Economics

Chinese Shoppers and Investors Are Losing Their Appetite for Gold

  • Consumption to drop in 2019 before stabilizing next year
  • Investors worried gold is ‘looking rich,’ Kavalis says
Why This Week’s Hot Trade Focuses on Gold
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China’s shoppers and investors lost their appetite for gold this year -- and there’s little expectation of any major improvement in 2020 as slowing growth and higher prices crimp consumer spending.

Jewelry consumption is forecast to drop 4% to about 660 tons this year, according to forecasts from Metals Focus Ltd., while a decline of more than 20% to around 240 tons is seen for investment demand.