MetalsFocus: Global total gold demand in 2024 may decline year-on-year

In 2024, the global total gold demand is expected to decrease year-on-year, mainly due to the impact of production growth driven by new projects and expansion of existing businesses globally. The price of gold is supported by expectations of interest rate cuts, global central bank purchases, geopolitical tensions, and the level of U.S. debt. However, high interest rate policies, high holding costs, and funds flowing into other asset classes have limited investors' interest in gold. In 2023, global gold mining production increased by 0.3% year-on-year, maintaining rising costs, but the rise in gold prices brought higher profit margins. Gold jewelry demand saw a slight increase, while global retail investment declined, with central bank purchases exceeding those in 2022. Other fundamental factors are also favorable, with prices rising in multiple physical gold markets