Perth Mint Depository holdings top AUD 6 billion
Summary
- The Perth Mint sold 70,658 troy ounces of gold and 1,302,723 troy ounces of silver in minted product form during July.
- The Perth Mint Depository saw minor inflows into gold products during July, with the value of total precious metal holdings exceeding AUD 6 billion.
- The Perth Mint’s ASX listed ETF, ASX:PMGOLD, saw holdings decline modestly, falling by almost 1% for the month.
Manager, Listed Products and Investment Research, Jordan Eliseo said: “Gold prices rebounded during July, finishing the month trading back above USD 1,800 per troy ounce. Growing fears over the spread of the Delta strain of COVID-19, coupled with a decline in both nominal and real yields, both helped gold rally."
“Given the environment, it was no surprise investors turned to precious metals, even if the pace of investment was more subdued relative to the levels seen during 2020 when gold was making all-time highs in US dollars.”
Minted Products
The Perth Mint sold 70,658 troy ounces of gold and 1,302,723 troy ounces of silver in minted product form during July.
The table below highlights how these numbers compare to sales seen one month, three months and one year ago, and against monthly average sales dating back to mid-2012.
Current month sales of gold and silver sold as coins and minted bars (change relative to prior periods)
Precious metal
July sales (troy ounces)
1 month
3 month
1 year
Long-term average
Gold
70,658
-3%
-30%
26%
50%
Silver
1,302,723
-29%
-28%
-17%
41%
While sales fell relative to the very high volumes seen in the first few months of 2021, they remained well above long-term averages, demonstrating the ongoing investment demand for precious metals through July.
Troy ounces of gold and silver sold as coins and minted bars
December 2018 to July 2021
General Manager Minted Products, Neil Vance reported that while demand for gold minted products had stabilised in line with June’s result, the dip in silver coin sales was a result of capacity issues. “Wholesale demand stayed stronger than our July figures suggest after we took several presses offline for maintenance,” he said.
“Wholesale demand stayed stronger than our July figures suggest after we took several presses offline for maintenance”
The Perth Mint manufactures and markets the Australian Precious Metal Coin and Minted Bar program. Trusted worldwide for their purity and weight, the coins include annual releases of the renowned Australian Kangaroo, Kookaburra, Koala and Lunar series.
The Perth Mint Depository
Total gold holdings in The Perth Mint Depository recorded another minor increase in July, rising by 1% to more than 1.9 million troy ounces. Holdings of silver and other precious metals remained static.
The total value of precious metal holdings increased during July, topping AUD 6 billion, driven by an increase in the gold price and continued weakness in the value of the Australian dollar.
Over the 12 months to end July, total holdings of gold and silver increased by 3% and 4% respectively, with the majority of the inflows taking place in the lead up to the all-time highs seen in the US dollar gold price in August 2020.
Total troy ounces of gold and silver held by clients in The Perth Mint Depository
June 2018 to July 2021
The Perth Mint Depository enables clients to invest in gold, silver and platinum, with The Perth Mint storing this metal in its central bank grade vaults. Operated via a secure online portal, a Depository Online Account allows investors to buy, store and sell their metal 24/7.
Perth Mint Gold (ASX:PMGOLD)
Total holdings in Perth Mint Gold (ASX:PMGOLD) fell by almost 1,000 troy ounces in July, the first time since March this year that monthly holdings have declined. These outflows saw investors end the month with 235,597 troy ounces (7.33 tonnes) of gold backing their holdings.
The minor outflows seen in PMGOLD reflected broader trends in the gold ETF space, with estimates suggesting total holdings in global gold ETFs were essentially flat over the month.
Monthly change in troy ounces held by clients in Perth Mint Gold (ASX:PMGOLD)
January 2015 to July 2021
Source: The Perth Mint, ASX, LBMA
Despite the minor decrease in holdings, the value of PMGOLD holdings rose during July, driven by the more than 5% increase in the Australian dollar gold price. PMGOLD ended the month with a market value just above AUD 580 million.
