2020 compared to the same period in 2019, due to the impact of the COVID-19 pandemic on consumer sectors of the gold market.However, while overall demand for the precious metal fell, H1 saw record flows into gold-backed ETFs, amounting to 734 tonnes. These inflows were fuelled by the rate cuts and massive liquidity injections by central banks and governments around the world, the World Gold Council said in its latest Gold Demand Trends report.In contrast, bar and coin investment declined sharply in Q2 driven by Asian weakness and leading to a 17 percent decline to 397 tonnes in H1. Jewellery demand fell by 46percent  to 572 tonnes due to high prices and the lockdown imposed in