The data on Gold exports in March published by the Swiss customs authority last Thursday showed a split picture, as in the two previous months, Commerzbank's commodity analyst Carsten Fritsch notes.

US absorbs bulk of Swiss Gold exports

"Gold deliveries to Asia were again weak. In contrast, large quantities of Gold were once again shipped to the US. In the first quarter, Gold exports to China and Hong Kong totalled 13.4 tons, a 95% drop compared to the previous year. India received 7.4 tons, 87% less than in the previous year. The sharp price rise in the first quarter visibly took its toll."

"Gold shipments to the US, on the other hand, rose to almost 450 tons, meaning that 77% of total Swiss Gold exports in the first quarter went to the US. This is mainly due to the sharp rise in Gold stocks on the Comex. In addition, the US-listed Gold ETFs recorded strong inflows."

"In view of the continued rise in Gold prices, demand for Gold in Asia is likely to remain weak in April. As Gold stocks on the Comex have not risen any further since the beginning of the month, Gold shipments to the US are also likely to be significantly lower this month."