The drop in the price of gold might not be helping miners, but it’s helping gold demand.
U.S. gold jewelry demand grew by 2 percent in the second quarter of 2013, according to the World Gold Council’s Gold Demand Trends report. Demand also grew in the first quarter, the first time in eight years that has happened.
“Demand was again healthiest at the high end of the market,” the report said, “[but] there was also evidence of a slowdown in the shift to lower carat items in the middle segment.”
Overall worldwide demand for gold jewelry grew 37 percent over last year, its highest level in five years. Increase in jewelry demand was led by China, India, the Middle East, and Turkey.