8216;55 gold demand from India,China8217;

Noting that year-on-year growth gold demand in the second quarter was broad-based,WGC said that India and China were the major contributors to growth in both jewellery and investment demand.

Second quarter global gold demand stood at 919.8 tonnes worth about USD 44.5 billion,the second highest quarterly value on record,it said.

8220;These two markets accounted for 52 per cent of global bar and coin investment and 55 per cent of global jewellery demand.

8220;Year-on-year volume growth in total consumer demand was 38 per cent in India and 25 per cent in China,compared with a global growth rate of 7 per cent,8221; WGC said.

As per the report,prospects for both Indian and Chinese markets 8220;for the remainder of the year as optimistic8221;.

In volume terms,the demand was 17 per cent in the 2011 second quarter as compared to the year-ago period. While in terms of value,the demand rose by five per cent during the same time.

Gold prices rose during May and most of June,amid concerns about Greek default time and fall in global equity prices.

8220;After setting a new record at USD 1,552.50/oz,gold retreated back towards USD 1,500/oz,providing a final boost to demand at the close of the quarter,8221; the report added.