2024 was a landmark year for the gold market, with demand rising across multiple sectors and several records set. Central banks continued to dominate as the largest buyers, maintaining net purchases above 1,000 tonnes for the third consecutive year. Their buying accelerated toward the end of the year, with net acquisitions reaching 333 tonnes in the fourth quarter alone.
Investor interest in gold strengthened markedly: investment demand climbed to a four-year high of 1,180 tonnes. This increase was supported by a stabilization in exchange-traded fund (ETF) holdings after periods of outflows in prior years, signaling renewed confidence among portfolio managers and retail investors alike.
Industry demand also contributed to the overall rise. The technology sector recorded a 7% increase in gold consumption, driven in part by growth in applications related to artificial intelligence and other high-tech developments that require precision components and conductive materials.
Demand for jewelry fell by 11% to 1,877 tonnes, a decline largely attributable to elevated gold prices that restrained some consumer purchases. Despite the lower volume, the total amount spent on gold jewelry rose by 9%, reaching $144 billion, reflecting the higher price per ounce that offset weaker physical volumes.
Looking toward 2025, central banks and ETF investors are expected to remain key drivers of gold demand. Continued geopolitical uncertainties, diversification strategies, and portfolio hedging could sustain institutional appetite. At the same time, persistently high prices may continue to weigh on jewelry consumption, keeping volumes subdued even if overall market value remains strong.
In summary, 2024 reinforced gold’s role as both a financial asset and an industrial input: central bank buying and renewed investor interest lifted demand, technology-related uses expanded, and the jewelry market adjusted to higher price levels with a shift in spending patterns rather than volume.