Barclays: Demand for gold, silver bullion coins lower on monthly and yearly basis

Analysts at Barclays said in a research note that investor demand of gold and silver in the form of bullion coins has been weak in April, despite the seeming stabilization of gold prices around $1,200 an ounce.

“Following the surge in retail interest in March, coin sales, as reported by the U.S. Mint, have slowed in April. Sales are running at a similar pace to February’s subdued activity,” they said.

Sales data as of Tuesday indicate that the U.S. Mint has sold 34,000 ounces of gold in various denominations of American Eagle and Buffalo bullion coins so far in April, down almost 64%, compared to 94,500 ounces sold in April 2014.

On a monthly basis, sales are down almost 67% compared to 102,000 ounces sold in March.

So far this year, the mint has sold 370,500 ounces of gold, compared to 447,000 ounces sold during the first four months of 2014.

On a monthly and yearly basis, silver coin sales at the mint are also lower. According to the sales data, the mint has sold more than 1.9 million one-ounce American Eagle silver coins so far this month, down more than 46%, compared to 3.57 million silver coins sold in April 2014. On a monthly basis, silver coins sales dropped 46%.

April marks the third consecutive month that silver sales have been lower on a yearly basis. Only January saw sales higher compared to 2014. To date, the U.S. mint has sold 13.97 million silver coins, down from 17.45 million coins sold in the first four months of 2014.