China's gold demand down 7% in Q2

BEIJING -- China's gold demand shrank by 7 percent in the second quarter, after surging 10 percent in the first three months of the year.

During April-June, China's gold demand stood at 144.9 tons, a World Gold Council report said, on Thursday. The demand for gold accessories went down 9 percent despite a slight rebound in demand for wedding gold products.

The global gold demand was 990 tons in the second quarter, down seven percent year-on-year, worth an estimated $51.2 billion, down 1 percent.

India and China remain the top drivers of the global demand, accounting for 45 percent of the total demand.

Chen Weixian, who is in charge of WGC's Greater China Investment Department, said Chinese investors are waiting for chances to cash in. He still believes China will grow into the top driver of gold demand in 2012.