China's gold jewelry demand drops 33% year-on-year in 2014   

(ECNS) - Demand for gold jewelry in China saw a 33 percent drop year-on-year to 624 tons in 2014, the People's Daily Overseas Edition reported Monday.

Sales of bars and coins in China were down by 50 percent in 2014, according to "Gold Demand Trends 2014" by the World Gold Council (WGC).

Zhao Ping, deputy head of the Consumer Economy Research Department at the Chinese Academy of International Trade and Economic Cooperation, says many customers are adopting a "wait-and-see" approach as the gold price continues to fall.

Zhao says a falling gold price and a strong US dollar continue to lower demand for investment.

Gold is not benefiting investors much in terms of fighting inflation, and it's not keeping and increasing its value, according to the WGC report, which also says that global gold demand in 2014 hit its lowest point in five years.

After a steep drop to $1,131.85 per ounce last December, the global gold price recovered to over $1,300 at the end of this January, but tumbled to less than $1,230 last week, the report says.

Analysts have said that the Greek debt crisis, the unpredictable Ukrainian situation, the eurozone's quantitative easing policy, the US's economic uptrend, and China's strong economy all contribute to the problem.