Modern Mining August 2022

Gold demand defies Q2 headwinds The World Gold Council’s latest Gold Demand Trends report revealed that gold demand in the second quarter was down 8% year-on-year to 948 t. However, thanks to strong ETF inflows in Q1, gold demand for the first half of 2022 is up 12% compared to H1 2021 at 2 189 t. After an initial rally in April on geopolitical risks and building infla tionary pressure, the gold price dropped in the second quarter of 2022 as investors shifted their focus to rapidly rising interest rates and a strik ingly strong US dollar, the council said. The 6% decline in the gold price over the quarter impacted gold ETFs, which saw outflows of 39t in Q2. Net H1 inflows totalled 234 t, compared to 127 t of outflows in H1 2021. Gold bar and coin demand remained stable year-on-year at 245 t in Q2. Growth in demand came notably from India, the Middle East, and Turkey which helped to balance weakness in Chinese demand. In the jewellery sector, Q2 gold demand increased 4% year-on-year to 453 t, helped by a recovery in Indian demand, up 49% compared with Q2 2021. Central banks were net buyers in Q2, growing global official reserves by 180 t. Turning to the technology sector, demand for gold was down 2% from Q2 2021 at 78 t, and as a result, H1 2022 demand was marginally lower year-on-year at 159 t. The electronics sector has continued to experience supply chain disruption, and is now facing diminished con sumer appetite for electronics as the cost-of-living crisis starts to bite. 

Cummins appoints first female CEO Mul t inat ional company Cummins has appointed Jennifer Rumsey as CEO, the seventh CEO and first woman to lead the company since it was founded in 1919. “Our values speak to diversity, equity, and inclusion. It really includes our differences in decision-making as a competitive advantage. If I think about then and now, the principle rings true today,” says Avril Campher, trans formation leader for South Africa. Cummins designs, manufactures, and distributes engines, filtration, and power generation products. 

August 2022  MODERN MINING  7