Central banks bought 321 tons of gold worldwide between July and September. That represents an increase of 42 percent compared with the same quarter a year earlier, according to the quarterly report published on Tuesday by the World Gold Council (WGC) .

"Central bank demand remained strong," the statement said. After purchase volumes had still been subdued at the start of the year, they strengthened in the second and third quarters and more than offset the weak start to the year.

Since the start of the year, purchases by various central banks have totaled 675 tons, six percent more than in the same period last year. The industry association expects purchases in the full year to at least match the 2025 level.

Gold ETFs again see significant inflows

Demand has also recovered for exchange-traded, physically backed gold investment products. After gold ETFs recorded outflows equivalent to 47 tons in the second quarter, demand rose again to 211 tons in the third quarter. However, ETF demand was still six percent below the prior-year figure. The WGC cites growing concerns about the sustainability of public finances and inflation as reasons for the renewed interest.

By contrast, buyers of physical gold were far more cautious. Global demand for bars and coins fell by 19 percent year on year to just under 268 tons. Given price developments, many investors were waiting for a clearer direction. The two key markets, China and India, saw mixed developments: While demand in China increased in the third quarter, it fell sharply in India.

Record driven by rising prices

Overall, global gold demand including over-the-counter transactions totaled 1,369 tons in the third quarter. That was one percent less than a year earlier.

In the first nine months, global gold demand amounted to 3,881 tons. This means demand is virtually at the level of the record year 2025. However, due to the significantly higher gold price, its value reached a new record of $566 billion.

The average gold price stood at $4,262 per troy ounce in the third quarter, 23 percent above the comparable figure from a year earlier. Compared with the second quarter, however, it fell by five percent.

High prices weigh on jewelry demand

The high gold prices had a particularly noticeable impact on the jewelry business. Global gold jewelry consumption fell by 17 percent to 313 tons. It was the weakest third quarter since the WGC began collecting the corresponding data.

By contrast, industrial gold demand increased by three percent to just under 85 tons. This was driven in particular by the production of electronics for artificial intelligence applications.