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Perth Mint's gold sales jump to 9-month high after July rout

Published 04/08/2015, 06:21 pm
Updated 04/08/2015, 06:26 pm
Perth Mint's gold sales jump to 9-month high after July rout
XAU/USD
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By Manolo Serapio Jr

MANILA, Aug 4 (Reuters) - Gold sales at the Perth Mint climbed to a nine-month high in July after a slide in prices of the precious metal to their lowest since 2010 drew buyers.

The spike followed a similar rise in U.S. Mint sales of gold coins, which hit a two-year high last month, although analysts say the increased retail interest may not reverse gold's recent price tumble.

Sales of gold coins and minted bars rose to 51,088 ounces in July from 31,019 ounces in June, according to data from Perth Mint. That was the highest since October 2014.

Silver coin sales nearly doubled to 746,700 ounces from 384,586 ounces in June, the highest since November last year.

The Perth Mint runs the only gold refinery in Australia, the world's second-biggest gold producer after China.

Gold XAU= lost nearly 7 percent in July, its steepest monthly drop in two years, as a looming U.S. interest rate hike buoyed the dollar and spurred investors to cut their exposure to bullion. The price fell to as low as $1,077 an ounce July 24, its cheapest since February 2010.

That price fall also pushed up sales of American Eagle gold coins in July to the highest since April 2013. ID:nL1N10B2MS

"The increase in retail interest for gold is unlikely to help reverse gold's recent price decline, rather it is more likely to provide a cushion for further price losses, in our view," HSBC analyst James Steel wrote in a note to clients.

Physical gold demand in Asia hardly perked up last week with many would-be buyers predicting further price declines, keeping premiums steady in the world's top gold consuming region. GOL/AS

Period

Gold

Silver

Jul-15

51,088

746,700

Jun-15

31,019

384,586

May-15

21,671

337,511

Apr-15

26,545

472,273

Mar-15

34,260

638,557

Feb-15

31,981

392,114

Jan-15

23,174

585,953

Dec-14

40,211

477,731

Nov-14

49,904

851,836

Oct-14

55,350

655,881

Sep-14

68,781

756,839

Aug-14

36,369

818,856

Jul-14

25,103

577,988

Jun-14

39,405

586,358

May-14

36,127

630,349

Apr-14

23,461

361,988

Mar-14

30,177

545,165

Feb-14

47,003

392,088

Jan-14

64,818

912,388 Source: The Perth Mint Note: Sales figures in ounces. Gold sales include coins and minted bars. Silver figures include only coins as the mint does not issue silver minted bars.

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