Consumer demand for gold hits record high

Investors are deserting gold and consumers are buying gold jewellery and coins. The world consumer demand for gold has been the highest in the second quarter going upto 1083 tons, up by 53% in comparison to the demand last year. The demand has mainly been in china and India where consumers have rushed to buy gold jewellery, coins and gold bars. The latest report from the gold council showed hat jewellery sales made up for more than half of the total gold tonnage sold to consumers in the quarter. The average price of gold declined by 12% to $ 1,415 per ounce. At present gold is trading at just over $ 1,330 per ounce, down by roughly 30% from its all-time high near $ 1,900. The average price of gold   over the period fell by 12% to $ 1,415 per ounce. At present its price is just over $ 1,330 per ounce, down by roughly 30% per ounce from its all-time  high of $ 1,900 in September 2011. During difficult economic times the precious metal is typically seen as a safe haven for investors. Due to recovery by developing economies investors are not interested in investing in gold. China and India -- which are the biggest markets for gold -- were not the only countries seeing a spike in buying. Demand from consumers in the middle east and turkey was also on the rise, with jewelry demand up by 33% and 38%, respectively.