You Are Being Lied To About “Low” Gold Demand

by Jeff Clark, Goldseek:

I don’t like to use inflammatory language, such as the title of this article, but the message from the mainstream media about gold demand is a lie misleading.

Yes, coin purchases in North America are down compared to last year (a record-setting year, by the way). It’s been soft at a few other Mints as well, such as Perth.

But Eagle and Kangaroo purchases aren’t the whole market. You and I don’t buy paper gold products, for example, but throw in demand from this part of the industry and a very different picture emerges from the dour headlines you see from gold haters mainstream sources.

Let’s face it, some investors are going to opt for paper gold—so if we want an accurate picture of gold demand we have to include all sources. I know this seems obvious, but sometimes journalists favor headlines that are support their biases are sensational.

Here is an update on the various segments of gold (and silver) demand from around the world. See if this portrays a different message than the one you’ve been hearing. It might even make you feellike a stud/studette emboldened…

Gold ETP Demand: Off the Charts

Add up all the gold exchange-traded products (ETPs) around the world and you’ll find that the first half of the year has been a knockout. Global ETPs (which includes ETFs like GLD) saw inflows of $245 billion in the first six months of 2017, a new and lofty record.

This is a LOT more than the first half of last year. Or most years. Look how it compares to the average level of demand over the past decade.

Keep in mind that as the chart shows, we haven’t got to what is typically the strongest part of the year.

Here’s another way to look at just how robust current demand is for gold ETPs. This chart compares the first half of 2017 to ALL of 2016.

What’s especially impressive is that $245 billion would be the second-largest FULL year amount on record. If the current pace continues, ETP inflows could reach a whopping $500 billion by year end.

This clearly signals that institutional investors—the primary buyers of gold ETPs—see a crucial need to have exposure to gold.

Silver ETFs: Record Holdings (Again)

It’s pretty straightforward: total global silver ETF holdings reached yet another record level last month. There simply has been no letup in investors buying silver ETFs.

This is not the behavior you would see if investors didn’t think there was strong potential in silver.

Read More @ Goldseek.com